MIRA
INFORM REPORT
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Report Date : |
29.06.2007 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
Dec. 8, 1998 |
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Com. Reg. No.: |
3702001808236 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing and
selling printing and dyeing cloth, garments, sawing products. |
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 : |
Up To usd 400,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
NO.
TEL : 86 (0) 532-84661306
FAX : 86 (0) 532-84612949
EXECUTIVE SUMMARY
INCORPORATION DATE : DEC. 8, 1998
REGISTRATION NO. : 3702001808236
REGISTERED LEGAL FORM : limited liabilities company
STAFF STRENGTH :
634
REGISTERED CAPITAL : CNY 5,260,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
cny 445,052,000 (AS OF DEC. 31, 2005)
EQUITIES :
cny 36,538,000
(AS OF DEC. 31, 2005)
PAYMENT : AVERAGE
RECOMM.
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : STABLE
OPERATIONAL TREND : steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 7.62= US$1 AS OF 2007-6-28
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
SC was registered as a limited liabilities company at local Municipal Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Dec. 8, 1998.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. Shareholders bear limited liability to
the extent of shareholding, and the co. is liable for its debts only to
extent of its total assets. The characteristics of this form of co. are as
follows: Upon the establishment of the
co., an investment certificate is issued to the each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is listed as follows: -manufacturing co. :
CNY 500,000.00 -trading &wholesaling
co. : CNY 500,000.00 -retailing co. : CNY 300,000.00 -consultancy & service
co. : CNY
100,000.00 Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 50% of the registered capital while
contribution by intangible assets must not exceed 20% of the registered
capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co
SC’s registered
business scopes include manufacturing and selling printing and dyeing cloth, garments,
sawing products and deep processing products; importing and exporting business.
SC is mainly
engaged in manufacturing and selling printing and dyeing cloth, garments,
sawing products.
Mr. Dai Shouhua
has been chairman of SC since 1998.
SC owns about 634
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 Qingdao. Our checks
reveal that SC owns the total premise about 14,000 square meters.
http://www.qdphoenixpd.com The design is
professional and the content is well organized. At present the web site is in
both Chinese and English versions.
E-mail: qdphoenixpd@public.qd.sd.cn
No significant events or changes were found during our checks with local
AIC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Qingdao Textiles General Corp 100
Add:
Tel: 86 532 82801147
Fax: 86 532 82823154
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Chairman:
Mr. Dai Shouhua, 56 years old with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
From 1998 to present Working in SC as chairman.
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General Manager:
Mr. Wu Xiaofei, 43 years old with university education. He is currently
responsible for the daily management of SC.
Working Experience(s):
From 2002 to present
Working in SC as general manager.
SC is mainly engaged
in manufacturing and selling printing and dyeing cloth, garments, sawing
products.
SC’s products
mainly include: printed cloth and flannel.
SC’s annual output
can reach 60 million meters.
SC sources its
materials 90% from domestic market, 10% from international market, mainly from
European Countries. SC sells 100% of its products to
The buying terms of SC include Check, T/T, L/C and Credit of 30-90 days.
The payment terms of SC include T/T, Check, L/C and Credit of 30-90 days.
*Major Supplier:
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Qingdao Textiles General Corp
SC is
known to have 2 subsidiaries as following,
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 & Commercial Bank of
AC#：3803025009006655701
Relationship:
Balance Sheet
Unit: CNY’000
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as
of Dec. 31, 2003 |
as
of Dec. 31, 2004 |
as
of Dec. 31, 2005 |
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Cash & bank |
2,170 |
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Inventory |
11,580 |
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Accounts
receivable |
14,740 |
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Account payable
advance |
1,360 |
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Other Accounts
receivable |
20,840 |
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Other current
assets |
34,070 |
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Current assets |
84,760 |
80,388 |
76,011 |
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Fixed assets net
value |
11,960 |
11,654 |
14,016 |
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Projects under
construction |
380 |
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Long term
investment |
8,230 |
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Other assets |
60 |
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Total assets |
105,390 |
103,469 |
130,044 |
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Short loans |
49,390 |
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Accounts payable |
29,450 |
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Account
receivable advance |
1,510 |
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Other Accounts
payable |
7,970 |
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Other current
liabilities |
700 |
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Current
liabilities |
89,020 |
82,606 |
93,506 |
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Long term
liabilities |
0 |
0 |
0 |
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Total
liabilities |
89,020 |
82,606 |
93,506 |
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Equities |
16,370 |
20,863 |
36,538 |
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Total
liabilities & equities |
105,390 |
103,469 |
130,044 |
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Income Statement
Unit: CNY’000
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as of Dec. 31,
2003 |
as of Dec. 31,
2004 |
as of Dec. 31,
2005 |
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Turnover |
295,500 |
357,631 |
445,052 |
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Cost of goods
sold |
236,460 |
325,812 |
391,176 |
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Sales expense |
0 |
2,293 |
3,127 |
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Management expense |
13,210 |
19,077 |
30,248 |
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Finance expense |
1,450 |
2,869 |
2,427 |
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Profit before
tax |
12,240 |
10,756 |
26,063 |
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Less: profit tax |
2,880 |
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Profits |
9,360 |
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Important Ratios
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2003 |
2004 |
2005 |
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*Current ratio |
0.95 |
0.97 |
0.81 |
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*Quick ratio |
0.82 |
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*Liabilities
to assets |
0.84 |
0.80 |
0.72 |
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*Net profit
margin (%) |
4.14 |
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*Return on
total assets (%) |
11.61 |
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*Fixed
assets/Total assets |
0.15 |
0.11 |
0.11 |
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*Inventory
/Turnover ×365 |
14days |
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*Accounts
receivable/Turnover ×365 |
18days |
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*Turnover/Total
assets |
2.80 |
3.46 |
3.42 |
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* Cost of
goods sold/Turnover |
0.80 |
0.91 |
0.88 |
PROFITABILITY:
FAIRLY GOOD
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The turnover of SC appears fairly good in 3 years.
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SC’s cost of goods sold is average, comparing with
its turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a fair
level in 2005.
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SC’s turnover is in a fairly good level, comparing
with the size of its total assets.
LEVERAGE: AVERAGE
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The debt ratio of SC is acceptable.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Stable.
SC is well-known in its industry with stable financial conditions. Over the
past 9 years, SC has made a stable growth with fairly good profit. A credit
line up to USD 400,000 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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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)