MIRA
INFORM REPORT
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Report Date : |
27.04.2012 |
IDENTIFICATION DETAILS
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Name : |
TIANJIN YADONG LONGXIN INTERNATIONAL LIMITED |
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Registered Office : |
3/F, Block B,
Haojing International, No. 582, Hongqi South Road, Nankai
District, Tianjin 300100 |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
18.08.2010 |
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Com. Reg. No.: |
120116000001775 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
International Trade |
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No. of Employees : |
40 |
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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Status : |
Small Company |
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Payment Behaviour : |
Regular |
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Litigation : |
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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
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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 and Address
TIANJIN YADONG LONGXIN INTERNATIONAL LIMITED
3/F, BLOCK B,
HAOJING INTERNATIONAL, NO. 582, HONGQI SOUTH ROAD,
NANKAI DISTRICT,
TIANJIN, 300100 PR CHINA
TEL: 86 (0)
22-58283272 FAX: 86 (0) 22-58283272
EXECUTIVE SUMMARY
INCORPORATION DATE : AUG. 18, 2010
REGISTRATION NO. : 120116000001775
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH : 40
REGISTERED CAPITAL : CNY 5,000,000
BUSINESS LINE : INTERNATIONAL TRADE
TURNOVER : CNY 361,000,000
(AS OF DEC. 31, 2011)
EQUITIES : CNY 2,580,000
(AS OF DEC. 31, 2011)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE :
UP TO
USD 10,000 (PERIODICAL REVIEW)
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION :
FAIR
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.29 = 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
Note: The given address “18/F Daan Building No.
41 Youyi Road Hexi District Tianjin” was SC’s former address and the current
address should be the heading one; the given numbers 022-28378217/28377693
don’t exist.
SC was registered as a limited liabilities
company at local Administration for Industry & Commerce (AIC - The official
body of issuing and renewing business license) on Aug. 18, 2010.
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 international trade; importing and exporting various
goods and technology; wholesaling and retailing lubricating oil, pitch, paper
products, hardware, building materials, dyeing: Direct Black 19, amanil fast
scarlet 4bs, C.I. Direct yellow 11, Acid Orange II, dye(stuff) intermediate,
etc.
SC is mainly
engaged in international trade.
Mr. Zhao Baozhong has been legal representative, chairman and general manager
of SC since 2010.
SC is
known to have approx. 40 employees at present.
SC is currently operating at the
above stated address, and this address houses its operating office in the
commercial zone of Tianjin. Our checks reveal that SC rents the total premise about
100 square meters.
SC is not known to
host website of its own at present.
Changes
of its registered information are as follows:
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Date
of change |
Item |
Before
the change |
After
the change |
|
2011 |
Registered
capital |
CNY 2,000,000 |
Present amount |
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Shareholdings |
Inner
Mongolia Xinya Chemical Industry Ltd. 2.5% Tianjin
Yadong Investment Co., Ltd. 97.5% |
Present ones |
MAIN SHAREHOLDERS:
Name % of Shareholding
Inner Mongolia Xinya Chemical Industry Ltd. 1
Tianjin Yadong Investment Co., Ltd. 99
Registered no.: 120109000036629
Legal representative: Zhao Baozhong
Registered capital: CNY 10,000,000
l
Legal representative, Chairman and General manager:
Mr. Zhao Baozhong in his
Working Experience(s):
From 2010 to present Working in SC as chairman, legal
representative and general manager.
Also
working in Tianjin Yadong Investment Co., Ltd., Tianjin Yadong Chemical Co.,
Ltd. as chairman.
SC is mainly engaged
in international trade.
SC’s products
mainly include basacid and dyestuff intermediate.
SC sources its materials 100% from domestic
market, mainly Tianjin. SC sells 100% of its products to overseas market,
mainly Europe and 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 main clients and suppliers.
Tianjin Yadong Chemical Co., Ltd.
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.
SC’s management
declined to release its bank information.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
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Cash & bank |
1,700 |
2,620 |
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Inventory |
9,570 |
26,900 |
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Accounts
receivable |
16,960 |
48,510 |
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Advances to
suppliers |
0 |
0 |
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Other
receivables |
330 |
2,390 |
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Other current
assets |
300 |
2,370 |
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------------------ |
------------------ |
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Current assets |
28,860 |
82,790 |
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Fixed assets net
value |
270 |
590 |
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Projects under
construction |
0 |
0 |
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Intangible and
other assets |
730 |
10 |
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------------------ |
------------------ |
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Total assets |
29,860 |
83,390 |
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=========== |
=========== |
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Short loan |
0 |
0 |
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Accounts payable |
28,410 |
80,360 |
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Advances from
clients |
0 |
0 |
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Taxes payable |
-470 |
320 |
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Other Accounts
payable |
200 |
130 |
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Other current
liabilities |
120 |
0 |
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------------------ |
------------------ |
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Current
liabilities |
28,260 |
80,810 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
28,260 |
80,810 |
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Equities |
1,600 |
2,580 |
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------------------ |
------------------ |
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Total
liabilities & equities |
29,860 |
83,390 |
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Income Statement
Unit: CNY’000
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As
of Dec. 31, 2011 |
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Turnover |
361,000 |
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Cost of goods sold |
352,870 |
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Sales expense |
3,520 |
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Management expense |
5,990 |
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Finance expense |
530 |
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Profit before tax |
-2,030 |
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Less: profit tax |
0 |
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Profits |
-2,030 |
Important Ratios
=============
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As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
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*Current ratio |
1.02 |
1.02 |
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*Quick ratio |
0.68 |
0.69 |
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*Liabilities
to assets |
0.95 |
0.97 |
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*Net profit
margin (%) |
/ |
-0.56 |
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*Return on
total assets (%) |
/ |
-2.43 |
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*Inventory
/Turnover ×365 |
/ |
28 days |
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*Accounts
receivable/Turnover ×365 |
/ |
50 days |
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*Turnover/Total
assets |
/ |
4.33 |
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* Cost of
goods sold/Turnover |
/ |
0.98 |
PROFITABILITY:
FAIR
l
The turnover of SC appears fairly good in 2011.
l
SC’s net profit margin is fair in 2011.
l
SC’s return on total assets is fair in 2011.
l
SC’s cost of goods sold is high, comparing with its
turnover in 2011.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a fair level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears fairly large.
l
SC has no short-term loan in both years.
l
SC’s turnover is in a fairly good level, comparing
with the size of its total assets in 2011.
LEVERAGE: FAIR
l
The debt ratio of SC is high.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fair.
Credit amount: USD 2,500,000
SC is considered small-sized in its line with fair financial conditions.
The large amount of accounts receivable could be a threat to SC’s financial
condition. The given credit amount would appear to be beyond SC’s capacities,
while a credit line up to USD 10,000 would appear to be within SC’s capacities
upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
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US Dollar |
1 |
Rs.52.57 |
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1 |
Rs.85.03 |
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Euro |
1 |
Rs.69.56 |
INFORMATION DETAILS
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Report Prepared
by : |
NIT |
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.