MIRA
INFORM REPORT
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Report Date : |
03.12.2012 |
IDENTIFICATION DETAILS
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Name : |
WEIHAI BST
INTL TRADE CO., LTD. |
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Registered Office : |
5/F, |
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Country : |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
02.04.2010 |
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Reg. No.: |
371021200011829 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
wholesale and retail of hardware &
electromechanical, mechanical parts, fishing gear, textiles, packaging
materials, electronic products (excluding radio transmitters and satellite TV
receiving equipment), agricultural products (except raw grain), office
supplies. |
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No. of Employees : |
5 |
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 : |
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 – June 30th, 2012
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Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
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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 |
china - ECONOMIC OVERVIEW
Since the late 1970s China has moved
from a closed, centrally planned system to a more market-oriented one that
plays a major global role - in 2010 China became the world's largest exporter.
Reforms began with the phasing out of collectivized agriculture, and expanded
to include the gradual liberalization of prices, fiscal decentralization,
increased autonomy for state enterprises, creation of a diversified banking
system, development of stock markets, rapid growth of the private sector, and
opening to foreign trade and investment. China has implemented reforms in a
gradualist fashion. In recent years, China has renewed its support for
state-owned enterprises in sectors it considers important to "economic
security," explicitly looking to foster globally competitive national champions.
After keeping its currency tightly linked to the US dollar for years, in July
2005 China revalued its currency by 2.1% against the US dollar and moved to an
exchange rate system that references a basket of currencies. From mid 2005 to
late 2008 cumulative appreciation of the renminbi against the US dollar was
more than 20%, but the exchange rate remained virtually pegged to the dollar
from the onset of the global financial crisis until June 2010, when Beijing
allowed resumption of a gradual appreciation. The restructuring of the economy
and resulting efficiency gains have contributed to a more than tenfold increase
in GDP since 1978. Measured on a purchasing power parity (PPP) basis that
adjusts for price differences, China in 2010 stood as the second-largest economy
in the world after the US, having surpassed Japan in 2001. The dollar values of
China's agricultural and industrial output each exceed those of the US; China
is second to the US in the value of services it produces. Still, per capita
income is below the world average. The Chinese government faces numerous
economic challenges, including: (a) reducing its high domestic savings rate and
correspondingly low domestic demand; (b) sustaining adequate job growth for
tens of millions of migrants and new entrants to the work force; (c) reducing
corruption and other economic crimes; and (d) containing environmental damage
and social strife related to the economy's rapid transformation. Economic
development has progressed further in coastal provinces than in the interior,
and by 2011 more than 250 million migrant workers and their dependents had
relocated to urban areas to find work. One consequence of population control
policy is that China is now one of the most rapidly aging countries in the
world. Deterioration in the environment - notably air pollution, soil erosion,
and the steady fall of the water table, especially in the North - is another
long-term problem. China continues to lose arable land because of erosion and
economic development. The Chinese government is seeking to add energy
production capacity from sources other than coal and oil, focusing on nuclear
and alternative energy development. In 2010-11, China faced high inflation
resulting largely from its credit-fueled stimulus program. Some tightening
measures appear to have controlled inflation, but GDP growth consequently
slowed to near 9% for 2011. An economic slowdown in Europe is expected to
further drag Chinese growth in 2012. Debt overhang from the stimulus program,
particularly among local governments, and a property price bubble challenge
policy makers currently. The government's 12th Five-Year Plan, adopted in March
2011, emphasizes continued economic reforms and the need to increase domestic
consumption in order to make the economy less dependent on exports in the
future. However, China has made only marginal progress toward these rebalancing
goals.
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Source : CIA |
Company Name
WEIHAI BST INTL TRADE CO., LTD.
5/F, NO. 179 QINGDAO MIDDLE ROAD, WEIHAI
SHANDONG PROVINCE 264205 PR CHINA
TEL: 86 (0) 631-5989971
FAX: 86 (0) 631-5989971
EXECUTIVE SUMMARY
Date of Registration : april 2, 2010
REGISTRATION NO. : 371021200011829
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE :
liu bo (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : cny 300,000
staff :
5
BUSINESS CATEGORY : trading
Revenue :
CNY 563,000 (AS OF DEC. 31,
2010)
EQUITIES :
CNY
313,000 (AS OF DEC. 31, 2010)
WEBSITE : www.weihaibst.com
E-MAIL :
kun_liu@126.com
PAYMENT :
AVERAGE
MARKET CONDITION : fair
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : ORDINARY
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY 6.23 = USD 1 AS OF
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.:
371021200011829 on April 2, 2010.
SC’s Organization Code Certificate No.:
55337473-1
SC’s registered capital: cny 300,000
SC’s paid-in capital: cny 300,000
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 |
|
Liu Bo |
70 |
|
Cong Dawei |
30 |
SC’s Chief Executives:-
|
Position |
Name |
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Legal Representative, Chairman, and General Manager |
Liu Bo |
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Supervisor |
Cong Dawei |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Liu Bo 70
Cong Dawei 30
MANAGEMENT
Liu Bo, Legal
Representative, Chairman and General Manager
------------------------------------------------------------------------------------------
Gender: M
Age: 31
ID# 371002198103044537
Qualification: University
Working experience (s):
From 2010 to present, working in SC as legal representative, chairman
and general manager
Cong Dawei,
Supervisor
-------------------------------------------
Gender: M
Age: 31
ID# 371002198111054532
Qualification: University
BUSINESS
OPERATION
SC’s registered business scope includes
wholesale and retail of hardware & electromechanical, mechanical parts,
fishing gear, textiles, packaging materials, electronic products (excluding
radio transmitters and satellite TV receiving equipment), agricultural products
(except raw grain), office supplies, importing and exporting goods and
technology.
SC is mainly engaged in international trade.
SC’s products mainly include:
DTH Hammers
DTH Bits
Reverse Circulation Series
Casing System
Rock Driling Accessories
General Drill Bit
SC sources its products 100% from domestic market, mainly Hunan. SC
sells 20% of its products in domestic market, and 80% to overseas market,
mainly U.S.A., Southeast Asia, etc.
The buying terms of SC include T/T and Credit of 30-60 days. The payment
terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Supplier*
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Changsha Tianhe Drilling Tools and Machinery Co., Ltd.
*Major Client*
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El Sales Corporation
Staff &
Office:
--------------------------
SC is known to have approx. 5
staff at present.
SC rents an area as its operating office of approx. 80 sq. meters at the
heading address.
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 and our debt collection record concerning
SC.
Trade payment experience: SC’s supplier 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.
BANKING
The bank information of SC is not filed in SAIC.
FINANCIALS
Balance Sheet
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Unit: CNY’000 |
As
of Dec. 31, 2010 |
|
88 |
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Notes receivable |
0 |
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Accounts receivable |
54 |
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Advances to suppliers |
102 |
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Other receivable |
0 |
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Inventory |
47 |
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Non-current assets within one year |
0 |
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Other current assets |
7 |
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------------------ |
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Current assets |
298 |
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Fixed assets |
19 |
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Construction in progress |
0 |
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Intangible assets |
0 |
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Long-term investment |
0 |
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Deferred income tax assets |
0 |
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Other non-current assets |
0 |
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Total assets |
317 |
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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 |
4 |
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Welfares payable |
0 |
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Taxes payable |
0 |
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Advances from clients |
0 |
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Other payable |
0 |
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Other current liabilities |
0 |
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------------------ |
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Current liabilities |
4 |
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Non-current liabilities |
0 |
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Total liabilities |
4 |
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Equities |
313 |
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Total liabilities & equities |
317 |
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Income Statement
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Unit: CNY’000 |
As
of Dec. 31, 2010 |
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Revenue |
563 |
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Profit before tax |
13 |
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Less: profit tax |
0 |
|
13 |
Note: SC’s Y2011 financials are not filed in local SAIC.
Important Ratios
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As of Dec. 31, 2010 |
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*Current ratio |
74.50 |
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*Quick ratio |
62.75 |
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*Liabilities to assets |
0.01 |
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*Net profit margin (%) |
2.31 |
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*Return on total assets (%) |
4.10 |
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*Inventory / Revenue ×365 |
31 days |
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*Accounts receivable/ Revenue ×365 |
36 days |
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* Revenue/Total assets |
1.78 |
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* Cost of sales / Revenue |
-- |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears fair in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level.
SC’s quick ratio is maintained in a normal level.
The inventory of SC appears average.
The accounts receivable of SC is maintained in an average level.
SC has no short-term loans.
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is low.
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.52 |
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|
1 |
Rs.87.48 |
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Euro |
1 |
Rs.70.89 |
INFORMATION DETAILS
|
Report
Prepared by : |
SDA |
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 |
-- |
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.