%20CO%20,%20LTD%20%20-%20148232%2015-Jul-2011_files/image002.jpg){kind=small}
MIRA INFORM REPORT
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Report Date : |
15.07.2011 |
IDENTIFICATION DETAILS
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Name : |
DECO (FOSHAN) CO., LTD. |
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Registered Office : |
No. 3 Pingdixi, Guangfo Road, Yanbu Town, Nanhai District Foshan, Guangdong Province, 528247
Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
17.03.2005 |
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Com. Reg. No.: |
440682400000343 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
manufacturing and Selling Furniture and
associated accessories |
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 600,000 |
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Status : |
Saisfactory |
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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 |
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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
DECO (FOSHAN) CO., LTD.
NO. 3 PINGDIXI, GUANGFO ROAD, YANBU TOWN, NANHAI DISTRICT
FOSHAN, GUANGDONG PROVINCE, 528247 PR CHINA
TEL: 86 (0) 757-85770588
FAX: 86 (0) 757-85781810
EXECUTIVE SUMMARY
Date
of Registration : MARCH 17, 2005
REGISTRATION
NO. : 440682400000343
LEGAL
FORM : WHOLLY
FOREIGN-OWNED enterprise
REGISTERED CAPITAL : USD 3,000,000
staff :
400
BUSINESS CATEGORY : MANUFACTURING AND TRADING
Revenue :
CNY 218,750,000 (AS
OF DEC. 31, 2010)
EQUITIES :
CNY 45,170,000 (AS OF DEC. 31, 2010)
WEBSITE : N/A
E-MAIL : N/A
PAYMENT :
AVERAGE
Recommended Credit Limit: UP TO USD 600,000
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY GOOD
OPERATIONAL TREND :
STEADY
GENERAL
REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.46 = USD 1
Adopted abbreviations
(as follows)
SC - Subject Company (the company inquired by you)
N/A – Not available
CNY – China Yuan Ren Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at
indicating the relative positions of SC in respect of its operational trend
& general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not
known Not
yet be determined
Not yet
be determined
LEGAL STATUS & HISTORY
SC was established as a Chinese-foreign equity joint venture enterprise
of PRC on March 17, 2005. However, SC changed to present legal form, and was
registered as a wholly foreign-owned enterprise of PRC with State Administration of Industry & Commerce (SAIC)
under registration No.: 440682400000343 on July 3, 2008.
SC’s Organization Code Certificate No.: 771880085
%20CO%20,%20LTD%20%20-%20148232%2015-Jul-2011_files/image004.jpg)
SC’s registered capital: USD
3,000,000
SC’s paid-in capital: USD
3,000,000
Registration
Change Record:
|
Date |
Change of Contents |
Before the change |
After the change |
|
|
Registered Capital |
USD 2,000,000 |
USD 3,000,000 |
|
Shareholder (s) (%
of Shareholding) |
Deco International Limited (UK) 70% Guangdong Landbond Furniture Group Co., Ltd. 30% |
Deco International Limited (UK) 90% Guangdong Landbond Furniture Group Co., Ltd. 10% |
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Registration No. |
001804 |
440682400000343 |
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Company Name |
Landbond Deco (Foshan) Co., Ltd. |
Deco (Foshan) Co., Ltd. |
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Legal Form |
Chinese-foreign equity joint venture enterprise |
Wholly foreign-owned enterprise |
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|
Shareholder (s) (%
of Shareholding) |
Deco International Limited (UK) 90% Guangdong Landbond Furniture Group Co., Ltd. 10% |
Deco International Limited (UK) 100% |
Current
Co search indicates SC’s shareholders & chief executives are as follows:-
|
Name
of Shareholder (s) |
%
of Shareholding |
|
Deco International Limited (UK) |
100 |
SC’s
Chief Executives:-
Legal
Representative, Chairman and General Manager: Li Xiaoxi
Deputy General
Manager: Huang Xueqing
Sun Zhijiao
Supervisor: Zhou
Shanlin
RECENT DEVELOPMENT
No recent
development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Deco International Limited (UK) 100
MANAGEMENT
Li Xiaoxi, Legal
Representative, Chairman and General Manager
------------------------------------------------------------------------------------------------
Ø
Gender: F
Ø
Nationality: Singapore
Ø
Age: 43
Ø
Passport No.: S68797961
Ø
Qualification:
University
Ø
Working
experience (s):
From 2005 to present, working in SC as legal representative,
chairman and general manager
Huang Xueqing, Deputy General Manager
-------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 34
Ø
ID# 43020219770209401X
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as deputy general manager
Sun Zhijiao, Deputy General Manager
-------------------------------------------------------------
Ø
Gender: F
Ø
Age: 37
Ø
ID# 231004197406010323
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as deputy general manager.
Zhou Shanlin, Supervisor
----------------------------------------------
Ø
Gender: M
Ø
Age: 59
Ø
Qualification:
University
BUSINESS OPERATION
SC’s registered
business scope includes designing, manufacturing and selling furniture and
associated accessories, selling its owned products in domestic
market and overseas market.
SC is mainly engaged in manufacturing and
selling furniture and associated accessories.
SC’s products mainly include: sofa, revolving chairs.
SC sources its materials 90% from domestic market, and 10%
from overseas market. SC sells
1000% of its products to overseas market, mainly UK,
France, Netherlands, Japan, etc.
The buying terms of SC include
Check, T/T, L/C and Credit of 30-60 days. The payment terms of SC include L/C
and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is known to
have approx. 400 staff at
present.
SC rents an area as its operating
office, but the detailed information is unknown. SC’s factory located in
Shishan Industrial Park, Nanhai District, Foshan, Guangdong
RELATED COMPANY
SC is not known to have any subsidiary at present.
PAYMENT
Overall payment
appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
Basic Bank:
² China Construction Bank Foshan Branch
AC# 44014203600220500274
² Guangdong Development Bank
AC#N/A
FINANCIALS
Balance
Sheet
|
Unit: CNY’000 |
As of Dec. 31, 2010 |
|
23,620 |
|
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Accounts receivable |
26,280 |
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Advances to suppliers |
0 |
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Other receivable |
1,590 |
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Inventory |
13,490 |
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Non-current assets within one
year |
0 |
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Other current assets |
24,790 |
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|
------------------ |
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Current assets |
89,770 |
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Fixed assets |
2,390 |
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Construction in progress |
0 |
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Intangible assets |
0 |
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Long-term prepaid expenses |
0 |
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Deferred income tax assets |
0 |
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Other non-current assets |
10 |
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------------------ |
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Total assets |
92,170 |
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|
============= |
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Short-term loans |
8,500 |
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Notes payable |
0 |
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Accounts payable |
32,020 |
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Wages payable |
0 |
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Advances from clients |
0 |
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Other payable |
20 |
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Other current liabilities |
6,460 |
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------------------ |
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Current liabilities |
47,000 |
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Non-current liabilities |
0 |
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------------------ |
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Total liabilities |
47,000 |
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Equities |
45,170 |
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------------------ |
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Total liabilities & equities |
92,170 |
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============= |
Income
Statement
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Unit: CNY’000 |
As of Dec. 31, 2010 |
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Revenue |
218,750 |
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Cost of sales |
198,830 |
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Sales expense |
12,360 |
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Management expense |
170 |
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Finance expense |
2,070 |
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Profit before tax |
4,260 |
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Less: profit tax |
510 |
|
3,750 |
Important Ratios
=============
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|
As of Dec. 31, 2010 |
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*Current ratio |
1.91 |
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*Quick ratio |
1.62 |
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*Liabilities to assets |
0.51 |
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*Net profit margin (%) |
1.71 |
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*Return on total assets (%) |
4.07 |
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*Inventory / Revenue ×365 |
23 days |
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*Accounts receivable/ Revenue ×365 |
44 days |
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* Revenue/Total assets |
2.37 |
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* Cost of sales / Revenue |
0.91 |
FINANCIAL COMMENTS
PROFITABILITY: AVERAGE
l
The revenue of SC appears fairly good in its line.
l
SC’s net
profit margin is average.
l
SC’s return
on total assets is fairly good.
l
SC’s
cost of goods sold is fairly high, comparing with its
revenue.
LIQUIDITY: AVERAGE
l
The
current ratio of SC is maintained in a normal level.
l
SC’s
quick ratio is maintained in a fairly good level.
l
The
inventory of SC is maintained in an average level.
l
The
accounts receivable of SC is maintained in an average level.
l
SC’s
short-term loan is in an average level.
l
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
l
The debt
ratio of SC is average.
l
The risk
for SC to go bankrupt is average.
Overall financial condition of the SC: Fairly
Good.
CONCLUSIONS
SC is considered
medium-sized in its line with fairly good financial
conditions. Taking into consideration of SC’s general performance,
reputation as well as market conditions, a credit line up to USD 600,000 would appear to be within SC’s
capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.53 |
|
UK Pound |
1 |
Rs.71.80 |
|
Euro |
1 |
Rs.63.15 |
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 |
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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 |
|
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 |
|
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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.