MIRA INFORM REPORT

 

 

Report Date :           

22.06.2011

 

IDENTIFICATION DETAILS

 

Name :

CATHAY INDUSTRIES AUSTRALASIA PTY LTD

 

 

Registered Office :

1/103 Vanessa Street, Kingsgrove, New South Wales 2208 Australia

 

 

Country :

Australia

 

 

Financials (as on) :

31.12.2009

 

 

Date of Incorporation :

05.01.1998

 

 

Legal Form :

Proprietary Company

 

 

Line of Business :

manufacturer of synthetic iron oxides for the colour industry

 

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

 

Status :

Satisfactory

 

 

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 – March 31st, 2011

 

Country Name

Previous Rating

                   (31.12.2010)                  

Current Rating

(31.03.2011)

Australia

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

REGISTERED NAME      

 

CATHAY INDUSTRIES AUSTRALASIA PTY LTD

ACN: 081 186 174

ABN: 23 081 186 174

 

 

CORPORATE SEARCH

 

Incorporation Date:                     05 Jan 1998

 

Incorporation State:                    Victoria

           

Registered Office                       1/103 VANESSA Street

                                                KINGSGROVE, New South Wales 2208 Australia

 

Charges                                    Date Registered: 20 Mar 2000

Chargee Name: 005 357 522 AUSTRALIA AND NEW

Charge Type: Fixed and floating charge

ASIC Charge No: 740790

 

Number of Shares Issued:           100

 

Paid Capital:                              100

 

Shareholders                             CATHAY PIGMENTS (INTERNATIONAL) LIM

                                                Number of Shares: 100

 

Directors                                   YU, KWAN PING

Appointment Date: 01 Jul 2008

Date of Birth: 26 Dec 1953

Gender: Unknown

Address:

Resident Overseas: Yes

 

SPACKMAN, STEVEN LEO

Appointment Date: 01 Jul 2008

Date of Birth: 19 Jun 1964

Gender: Male

Address: 30 NORMA Avenue EASTWOOD, New South Wales 2122 Australia

Resident Overseas: No

 

YU, KWAN YAU

Appointment Date: 27 Apr 2006

Date of Birth: 07 Aug 1952

Gender: Unknown

Address:

Resident Overseas: Yes

 

MCGOLDRICK, JOHN FRANCIS

Appointment Date: 29 Jun 2005

Date of Birth: 10 Jun 1935

Gender: Male

Address: 1/103 VANESSA Street KINGSGROVE, New South Wales 2208 Australia

Resident Overseas: No

 

Secretary                                  DANNY SUCCAR

                                                Appointment Date: 01 Jul 2008

 

Proprietor of Business                HCA COLOURS AUSTRALIA

Registered State: New South Wales

Business Registration Number: BN98128509

Australian Business Number:

Appointment Date: 17 Jun 2005

 

 

BUSINESS STRUCTURE

 

TRADING ADDRESS                 103 Vanessa St

                                                KINGSGROVE, NSW 2208

 

TELEPHONE                             (612) 9150 6666

 

FACSIMILE                                       (612) 9150 6677

 

BRANCHES                                  DANDENONG SOUTH, VIC

                                                         LOGANHOLME, QLD

 

HOLDING ENTITY              CATHAY PIGMENTS INTERNATIONAL LTD

 

ULTIMATE HOLDING

ENTITY                               CATHAY PIGMENTS (HONG KONG) LTD

 

BANK                                       ANZ BANKING GROUP 

                                               

EMPLOYEES                            37

 

           

BACKGROUND

 

The subject was incorporated in Victoria on 5 January 1998 to commence operations under the current style as a new venture.

 

           


OPERATIONS

 

The subject operates in the manufacture of synthetic iron oxides for the colour industry

 

The Group was originally formed from an amalgamation of four international Iron Oxides companies and has since grown through acquisitions and new members joining the group.

 

The group also manufactures Organic Pigments and Dyestuffs by joint ventures, toll manufacturing and technological agreements with producers spread out in the Shanghai, Zhejiang, Jiansu, Hebei and Shenyang provinces, with state-of-the-art plants for the manufacturing of Food Dyes and Pigment Dispersions in Jia Ding (Shanghai province) and Shekou (Shenzhen).

 

Activities are conducted from premises located at the above listed trading address.

 

 

ADVERSE

                                               

A search of failed to trace any litigation listed against the subject at that date.

 

 

FINANCES

 

During the current interview conducted with the subject’s financial controller he confirmed the subjects search and operational details before requesting that any queries pertaining to the subject be conducted in writing. An email was subsequently sent to zhixu@cathayindustries.com.au. A reply is yet to be received.

 

From the subject’s most recently lodged financial statements, it is noted that for the financial year ended 31 December 2009 the subject recorded revenue of $27,267,468, which resulted in an operating profit before tax of $212,389 and an operating profit after tax of $161,836 representing a Net Profit Margin of 0.59%.

 

Below is a summary of the subject’s income results for the past two financial years.

 

 

Cathay Industries Australasia Pty Ltd

 

As at 31 December 2009

As at 31 December 2008

Change (%)

Revenue

$27,267,468

$21,227,636

28.45%

Profit b/tax

$212,389

$1,604

13141.21%

Profit a/tax

$161,836

($1,780)

-9191.91%

Net Profit Margin

0.59%

-0.01%

0.60%

 

During fiscal 2009, the subject recorded a deficiency in Net Cashflows from operating activities totalling $64,564.

 

As at 31 December 2009 the subject recorded total current assets of $9,856,985. They included cash of $402,910, receivables of $4,820,886 and inventories of $4,490,691.

 

Current liabilities at the same date totalled $7,097,197 and included payables of $4,717,205 and borrowings of $2,178,833.

 

As at 31 December 2009 the subject recorded Working Capital of $2,759,788 and a current ratio of 1.39 to 1 indicating satisfactory liquidity levels.

 

Net Assets totalled $3,688,316 as at 31 December 2009. At this date, the subject further recorded a debt to equity ratio of 1.95 to 1.

 

 

Cathay Industries Australasia Pty Ltd

 

As at 31 December 2009

As at 31 December 2008

Change (%)

Revenue

$27,267,468

$21,227,636

28.45%

Profit b/tax

$212,389

$1,604

13141.21%

Profit a/tax

$161,836

($1,780)

-9191.91%

Net Profit Margin

0.59%

-0.01%

0.60%

Current Assets

$9,856,985

$10,560,464

-6.66%

Non-Current Assets

$1,005,258

$1,291,656

-22.17%

Total Assets

$10,862,243

$11,852,120

-8.35%

Current Liabilities

$7,097,197

$8,138,878

-12.80%

Non-Current Liabilities

$76,730

$2,046,523

-96.25%

Total Liabilities

$7,173,927

$10,185,401

-29.57%

Net Assets

$3,688,316

$1,666,719

121.29%

Working Capital

$2,759,788

$2,421,586

13.97%

Current Ratio

1.39

1.3

7.04%

Debt to Equity

1.95

6.11

-68.17%

 

 

The group is one of the world’s leading manufacturers in the Colour Industry, being ranked as 3rd largest manufacturer of synthetic Iron Oxides

 

 

TRADE SURVEY

 

During the current investigation, details pertaining to the    subject’s suppliers were not provided.

 

A trade survey on the subject was subsequently unable to be conducted.

 

 

SUMMARY

 

The subject was incorporated in Victoria on 5 January 1998 to commence operations under the current style as a new venture.

           

For the financial year ended 31 December 2009 the subject recorded revenue of $27,267,468, which resulted in an operating profit before tax of $212,389 and an operating profit after tax of $161,836 representing a Net Profit Margin of 0.59%.

 

During fiscal 2009, the subject recorded a deficiency in Net Cashflows from operating activities totalling $64,564.

 

As at 31 December 2009 the subject recorded Working Capital of $2,759,788 and a current ratio of 1.39 to 1 indicating satisfactory liquidity levels.

 

Net Assets totalled $3,688,316 as at 31 December 2009.

                                   

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.44.91

UK Pound

1

Rs.72.90

Euro

1

Rs.64.48

 

 

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 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%)

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.