MIRA
INFORM REPORT
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Report Date : |
01.10.2011 |
IDENTIFICATION DETAILS
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Name : |
HUANGGANG CITY HUAYAO ZHONGZHOU KILN CO., LTD. |
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Registered Office : |
No. 169 Baota Avenue, Huanggang, Hubei Province 438000 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
04.02.1999 |
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Com. Reg. No.: |
421100000011853 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Furnace engineering contractor; installing and commissioning mechanical and electrical equipment, instrumentation, electrical; manufacturing, installing and selling metal structures and components; real estate development, selling building materials, ceramic products; general cargo. |
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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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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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 |
|
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 and address
HUANGGANG CITY HUAYAO ZHONGZHOU KILN CO., LTD.
NO. 169 BAOTA AVENUE, HUANGGANG, HUBEI PROVINCE 438000 PR CHINA
TEL: 86 (0) 713-8691738/13907257558
FAX: 86 (0) 713-8690758
EXECUTIVE SUMMARY
Date of Registration : february 4, 1999
REGISTRATION NO. : 421100000011853
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny 26,680,000
staff :
230
BUSINESS CATEGORY : manufacturing
& trading & service
Revenue :
CNY 35,420,000 (AS OF DEC. 31, 2010)
EQUITIES :
CNY 39,510,000 (AS OF DEC. 31, 2010)
WEBSITE : www.zhongzhoukiln.com
E-MAIL :
zhongzhoukiln@zhongzhoukiln.com
PAYMENT :
AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.39 = 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
***Note: SC’s complete name should be the heading
one, instead of the given one-Zhongzhou Kiln Co., Ltd.
SC was established
as a limited liabilities company of PRC with State Administration of Industry
& Commerce (SAIC) under registration No.: 421100000011853 on February 4, 1999.
SC’s Organization Code Certificate No.:
18032072-1
SC’s registered capital: cny 26,680,000
SC’s paid-in capital: cny 26,680,000
No significant changes of SC have been noted
in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Yu Yangchun |
31.88 |
|
Fu Li |
19.49 |
|
Xia Shuzheng |
13.33 |
|
Other 6 individuals |
35.30 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Yu Yangchun |
|
Deputy General Manager |
Yu Bin |
RECENT DEVELOPMENT
SC has passed ISO 9001: 2008 Quality management system certification, ISO
4001: 2004 Environmental management system certification, and OHSAS 18001: 2001
Occupation health safety management system certification.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Yu Yangchun 31.88
Fu Li 19.49
Xia Shuzheng 13.33
Other 6 individuals 35.30
MANAGEMENT
Yu Yangchun Legal Representative, Chairman and General
Manager
------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 57
Ø
Mobile Phone No.: 86 (0) 13907257558
Ø
Qualification:
University
Ø
Working
experience (s):
At
present, working in SC as legal representative, chairman and general manager
Also
working in Huanggang Zhongzhou Anda Thermal Equipment Co., Ltd. as legal
representative and chairman
Yu Bin Deputy
General Manager
-----------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At
present, working in SC as deputy general manager
BUSINESS OPERATION
SC’s registered business scope includes furnace
engineering contractor; installing and commissioning mechanical and electrical
equipment, instrumentation, electrical; manufacturing, installing and selling
metal structures and components; real estate development, selling building
materials, ceramic products; general cargo.
SC is mainly
engaged in manufacturing, selling and installing industrial furnace.
Brand: ZHONGZHOU
SC’s products
mainly include:
Metallurgical
industry furnace
Chemical
industrial furnace
Ceramic
Industrial Furnace
Refractory
Carbon
furnace
SC sources its materials 100% from domestic
market. SC sells 70% of its products in domestic market, and 30% to overseas
market, mainly USA, India, Malaysia, Indonesia, Russia, Thailand, etc.
The buying terms
of SC include 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 Customers:
==============
Shandong Haixinda Petroleum Machinery Co. Ltd.
Jiangsu Xingda Steel Tyre Cord Co., Ltd.
Wuxi Dexin Steel Tube Co., Ltd.
Changzhou Huaxin Metal Industrials Co., Ltd.
Zhejiang Wanfeng
Motorcycle Wheel Co., Ltd.
Staff & Office:
--------------------------
SC is known
to have approx. 230 staff at
present.
SC owns an area as
its operating office & factory of approx. 80,000 sq. meters at the heading
address.
RELATED COMPANY
n
Huanggang Zhongzhou Anda Thermal Equipment Co., Ltd.
---------------------------------------------------------------------------
Date of Registration: September 19, 2005
Registration No.: 421100000011861
Legal Form: Limited Liabilities
Company
Registered Capital: CNY 11,800,000
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:
China
Construction Bank Huanggang Branch Qi’an Sub-branch
AC#：N/A
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
8,910 |
9,530 |
|
|
Accounts
receivable |
3,000 |
1,350 |
|
Other receivable |
17,480 |
23,690 |
|
Inventory |
16,500 |
4,410 |
|
Non-current
assets within one year |
0 |
0 |
|
Other current
assets |
7,330 |
7,440 |
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|
------------------ |
------------------ |
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Current assets |
53,220 |
46,420 |
|
Fixed assets |
3,180 |
3,730 |
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Construction in
progress |
0 |
0 |
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Long-term
prepaid expenses |
0 |
0 |
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Deferred income
tax assets |
0 |
0 |
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Other
non-current assets |
5,050 |
9,830 |
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------------------ |
------------------ |
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Total assets |
61,450 |
59,980 |
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============= |
============= |
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Short-term loans |
0 |
0 |
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Accounts payable |
1,390 |
1,160 |
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Wages payable |
0 |
0 |
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Advances from
clients |
25,680 |
14,250 |
|
Other payable |
1,010 |
800 |
|
Other current
liabilities |
2,320 |
2,940 |
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|
------------------ |
------------------ |
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Current
liabilities |
30,400 |
19,150 |
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Non-current
liabilities |
2,110 |
1,320 |
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|
------------------ |
------------------ |
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Total
liabilities |
32,510 |
20,470 |
|
Equities |
28,940 |
39,510 |
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|
------------------ |
------------------ |
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Total
liabilities & equities |
61,450 |
59,980 |
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============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
|
Revenue |
35,420 |
|
Cost of sales |
26,690 |
|
Sales expense |
1,530 |
|
Management expense |
4,450 |
|
Finance expense |
-10 |
|
Profit before
tax |
1,600 |
|
Less: profit tax |
180 |
|
1,420 |
Important Ratios
=============
|
|
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
*Current ratio |
1.75 |
2.42 |
|
*Quick ratio |
1.21 |
2.19 |
|
*Liabilities
to assets |
0.53 |
0.34 |
|
*Net profit
margin (%) |
-- |
4.01 |
|
*Return on
total assets (%) |
-- |
2.37 |
|
*Inventory /
Revenue ×365 |
-- |
46 days |
|
*Accounts
receivable/ Revenue ×365 |
-- |
14 days |
|
*
Revenue/Total assets |
-- |
0.59 |
|
* Cost of
sales / Revenue |
-- |
0.75 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears average in its line 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, comparing with
its revenue.
LIQUIDITY: FAIRLY
GOOD
l
The current ratio of SC is maintained in a fairly
good level in both years.
l
SC’s quick ratio is maintained in a fairly good
level in both years.
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 has no short-term loans in both years.
l
SC’s revenue is in a fair level, comparing with the
size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average in both years.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Stable.
CONCLUSIONS
SC is considered medium-sized in its line with stable financial
conditions. Taking into consideration of SC’s general performance, reputation
as well as market conditions, a credit line up to USD 300,000 would appear to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.48.92 |
|
|
1 |
Rs.76.52 |
|
Euro |
1 |
Rs.66.64 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.