MIRA
INFORM REPORT
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Report Date : |
27.02.2008 |
IDENTIFICATION
DETAILS
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Name : |
hangzhou fangyuan plastics machinery co., ltd. |
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Registered Office : |
Xindeng Industry Development Zone, Fuyang
City, Hangzhou, Zhejiang
Province, 311404 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
10.04.1997 |
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Com. Reg. No.: |
3301832103736 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing and Selling Plastic Machinery Equipment. |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
usd 600,000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
hangzhou fangyuan plastics machinery co., ltd.
xindeng industry
development zone, fuyang city, hangzhou,
zhejiang PROVINCE,
311404 PR CHINA
TEL: 86 (0)
571-63258718 FAX: 86 (0)
571-63251366
EXECUTIVE SUMMARY
INCORPORATION DATE : april 10, 1997
REGISTRATION NO. : 3301832103736
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
550
REGISTERED CAPITAL : CNY 10,000,000
BUSINESS LINE :
manufacturing
TURNOVER :
CNY 184,250,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 49,820,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO usd 600,000
MARKET CONDITION : competitive
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 7.15 = US$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 10, 1997.
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 manufacturing plastic machinery, plastic products,
environmental protection machinery equipment, tea machinery equipment, and
molds, vehicle freight, and international trade.
SC is mainly
engaged in manufacturing and selling plastic machinery equipment.
Mr. Yuan
Guoqing has been chairman of SC since
1997.
SC is known to
have approx. about 550 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 Fuyang. Our checks
reveal that SC owns the total premise about 20,000 square meters.
http://www.fang-yuan.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: david@fang-yuan.com
No significant events or changes were found during our checks with the
local Administration for Industry & Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Yuan Guoqing 83
Shang Jiming 10
Yuan Guangen 7
l
Chairman and General Manager:
Mr. Yuan Guoqing , about 45 years old with university education. He is
currently responsible for the overall management of SC.
Working Experience(s):
From 1997 to present Working
in SC as chairman and general manager.
SC is mainly
engaged in manufacturing and selling plastic machinery equipment.
SC’s products
mainly include: Mixer, PSY-70-120 Continuous Pre-expander,1400 Vacuum Shape
Molding Machine, Crusher FS 320, PSC200-800A Block Cutting Line,
PSJ50、90、130、160 Batch Pre-expander.
SC sources its materials 100% from domestic
market, mainly Zhejiang. SC sells 80% of its products in domestic market, and
20% to overseas market, mainly Southeast Asian market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
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.
SC declined to
release its bank details.
Balance Sheet (as of Dec. 31, 2007)
Unit: CNY’000
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Cash & bank |
11,680 |
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Inventory |
14,100 |
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Accounts
receivable |
22,450 |
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Other Accounts
receivable |
11,550 |
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Advances to
suppliers |
0 |
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To be apportioned
expense |
0 |
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Other current
assets |
-210 |
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------------------ |
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Current assets |
59,570 |
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Fixed assets net
value |
24,850 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Other assets |
11,260 |
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------------------ |
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Total assets |
95,680 |
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Short loans |
14,200 |
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Accounts payable |
9,470 |
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Other Accounts
payable |
14,070 |
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Advances from
clients |
0 |
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Withdraw the
expenses in advance |
0 |
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Other current
liabilities |
7,930 |
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Current
liabilities |
45,670 |
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Long term
liabilities |
180 |
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Other liabilities |
10 |
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Total
liabilities |
45,860 |
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Equities |
49,820 |
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Total
liabilities & equities |
95,680 |
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Income Statement (as of Dec. 31, 2007)
Unit: CNY’000
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Turnover |
184,250 |
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Cost of goods
sold |
124,410 |
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Sales expense |
15,420 |
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Management expense |
22,650 |
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Finance expense |
1,020 |
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Profit before
tax |
21,020 |
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Less: profit tax |
6,940 |
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Profits |
14,080 |
Important Ratios (as of Dec. 31, 2007)
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*Current ratio 1.30
*Quick ratio 1.00
*Liabilities to
assets 0.48
*Net profit
margin (%) 7.64
*Return on total
assets (%) 14.72
*Inventory
/Turnover ×365 28 days
*Accounts
receivable/Turnover ×365 44 days
*Turnover/Total
assets 1.93
* Cost of goods
sold/Turnover 0.68
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 fairly good.
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SC’s return on total assets is fairly good.
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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 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 an average level.
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The accounts receivable of SC is maintained in an average level.
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SC’s short-term loan is in an average level.
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SC’s turnover is in an average 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 Good.
Over the past 11 years, SC has made a stable growth with fairly good
profit. A credit line up to USD 600,000
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. |
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%)