MIRA
INFORM REPORT
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Report Date : |
27th
January, 2007 |
IDENTIFICATION
DETAILS
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Name : |
XIAMEN
YEUCHUAN COMPOSITE TECHNOLOGY CO., LTD. |
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Registered Office : |
No. 60 South Xinglin Road, Jimei District, Xiamen, Fujian
Province, 361022 Pr China |
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Country : |
China |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
15.01.1999 |
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Com. Reg. No.: |
04315 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
Engaged
in manufacturing and selling motorcycle safety helmet. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD
100,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
Company Name & Address
XIAMEN
YEUCHUAN COMPOSITE TECHNOLOGY CO., LTD.
NO. 60 SOUTH XINGLIN ROAD, JIMEI
DISTRICT, XIAMEN, FUJIAN PROVINCE, 361022 PR CHINA
TEL: 86
(0) 592-6223426
FAX: 86
(0) 592-6221292
EXECUTIVE SUMMARY
INCORPORATION DATE :
JAN. 15, 1999
REGISTRATION NO. :
04315
REGISTERED LEGAL FORM : WHOLLY FOREIGN-OWNED
ENTERPRISE
STAFF STRENGTH :
1,093
REGISTERED CAPITAL :
USD 3,500,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
cny 79,590,000 (AS OF DEC. 31, 2005)
EQUITIES :
cny 28,430,000 (AS OF DEC. 31, 2005)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE :
UP TO USD 100,000 (periodical review)
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
fairly STABLE
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 7.77 = US$1 AS OF 2007-1-25
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Ren Min Bi
SC was registered as a wholly foreign-owned enterprise at
local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on Jan. 15, 1999.
Company Status: Wholly foreign-owned
enterprise This form of
business in PR China is defined as a legal person. It is a limited co.
established within the territories of PR China with capital provided
totally by the foreign investors. More than one foreign investors may
jointly invest in a wholly foreign-owned enterprise. The investing
party/parties solely exercise management, reap profit and bear risks and
liabilities by themselves. This form of companies usually have a limited
duration is extendible upon approval of Examination and Approval
Authorities.
SC’s
registered business scope includes manufacturing and processing motorcycle
safety helmet, various eyeglass and automotive fittings, handset panel,
automotive chair for children, building thermal baffle and nuts.
SC is mainly engaged in
manufacturing and selling motorcycle safety helmet.
Mr. Wang Xinyuan has been chairman of SC since 1999.
SC owns about 1,093 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 Xiamen. Our checks reveal
that SC owns the total premise about 20,000 square meters.
http://yeuchuan.fjfair.com The design is professional and the content
is well organized. At present it is in both Chinese and English versions.
No
significant events or changes were found during our checks with local AIC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Guin Chuan (USA) 100
l
Chairman:
Mr. Wang
Xinyuan, in his 30’s with university education. He is currently responsible for
the overall management of SC.
Working Experience(s):
From 1999 to present Working
in SC as chairman.
l
General Manager:
Mr. Chen
Dequan, in his 40’s with university education. He is currently responsible for
the daily management of SC.
Working Experience(s):
From 1999 to present
Working in SC as general
manager.
SC is mainly engaged in
manufacturing and selling motorcycle safety helmet.
SC’s products mainly include:
motorcycle safety helmet.
SC sources its materials 70% from
domestic market and 30% from the overseas markets, mainly Europe. SC sells 100%
of its products to the overseas markets, mainly Europe and Japan.
The
buying terms of SC include Check, T/T, L/C and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Client:
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Lead (Japan)
*Major Supplier:
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QuanZhou Sansheng Rubber Plastic Foamed Shoes Materials Co., Ltd.
SC is
not known to have any subsidiary at present.
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 refused to release any information of its suppliers and the trade
reference was not available.
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.
Industrial
and Commercial Bank of China Jimei Sub-Branch
AC#：92005161103091008
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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As of Dec. 31,
2005 |
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Cash & bank |
1,010 |
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Accounts receivable |
11,470 |
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Accounts payable advance |
40 |
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Other receivables |
1,010 |
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Inventory |
12,010 |
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Other current assets |
280 |
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Current assets |
25,820 |
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Fixed assets net value |
42,790 |
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Projects under construction |
0 |
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Long term investment |
0 |
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Other assets |
7,120 |
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Total assets |
75,730 |
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============= |
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Short loans |
20,170 |
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Accounts payable |
23,490 |
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Accounts receivable advance |
230 |
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Taxes payable |
0 |
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Salaries payable |
0 |
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Other payable |
970 |
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Other current liabilities |
2,440 |
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Current liabilities |
47,300 |
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Long term liabilities |
0 |
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Total liabilities |
47,300 |
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Equities |
28,430 |
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Total liabilities &
equities |
75,730 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2005 |
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Turnover |
79,590 |
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Cost of goods sold |
70,950 |
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Sales expense |
1,740 |
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Management expense |
3,960 |
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Finance expense |
0 |
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Profit before tax |
3,600 |
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Less: profit tax |
0 |
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Profits |
3,600 |
Important Ratios
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as
of Dec. 31, 2005 |
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*Current ratio |
0.55 |
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*Quick ratio |
0.29 |
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*Liabilities
to assets |
0.62 |
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*Net profit
margin (%) |
4.52 |
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*Return on
total assets (%) |
4.75 |
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*Fixed
assets/Total assets |
0.57 |
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*Inventory
/Turnover ×365 |
55days |
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*Accounts
receivable/Turnover ×365 |
53days |
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*Turnover/Total
assets |
1.05 |
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* Cost of
goods sold/Turnover |
0.89 |
PROFITABILITY: AVERAGE
l
The
turnover of SC appears average in its line.
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SC’s
net profit margin is average.
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SC’s
return on total assets is average.
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SC’s
cost of goods sold is average, comparing with its turnover.
LIQUIDITY: FAIR
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The
current ratio of SC is maintained in a fair level.
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SC’s
quick ratio is maintained in a fair level.
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The
accounts receivable of SC is maintained in a normal level.
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The
inventory of SC is maintained in a normal level.
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The
short loans of SC appears LARGE
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SC’s
turnover is in an acceptable level, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
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The
debt ratio of SC is average.
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The
risk for SC to go bankrupt is average.
Overall financial condition of the SC:
Fairly Stable.
SC is
considered medium-sized in its line with fairly stable financial conditions. A
credit line up to USD 100,000 would appear to be within SC’s capacities upon a
periodical review basis.
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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