MIRA
INFORM REPORT
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Report Date : |
21.12.2012 |
IDENTIFICATION DETAILS
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Name : |
XINXIELI (SUZHOU) ENTERPRISE DEVELOPMENT CO.,
LTD. |
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Registered Office : |
No. 508-4, Zhujiang Road, New District, Suzhou, Jiangsu Province
215129 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
01.08.1995 |
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Com. Reg. No.: |
320512000012456 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
importing and exporting hard board equipments for its subsidiaries |
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No. of Employees : |
25 employees |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
China |
A2 |
A2 |
|
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 |
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.
|
Source
: CIA |
Company name & address
XINXIELI (SUZHOU) ENTERPRISE
DEVELOPMENT CO., LTD.
NO. 508-4, ZHUJIANG ROAD, NEW DISTRICT, SUZHOU
JIANGSU PROVINCE 215129 PR CHINA
TEL: 86 (0) 512-62695281/66623608/66650878
FAX: 86 (0) 512-62695280
EXECUTIVE SUMMARY
Date of Registration : AUGUST 1, 1995
REGISTRATION NO. : 320512000012456
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny 50,000,000
staff : 25
BUSINESS CATEGORY : management and trade
Revenue :
CNY 36,470,000 (AS OF DEC. 31,
2011)
EQUITIES :
CNY 78,590,000 (AS OF DEC. 31, 2011)
WEBSITE : www.xinxieli.com
E-MAIL :
sfm@xinxieli.com
PAYMENT : AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.23 = 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
LEGAL STATUS & HISTORY
SC was
established as a limited liabilities company of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 320512000012456 on August 1, 1995.
SC’s Organization Code Certificate
No.: 60820045-7
%20ENTERPRISE%20DEVELOPMENT%20CO%20,%20LTD%20%20-%20204382%2021-Dec-2012_files/image006.jpg)
SC’s registered capital: cny 50,000,000
SC’s paid-in capital: cny 50,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2011 |
Registration No. |
3205122100020 |
320512000012456 |
|
Registered Capital |
CNY 25,000,000 |
cny 50,000,000 |
|
|
Shareholder
(s) (% of Shareholding) |
Wang Yunan 34.8% Du Guancheng 18.4% Huang Ping 15.4% Zhang Jing 15.0% Dong Lian 10.4% Jiang Weimin 4.2% Zhuang Yonggen 1.8% |
Wang Yunan 50.02% Du Guancheng 17.66% Huang Ping 14.40% Wu Jinrong 2.86% Dong Lian 9.80% Wang Jianhua 2.86% Zhuang Yonggen 2.40% |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Wang Yunan |
50.02 |
|
Du Guancheng |
17.66 |
|
Huang Ping |
14.40 |
|
Wu Jinrong |
2.86 |
|
Dong Lian |
9.80 |
|
Wang Jianhua |
2.86 |
|
Zhuang Yonggen |
2.40 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman, and General Manager |
Wang
Yunan |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Wang Yunan 50.02
Du Guancheng 17.66
Huang Ping 14.40
Wu Jinrong
2.86
Dong Lian 9.80
Wang Jianhua 2.86
Zhuang Yonggen 2.40
MANAGEMENT
Wang
Yunan, Legal
Representative, Chairman and General Manager
------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age:
Ø Qualification:
University
Ø Working experience
(s):
From 1995 to present, working in SC as
legal representative, chairman and general manager
BUSINESS OPERATION
SC’s registered business scope includes researching, producing and
selling industrial stencil, hard board equipment, electronic equipment,
environmental protection equipment, heat interchanger, mechanical and
electronic integration products, decorative materials, electronic equipment,
and providing the technical consultation and service of the above products; importing and exporting commodities and technologies,
excluding commodities and technologies limited or prohibited by the state
SC is mainly
engaged in importing and exporting hard board equipments for its subsidiaries.
SC’s
products mainly include: industrial stencil, hard board equipment and
electronic equipment.
SC sells 80% of its products to overseas market, mainly in Middle East, and 20% in domestic market.
The buying terms of SC include Check, T/T, L/C and Credit of
30-60 days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60
days.
*Major Customers:
==============
Xinguang metal surface processing co., Ltd
Wilsonart International Inc.
*Major Supplier:
============
Suzhou New District Foreign Trade Co., Ltd
Staff & Office:
--------------------------
SC is
known to have approx. 25
staff at present.
SC rents an area
as its operating office of approx. 150 sq. meters at the heading address.
RELATED COMPANY
SC is known to have
following subsidiaries at present,
n Xinxieli (Suzhou)
Machine Manufacturing Co., Ltd
n Xinxieli (Suzhou)
Press Plate Co., Ltd.
n Suzhou Foundry Machinery Factory Co., Ltd.
n Kaiyue (Suzhou) Machinery Co., Ltd.
n Neocontroltech
(Suzhou) R&D Center
n Imeas Sander
Manufacturing Co., Ltd.
n Xinguang Metal
Surface Processing Co., Ltd.
n Suzhou Machinery
Manufacturing 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 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:
Industrial & Commercial Bank of China New District
Office
AC#: 110202100900036582
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
|
1,630 |
|
|
Notes receivable |
0 |
|
Accounts
receivable |
5,000 |
|
Advances to
suppliers |
27,440 |
|
Other receivable |
18,130 |
|
Inventory |
400 |
|
Non-current
assets within one year |
0 |
|
Other current
assets |
20 |
|
|
------------------ |
|
Current assets |
52,620 |
|
Fixed assets |
21,180 |
|
Long
term investment |
138,620 |
|
Deferred income
tax assets |
0 |
|
Other
non-current assets |
20,000 |
|
|
------------------ |
|
Total assets |
232,420 |
|
|
============= |
|
Short-term loans |
3,000 |
|
Notes payable |
0 |
|
Accounts payable |
10,210 |
|
Advances from
clients |
0 |
|
Other payable |
123,390 |
|
Other current
liabilities |
17,230 |
|
|
------------------ |
|
Current
liabilities |
153,830 |
|
Non-current
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
153,830 |
|
Equities |
78,590 |
|
|
------------------ |
|
Total
liabilities & equities |
232,420 |
|
|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2011 |
|
Revenue |
36,470 |
|
Cost of sales |
32,130 |
|
Sales expense |
1,210 |
|
Management expense |
230 |
|
Finance expense |
40 |
|
Investment
income |
5,650 |
|
Profit before
tax |
8,510 |
|
Less: profit tax |
160 |
|
8,350 |
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
|
*Current ratio |
0.34 |
|
*Quick ratio |
0.34 |
|
*Liabilities
to assets |
0.66 |
|
*Net profit
margin (%) |
22.90 |
|
*Return on
total assets (%) |
3.59 |
|
*Inventory /
Revenue ×365 |
5 days |
|
*Accounts
receivable/ Revenue ×365 |
51 days |
|
*
Revenue/Total assets |
0.16 |
|
* Cost of
sales / Revenue |
0.88 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l The revenue of SC appears average in its line.
l SC’s net profit
margin is good.
l SC’s return on
total assets is average.
l
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY:
FAIR
l
The current ratio of SC is maintained in a poor
level.
l
SC’s quick ratio is maintained in a poor 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’s short-term loans are in an average level.
l
SC’s revenue is in a
fair 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 Stable.
CONCLUSIONS
SC is considered medium-sized in its line with
fairly stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.84 |
|
UK Pound |
1 |
Rs.89.11 |
|
Euro |
1 |
Rs.72.47 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>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.