MIRA
INFORM REPORT
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Report Date : |
07.04.2012 |
IDENTIFICATION DETAILS
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Name : |
JIANGSU LANGSHAN WIRE ROPE CO.,
LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
12.05.1990 |
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Com. Reg. No.: |
320600000158732 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Manufacturing and selling wire rope, stranded steel wires, and steel
wire |
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No. of Employees : |
927 |
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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Maximum Credit Limit : |
usd 1,500,000 |
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Status : |
Good |
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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 |
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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 and address
JIANGSU LANGSHAN WIRE ROPE CO., LTD.
NO.
888 TIANSHENG ROAD, NANTONG,
JIANGSU PROVINCE, 226003 PR CHINA
TEL: 86 (0) 513-85513095/81061210 FAX:
86 (0) 513-85513345
EXECUTIVE SUMMARY
INCORPORATION DATE : JUN. 12, 1990
REGISTRATION NO. : 320600000158732
REGISTERED LEGAL FORM : SHARES LIMITED COMPANY
STAFF STRENGTH :
927
REGISTERED CAPITAL : CNY 65,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 904,950,000 (AS OF DEC. 31, 2010)
EQUITIES :
CNY 233,900,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : up to usd 1,500,000 (periodical review)
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : steady
GENERAL REPUTATION : WELL KNOWN
EXCHANGE RATE :
CNY 6.31 = USD1
Adopted abbreviations
ANS - amount not
stated
NS - not stated
SC - subject
company (the company inquired by you)
NA - not available
CNY - China Yuan Ren Min Bi
SC was registered as a shares limited company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license).
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The co has independent
property of legal person and enjoys property rights of legal person. The characteristics of the shares limited co. are as
follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be domiciled
in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co.
raises capital by public offer, the promoters must not subscribe less than
35% of the total shares. the promoters’ shares are restricted to transfer-
within one year of the offer. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered business scope includes manufacturing and selling wire
rope, steel wires, wire and other metal products; exporting its products,
equipment and technology; importing materials, machinery, parts and technology;
operating foreign joint ventures, cooperative production, processing with imported materials, processing with
imported samples, assembling with imported parts, and compensation trade in
agreement.
SC is mainly
engaged in manufacturing and selling wire rope, stranded steel wires, and steel
wire.
Mr. Gu Qilin has
been the legal representative and chairman of SC since 1990.
SC is known
to have approx. 927 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 Nantong. Our checks
reveal that SC owns the total premise about 130,000 square meters.
http://www.nantongwirerope.com/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
E-Mail: ntgssc@public.nt.js.cn
SC’s predecessor is Nantong Steel Wire Rope (Group) Co., Ltd.
Honors:
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jiangsu New & Hi-tech Venture Capital
Co., Ltd. 4.36
Nantong Qunli Investment Co., Ltd. 20.39
Nantong Industries Holding Group Co., Ltd. 21.29
Cui Zhiqiang 1.44
Gu Linyu 1.61
Gu Qilin 27.14
Liang Liyue 1.61
Lu Yuming 3.06
Shen Guangzhang 1.44
Shen Qing 1.44
Song Fengzhou 1.53
Wang Shijun 1.44
Yin Jianxin 2.19
Yu Guowei 5.23
Zhao Zhengguo 1.44
Zhu Meifen 4.39
Nantong Industries Holding Group Co., Ltd.:
================================
Add: No. 1 Yonghe Road, Gangzha District,
Nantong, Jiangsu Province
Tel: 86 513-85517519
Fax: 86 513-85516205
E-mail: gmgs@ntgmgs.cn
Web: http://www.jsntih.cn
l
Legal representative, Chairman and General Manager:
Mr. Gu Qilin, born in 1963. He is currently responsible for the overall management
of SC.
Working Experience(s):
From 1990 to present Working
in SC as legal representative, chairman and general manager
Directors:
…………
Shi Lin
Lu Qiangxin
He Bing
Yu Guowei
Zhu Meifen
Supervisors:
……………
Lu Yuming
Wang Dexiang
SC is mainly
engaged in manufacturing and selling wire rope, stranded steel wires, and steel
wire.
SC’s products
mainly include: Steel Wire Rope (Ungalvanized and Galvanized), Steel Series, Prestressed
Concrete Strand Series, and Wire Rope Sling Series.
SC’s products are
widely used in metallurgy, mining, oil, post and telecommunications, lift &
crane machinery, transportation, coal, forestry, ocean fishery, electricity,
etc.
SC sources its
materials 100% from domestic market. SC sells 70% of its products in domestic
market, and 30% to the overseas market, mainly American and European countries.
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.
*Major Customer:
=============
Changqing Oil-Field
*Major Supplier:
============
Jiangsu Shagang Group Co., Ltd.
SC
is known to have 5 branches at present:
Jiangsu
Langshan Wire Rope Co., Ltd. Shenyang Branch
Jiangsu
Langshan Wire Rope Co., Ltd. Nanhai Branch
Jiangsu
Langshan Wire Rope Co., Ltd. Chongqing Branch
Jiangsu
Langshan Wire Rope Co., Ltd. Xinjiang Branch
Jiangsu
Langshan Wire Rope Co., Ltd. Xuzhou Branch
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’s suppliers
declined to make any comments.
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 Nantong Branch
AC#：1111821209000043509
Relationship:
Normal.
Balance Sheet
|
Unit: CNY’000 |
as
of Dec. 31, 2009 |
as
of Dec. 31, 2010 |
|
Cash & bank |
33,240 |
/ |
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Inventory |
110,830 |
/ |
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Accounts
receivable |
79,450 |
/ |
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Other Accounts receivable |
13,440 |
/ |
|
To be
apportioned expense |
0 |
/ |
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Other current
assets |
31,590 |
/ |
|
|
------------------ |
------------------ |
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Current assets |
268,550 |
/ |
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Fixed assets net
value |
261,460 |
/ |
|
Projects under
construction |
0 |
/ |
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Long term
investment |
0 |
/ |
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Other assets |
56,250 |
/ |
|
|
------------------ |
------------------ |
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Total assets |
586,260 |
639,070 |
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|
============= |
============= |
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Short loans |
229,680 |
/ |
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Accounts payable |
-100 |
/ |
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Other Accounts
payable |
22,800 |
/ |
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Withdraw the
expenses in advance |
0 |
/ |
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Other current
liabilities |
16,700 |
/ |
|
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------------------ |
------------------ |
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Current
liabilities |
269,080 |
/ |
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Long term
liabilities |
87,310 |
/ |
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Other
liabilities |
17,830 |
/ |
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------------------ |
------------------ |
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Total
liabilities |
374,220 |
405,170 |
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Equities |
212,040 |
233,900 |
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------------------ |
------------------ |
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Total
liabilities & equities |
586,260 |
639,070 |
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|
============= |
============= |
Income Statement
|
Unit: CNY’000 |
as of Dec. 31,
2009 |
as of Dec. 31,
2010 |
|
Turnover |
654,710 |
904,950 |
|
Cost of goods
sold |
579,180 |
/ |
|
Sales expense |
8,830 |
/ |
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Management expense |
28,360 |
/ |
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Finance expense |
20,080 |
/ |
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Other income |
26,460 |
/ |
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Profit before
tax |
44,720 |
45,640 |
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Less: profit tax |
3,790 |
4,980 |
|
Profits |
40,930 |
40,660 |
Note: we did not find SC’s detailed
financial reports for Yr2010.
Important
Ratios
=============
|
|
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
*Current ratio |
1.00 |
/ |
|
*Quick ratio |
0.59 |
/ |
|
*Liabilities
to assets |
0.64 |
0.63 |
|
*Net profit
margin (%) |
6.25 |
4.49 |
|
*Return on
total assets (%) |
6.98 |
6.36 |
|
*Inventory
/Turnover ×365 |
62 days |
/ |
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*Accounts
receivable/Turnover ×365 |
44 days |
/ |
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*Turnover/Total
assets |
1.12 |
1.42 |
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* Cost of
goods sold/Turnover |
0.88 |
/ |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears fairly good, and it
increased in 2010.
l
SC’s net profit margin is fairly good in both
years.
l
SC’s return on total assets is fairly good in both
years.
l
SC’s cost of goods sold is average in 2009,
comparing with its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a normal
level in 2009.
l
SC’s quick ratio is maintained in a fair level in
2009.
l
The accounts receivable of SC is average in 2009.
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The inventory of SC is fairly large in 2009.
l
The short loan of SC appears large in 2009.
l
SC’s turnover is in an average level in both years,
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 low.
Overall financial condition
of the SC: Fairly Stable.
SC is well-known in its industry with fairly stable financial
conditions. A credit line up to USD 1,500,000 would appear to be within SC’s
capacities upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.51.04 |
|
|
1 |
Rs.81.08 |
|
Euro |
1 |
Rs.67.39 |
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.