MIRA
INFORM REPORT
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Report Date : |
11.09.2007 |
IDENTIFICATION DETAILS
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Name : |
fujian quanzhou
nanxing marble co., ltd. |
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Registered Office : |
Haidu Industrial
Zone, |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
Jan. 31, 2001 |
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Com. Reg. No.: |
006577 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture |
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Line of Business : |
Engaged in
manufacturing and selling marble. |
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 300,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
fujian quanzhou
nanxing marble co., ltd.
haidu industrial zone,
TEL: 86 (0) 592-6015569
FAX: 86 (0) 592-6015533
EXECUTIVE SUMMARY
INCORPORATION DATE : jan. 31, 2001
REGISTRATION NO. :
006577
REGISTERED LEGAL FORM : CHINESE-FOREIGN
EQUITY JOINT VENTURE
STAFF STRENGTH :
500
REGISTERED CAPITAL : CNY 68,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 167,360,000 (AS OF DEC. 31, 2006)
EQUITIES :
CNY 54,040,000 (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : competitive
FINANCIAL CONDITION : FAIRly STABLE
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
7.52 =US$1 AS OF
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 Chinese-foreign equity joint venture enterprise
at local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on Jan. 31, 2001.
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 investing parties
are free to agree on method of profit distribution and liabilities bearing
according to the proportion of capital investment. Each investing parties
contributes funds, tangible assets, technology & etc. The board of
directors excises the high authority. The joint venture usually has 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 that have good competition
position in international market may extend beyond the 50 years limit.
SC’s registered business scope includes manufacturing stone plate
materials, stonework; and selling its products.
SC is mainly engaged
in manufacturing and selling marble.
Mr. Cai
Jinxing has been chairman of SC since 2001.
SC is known to have approx. 500 staff members 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 Nan’an. Our checks reveal that SC
owns the total premise about 10,000 square meters.
http://www.dongxingstone.com The
design is professional and the content is well organized. At present the web is
in Chinese, English, Japanese, Korean and Russian versions.
E-mail: dongxing@dongxingstone.com
Until December 31, 2006, SC’s paid-up capital was CNY45,500,000.
SC achieved ISO
MAIN SHAREHOLDERS:
Name Investment
(’000) % of Shareholding
Fujian Nan’an Dongxing Stone Co.,
Ltd. 10,080 14.82
HK MIKI BUILDING
Corporation
57,920
85.18
l
Chairman:
Mr. Cai Jinxing, in his
Working Experience(s):
From 2001 to present Working in SC as chairman;
At present Working in Fujian Nan’an Dongxing Stone Co., Ltd. as chairman.
l
General Manager:
Mr. Lin Zhangfeng, in his
Working Experience(s):
From 2001 to present Working in SC as general manager.
SC is mainly
engaged in manufacturing and selling marble.
SC’s products mainly include: various marble and moor stone.
SC sources its materials 20%
from domestic market, and 80% from overseas market, mainly
The
buying terms of SC include T/T, L/C, and Credit of 30-60 days. The payment
terms of SC include T/T, L/C, and Credit of 15-30 days.
*Major Supplier:
============
Fujian Nan’an Dongxing Stone
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 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.
Construction Bank of
AC#：350656391263013787
Relationship:
Balance Sheet (as of Dec. 31, 2006)
Unit: CNY’000
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Cash & bank |
88,880 |
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Inventory |
52,800 |
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Accounts
receivable |
28,560 |
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Other Accounts
receivable |
71,210 |
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Advances to
suppliers |
590 |
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To be apportioned
expense |
0 |
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Other current
assets |
1,630 |
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------------------ |
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Current assets |
243,670 |
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Fixed assets |
24,380 |
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Fixed assets net
value |
17,720 |
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Projects under
construction |
6,660 |
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Long term
investment |
0 |
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Other assets |
6,210 |
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Total assets |
274,260 |
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Short loans |
144,600 |
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Bills payable |
0 |
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Accounts payable |
17,390 |
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Advances from
clients |
0 |
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Other Accounts
payable |
2,330 |
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Withdraw the
expenses in advance |
0 |
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Other current
liabilities |
55,900 |
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Current
liabilities |
220,220 |
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Long term
liabilities |
0 |
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Other
liabilities |
0 |
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Total
liabilities |
220,220 |
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Equities |
54,040 |
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Total
liabilities & equities |
274,260 |
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Income Statement (as of Dec. 31, 2006)
Unit: CNY’000
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Turnover |
167,360 |
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Cost of goods
sold |
141,380 |
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Sales expense |
10,060 |
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Management expense |
5,560 |
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Finance expense |
8,720 |
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Profit before
tax |
1,510 |
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Less: profit tax |
1,110 |
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Profits |
400 |
Important Ratios (as of Dec. 31, 2006)
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*Current ratio 1.11
*Quick ratio 0.87
*Liabilities to
assets 0.80
*Net profit
margin (%) 0.24
*Return on total
assets (%) 0.15
*Inventory
/Turnover ×365 115 days
*Accounts
receivable/Turnover ×365 62 days
*Turnover/Total
assets 0.61
*Cost of goods
sold/Turnover 0.84
PROFITABILITY:
AVERAGE
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The turnover of SC appears fairly good
in its line.
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SC’s net profit margin is acceptable.
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SC’s return on total assets is
acceptable.
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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 normal level.
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SC’s quick ratio is maintained in a normal
level.
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The inventory of SC appears fairly large.
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The accounts receivable of SC is maintained in a
normal level.
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The short-term loan of SC appears TOO LARGE.
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SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: FAIR
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The debt ratio of SC is fairly high.
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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. The large amount of short-term loan could be a threat to SC’s
financial condition. A credit line up to USD 300,000 appears 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. |
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%)