MIRA
INFORM REPORT
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Report Date : |
01.02.2007 |
IDENTIFICATION
DETAILS
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Name : |
yancheng suhai
pharmaceutical co., ltd. |
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Registered Office : |
No. 92 Jiankang East Road, Dafeng City,
Yancheng, Jiangsu Province, 224100 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
april 13, 1990 |
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Com. Reg. No.: |
000980 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture Enterprise |
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Line of Business : |
Manufacturing and selling
doxicyclin, methacycline, and tetramycin hydrochloride. |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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Maximum Credit Limit : |
Up To usd 60,000 |
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Status : |
Small
Company |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
yancheng suhai
pharmaceutical co., ltd.
no. 92 jiankang east road, dafeng city,
yancheng,
jiangsu province, 224100 PR CHINA.
TEL: 86 (0) 515-3511402
FAX: 86 (0) 515-3512065
EXECUTIVE SUMMARY
INCORPORATION DATE :
april 13, 1990
REGISTRATION NO. :
000980
REGISTERED LEGAL FORM : Chinese-foreign equity
joint venture enterprise
STAFF STRENGTH :
179
REGISTERED CAPITAL :
CNY 4,550,000
BUSINESS LINE :
manufacturing
TURNOVER :
CNY 90,020,000 (AS OF DEC. 31, 2005)
EQUITIES :
CNY 10,270,000 (AS OF DEC. 31, 2005)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE :
UP TO usd 60,000
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY7.77 = US$1 AS OF 2007-02-01
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
SC was registered as a Chinese-foreign equity joint venture enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on April 13, 1990.
Company Status: Chinese-foreign equity joint
venture enterprise This form of
business in PR China is defined as a legal person. It is a limited co.
jointly invested by one or more foreign companies and one or more PR China
controlled companies within the territories of PR China according to a
certain proportion of capital investment. The investing parties exercise
business management, share profits and bear all risks and liabilities of
the co. together. The equity joint venture law requires that foreign party
contribute not less than 25% of the registered capital, with no maximum.
The joint venture usually have a limited duration of 10 to 50 years.
Enterprise with large investment, long construction periods, low investment
returns, introducing of advanced technology & advanced technology
products which have good competition position in international market may
extend beyond the 50 years limit.
SC’s registered business scope
includes manufacturing doxicyclin, methacycline, and tetramycin hydrochloride,
selling its products.
SC is mainly engaged in
manufacturing and selling doxicyclin, methacycline, and tetramycin
hydrochloride.
Mr. Xie Bing has been chairman of
SC since 2005.
SC owns about 179 staff at
present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Dafeng. Our checks
reveal that SC rents the total premise about 32,380 square meters.
http://www.shpharm.com The design is
professional and the content is well organized. At present the web site is both
in Chinese and English versions.
E-mail: sales@shpharm.com
Changes
of its registered information are as follows:
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Date of change |
Item |
Before the change |
After the change |
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2005 |
Chairman |
Yu Bin |
Xie Bing |
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2006-2 |
Shareholders |
Jiangsu Huanghai Pharmaceutical Factory 75% Zhongshan (Hong Kong) Co., Ltd. 25% |
Dafeng Hengchang Consultation Center 19% Jiazhuo Investment Ltd. (B.V.I) 51% Jiangsu Nongken Group Co., Ltd. 30% |
MAIN SHAREHOLDERS:
Name %
of Shareholding
Dafeng Hengchang Consultation Center 19
Jiazhuo Investment Ltd. (B.V.I) 51
Jiangsu Nongken Group Co., Ltd. 30
l
Chairman
Mr. Xie
Bing, 52 years old with university education. He is currently responsible for
the overall management of SC.
Working Experience(s):
From 2005 to present Working
in SC as chairman.
l
General Manager
Mr. Wu
Yuchao, 52 years old with university education. He is currently responsible for
the daily management of SC.
Working Experience(s):
From 2005 to present
Working in SC as general
manager.
SC is mainly engaged in
manufacturing and selling doxicyclin, methacycline, and tetramycin
hydrochloride.
SC’s products mainly include:
doxycycline hyclate, doxycycline monohydrate, methacycline hydrochloride, and
oxytetracycline hydrochloride.
SC sources its materials 100% from domestic
market, mainly Yancheng. SC sells 10% of its products in domestic market, and
90% to overseas market, mainly India and Germany.
The
buying terms of SC include Check, T/T and Credit of 30 days. The payment terms
of SC include T/T, L/C and Credit of 30-60 days.
*Major
Customer:
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Dafeng
Tongxing Chemical Co., Ltd.
*Major
Supplier:
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Jiangsu Guotai Technology Cooperation Co., Ltd.
SC is
known to have a branch as following:
Yancheng
Suhai Pharmaceutical Co., Ltd. Caomiao Branch
Overall
payment appraisal :
( ) Excellent ( ) Good (X) Average ( ) Fair (
) Poor ( ) Not yet determined
The
appraisal serves as a reference to reveal SC's payments habits and ability to
pay. It is based on the 3 weighed
factors: Trade payment experience
(through current enquiry with SC's suppliers), our delinquent payment and our
debt collection record concerning SC.
Trade payment experience : SC did not provide any name of
trade/service suppliers and we have no other sources to conduct the enquiry at
present.
Delinquent
payment record : None in our database.
Debt
collection record : No overdue amount owed by SC was placed to us for collection within the
last 6 years.
Agricultural
Bank of China Yancheng Branch Dafeng Sub-branch
AC#：416501040004298
Relationship:
Normal.
Balance Sheet (as of Dec. 31, 2005)
Unit: CNY’000
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Cash & bank |
14,650 |
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Inventory |
19,170 |
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Accounts receivable |
7,250 |
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Other Accounts receivable |
80 |
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To be apportioned expense |
70 |
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Other current assets |
20 |
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Current assets |
41,240 |
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Fixed assets |
11,230 |
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Fixed assets net value |
6,220 |
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Projects under construction |
0 |
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Long term investment |
0 |
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Other assets |
0 |
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Total assets |
47,460 |
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Short loans |
0 |
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Accounts payable |
14,610 |
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Other Accounts payable |
3,400 |
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Notes payable |
6,080 |
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Withdraw the expenses in
advance |
0 |
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Other current liabilities |
13,100 |
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Current liabilities |
37,190 |
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Long term liabilities |
0 |
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Other liabilities |
0 |
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Total liabilities |
37,190 |
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Equities |
10,270 |
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Total liabilities &
equities |
47,460 |
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Income Statement (as of Dec. 31, 2005)
Unit: CNY’000
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Turnover |
90,020 |
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Cost of goods sold |
81,470 |
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Sales expense |
1,430 |
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Management expense |
3,130 |
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Finance expense |
200 |
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Profit before tax |
3,970 |
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Less: profit tax |
420 |
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Profits |
3,550 |
Important Ratios (as of Dec. 31, 2005)
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*Current ratio 1.11
*Quick ratio 0.59
*Liabilities to
assets 0.78
*Net profit
margin (%) 3.94
*Return on total
assets (%) 7.48
*Inventory
/Turnover ×365 78 days
*Accounts
receivable/Turnover ×365 29 days
*Turnover/Total
assets 1.90
*Cost of goods
sold/Turnover 0.91
PROFITABILITY: AVERAGE
l
The
turnover of SC appears fairly good in its line.
l
SC’s
net profit margin is average.
l
SC’s
return on total assets is fairly good.
l
SC’s
cost of goods sold is average, comparing with its turnover.
LIQUIDITY: AVERAGE
l
The
current ratio of SC is maintained in a average level.
l
SC’s
quick ratio is maintained in a fair level.
l
The
inventory of SC appears fairly large.
l
The
accounts receivable of SC is maintained in an acceptable level.
l
SC
has no short-term loan in 2005.
l
SC’s
turnover is in an acceptable level, comparing with the size of its total
assets.
LEVERAGE: FAIR
l
The
debt ratio of SC is fairly high.
l
The
risk for SC to go bankrupt is average.
Overall financial condition of the SC:
Fairly stable.
SC is
considered small-sized in its line with fairly stable financial conditions. A
credit line up to USD 60,000
would appear to be within SC’s capacities.
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
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56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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