MIRA
INFORM REPORT
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Report Date : |
05.06.2008 |
IDENTIFICATION
DETAILS
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Name : |
wuxi ding long trading co., ltd. |
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Registered Office : |
b, 17/f, Huaguang Building,
No. 333, Zhongshan Road, Wuxi City Jiangsu
Province 214001 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
25.01. 2000 |
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Com. Reg. No.: |
320213000023477 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Selling Minerals. |
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 15,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
wuxi ding long trading co., ltd.
b, 17/f, huaguang
building, no. 333, zhongshan road, wuxi city
jiangsu province
214001 PR CHINA
TEL: 86 (0)
510-82755455 FAX: 86 (0)
510-82762125
EXECUTIVE SUMMARY
INCORPORATION DATE : jan. 25, 2000
REGISTRATION NO. : 320213000023477
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
11
REGISTERED CAPITA L : CNY 1,000,000
BUSINESS LINE : trading
TURNOVER :
CNY 31,255,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 2,318,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO usd 15,000 (periodical review)
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.93 = 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 Jan. 25, 2000.
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 selling metal materials, minerals, chemical materials
& products, textiles & raw materials, packaging materials, rubber &
plastic products, wood products, standard machinery & parts, electric
appliances & parts, groceries, hardware, porcelain, glassware, stationery,
computers & components, labor protection articles; consulting services of
economic information; importing and exporting commodities & technology.
SC is mainly
engaged in selling minerals.
Mr. Ding Qiji has been chairman of SC since 2000.
SC is known to
have approx. 11 employees at present.
SC is currently
operating at the above stated address, and this address houses its operating
office in the new zone of Wuxi. Our checks reveal that SC rents the total
premise about 200 square meters.
http://www.sinogarnet.com
The design is professional and the content is well organized. At present the
web is both in Chinese and English versions.
No significant events or changes were found during our checks with the local
AIC.
MAIN SHAREHOLDERS:
Name
% of Shareholding
Ding Qiji 90
ID# 330124700322351
Wu Xisheng 10
ID# 320211590913001
l
Chairman and General Manager:
Mr. Ding Qiji, born in 1970 with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
From 2000 to present Working
in SC as chairman and general manager.
Supervisor:
Wu Xisheng
SC is mainly
engaged in selling minerals.
SC’s products
mainly include: garnet and other minerals.
SC sources its materials 100% from domestic market,
mainly Jiangsu. SC sells 60% of its products in domestic market, mainly
Jiangsu, and 40% to overseas market, mainly Japan, Europe and USA.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The payment
terms of SC include Check, L/C, T/T and Credit of 30-60 days.
*Major Supplier:
==============
Yixing Sainuo Flexible Containers Co., Ltd.
*Major Customer:
==============
SCHOTT SUZHOU LIMITED
SC is
known to have a branch at present:
Wuxi
Ding Long Trading Co., Ltd. Zhongshan Road Branch
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’s suppliers
declined to make any comments.
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.
China Merchants
Bank
AC#15508252510001
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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Cash & bank |
149 |
787 |
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Inventory |
512 |
1,502 |
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Accounts
receivable |
-160 |
-2,010 |
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Other Accounts
receivable |
97 |
425 |
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Advances to
suppliers |
0 |
0 |
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To be
apportioned expense |
0 |
0 |
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Other current
assets |
154 |
238 |
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------------------ |
------------------ |
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Current assets |
752 |
942 |
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Fixed assets net
value |
2,191 |
2,030 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
135 |
78 |
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Total assets |
3,078 |
3,050 |
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============= |
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Short loans |
0 |
0 |
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Accounts payable |
741 |
258 |
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Advance from
clients |
0 |
0 |
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Salaries payable |
0 |
0 |
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Welfares payable |
35 |
43 |
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Taxes payable |
0 |
0 |
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Other Accounts
payable |
9 |
-93 |
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Withdraw the expenses
in advance |
0 |
0 |
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Other current
liabilities |
262 |
524 |
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------------------ |
------------------ |
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Current
liabilities |
1,047 |
732 |
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Long term
liabilities |
0 |
0 |
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Other
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
1,047 |
732 |
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Equities |
2,031 |
2,318 |
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Total
liabilities & equities |
3,078 |
3,050 |
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Income Statement
Unit: CNY’000
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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Turnover |
29,722 |
31,255 |
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Cost of goods
sold |
23,171 |
22,747 |
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Sales expense |
428 |
613 |
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Management expense |
2,129 |
1,904 |
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Finance expense |
-187 |
26 |
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Profit before
tax |
414 |
435 |
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Less: profit tax |
128 |
141 |
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Profits |
286 |
294 |
Important Ratios
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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*Current ratio |
0.72 |
1.29 |
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*Quick ratio |
0.23 |
-0.77 |
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*Liabilities
to assets |
0.34 |
0.24 |
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*Net profit
margin (%) |
0.96 |
0.94 |
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*Return on
total assets (%) |
9.29 |
9.64 |
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*Inventory
/Turnover ×365 |
6days |
18dasys |
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*Accounts
receivable/Turnover ×365 |
/ |
/ |
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*Turnover/Total
assets |
9.66 |
10.25 |
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* Cost of
goods sold/Turnover |
0.78 |
0.73 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears average in its line in 2006 and 2007.
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SC’s net profit margin is average in both years.
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SC’s return on total assets is fairly good in both years.
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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 fair level in 2006 and normal
in 2007
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SC’s quick ratio is maintained in a fair level in both 2 years.
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The inventory of SC is maintained in an average level.
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SC has no short-term loan in both 2 years.
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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 low.
l
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 at the above amount appears beyond SC’s capacities, while a
credit line up to USD 15,000 is recommended 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%)