MIRA INFORM
REPORT
|
Report Date : |
27.01.2011 |
IDENTIFICATION DETAILS
|
Correct Name : |
SHANGHAI DRAGON CORPORATION |
|
|
|
|
Registered Office : |
Building A, B, C, No. 584, Zhizaoju Road, Shanghai, 200023 Pr China, 584 a,B,C |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
30.06.2010 |
|
|
|
|
Date of Incorporation : |
30.06.1992 |
|
|
|
|
Com. Reg. No.: |
310000000007778 |
|
|
|
|
Legal Form : |
Shares Limited Company |
|
|
|
|
Line of Business : |
Manufacturing and Selling Textiles. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 8000000 |
|
Status : |
Good |
|
Payment
Behaviour : |
No Complaints |
|
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) |
|
|
A2 |
A2 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Company name and address
SHANGHAI DRAGON CORPORATION
BUILDING A, B, C, NO. 584,
TEL: 86 (0) 21-34061116
FAX: 86 (0) 21-54666630
EXECUTIVE SUMMARY
INCORPORATION DATE : JUN. 30, 1992
REGISTRATION NO. : 310000000007778
REGISTERED LEGAL FORM : SHARES LIMITED COMPANY
STAFF STRENGTH :
4,022
REGISTERED CAPITAL : CNY 424,861,600
BUSINESS LINE :
MANUFACTURING
TURNOVER :
cny 1,405,183,000 (Consolidated, JAN. 1 TO Jun. 30, 2010)
EQUITIES :
cny 1,390,866,000 (Consolidated, AS OF Jun. 30, 2010)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : WELL KNOWN
EXCHANGE RATE :
CNY 6.58= USD 1 AS OF
Adopted abbreviations
ANS - amount not stated
NS - not stated
SC - Subject Company (the company inquired by you)
NA - not available
CNY -
Note: SC is also known as Shanghai Dragon (Group)
Corporation.
SC was registered as a shares limited company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license).
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The co has independent
property of legal person and enjoys property rights of legal person. The characteristics of the shares limited co. are as
follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be domiciled
in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co. raises capital by public offer, the promoters
must not subscribe less than 35% of the total shares. the promoters’ shares
are restricted to transfer- within one year of the offer. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered
business scope includes manufacturing and selling textile; industrial
investment in the field admitted by the state; assets operation and management;
domestic trade and retailing (excluding special items); import and export of
goods and technology, excluding items prohibited and limited by the State; processing with imported materials, processing with
imported samples, assemblying with imported parts, and compensation trade in
agreement; counter trade
& transit trade (with permit if needed); textile industrial &
commercial technical advisory service; warehousing & transportation;
logistic service; developing and operating real estate; leasing owner-occupied
housing; property management; four technical service of computer and enterprise
information system.
SC is mainly
engaged in manufacturing and selling textiles.
Mr.
Zhu Yong is the legal representative and chairman of SC at present.
SC is known to have approx. 4,022
employees 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
Shanghai. SC’s management declined to release detailed information of the
premise.
http://www.shanghaidragon.com.cn/ The design is professional and the content
is well organized. At present the web site is in Chinese and English versions.
E-Mail: longtou@shanghaidragon.com.cn
SC is a listed company in Shanghai Stock Exchange Market
with the code of 600630.
SC has passed the ISO9001:2000, WRAP Certificate.
SC’s brands (Happiness, Queen,
Changes of its
registered information are as follows:
|
Date of change |
Item |
Before the
change |
After the change |
|
Unknown |
Registered no. |
3100001000424 |
Present one |
MAIN
SHAREHOLDERS: (As of Jun. 30, 2010)
Name % of
Shareholding
Shangtex (Group) Co., Ltd. 30.08
Shanghai Textile Machinery 1st Factory Co., Ltd. (Literal
translation) 0.65
Shanghai Nanshanghai Commercial Real Estate Co., Ltd. 0.51
Shanghai International Trust Co., Ltd. 0.46
Shanghai Songyuan Hotel Co., Ltd. 0.36
Fang Guoliang 0.29
Shanghai Bailian Group
Zheng Jianhua 0.24
Industrial and Commercial Bank of
-Guangfa Zhongzheng 500 Index Security Investment Fund (LOF)
500 (LOF)
Industrial and Commercial Bank of
-Jiashi Lianghua A’erfa Stock Security Investment Fund
Other shareholders 66.71
Shangtex (Group) Co., Ltd.
====================
Address: No. 989,
Tel: 86-21-62082228
Fax: 86-21-62090544
Email: shangtex@shangtex.biz
Shanghai International Trust Co., Ltd.
============================
Address:
No. 111,
Tel: 021-63231111
E-mail: lijue@sigchina.com
Web: http://www.sitico.com.cn/
Shanghai Bailian Group Co., Ltd.
========================
Address:
Tel: 021-63223344
Fax: 021-63517447
Email: blgf@shanghaibailian.com
Web: http://www.shanghaibailian.com
l
Legal representative and Chairman:
Mr. Zhu Yong , born in 1963, senior engineer, with Master’s degree. He is
currently responsible for the overall management of SC.
Working Experience(s):
At
present Working
in SC as legal representative and chairman;
Also working in Shangtex (Group) Co., Ltd.,
Shanghai Textile Holding (Group) Co., Ltd. as directors.
l
General manager:
Mr. Cheng Ying , born in 1964, senior
engineer, with Master’s degree. He is currently
responsible for the daily management of SC.
Working Experience(s):
At present Working
in SC as general manager;
SC is mainly
engaged in manufacturing and selling textiles.
SC’s products
mainly include: knitting textile, home textile, apparel.
SC owns a series of
brands which is well known in domestic market, such as “Threegun” and “Mum”
knitting underwear, “Conch” shirt and suit, “Minguang” and “Happiness” bedding,
“Bell
SC sources its
materials 80% from domestic market, and 20% from the overseas market. SC sells
50% of its products in domestic market, and 50% to the overseas market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Clients:
============
Metro JinJiang Cash & Carry Co. Ltd.
Shanghai Darunfa Co., Ltd.
*Major Suppliers:
============
Shanghai Jinbei Weaving Co., Ltd.
Shanghai Antong Knit & Textile Co., Ltd.
Shanghai Shen’an Textiles Co., Ltd.
*Subsidiaries:
============
· Shanghai Threegun (Group) Co., Ltd.
· Shanghai Conch Apparel Co., Ltd.
· Shanghai Chrysanthemum Textile Co., Ltd.
· Shanghai Three Gun Industry Co., Ltd.
·
Shanghai Longtou Home
Textile Co., Ltd.
·
Shanghai Three Gun Imp. & Exp. Co., Ltd.
· Shanghai Three Gun Group Guangzhou Sale Co., Ltd.
· Shanghai Three Gun Group Sichuan Sale Co., Ltd.
· Shanghai Fenghuang Blanket Co., Ltd.
· Shanghai Min’guang Import & Export Co., Ltd.
· Shanghai Conch Import & Export Corp., Ltd.
Etc.
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.
Industrial and Commercial Bank of
Hongqiao Development Zone Sub-branch
AC#: 022427-05911103
Relationship:
Consolidated
Balance Sheet
Unit: CNY’000
|
|
As
of Dec. 31, 2009 |
As
of Jun. 30, 2010 |
|
329,244 |
298,197 |
|
|
Notes receivable |
5,690 |
5,000 |
|
Inventory |
733,864 |
712,965 |
|
Accounts receivable |
311,991 |
243,438 |
|
Advances to supplies |
155,049 |
294,302 |
|
Other receivables |
91,607 |
114,297 |
|
Other current assets |
1 |
1 |
|
|
------------------ |
------------------ |
|
Current assets |
1,627,446 |
1,668,200 |
|
Financial assets available for sale |
1,513 |
1,092 |
|
Investment real estate |
45,019 |
43,992 |
|
Fixed assets |
544,564 |
514,565 |
|
Projects under construction |
63,391 |
68,340 |
|
Long-term investments |
143,212 |
147,822 |
|
Intangible assets |
74,493 |
72,608 |
|
Deferred tax assets |
1,580 |
1,554 |
|
Other assets |
0 |
309 |
|
|
------------------ |
------------------ |
|
Total assets |
2,501,218 |
2,518,482 |
|
|
============= |
============= |
|
Short loans |
624,539 |
605,893 |
|
Notes payable |
18,458 |
18,830 |
|
Accounts payable |
251,536 |
219,798 |
|
Advances from customers |
86,950 |
174,292 |
|
Tax payable |
56,388 |
20,262 |
|
Salaries payable |
5,390 |
4,332 |
|
Interests payable |
323 |
251 |
|
Dividend payable |
1,465 |
1,465 |
|
Other Accounts payable |
77,938 |
76,462 |
|
Non-current liabilities due with in one year |
2,000 |
2,000 |
|
Other current liabilities |
0 |
1 |
|
|
----------------- |
----------------- |
|
Current liabilities |
1,124,987 |
1,123,586 |
|
Long-term liabilities |
4,135 |
4,030 |
|
|
------------------ |
------------------ |
|
Total liabilities |
1,129,122 |
1,127,616 |
|
Shareholders equities |
1,372,096 |
1,390,866 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
2,501,218 |
2,518,482 |
|
|
============= |
============= |
Consolidated
Income Statement
Unit: CNY’000
|
|
As
of Dec. 31, 2009 |
Jan. 1 to Jun.
30, 2010 |
|
Turnover |
2,972,225 |
1,405,183 |
|
Cost of goods
sold |
2,429,652 |
1,111,550 |
|
Sales expense |
324,518 |
167,890 |
|
Management expense |
222,964 |
109,519 |
|
Finance expense |
51,649 |
13,423 |
|
Investment
income |
199,308 |
7,111 |
|
Total
profits before tax |
62,636 |
30,147 |
|
Less: profit tax |
20,193 |
11,061 |
|
Net profit |
42,443 |
19,086 |
Important Ratios
=============
|
|
As
of Dec. 31, 2009 |
As
of Jun. 30, 2010 |
|
*Current ratio |
1.45 |
1.48 |
|
*Quick ratio |
0.79 |
0.85 |
|
*Liabilities
to assets |
0.45 |
0.45 |
|
*Net profit
margin (%) |
1.43 |
1.36 |
|
*Return on
total assets (%) |
1.70 |
0.76 |
|
*Inventory
/Turnover ×365/180 |
90 days |
91 days |
|
*Accounts
receivable/Turnover ×365/180 |
38 days |
31 days |
|
*Turnover/Total
assets |
1.19 |
0.56 |
|
* Cost of
goods sold/Turnover |
0.82 |
0.79 |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears good in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of goods sold is average, 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 appears fairly large.
l
The accounts receivable of SC appears average.
l
The short-term loan of SC appears average.
l
SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly good.
SC is well-known in its industry with fairly good financial conditions.
The large amount of inventory could be a threat to SC’s financial condition. In view of its operational size, market conditions and
background, credit dealings with SC in favorable terms can be
considered.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.53 |
|
|
1 |
Rs.72.79 |
|
Euro |
1 |
Rs.62.14 |
RATING EXPLANATIONS
|
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 |
|
---- |
NB |
New Company |
---- |
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.