MIRA INFORM REPORT
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Report Date : |
06.08.2008 |
IDENTIFICATION
DETAILS
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Name : |
NANJING CODEAL CORP LTD |
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Registered Office : |
No. 378, East Zhongshan Road, Baixia District, Nanjing, Jiangsu Province, 210002 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
08.04.2004 |
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Com. Reg. No.: |
320100000109873 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Importing and
Exporting Light Industrial Products, Arts and Crafts. |
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 130,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
Name & address
Nanjing Codeal Corp., Ltd.
NO. 378, EAST ZHONGSHAN ROAD, BAIXIA DISTRICT,
NANJING, JIANGSU PROVINCE, 210002 PR CHINA.
378
TEL: 86 (0) 25-84537100 FAX: 86 (0) 25-84401937
EXECUTIVE SUMMARY
INCORPORATION DATE : april 8, 2004
REGISTRATION NO. : 320100000109873
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
52
REGISTERED CAPITAL : CNY 5,000,000
BUSINESS LINE : TRADING
TURNOVER :
CNY 375,450,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 9,140,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 130,000
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.85 = USD 1
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 limited liabilities company at
local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on April 8, 2004.
Company Status: Limited liabilities co. This form of business in PR China is defined as a legal
person. No more than fifty shareholders contribute its registered capital
jointly. 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 CNY 30,000. 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 30% 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
scope includes not to engage in any items prohibited by laws, administrative
regulation and State Council; able to engage in items that needs permit
according to the regulation of the State Council, after obtaining the permit
from relative authorities and the registration in the AIC; and select to
deal with any items that do not need any permit.
SC is mainly
engaged in importing and exporting light industrial products, arts and crafts.
Mr. Liang Cheng
has been legal representative and chairman of SC since 2004.
SC is known
to have approx. 52 employees 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 Nanjing. Our checks
reveal that SC rents the total premise about 1,000 square meters.
http://www.nj-light.com/ The design is professional and the content
is well organized. At present it is in both Chinese and English versions.
Email: NjCodeal@Nj-Codeal.com
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Nanjing Nantex Group Co., Ltd. 30
Chen Wei 1
Chen Yunshan 5.75
Ding Xiaoqiao 3.45
Fei Shan
5.75
Gu Yan
2
Han Denglin 1.15
Huang Ling
2.3
Xie Xiaojun 3.45
Li Jian
4.6
Liang Cheng
12.05
Liu Miao 1
Song Zhijian 3.45
Tang Ying
1.4
Tian Jun
1.15
Wang Yetao
2.55
Wang Zhenmu 4.6
Wu Xuebin 1
Yao Chong 2.3
Yu Jingtao
2.3
Zhang Qing
2
Zhang Yu
1
Zhou Zhiyu
5.75
l
Chairman & General manager:
Mr. Liang Cheng, ID # 320103470907051, 61 years old with university
education. He is currently responsible for the overall management of SC.
Working Experience(s):
From 2004 to present Working
in SC as chairman and general manager.
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Vice General manager:
Mr. Chen Yunshan, ID # 320106195205262030, 56 years old with university
education. He is currently responsible for the daily management of SC.
Working Experience(s):
From 2004 to present Working
in SC as vice general manager.
SC is mainly
engaged in importing and exporting light industrial products, arts and crafts.
SC’s products
mainly include lamp, hand tools, garments & garments accessories, pet
products, furniture, lights, ceramics, porcelain dolls, cases and bags, etc.
SC sources its materials 90% from domestic
market, and 10% from overseas market, mainly Southeast Asian market. SC sells 10%
of its products in domestic market, and 90% to overseas market, mainly Europe
and U.S.A.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
*Major Supplier:
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Ningbo Hengye Sanitary Ware Co., Ltd.
*Major Customer:
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Wenzhou Fuao
Sanitary Ware 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.
Bank of China Nanjing Branch East Zhongshan Road Sub-branch
AC#
0440130566708091001
Relationship:
Normal.
Balance Sheet (as of Dec. 31, 2007)
Unit: CNY’000
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Cash & bank |
1,370 |
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Inventory |
5,510 |
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Accounts
receivable |
24,450 |
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Advances to
suppliers |
1,160 |
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Other
receivables |
3,820 |
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Other current
assets |
0 |
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------------------ |
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Current assets |
36,310 |
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Fixed assets net
value |
250 |
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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 |
36,560 |
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Short loans |
0 |
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Accounts payable |
14,160 |
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Other payable |
900 |
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Advances from
clients |
12,290 |
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Other current
liabilities |
70 |
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Current
liabilities |
27,420 |
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Long term
liabilities |
0 |
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Total
liabilities |
27,420 |
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Equities |
9,140 |
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Total
liabilities & equities |
36,560 |
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Income Statement (as of Dec. 31, 2007)
Unit: CNY’000
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Turnover |
375,450 |
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Cost of goods
sold |
358,700 |
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Sales expense |
8,870 |
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Management expense |
5,730 |
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Finance expense |
350 |
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Profit before
tax |
1,720 |
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Less: profit tax |
580 |
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Profits |
1,140 |
Important Ratios
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as
of Dec. 31, 2007 |
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*Current ratio |
1.32 |
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*Quick ratio |
1.12 |
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*Liabilities
to assets |
0.75 |
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*Net profit
margin (%) |
0.30 |
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*Return on
total assets (%) |
3.12 |
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*Inventory /Turnover
×365 |
6 days |
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*Accounts
receivable/Turnover ×365 |
24 days |
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*Turnover/Total
assets |
10.3 |
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* Cost of
goods sold/Turnover |
0.96 |
PROFITABILITY:
FAIRLY GOOD
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The turnover of SC appears fairly good 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 fairly good.
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SC’s cost of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: AVERAGE
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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 is maintained in a fairly good level.
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The accounts receivable of SC appears fairly large.
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SC has no short-term loan in 2007.
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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 fairly high.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Stable.
SC is considered medium-sized in its line with stable financial
conditions. A credit line up to USD 130,000 appears to be within SC’s
capacities.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 42.00 |
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UK Pound |
1 |
Rs. 82.14 |
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Euro |
1 |
Rs. 65.09 |
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%)