MIRA
INFORM REPORT
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Report Date : |
11.04.2012 |
IDENTIFICATION DETAILS
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Name : |
HENGYANG HAILIAN SALT SOLUTION CHEMISTRY CO., LTD. |
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Registered Office : |
Yueping Shanzhuang, |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
11.06.2003 |
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Com. Reg. No.: |
430400000046494 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing and selling chemical products |
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No. of Employees : |
120 |
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 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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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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 and address
HENGYANG HAILIAN SALT SOLUTION CHEMISTRY CO., LTD.
YUEPING SHANZHUANG, YUEPING PARK, NO. 103 XIANFENG ROAD
HENGYANG, HUNAN PROVINCE 421001 PR CHINA
TEL: 86 (0) 734-8821482/8222662
FAX: 86 (0) 734-8226323
EXECUTIVE SUMMARY
Date of Registration : june 11, 2003
REGISTRATION NO. : 430400000046494
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny 2,800,000
staff :
120
BUSINESS CATEGORY : manufacturing
Revenue :
CNY 143,100,000 (AS OF DEC. 31, 2011)
EQUITIES :
CNY 47,620,000 (AS OF DEC. 31, 2011)
WEBSITE : www.hlylhg.com
E-MAIL :
hailiansales@gmail.com
PAYMENT : AVERAGE
Recommended Credit Limit: UP TO USD 500,000
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRly good
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.31 = 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 limited liabilities company of PRC with State Administration of Industry
& Commerce (SAIC) under registration No.: 430400000046494 on June 11, 2003.
SC’s Organization Code Certificate No.:
75060860-5
SC’s registered capital: cny 2,800,000
SC’s paid-in capital: cny 2,800,000
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 |
|
Zhou Xiaoping |
71.43 |
|
Zhou You |
28.57 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Zhou Xiaoping |
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Supervisor |
Zhou You |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Zhou Xiaoping 71.43
Zhou You 28.57
MANAGEMENT
Zhou Xiaoping , Legal
Representative, Chairman and General Manager
--------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At
present, working in SC as legal representative, chairman and general manager
Zhou You ,
Supervisor
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Ø
Gender: M
Ø
Qualification:
University
BUSINESS OPERATION
SC’s registered business scope includes rock salt mining;
manufacturing and selling brine salt; manufacturing and selling sodium
bicarbonate food additives, industrial baking soda, industrial agricultural
ammonium chloride, industrial soda ash, calcium chloride, silica, rawhide,
preservatives, deicing salt, auxiliaries, fertilizer, plastic bags.
SC is mainly
engaged in manufacturing and selling chemical products.
SC’s products mainly include: sodium
bicarbonate, ammonium chloride.
SC sources its materials 100% from domestic
market, mainly Hunan. SC sells 40% of its products in domestic market, and 60%
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.
Staff & Office:
--------------------------
SC is known
to have approx. 120 staff at
present.
SC rents an area
as its operating office and factory, but the detailed information is unknown.
RELATED COMPANY
SC
is not known to have any subsidiary at present.
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 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.
BANKING
Basic Bank:
Hengyang
City Commercial Bank
AC#: N/A
FINANCIALS
Balance Sheet
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Unit: CNY’000 |
As
of Dec. 31, 2011 |
|
21,530 |
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Accounts
receivable |
3,520 |
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Advances to
suppliers |
0 |
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Other receivable |
9,950 |
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Inventory |
17,010 |
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Non-current
assets within one year |
0 |
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Other current assets |
5,450 |
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------------------ |
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Current assets |
57,460 |
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Fixed assets |
14,160 |
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Construction in
progress |
0 |
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Long-term
prepaid expenses |
0 |
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Deferred income
tax assets |
0 |
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Other
non-current assets |
1,450 |
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------------------ |
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Total assets |
73,070 |
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============= |
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Short-term loans |
0 |
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Notes payable |
0 |
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Accounts payable |
1,050 |
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Wages payable |
0 |
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Advances from
clients |
21,470 |
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Other payable |
6,360 |
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Other current
liabilities |
-3,430 |
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------------------ |
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Current
liabilities |
25,450 |
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Non-current
liabilities |
0 |
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------------------ |
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Total
liabilities |
25,450 |
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Equities |
47,620 |
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------------------ |
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Total
liabilities & equities |
73,070 |
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============= |
Income Statement
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Unit: CNY’000 |
As of Dec. 31,
2011 |
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Revenue |
143,100 |
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Cost of sales |
98,200 |
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Sales expense |
13,880 |
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Management expense |
11,900 |
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Finance expense |
-850 |
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Profit before
tax |
23,230 |
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Less: profit tax |
0 |
|
23,230 |
Important Ratios
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As
of Dec. 31, 2011 |
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*Current ratio |
2.26 |
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*Quick ratio |
1.59 |
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*Liabilities
to assets |
0.35 |
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*Net profit
margin (%) |
16.23 |
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*Return on
total assets (%) |
31.79 |
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*Inventory /
Revenue ×365 |
44 days |
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*Accounts
receivable/ Revenue ×365 |
9 days |
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*
Revenue/Total assets |
1.96 |
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* Cost of
sales / Revenue |
0.69 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
l
The revenue of SC appears fairly good in its line.
l
SC’s net profit margin is fairly good.
l
SC’s return on total assets is fairly good.
l
SC’s cost of sales is average, comparing with its
revenue.
LIQUIDITY: FAIRLY
GOOD
l
The current ratio of SC is maintained in a fairly
good level.
l
SC’s quick ratio is maintained in a fairly good
level.
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 2011.
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 Good.
CONCLUSIONS
SC is considered medium-sized in its line with fairly good financial
conditions. A credit line up to USD
500,000 would appear to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.51.20 |
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|
1 |
Rs.81.50 |
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Euro |
1 |
Rs.67.15 |
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.