MIRA
INFORM REPORT
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Report Date : |
11.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
SHANGHAI SHENGYANG FLUID EQUIPMENT CO
LTD |
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Registered Office : |
Room 801, No.12, Lane 198, Xinjian East Road, Shanghai, Pr China, 198 12 801 |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
24.03.2006 |
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Com. Reg. No.: |
3101152026050 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Selling Stainless
Steel Products |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 10,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
Name & address
SHANGHAI SHENGYANG FLUID EQUIPMENT CO., LTD.
ROOM 801, NO.12, LANE 198, XINJIAN EAST ROAD, SHANGHAI, PR CHINA
198 12 801
TEL: 0086-21-54136001
FAX: 0086-21-64937452
EXECUTIVE SUMMARY
INCORPORATION DATE : MAR.
24, 2006
REGISTRATION NO. :
3101152026050
REGISTERED LEGAL FORM : ONE-PERSON LIMITED LIABILITY COMPANY
CHIEF EXECUTIVE :
MR. CHEN HUI (CHAIRMAN)
STAFF STRENGTH :
6
REGISTERED CAPITAL : CNY 1,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 37,510,000 (AS OF DEC. 31,
2007)
EQUITIES :
CNY 1,170,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO
USD 10,000
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.86181 = 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
Note: Instead of the given name, SC’s complete name should
be the heading one.
SC was registered as a One-person Limited Liability Company at local Administration for Industry
& Commerce (AIC - The official body of issuing and renewing business
license) on Mar. 24, 2006.
Company Status: One-person
Limited Liability Company Single
person LLC refers to a limited liability company set up by only one natural
person or legal person as the single shareholder of it. The minimum
registered capital of Single person LLC is CNY100,000. The shareholder’s
capital contributes, as set out by the articles of associations should be a
lump-sum payment in full. One
natural person can only invest in and set up one limited liability company,
which is not permitted to invest in and set up a new Single person LLC. As to
any one-person limited liability company, the sole-investor nature of the
natural person or legal person shall be indicated in the registration
documents of the company and shall be indicated in the business license
thereof as well. The
regulation of Single person LLC should be set up by the shareholder The
regulation of Single person LLC has no shareholder meeting.
SC’s registered business scope includes selling pipe fittings, valves
fittings, metal materials, hardware, mechanical and electrical products,
instruments and meters, environmental protection equipment, garments and
textiles; importing and exporting commodities and technologies; business consulting (excluding broker) (with permit
if needed).
SC is mainly
engaged in selling stainless steel products.
Mr. Chen Hui has
been legal representative and chairman of SC since 2006.
SC is known to have approx. 6 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office in the commercial zone of Shanghai. Our checks
reveal that SC rents the premise, but SC’s accountant refused to release the
gross area of the premise.
http://www.shengyangpipe.com/
The design is professional and the content is well organized. At present it is
in English version.
E-Mail: sales@shengyangpipe.com
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Chen Hui 100
l
Legal representative and chairman:
Mr. Chen Hui, with university education. He is currently responsible for
the overall management of SC.
Working Experience(s):
From 2006 to present Working
in SC as chairman and legal representative.
l
Sales Manager:
Mr. Hua Quanyong
Tel: 021-64937451
SC is mainly
engaged in selling stainless steel products
SC’s products mainly include: stainless steel seamless pipe, stainless
steel welded capillary pipe, stainless steel pipe fittings and stainless steel
bar.
SC sources its merchandises 100% from domestic market, mainly from
Zhejiang Province. SC sells 30% of its merchandises in domestic market, and 70%
to overseas market, mainly in USA, Chile, Brazil,
Canada, Germany and Pakistan.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The payment
terms of SC include Check, 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 banking details.
Balance Sheet
Unit: CNY’000
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as
of Dec. 31, 2007 |
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Cash & bank |
2,160 |
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Bills receivable |
0 |
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Accounts
receivable |
240 |
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Other
receivables |
0 |
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Advances to
suppliers |
8,360 |
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Inventory |
0 |
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Prepaid expenses |
0 |
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Other current
assets |
1,640 |
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------------------ |
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Current assets |
12,400 |
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Fixed assets |
60 |
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Fixed assets net
value |
60 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Other assets |
80 |
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Total assets |
12,540 |
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============= |
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Short loans |
0 |
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Bills payable |
0 |
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Accounts payable |
5,400 |
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Welfare payable |
10 |
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Advances from
clients |
5,960 |
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Accrued payroll |
0 |
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Tax payable |
0 |
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Other payable |
0 |
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Surcharge
payable |
0 |
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Other current
liabilities |
0 |
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Current
liabilities |
11,370 |
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Long term
liabilities |
0 |
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Total
liabilities |
11,370 |
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Equities |
1,170 |
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Total
liabilities & equities |
12,540 |
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Income Statement
Unit: CNY’000
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as of Dec. 31, 2007 |
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Turnover |
37,510 |
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Cost of goods
sold |
35,180 |
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Sales expense |
0 |
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Management expense |
2,030 |
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Finance expense |
170 |
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Profit before
tax |
120 |
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Less: profit tax |
20 |
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Profits |
100 |
Important Ratios
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as
of Dec. 31, 2007 |
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*Current ratio |
1.09 |
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*Quick ratio |
1.09 |
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*Liabilities
to assets |
0.91 |
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*Net profit
margin (%) |
0.27 |
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*Return on total
assets (%) |
0.80 |
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*Inventory
/Turnover ×365 |
0 |
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*Accounts
receivable/Turnover ×365 |
3 days |
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*Turnover/Total
assets |
2.99 |
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*Cost of goods
sold/Turnover |
0.94 |
PROFITABILITY:
AVERAGE
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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 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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There’s no inventory of SC in 2007.
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The accounts receivable of SC appears average.
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There’s no short-term loan of SC in 2007.
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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 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 small-sized in its line with fairly stable financial
conditions. A credit line up to USD 10,000 would appear 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.42.72 |
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UK Pound |
1 |
Rs.84.42 |
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Euro |
1 |
Rs.67.38 |
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%)