MIRA INFORM REPORT
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Report Date : |
13.05.2011 |
IDENTIFICATION DETAILS
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Name : |
NINGXIA QIYUAN PHARMACEUTICAL CO., LTD |
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Registered Office : |
No.1 Qiyuan Street, Wangyuan Industrial Area, Yinchuan,
Ningxia Hui Autonomous Region, 750002 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
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Com. Reg. No.: |
640000000000414 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
manufacturing and selling
troche, capsule, granule, and bulk drug |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
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 2,500,000 |
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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 – December 31, 2010
|
Country Name |
Previous Rating (30.09.2010) |
Current Rating (31.12.2010) |
|
China |
a2 |
a2 |
|
Risk Category |
ECGC
Classification |
|
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
ningxia qiyuan pharmaceutical co., ltd.
no.1 qiyuan street,
wangyuan industrial area, yinchuan,
Ningxia Hui
Autonomous Region, 750002 PR CHINa
TEL: 86 (0)
951-4066592/4066938/4066000 FAX: 86
(0) 951-4066968
EXECUTIVE SUMMARY
INCORPORATION DATE : january 21, 2001
REGISTRATION NO. : 640000000000414
REGISTERED LEGAL
FORM : Limited liabilities company
STAFF STRENGTH :
1,950
REGISTERED CAPITAL : CNY 292,910,000
BUSINESS LINE :
manufacturing
TURNOVER :
CNY 1,258,380,000 (UNAUDITED, AS
OF DEC. 31, 2010)
EQUITIES :
CNY 925,880,000 (UNAUDITED, AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO usd 2,500,000 (periodical review)
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : Fairly Stable
OPERATIONAL TREND : steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.53 = 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 Renminbi
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 January 21, 2001.
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 manufacturing and selling chemical raw materials, chemical
raw materials intermediate (Erythromycin Thiocyanate), chemical medicine
preparation; Chinese medicine development, production, marketing, the export
business of technology; processing and selling medlar, Qizhenxibao capsule,
Qizhensenbao capsule, Qiyuan Qisheng capsule, Fuyanning plug; manufacturing and
selling pesticides (Avermectin TC), feed, feed additives, food additives,
fertilizer; corn acquisition, processing and its subsidiary product processing;
engaging in import business of its own products, the necessary raw and
auxiliary materials, machinery and equipment, instruments, spare parts and
related technology; processing with imported materials, processing with
imported samples, assembling with imported parts, and compensation trade in agreement; processing system box, barrel, gland;
packaging and decorating printed matters; heating.
SC is mainly
engaged in manufacturing and selling troche, capsule, granule, and bulk drug.
Mr. Hu Jidong has been chairman of SC since 2001.
SC is known to
have approx. 1,950 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 Yinchuan. Our checks
reveal that SC owns the total premise about 170,000 square meters.
http://www.china-qiyuan.com
The design is professional and the content is well organized. At present the
web site is in both Chinese and English versions.
E-mail: ie@china-qiyuan.com
SC has got the United States FDA certification and Europe COS
certification.
Honor:
National Enterprise Technology Center
National key high-tech enterprises
Total View of the 100 key export enterprises
Changes
of its registered information:
|
Date of change |
Item |
Before the
change |
After the change |
|
2008-8 |
Registration No. |
6400001200229 |
Present one |
|
Registered capital |
CNY 129,700,000 |
Present amount |
|
|
Shareholders |
State-owned Assets Supervision and
Administration Commission of Ningxia Hui
Autonomous Region Government 3.14%; Employee
Shareholders Association 96.86% |
Present ones |
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Ningxia Funing Investment Group Co., Ltd.
(In Chinese Pinyin) 1.39
Employee Shareholders Association 98.61
Ningxia Funing Investment Group Co., Ltd.
================================
Tel: 0951-7888870
Fax: 0951-6719806
Address:
l
Chairman and General Manager:
Mr. Hu Jidong , about 59 years old with university
education. He is currently responsible for the overall management of SC.
Working Experience(s):
Before 2001 Worked in Ningxia Pharmaceutical Factory as factory director.
From 2001 to present Working
in SC as chairman and general manager.
Vice General Manager:
Ms. Ju Lihong, about 44 years old with university education. She is
currently responsible for the daily management of SC.
Working Experience(s):
From 2001 to present
Working in SC as vice general
manager, and also working in Ningxia Qiyuan Guoyao Co., Ltd. as general
manager.
SC is mainly
engaged in manufacturing and selling troche, capsule, granule, and bulk drug.
SC’s products mainly
include: tetracycline hydrochloride, tetracycline, carbenoxolone sodium,
18-β-glycyrrhetinic acid, erythromycin thiocyanate, tetracycline
hydrochloride capsules, marine.
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Tetracycline
Hydrochloride |
Tetracycline |
Carbenoxolone Sodium |
18-β-glycyrrhetinic
Acid |
Erythromycin Thiocyanate |
|
Annual output:
4000ton standard of
quality: conforms to bp2001usp25ep4. packing: |
Annual output:
3000ton standard of
quality:conforms to edition 1989 of ministry of public health
pr.chinabp2000usp24. packing: |
Annual output: standard of
quality:conforms to bp98cp95 Packing: |
Annual output: it can be
produced according to customer's need Packing: |
Annual output:
2000ton standard of
quality: enterprise's intermediate standard/cpv2000 packing: |
SC sources its materials 100% from domestic market,
mainly Ningxia. SC sells 70% of its products in domestic market, and 30% to
overseas market, mainly Southeast Asian market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customer:
==============
Ningxia Qiyuan Guoyao Co., Ltd.
Note: SC’s management declined to release its main suppliers.
SC
is known to have 2 subsidiaries at present:
Ningxia Qiyuan Guoyao Co., Ltd.
Ningxia Qiyuan Dayaofang Pharmaceutical Co., Ltd. (In translation)
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 records 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 China Yinchuan Branch
AC# 2902009209021003861
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
|
|
as
of Dec. 31, 2010 |
|
Cash & bank |
121,580 |
|
Inventory |
266,840 |
|
Accounts
receivable |
95,840 |
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Advances to
suppliers |
44,650 |
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Other Accounts
receivable |
99,360 |
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Other current
assets |
64,930 |
|
|
------------------ |
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Current assets |
693,200 |
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Fixed assets net
value |
1,584,740 |
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Projects under
construction |
54,400 |
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Other assets |
27,480 |
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------------------ |
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Total assets |
2,359,820 |
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============= |
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Short loans |
551,800 |
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Accounts payable |
158,000 |
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Advances from
clients |
65,880 |
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Taxes payable |
1,540 |
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Other Accounts
payable |
54,710 |
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Other current
liabilities |
151,460 |
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|
------------------ |
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Current
liabilities |
983,390 |
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Long term
liabilities |
450,550 |
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|
------------------ |
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Total
liabilities |
1,433,940 |
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Equities |
925,880 |
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|
------------------ |
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Total
liabilities & equities |
2,359,820 |
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|
============= |
Income Statement
Unit: CNY’000
|
|
as of Dec. 31, 2010 |
|
Turnover |
1,258,380 |
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Cost of goods
sold |
1,005,300 |
|
Sales expense |
58,770 |
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Management expense |
125,850 |
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Finance expense |
26,850 |
|
Profit before
tax |
38,740 |
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Less: profit tax |
12,090 |
|
Profits |
26,650 |
Note: The above
financial records for Yr2010 have not been audited.
Important Ratios
=============
|
|
as
of Dec. 31, 2010 |
|
*Current ratio |
0.70 |
|
*Quick ratio |
0.43 |
|
*Liabilities
to assets |
0.61 |
|
*Net profit
margin (%) |
2.12 |
|
*Return on total
assets (%) |
1.13 |
|
*Inventory
/Turnover ×365 |
77 days |
|
*Accounts
receivable/Turnover ×365 |
28 days |
|
*Turnover/Total
assets |
0.53 |
|
* Cost of
goods sold/Turnover |
0.80 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears good in 2010.
l
SC’s net profit margin is average in 2010.
l
SC’s return on total assets is average in 2010.
l
SC’s cost of goods sold is average 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 poor level in
2010.
l
The inventory of SC is maintained in a fairly large
level in 2010.
l
The accounts receivable of SC appears average in
2010.
l
The short-term loan of SC appears large in 2010.
l
SC’s turnover is in a fair level in 2010, comparing
with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average in 2010.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Stable.
Over the past 10 years, SC has made a stable growth with fairly stable
financial conditions. The large amount of short-term loan could be a threat to
SC’s financial condition. A credit line up to USD 2,500,000 would appear to be within SC’s capacities upon a
periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.79 |
|
UK Pound |
1 |
Rs.73.19 |
|
Euro |
1 |
Rs.63.59 |
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 |
|
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NB |
New Business |
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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.