MIRA INFORM REPORT
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Report Date : |
24.02.2011 |
IDENTIFICATION DETAILS
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Name : |
HC AGROCHEMICALS CO., LTD. |
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Registered Office : |
Room 1601, |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
25.05.2006 |
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Com. Reg. No.: |
310103000172972 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Selling Chemical 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 |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
usd 8,000 |
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Status : |
Moderate |
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Payment
Behaviour : |
Slow but Correct |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2010
|
Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
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a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
hc agrochemicals
co., ltd.
room 1601, no.
TEL: 86 (0) 21-63745802/63745801 FAX: 86 (0) 21-63745808
EXECUTIVE SUMMARY
INCORPORATION
DATE : May 25, 2006
REGISTRATION
NO. : 310103000172972
REGISTERED
LEGAL FORM : Limited liabilities company
STAFF
STRENGTH : 10
REGISTERED
CAPITAL :
CNY 2,000,000
BUSINESS
LINE : trading
TURNOVER : CNY 65,790,000
(AS OF DEC. 31, 2009)
EQUITIES : CNY 2,200,000
(AS OF DEC. 31, 2009)
PAYMENT
: AVERAGE
RECOMM.
MARKET
CONDITION : average
FINANCIAL
CONDITION : fairLY STABLE
OPERATIONAL
TREND :
FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.58 = USD 1
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 limited liabilities company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license) on May
25, 2006.
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 chemical raw materials and products, construction and decoration
materials, metal materials, machinery and electronic products and accessories,
textile raw materials, daily necessities, PPE, cultural and office supplies,
clothing, business consulting, labor services, importing and exporting goods
and technology, wholesale of
pre-packaged food.
SC is mainly engaged in selling chemical
products.
Mr. Wu Wei has been chairman of SC since
2006.
SC is known to have approx. 10 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 total
premise about 200 square meters.
http://hcchemicals.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: info@hcchemicals.com
Changes of its
registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Registration No. |
3101032004841 |
310103000172972 |
MAIN SHAREHOLDERS:
Name % of Shareholding
Wu Wei 78
Zheng Xi 22
l
Chairman
and General Manager:
Mr. Wu Wei, 41 years
old, 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 general manager.
SC is mainly engaged in selling chemical
products.
SC’s products mainly include: insecticides,
fungicides, herbicides, plant growth regulators, chemical intermediate.
SC sources its materials 100% from domestic market, mainly
The buying terms of
SC include Check, T/T and Credit of 30 days. The payment terms of SC include
L/C and Credit of 30 days.
*Major Customer:
=============
S&P Formulator
Co., Ltd. (
*Major Suppliers:
=============
Jiangyin Hucheng
Chemical Reagent Co., Ltd.
Zhejiang Qianjiang
Biochemical Co., Ltd.
Branch:
=====
HC Agrochemicals Co., Ltd.
Huangpu 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 : A trade
enquiry currently conducted with SC's supplier(s) reveal the following:
Supplier
A
Products sold: Chemical reagents,
chemical raw materials
Date account opened: Since
2008 to present
Line of credit: N/A
Terms:
30-60
days
Average monthly sales: N/A
Current balance: N/A
Rating Key : 3
Any Special Comments: _______________________________________
Payment record keys :
1 = Prompt : Payment made before the credit period expires
2 = As agreed terms : Payment made upon due date
3 = Slightly slow but acceptable : Payment made 5 to 20 days beyond
agreed terms
4 = Slow : Payment made 16 to 45 days beyond agreed terms
5 = Poor : Payment made over 45 days beyond agreed terms
6 = No comment : Account
is newly opened & record is not yet established
Note : In some instances, payment beyond terms can
be the result of disputes over merchandise, lost invoices, disputed accounts
& etc.
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.
AC# 7311610182600085824
Relationship:
Balance Sheet
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Unit: CNY’000 |
as of Dec. 31, 2008 |
as of Dec. 31, 2009 |
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Cash & bank |
2,410 |
39,000 |
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Inventory |
470 |
3,040 |
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Accounts receivable |
1,970 |
0 |
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Other Accounts receivable |
80 |
80 |
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To be apportioned expense |
0 |
0 |
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Other current assets |
750 |
0 |
|
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------------------ |
------------------ |
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Current assets |
5,680 |
42,120 |
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Fixed assets net value |
40 |
40 |
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Projects under construction |
0 |
0 |
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Long term investment |
0 |
0 |
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Other assets |
0 |
0 |
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------------------ |
------------------ |
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Total assets |
5,720 |
42,160 |
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============= |
============= |
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Short loans |
0 |
34,920 |
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Accounts payable |
2,180 |
720 |
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Other Accounts payable |
1,580 |
1,580 |
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Withdraw the expenses in advance |
0 |
0 |
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Other current liabilities |
-280 |
2,730 |
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------------------ |
------------------ |
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Current liabilities |
3,480 |
39,950 |
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Long term liabilities |
0 |
0 |
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Other liabilities |
0 |
10 |
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------------------ |
------------------ |
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Total liabilities |
3,480 |
39,960 |
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Equities |
2,240 |
2,200 |
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------------------ |
------------------ |
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Total liabilities & equities |
5,720 |
42,160 |
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|
============= |
============= |
Income Statement
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Unit: CNY’000 |
as of Dec. 31, 2009 |
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Turnover |
65,790 |
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Cost of goods sold |
63,000 |
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Sales expense |
1,130 |
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Management expense |
1,980 |
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Finance expense |
300 |
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Profit before tax |
-40 |
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Less: profit tax |
0 |
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Profits |
-40 |
Important Ratios
=============
|
|
As of Dec. 31, 2008 |
As of Dec. 31, 2009 |
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*Current ratio |
1.63 |
1.05 |
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*Quick ratio |
1.50 |
0.98 |
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*Liabilities to assets |
0.61 |
0.95 |
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*Net profit margin (%) |
/ |
-0.06 |
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*Return on total assets (%) |
/ |
-0.09 |
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*Inventory /Turnover ×365 |
/ |
17 days |
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*Accounts receivable/Turnover ×365 |
/ |
/ |
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*Turnover/Total assets |
/ |
1.56 |
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* Cost of goods sold/Turnover |
/ |
0.96 |
PROFITABILITY: FAIR
l
The
turnover of SC appears average in its line.
l
SC’s net
profit margin is fair.
l
SC’s
return on total assets is fair.
l
SC’s cost
of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: AVERAGE
l
The
current ratio of SC is maintained in a normal level.
l
SC’s
quick ratio is maintained in a normal level.
l
The
inventory of SC is maintained in an average level.
l
SC has
no accounts receivable in 2009.
l
The
short-term loan of SC appears large in 2009.
l
SC’s
turnover is in an average level, comparing with the size of its total assets.
LEVERAGE: FAIR
l
The debt
ratio of SC is high.
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. The large
amount of short loans could be a threat to SC’s financial condition. A credit
line up to USD 8,000 would appear
to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.20 |
|
|
1 |
Rs.73.17 |
|
Euro |
1 |
Rs.61.88 |
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 |
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 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.