MIRA
INFORM REPORT
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Report Date : |
12.07.2011 |
IDENTIFICATION DETAILS
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Name : |
CHINA ELECTRONICS ZHUHAI CO., LTD. |
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Registered Office : |
6f, Ceice Building, No. 1082 Jiuzhou Avenue Central, Jida, Zhuhai
City, Guangdong Province, 591000 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
02.06.1987 |
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Com. Reg. No.: |
440400000039395 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in selling household appliances |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 200,000 |
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Status : |
Satisfactory |
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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 – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
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
CHINA
ELECTRONICS ZHUHAI CO., LTD.
6F, CEICE BUILDING, NO. 1082 JIUZHOU AVENUE
CENTRAL, JIDA, ZHUHAI CITY, GUANGDONG PROVINCE, 591000 PR CHINA
TEL: 86 (0) 756-3266839 FAX: 86 (0) 756-3368833
EXECUTIVE SUMMARY
INCORPORATION DATE :
JUNE 2, 1987
REGISTRATION NO. :
440400000039395
REGISTERED LEGAL FORM : LIMITED LIABILITIES CO.
STAFF STRENGTH : 49
REGISTERED CAPITAL : CNY 25,900,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 589,860,000 (AS OF DEC. 31, 2010)
EQUITIES :
CNY 33,230,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO
USD 200,000 (PERIODICAL REVIEW)
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.4681=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 Ren Min Bi
SC was registered as a limited liabilities co. at local Administration for Industry &
Commerce (AIC-The official body of issuing and renewing business license).
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 self-support and agency 16 kinds of export goods except the national
organization of the united operation and goods and technology import and export
business except the countries are subject to verification business 14 kinds of
imported goods (according to the moftec [97] no. 1980 of moftec); in
compensation trade, transit trade, barter trade, counter trade business and the
lease item under the import and export, the foreign trade exhibition; storage
and transportation, packaging business, service and consignment sales and
technical consultation and technology services, and information service related
to the main business; self-owned property rental and management.
SC
is mainly engaged in selling household appliances.
Mr.
Zhang Huihui has been legal representative
of SC at present.
SC is known
to have approx. 49 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Zhuhai. Our checks reveal that SC
owns the total premise, but SC’s accountant refused to release the gross area
of the premise.
http://www.ceiec-zhuhai.com/ The design is professional
and the content is well organized. At present it is in Chinese and English
versions.
Email: zhceiec@ceiec-zhuhai.com
No significant changes were found during our checks with the local
Administration for Industry and Commerce
Honors:
======
SC’s services and products have been recognized with various
certifications, including “Recommend
export brand” issued by the China Chamber of Commerce for Import &
Export of Machinery & Electronic Products, “Honest example enterprise of Guangdong province”, “Foreign trade credit enterprise” and
ISO 9001: 2000.
MAIN SHAREHOLDERS:
Name
% of
shareholdings
China Electronics Shenzhen Co., Ltd.
72.46
Li Jinghe 7
Zhang Huihui 5
Wang Jianhua 5
Zhou Hong 5
Other 4 shareholders 5.54
l
Chairman:
Mr. Li
Jinghe , about 50 years old, he is currently responsible for the overall
management of SC
Working Experience(s):
At present
Working in SC as chairman
l
General Manager & Legal Representative:
Mr. Zhang Huihui , about 55 years old, he is
currently responsible for the daily management of SC
Working Experience(s):
At present
Working in SC as general manager & legal representative
SC
is mainly engaged in selling household appliances.
SC’s products
mainly include: air cooler, heater, electric fan, TV, mini component, etc.
SC sources its materials 90% from domestic
market, and 10% from overseas market. SC sells 10% of its products in domestic
market, and 90% to overseas market, mainly Europe 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, T/T, L/C and Credit of 30-60 days.
SC
is said to have subsidiaries, but the details are not available.
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.
Bank of China
Zhuhai Branch
AC#:
801105863508091001
Relationship:
Normal
Balance Sheet
Unit: CNY’000
|
|
As of Dec. 31,
2010 |
|
Cash & bank |
10,230 |
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Short-term
investments |
0 |
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Inventory |
0 |
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Accounts
receivable |
91,960 |
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Advances to
suppliers |
17,360 |
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Other accounts
receivable |
71,520 |
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Other current
assets |
3,010 |
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|
------------------ |
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Current assets |
194,080 |
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Fixed assets net
value |
5,640 |
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Project under
construction |
0 |
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Long term
investment |
10,650 |
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Intangible and
other assets |
1,340 |
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Real estate investment |
49,340 |
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------------------ |
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Total assets |
|
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============= |
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Short loans |
50,300 |
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Notes payable |
1,650 |
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Accounts payable |
94,650 |
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Advances from
clients |
21,170 |
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Welfare payable |
0 |
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Accrued payroll |
4,450 |
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Taxes payable |
540 |
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Surcharge payable |
0 |
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Other accounts
payable |
55,060 |
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Other current
liabilities |
0 |
|
|
------------------ |
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Current
liabilities |
227,820 |
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Long-term
liabilities |
0 |
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|
------------------ |
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Total
liabilities |
227,820 |
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Equities |
33,230 |
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|
------------------ |
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Total
liabilities & equities |
261,050 |
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|
============= |
Income Statement
Unit: CNY’000
|
|
As of Dec. 31,
2010 |
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Turnover |
589,860 |
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Cost of goods sold |
579,090 |
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Taxes and additional of main operations |
970 |
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Sales expense |
1,840 |
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Management expense |
6,170 |
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Finance expense |
5,400 |
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Income from
other operations |
5,070 |
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Investment
income |
4,690 |
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Non-operating
income |
1,510 |
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Non-operating expense |
0 |
|
Asset impairment loss |
960 |
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Profit before
tax |
6,700 |
|
700 |
|
|
Profits |
6,000 |
Important
Ratios
=============
|
|
As
of Dec. 31, 2010 |
|
*Current ratio |
0.85 |
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*Quick ratio |
0.85 |
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*Liabilities
to assets |
0.87 |
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*Net profit margin
(%) |
1.02 |
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*Return on
total assets (%) |
2.30 |
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*Inventory
/Turnover ×365 |
/ |
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*Accounts
receivable/Turnover ×365 |
57 days |
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*Turnover/Total
assets |
2.26 |
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* Cost of
goods sold/Turnover |
0.98 |
PROFITABILITY: AVERAGE
l
The turnover of SC appears fairly good in 2010.
l
SC’s net profit margin appears average in 2010.
l
SC’s return on total assets appears average in
2010.
l
SC’s cost of goods sold is high in 2010, comparing
with its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level in 2010.
l
SC’s quick ratio is maintained in a normal level in
2010.
l
SC has no inventory in 2010.
l
The accounts receivable of SC appears fairly large
in 2010.
l
SC’s short-term loan appears large in 2010.
l
SC’s turnover is in an average level in 2010,
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 medium-sized in its line with fairly stable financial
conditions. The large amount of short-term loan & accounts receivable could
be a threat to SC’s financial condition. A credit line up to USD 200,000
appears to be within SC’s capacities upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.37 |
|
|
1 |
Rs.70.84 |
|
Euro |
1 |
Rs.62.96 |
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 |
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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 |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
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.