MIRA INFORM
REPORT
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Report Date : |
20.01.2011 |
IDENTIFICATION DETAILS
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Name : |
hubei sanonda international trade co; ltd |
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Registered Office : |
No. 93, Beijing East Road, Shashi District, Jingzhou City, Hubei Province, 434001 Pr |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
29.06.1998 |
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Com. Reg. No.: |
4210001000694 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Trading of 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 200,000 |
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Status : |
Moderate |
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Payment
Behaviour : |
No Complaints |
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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
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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 |
NAME AND ADDRESS
HUBEI
SANONDA INTERNATIONAL TRADE CO., LTD.
NO. 93,
JINGZHOU CITY,
TEL: 86 (0)
716-8316975/8208318 FAX: 86 (0)
716-8315262
EXECUTIVE SUMMARY
INCORPORATION DATE : JULY 29, 1998
REGISTRATION NO. : 4210001000694
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
14
REGISTERED CAPITAL : CNY 10,000,000
BUSINESS LINE :
trading
TURNOVER : CNY 159,620,000 (AS OF DEC. 31, 2009)
EQUITIES : CNY 17,320,000 (AS OF DEC. 31,
2009)
PAYMENT : AVERAGE
RECOMM.
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY
6.65 = USD 1
Note: SC’s complete name should be the heading
one and SC is also known as Hubei Sanonda Foreign Trading Co., Ltd.
The given fax number is wrong and the
correct should be the heading one.
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 July 29, 1998.
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 import and export of various goods
and technologies (excluding the items prohibited or limited by the country);
processing with imported materials, processing with imported samples,
assemblying with imported parts, and compensation trade in agreement; counter trade & transit trade.
SC is mainly
engaged in trading of chemical products.
Mr. Li Zuorong is
legal representative and chairman of SC at present.
SC is known to
have approx. 14 employees at present.
SC is currently operating at the above stated address, and this
address houses its operating office in the development zone of Jingzhou. Our
checks reveal that SC shares the premise with its parent companies, but SC’s
accountant refused to release the gross area.
http://www.sanonda.cn It belongs to Hubei Sanonda Co., Ltd. and Sanonda Group Corp., which are SC’s shareholders and have the same address to SC. 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 local
AIC.
*To what extent is
your company affected by the current Credit Crisis?
According to SC’s accountant Ms. Xiang, the Credit Crisis has certain
influence on SC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Hubei Sanonda Co., Ltd.
90
Sanonda Group Corp.
10
Hubei Sanonda Co., Ltd.
==================
Hubei Sanonda Co., Ltd. manufactures pesticides and chemical products. Stock
Exchange Listed With: Shenzhen Stock Exchange. Short Form of the Stock: Sanonda A, Sanonda B. Stock Code: 000553,
200553.
Address: No. 93,
Tel: 0716-8314802
Fax: 0716-8321099
REGISTRATION NO. : 420000400004491
REGISTERED LEGAL FORM : SHARES Limited company
REGISTERED CAPITAL : CNY 593,923,220
* Sanonda Group Corp.
==============================
Address: No. 93,
Tel: 0716-8314802
Fax: 0716-8321099
REGISTERED CAPITAL : CNY 240,661,000
l
Legal representative and chairman:
Mr. Li Zuorong senior engineer, with university education. He
is currently responsible for the overall management of SC.
Working Experience(s):
At present Working
in SC as chairman and legal representative.
Also working in the following companies as
legal representative:
Sanonda Group Corp.
Hubei Sanonda Co., Ltd.
Jingzhou
Sanonda Aifusi Chemical Co., Ltd.
And other Sanonda related companies.
SC is mainly
engaged in trading of chemical products.
SC’s products
mainly include: insecticide, herbicides, chemical products.
SC sources its materials 90% from domestic
market and 10% from overseas market. SC sells 90% to overseas market and 10% in
domestic market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, L/C, T/T and Credit of 30-60 days.
SC is known to invest in the following companies:
Jingzhou
Sanonda Aifusi Chemical Co., Ltd.
Hubei
Sanonda Tianmen Agrochemical Co., Ltd.
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.
Industrial
and Commercial Bank of
AC#1813021109026009290
Relationship:
Balance Sheet
Unit: CNY’000
|
|
as
of Dec. 31, 2008 |
as
of Dec. 31, 2009 |
|
Cash & bank |
35,790 |
30,730 |
|
Inventory |
550 |
2 |
|
Accounts
receivable |
57,010 |
45,330 |
|
Other Accounts
receivable |
4,240 |
3,960 |
|
Advances to
suppliers |
230 |
20 |
|
To be
apportioned expense |
0 |
0 |
|
Other current
assets |
0 |
-2 |
|
|
------------------ |
------------------ |
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Current assets |
97,820 |
80,040 |
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Fixed assets net
value |
200 |
160 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
1,200 |
8,500 |
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Deferred tax
assets |
3,180 |
2,360 |
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Other assets |
0 |
0 |
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------------------ |
------------------ |
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Total assets |
102,400 |
91,060 |
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============= |
============= |
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Short loans |
0 |
4,900 |
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Accounts payable |
2,440 |
26,910 |
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Advances from
clients |
810 |
2,680 |
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Salary payable |
1,200 |
940 |
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Other Accounts
payable |
71,360 |
39,880 |
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Tax payable |
-480 |
-1,580 |
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Other current
liabilities |
0 |
10 |
|
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------------------ |
------------------ |
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Current
liabilities |
75,330 |
73,740 |
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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 |
75,330 |
73,740 |
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Equities |
27,070 |
17,320 |
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------------------ |
------------------ |
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Total
liabilities & equities |
102,400 |
91,060 |
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============= |
============= |
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2008 |
as of Dec. 31,
2009 |
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Turnover |
201,050 |
159,620 |
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Cost of goods
sold |
174,290 |
148,660 |
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Taxes and additional of main
operation |
/ |
210 |
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Sales expense |
4,640 |
4,390 |
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Management expense |
5,170 |
3,940 |
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Finance expense |
2,360 |
100 |
|
Asset impairment loss |
/ |
-650 |
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Investment
income |
/ |
70 |
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Non-operating
income |
/ |
620 |
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Non-operating expense |
/ |
160 |
|
Profit before
tax |
10,290 |
3,510 |
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Less: profit tax |
2,370 |
1,710 |
|
Profits |
7,920 |
1,800 |
Important Ratios
=============
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|
as of Dec. 31,
2008 |
as of Dec. 31,
2009 |
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*Current ratio |
1.30 |
1.09 |
|
*Quick ratio |
1.29 |
1.09 |
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*Liabilities
to assets |
0.74 |
0.81 |
|
*Net profit
margin (%) |
3.94 |
1.13 |
|
*Return on
total assets (%) |
7.73 |
1.98 |
|
*Inventory
/Turnover ×365 |
1 day |
1 day |
|
*Accounts
receivable/Turnover ×365 |
104 days |
104 days |
|
*Turnover/Total
assets |
1.96 |
1.75 |
|
* Cost of goods
sold/Turnover |
0.87 |
0.93 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good in its line,
but it was declining in 2009.
l
SC’s net profit margin is average in both years.
l
SC’s return on total assets is fairly good in 2008
but average in 2009.
l
SC’s cost of goods sold is average in 2008 but
fairly high in 2009, comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level in both years.
l
SC’s quick ratio is maintained in a normal level in
both years.
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC appears large.
l
The short-term loan of SC appears average 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 average in 2008, but fairly
high in 2009.
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 accounts receivable could be a threat to SC’s
financial condition. A credit line up to USD 200,000 would appear to be within
SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.38 |
|
|
1 |
Rs.72.71 |
|
Euro |
1 |
Rs.61.15 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
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 |
|
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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
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 |
|
<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.