MIRA INFORM REPORT
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Report Date : |
22.10.2011 |
IDENTIFICATION DETAILS
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Correct Name : |
HEBEI YISHENG PIPING CO., LTD. |
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Registered Office : |
Room 718, Block A, Yihe International, The Liberation West Road,
Cangzhou, Hebei Province, 061001 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
01.09.2009 |
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Com. Reg. No.: |
130930000004877 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing
and Selling Pipe and Pipe Fittings |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 20,000 |
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Status : |
Small Company |
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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 – September 30th, 2011
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Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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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
hebei yisheng piping Co., Ltd.
ROOM 718, BLOCK A,
YIHE INTERNATIONAL, THE LIBERATION WEST ROAD, CANGZHOU, HEBEI PROVINCE, 061001
PR CHINA
TEL: 86 (0)
317-2126444/6819107 FAX: 86 (0)
317-2127444
EXECUTIVE SUMMARY
INCORPORATION DATE : SEP. 1, 2009
REGISTRATION NO. : 130930000004877
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
20
REGISTERED CAPITAL : CNY 3,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 5,037,000 (AS OF DEC. 31,
2010)
EQUITIES :
CNY 3,051,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 20,000
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRLY stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.38 = 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 Liability Company at local
Administration for industry & commerce (AIC - the official body of issuing
and renewing business license) on Sep. 1, 2009.
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, processing and selling elbow, tee,
flange, end capped, pipe fittings hangers, pipe, steel pipe, machinery and
equipment; exporting self-made products and technology and importing
self-needed machinery and equipment spare parts, raw materials and technology.
(with permit if needed)
SC is mainly
engaged in manufacturing and selling pipe and pipe fittings.
Mr. Zhang Guosong has been the legal representative and chairman of SC since
2009.
SC is known to
have approx. 20 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in commercial zone of Cangzhou. The detailed information of
the area is unspecified.
SC’s
factory is located in Zhangguandian Industrial Zone, Mengcun Hui Autonomous
County, Cangzhou, Hebei Province. The gross area of SC’s factory is about 400 square meters.
http://www.hbysgj.com/
The
design is professional and the content is well organized. At present it is in
Chinese and English versions.
E-mail: ysgj@hbysgj.com ; ivan@marvelsupport.com
SC started its normal business in 2010.
No significant changes were found during our checks with local AIC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Zhang Jinquan
ID # 132931194112072416 33.33
Zhang Guosong
ID # 132931197008172410 66.67
l
Legal representative and Chairman:
Mr. Zhang Guosong, ID # 132931197008172410, born
in 1970. He is currently responsible for the overall management of SC.
Working Experience(s):
From 2009 to present Working
in SC as legal representative and chairman
Supervisor:
…………..
Zhang Jinquan
ID # 132931194112072416
SC started its normal business in 2010.
SC is mainly
engaged in manufacturing and selling pipe and pipe fittings.
SC’s products
mainly include caps, reducer, flange, pipe, elbow,
variable spring hangers, disc spring constant hangers,
packing plan, etc.
SC sources its materials 100% from domestic
market. SC sells 80% of its products in domestic market, and 20% to overseas
market, mainly Southeast Asia.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Note:
SC’s management declined to release its major clients and suppliers.
SC is
not known to have any subsidiary at present.
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.
The bank information
is not found in local AIC.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
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Cash & bank |
2,498 |
2,491 |
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Inventory |
0 |
433 |
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Accounts
receivable |
0 |
0 |
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Advances to
suppliers |
0 |
255 |
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Other
receivables |
0 |
133 |
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Other current
assets |
0 |
0 |
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------------------ |
------------------ |
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Current assets |
2,498 |
3,312 |
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Fixed assets net
value |
500 |
466 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Intangible
assets |
0 |
0 |
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Other assets |
0 |
0 |
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------------------ |
------------------ |
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Total assets |
2,998 |
3,778 |
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============= |
============= |
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Short loans |
0 |
0 |
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Accounts payable |
0 |
221 |
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Advances from
clients |
0 |
446 |
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Salaries and
welfare payable |
0 |
51 |
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Other payable |
0 |
52 |
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Taxes payable |
0 |
-43 |
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Other current
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Current
liabilities |
0 |
727 |
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Long term liabilities |
0 |
0 |
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------------------ |
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Total
liabilities |
0 |
727 |
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Equities |
2,998 |
3,051 |
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Total
liabilities & equities |
2,998 |
3,778 |
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Income Statement
Unit: CNY’000
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As of Dec. 31,
2009 |
As of Dec. 31,
2010 |
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Turnover |
0 |
5,037 |
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Cost of goods
sold |
0 |
4,587 |
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Taxes
and additional of main operation |
0 |
6 |
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Sales expense |
0 |
232 |
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Management expense |
-2 |
91 |
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Finance expense |
0 |
5 |
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Profit before
tax |
-2 |
116 |
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Less: profit tax |
0 |
63 |
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Profits |
-2 |
53 |
Important Ratios
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as
of Dec. 31, 2009 |
as
of Dec. 31, 2010 |
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*Current ratio |
/ |
4.56 |
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*Quick ratio |
/ |
3.96 |
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*Liabilities
to assets |
/ |
0.19 |
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*Net profit
margin (%) |
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1.05 |
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*Return on
total assets (%) |
-0.07 |
1.40 |
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*Inventory
/Turnover ×365 |
/ |
31 days |
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*Accounts
receivable/Turnover ×365 |
/ |
/ |
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*Turnover/Total
assets |
/ |
1.33 |
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* Cost of
goods sold/Turnover |
/ |
0.91 |
PROFITABILITY:
AVERAGE
l
The turnover 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 fair in 2009 and
average in 2010.
l
SC’s cost of goods sold is fairly high in 2010,
comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a fairly
good level in 2010.
l
SC’s quick ratio is maintained in a fairly good
level in 2010.
l
The inventory of SC appears average in 2010.
l
There is no accounts receivable of SC in both 2
years.
l
There is no short-term loan of SC in both 2 years.
l
SC’s turnover is in an average level in 2010,
comparing with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is average.
Overall financial condition of the SC:
Fairly Stable.
SC is considered small-sized in its line with fairly stable
financial conditions. A credit line up to USD 20,000
would appear to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.50.07 |
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UK Pound |
1 |
Rs.79.16 |
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Euro |
1 |
Rs.69.04 |
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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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 |
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<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.