MIRA
INFORM REPORT
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Report Date : |
09.08.2012 |
IDENTIFICATION DETAILS
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Name : |
Wuhu Fuchun Dye and Weave Co., Ltd |
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Registered Office : |
Qiaobei Industrial Zone, Daqiao Town,
Wuhu, Anhui Province 241008 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
15.06.2002 |
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Com. Reg. No.: |
340208000007832 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in dyeing, processing, and selling wire, yarn and
thread |
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No. of Employees : |
800 |
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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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) |
|
China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
|
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
Wuhu Fuchun Dye and Weave Co., Ltd.
qiaobei
industrial zone, daqiao town
wuhu,
anhui province 241008 PR CHINA
TEL: 86
(0) 553-5316999
FAX: 86
(0) 553-5316555
EXECUTIVE SUMMARY
Date of Registration : JULY 15, 2002
REGISTRATION NO. : 340208000007832
LEGAL FORM :
Limited liabilities company
REGISTERED CAPITAL :
CNY 26,000,000
staff : 800
BUSINESS CATEGORY :
DYEING & PROCESSING
& trading
Revenue : CNY 585,711,000 (AS OF DEC. 31, 2011)
EQUITIES : CNY 196,786,000 (AS OF DEC. 31, 2011)
WEBSITE : www.wuhufuchun.com
E-MAIL : weiwhfc@yahoo.com.cn
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION :
fairLY GOOD
OPERATIONAL TREND : fairLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.38 = USD
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.: 340208000007832 on
July 15, 2002.
SC’s Organization Code Certificate
No.: 74087049-0
SC’s registered capital: CNY 26,000,000
SC’s paid-in capital: CNY 26,000,000
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 |
|
He Peifu and other individuals |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman, and General Manager |
He Peifu 何培富 |
RECENT DEVELOPMENT
No recent development was found during our checks at
present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
He Peifu and other individuals
100
MANAGEMENT
He
Peifu, Legal Representative, Chairman, and General Manager
------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 56
Ø
Qualification: University
Ø
Working experience (s):
At present, working in SC as legal
representative, chairman, and general manager
BUSINESS OPERATION
SC’s
registered business scope includes processing wire, yarn, thread dyeing and
finishing, manufacturing woven cotton cloth, woven cotton blended fabrics,
garment, and socks; wholesaling and retailing textiles, knitting goods, wires
& cables, metal products for line construction; importing and exporting
commodities and technology; and purchasing agricultural & sideline products
accessories.
SC is
mainly engaged in dyeing, processing, and selling wire, yarn and thread.
SC’s
products mainly include:
Carded Yarn
Combed Yarn
Semi-combed
Bamboo Yarn
Soy Yarn
A/C Yarn
T/C Yarn
Polyester Yarn
C/R Yarn
SC sources its merchandises 100% from domestic market. SC
sells 60% of its merchandises in domestic market and 40% to overseas market.
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. 800 staff
at present.
SC
owns an area as its operating office and factory, but the detailed information
is unknown.
RELATED COMPANY
Subsidiaries,
-----------------
Wuhu Changyu Cotton Co., Ltd.
SC’s investment amount: CNY 2,400,000
Wuhu Fuchun Wire Manufacturing Co., Ltd.
SC’s investment amount: 510,000
Related Companies,
--------------------------
Hangzhou
Fuchun Dye and Weave Co., Ltd.
Fuyang
Fushi Silk 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’s
supplier refused 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.
BANKING
The
bank information of SC is not filed in local SAIC.
FINANCIALS
Balance Sheet
|
Unit:
CNY’000 |
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
51,132 |
71,591 |
|
|
Notes receivable |
13,214 |
61,203 |
|
Accounts
receivable |
53,684 |
75,986 |
|
Advances
to suppliers |
2,804 |
2,610 |
|
Other
receivable |
27,404 |
6,275 |
|
Inventory |
27,474 |
11,986 |
|
Non-current
assets within one year |
0 |
0 |
|
Prepaid
expenses |
0 |
0 |
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Other
current assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current
assets |
175,712 |
229,651 |
|
Fixed
assets |
94,150 |
111,979 |
|
Construction
in progress |
0 |
2,603 |
|
Intangible
assets |
5,845 |
5,721 |
|
Long-term
investment |
3,900 |
510 |
|
Deferred
income tax assets |
0 |
326 |
|
Other
non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
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Total
assets |
279,607 |
350,790 |
|
|
============= |
============= |
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Short-term
loans |
44,000 |
108,060 |
|
Notes
payable |
35,096 |
0 |
|
Accounts
payable |
26,010 |
27,650 |
|
Wages
payable |
588 |
996 |
|
Taxes
payable |
4,071 |
7,227 |
|
Advances
from clients |
7 |
237 |
|
Other
payable |
677 |
3,743 |
|
Other
unpaid expenses |
114 |
376 |
|
Accrued
expense |
1,478 |
2,083 |
|
Other
current liabilities |
0 |
3,632 |
|
|
------------------ |
------------------ |
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Current
liabilities |
112,041 |
154,004 |
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Non-current
liabilities |
0 |
0 |
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|
------------------ |
------------------ |
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Total
liabilities |
112,041 |
154,004 |
|
Equities |
167,566 |
196,786 |
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|
------------------ |
------------------ |
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Total
liabilities & equities |
279,607 |
350,790 |
|
|
============= |
============= |
Income Statement
|
Unit:
CNY’000 |
As
of Dec. 31, 2011 |
|
Revenue |
585,711 |
|
Cost of sales |
493,169 |
|
Taxes and surcharges |
2,462 |
|
Sales expense |
8,485 |
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Management expense |
33,187 |
|
Finance expense |
4,922 |
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Non-business
income |
2,692 |
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Non-business expenditure |
319 |
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Profit
before tax |
45,858 |
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Less:
profit tax |
6,904 |
|
38,954 |
Important
Ratios
=============
|
|
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
*Current
ratio |
1.57 |
1.49 |
|
*Quick
ratio |
1.32 |
1.41 |
|
*Liabilities
to assets |
0.40 |
0.44 |
|
*Net
profit margin (%) |
-- |
6.65 |
|
*Return
on total assets (%) |
-- |
11.10 |
|
*Inventory
/ Revenue ×365 |
-- |
8
days |
|
*Accounts
receivable/ Revenue ×365 |
-- |
48
days |
|
*
Revenue/Total assets |
-- |
1.67 |
|
*
Cost of sales / Revenue |
-- |
0.84 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
l
The revenue of SC appears fairly good
in its line in 2011.
l
SC’s net profit margin is fairly good
in 2011.
l
SC’s return on total assets is fairly good
in 2011.
l
SC’s cost of sales is average,
comparing with its revenue in 2011.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained
in a normal level in both years.
l
SC’s quick ratio is maintained in a
fairly good level in both years.
l
The inventory of SC is maintained in an
average level.
l
The accounts receivable of SC appears
average.
l
The short-term loans of SC appear
fairly large 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.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.14 |
|
|
1 |
Rs.86.00 |
|
Euro |
1 |
Rs.68.31 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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 |
|
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 |
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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 |
|
<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.