MIRA
INFORM REPORT
|
Report Date : |
02.04.2012 |
IDENTIFICATION DETAILS
|
Name : |
YANCHENG
SLONG MACHINERY AND ELECTRIC CO., LTD. |
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Registered Office : |
No. 6, Youyi Road, Dafeng
Industrial Park, Changzhou Hi-Tech Zone,
Dafeng, Yancheng, Jiangsu Province 224100 Pr |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
28.06.2007 |
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Com. Reg. No.: |
320900400010076 |
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Legal Form : |
Chinese-Foreign Equity Joint
Venture Enterprise |
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Line of Business : |
Manufacturing diesel generator, gasoline generator, water
pump, diesel engine, gasoline engine and accessories |
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No. of Employees : |
100 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 120,000 |
|
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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Company name and address
YANCHENG SLONG MACHINERY AND ELECTRIC CO.,
LTD.
NO. 6, YOUYI
ROAD, DAFENG INDUSTRIAL PARK, CHANGZHOU HI-TECH ZONE
DAFENG,
YANCHENG, JIANGSU PROVINCE 224100 PR CHINA
TEL: 86
(0) 515-66661132/89909180/83608886
FAX: 86
(0) 515-66661192/89909080/83608885
EXECUTIVE SUMMARY
Date of Registration : JUNE 28, 2007
REGISTRATION NO. : 320900400010076
LEGAL FORM :
Chinese-foreign equity joint venture enterprise
REGISTERED CAPITAL :
USD 3,000,000
staff : 100
BUSINESS CATEGORY :
manufacturing
Revenue : CNY 65,640,000 (AS OF DEC. 31, 2011)
EQUITIES : CNY 19,410,000 (AS OF DEC. 31,
2011)
WEBSITE : www.slongco.com
E-MAIL : sharonfree@yahoo.cn
PAYMENT : AVERAGE
Recommended Credit Limit: UP TO
USD 120,000
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND :
FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.32 = 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 with State Administration of Industry & Commerce
(SAIC) under registration No.: 320900400010076 on June 28, 2007.
SC’s Organization Code Certificate
No.: 66325561-0
SC’s Tax No.: 320982663255610
SC’s Customs Registration No.:
3209933399
SC’s registered capital: usd 3,000,000
SC’s paid-in capital: usd 3,000,000 (CNY 21,354,862)
Registration Change Record:
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 |
|
Yancheng Fuma Machinery Co.,
Ltd. |
50 |
|
Susinto Sudiarto (Indonesia) |
50 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman, and General Manager |
Yang
Jiandong |
|
Director |
Qian
Zhao |
|
Susinto
Sudiarto |
|
|
Supervisor |
Chen
Zhiyun |
RECENT DEVELOPMENT
No recent development was found during our checks at
present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Yancheng Fuma Machinery Co.,
Ltd.
50
Susinto Sudiarto (Indonesia) 50
MANAGEMENT
Yang Jiandong,
Legal Representative, Chairman and General Manager
---------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
ID# 320926197101130453
Ø
Age: 41
Ø
Qualification: University
Ø
Working experience (s):
At present, working in SC as legal
representative, chairman and general manager
Director
------------
Qian Zhao ID#:
320926196810311279
Susinto Sudiarto Passport#:
P119459
Supervisor
--------------
Chen Zhiyun
ID# 320926197412291027
BUSINESS OPERATION
SC’s registered business scope includes manufacturing diesel
generator, gasoline generator, water pump, diesel engine, gasoline engine and
accessories. (excluding special items)
SC is
mainly engaged in manufacturing and selling mechanical and electrical products.
SC’s
products mainly include Water Pump, Air Compressor Set, Agricultural Machinery,
etc.
SC
sources its materials 100% from domestic market. SC sells 5% of its products in
domestic market, and 95% to overseas market, mainly India, Indonesia, Pakistan,
Nepal, Malaysia, Thailand, Vietnam, Greece, Panama, Myanmar, and Nigeria.
The import & export status of SC in 2010 is as follows,
|
Country |
Amount
of Exports (USD) |
Amount of Imports (USD) |
|
India |
1,810,000 |
-- |
|
Indonesia |
4,710,000 |
-- |
|
Pakistan |
1,140,000 |
-- |
|
Nepal |
90,000 |
-- |
|
Malaysia |
400,000 |
-- |
|
Thailand |
500,000 |
-- |
|
Vietnam |
930,000 |
-- |
|
Greece |
25,000 |
-- |
|
Panama |
33,000 |
-- |
|
Myanmar |
87,000 |
-- |
|
Nigeria |
85,000 |
-- |
|
|
------------------- |
------------------- |
|
Total Amount |
9,810,000 |
|
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.
Staff & Office:
--------------------------
SC is
known to have approx. 100 staff
at present.
SC owns
an area as its operating office & factory of approx. 27,243 sq. meters at
the heading address.
RELATED
COMPANY
SC is known to
have a subsidiary at present,
--------------------------------------------------------
Yancheng Slong International Trading Co., Ltd.
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
Bank
of China Dafeng Sub-branch
AC#:
463758208312
FINANCIALS
Balance Sheet
|
Unit:
CNY’000 |
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
11,698 |
10,840 |
|
|
Notes
receivable |
120 |
420 |
|
Accounts
receivable |
6,297 |
4,630 |
|
Advances
to suppliers |
0 |
0 |
|
Other
receivable |
2,017 |
4,060 |
|
Inventory |
10,173 |
11,210 |
|
Non-current
assets within one year |
0 |
0 |
|
Other
current assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current
assets |
30,305 |
31,160 |
|
Long-term
investment |
500 |
500 |
|
Fixed
assets |
8,730 |
8,310 |
|
Construction
in progress |
0 |
0 |
|
Intangible
assets |
3,671 |
3,710 |
|
Long-term
prepaid expenses |
283 |
0 |
|
Deferred
income tax assets |
0 |
0 |
|
Other
non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
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Total
assets |
43,489 |
43,680 |
|
|
============= |
============= |
|
Short-term
loans |
0 |
0 |
|
Notes
payable |
19,400 |
13,700 |
|
Accounts
payable |
8,839 |
9,900 |
|
Wages
payable |
0 |
0 |
|
Taxes
payable |
-2,908 |
-690 |
|
Advances
from clients |
0 |
0 |
|
Other
payable |
-1,150 |
1,360 |
|
Other
current liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
24,181 |
24,270 |
|
Non-current
liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
24,181 |
24,270 |
|
Equities |
19,308 |
19,410 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
43,489 |
43,680 |
|
|
============= |
============= |
Income Statement
|
Unit:
CNY’000 |
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
Revenue |
69,192 |
65,640 |
|
Cost of sales |
66,931 |
62,550 |
|
Sales expense |
973 |
860 |
|
Management expense |
1,725 |
1,960 |
|
Finance expense |
295 |
320 |
|
Non-business
income |
18 |
90 |
|
Non-business expense |
0 |
0 |
|
Profit
before tax |
-720 |
40 |
|
Less:
profit tax |
0 |
0 |
|
-720 |
40 |
Important
Ratios
=============
|
|
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
*Current
ratio |
1.25 |
1.28 |
|
*Quick
ratio |
0.83 |
0.82 |
|
*Liabilities
to assets |
0.56 |
0.56 |
|
*Net
profit margin (%) |
-1.04 |
0.06 |
|
*Return
on total assets (%) |
-1.66 |
0.09 |
|
*Inventory
/ Revenue ×365 |
54
days |
63 days
|
|
*Accounts
receivable/ Revenue ×365 |
34
days |
26
days |
|
*
Revenue/Total assets |
1.59 |
1.50 |
|
*
Cost of sales / Revenue |
0.97 |
0.95 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears fairly good
in both years.
l
SC’s net profit margin is fair in 2010,
average in 2011.
l
SC’s return on total assets is fair in
2010, average in 2011.
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
normal level.
l
The inventory of SC is maintained in an
average level.
l
The accounts receivable of SC appears
average.
l
SC has no short-term loans in both
years.
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 Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable
financial conditions. A credit line up to USD 120,000 would appear to be within
SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.51.15 |
|
|
1 |
Rs.81.79 |
|
Euro |
1 |
Rs.68.34 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.