MIRA
INFORM REPORT
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Report Date : |
12.01.2012 |
IDENTIFICATION DETAILS
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Name : |
qingdao
tianhefu foods co., ltd. |
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Registered Office : |
No. 2 Fu’an Industrial Park, Jiaozhou, Qingdao City, Shandong
Province, 266300 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
29.09.2001 |
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Com. Reg. No.: |
370281400001790 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
Engaged in deep processing of pepper, garlic, vegetables
and other agricultural and sideline products. |
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No. of Employees : |
70 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
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
qingdao
tianhefu foods co., ltd.
no. 2 fu’an industrial park,
jiaozhou, qingdao CITY, shandong PROVINCE, 266300 PR CHINA
TEL: 86 (0)
532-86532832/83232668/83232677/86-13864254165
FAX: 86 (0) 532-83232654
EXECUTIVE SUMMARY
INCORPORATION DATE :
september 29, 2001
REGISTRATION NO. : 370281400001790
REGISTERED LEGAL FORM :
Wholly foreign-owned enterprise
CHIEF EXECUTIVE : MR. wang yong
(CHAIRMAN)
STAFF STRENGTH : 70
REGISTERED CAPITAL :
usd 260,000
BUSINESS LINE : processing
TURNOVER : CNY 38,320,000 (AS OF DEC. 31, 2010)
EQUITIES : CNY -720,000 (AS OF DEC. 31, 2010)
PAYMENT : AVERAGE
RECOMM. CREDIT RANGE : c.o.d.
MARKET CONDITION : average
FINANCIAL CONDITION :
fair
OPERATIONAL TREND :
fair
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.32 = 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
SC was registered as a wholly foreign-owned enterprise at
local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on september 29, 2001.
Company Status: Wholly foreign-owned enterprise This form of business in PR
China is defined as a legal person. It is a limited co. established within
the territories of PR China with capital provided totally by the foreign
investors. More than one foreign investor may jointly invest in a wholly
foreign-owned enterprise. The investing party/parties solely exercise
management, reap profit and bear risks and liabilities by themselves. This
form of companies usually have a limited duration is extendible upon
approval of Examination and Approval Authorities.
SC’s registered business scope includes deep processing of
pepper, garlic, vegetables and other agricultural and sideline products.
SC is mainly engaged in deep processing of pepper, garlic,
vegetables and other agricultural and sideline products.
Mr. Wang Yong has been the legal representative and chairman
of SC since 2001.
SC is known to have approx. 70 employees at present.
SC is currently operating at the above stated address, and
this address houses its operating office and factory in the industrial zone of
Jiaozhou. Our checks reveal that SC rents the total premise about 5,000 square
meters.
SC is not known to host web site of its own at present.
No significant changes were found during our checks with the
local Administration for Industry and Commerce.
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Zhao Jinji (in Chinese Pinyin) (Korean) 100
Legal
representative, Chairman and General Manager:
Mr. Wang Yong, with university education. He is currently
responsible for the overall management of SC.
Working
Experience(s):
From 2001 to present Working
in SC as legal representative, chairman and general manager
SC is mainly engaged in deep processing of pepper, garlic,
vegetables and other agricultural and sideline products.
SC’s products mainly include: pepper, garlic, vegetables.
SC sources its materials 100% from domestic market, mainly
Shandong. SC sells 100% of its products 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 Check, T/T, L/C and Credit of 30-60
days.
Note: SC’s management declined to release its major clients
and suppliers.
SC is not known to have any subsidiary at present.
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.
Bank of China Jiaozhou Sub-Branch
AC#：409864785808091001
Relationship: Normal.
Balance
Sheet
|
Unit: CNY’000 |
as
of Dec. 31, 2009 |
as
of Dec. 31, 2010 |
|
Cash & bank |
4,600 |
3,220 |
|
Inventory |
23,420 |
13,680 |
|
Accounts receivable |
1,690 |
2,400 |
|
Advances to suppliers |
-40 |
-40 |
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Other Accounts receivable |
770 |
4,300 |
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Other current assets |
0 |
0 |
|
|
------------------ |
------------------ |
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Current assets |
30,440 |
23,560 |
|
Fixed assets net value |
1,130 |
850 |
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Projects under construction |
0 |
0 |
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Long term investment |
0 |
0 |
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Other assets |
30 |
40 |
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------------------ |
------------------ |
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Total assets |
31,600 |
24,450 |
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============= |
============= |
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Short loans |
0 |
0 |
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Accounts payable |
-150 |
-150 |
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Other Accounts payable |
35,060 |
26,310 |
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Withdraw the expenses in advance |
0 |
0 |
|
Taxes payable |
-2,700 |
-1,020 |
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Other current liabilities |
10 |
30 |
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------------------ |
------------------ |
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Current liabilities |
32,220 |
25,170 |
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Long term liabilities |
0 |
0 |
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Other liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total liabilities |
32,220 |
25,170 |
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Equities |
-620 |
-720 |
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------------------ |
------------------ |
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Total liabilities & equities |
31,600 |
24,450 |
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============= |
============= |
Income
Statement
|
Unit: CNY’000 |
as
of Dec. 31, 2010 |
|
Turnover |
38,320 |
|
Cost of goods sold |
36,930 |
|
Sales expense |
1,080 |
|
Management
expense |
620 |
|
Finance expense |
-230 |
|
Profit before tax |
-100 |
|
Less: profit tax |
0 |
|
Profits |
-100 |
Important
Ratios
|
|
as
of Dec. 31, 2009 |
as of
Dec. 31, 2010 |
|
*Current ratio |
0.94
|
0.94
|
|
*Quick ratio |
0.22
|
0.39
|
|
*Liabilities to assets |
1.02
|
1.03
|
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*Net profit margin (%) |
/ |
-0.26
|
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*Return on total assets (%) |
/ |
-0.41
|
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*Inventory /Turnover ×365 |
/ |
130
days |
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*Accounts receivable/Turnover ×365 |
/ |
23
days |
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*Turnover/Total assets |
/ |
1.57
|
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* Cost of goods sold/Turnover |
/ |
0.96
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PROFITABILITY:
FAIR
The turnover of SC appears average in its line in 2010.
SC’s net profit margin is fair in 2010.
SC’s return on total assets is fair in 2010.
SC’s cost of goods sold is high in 2010, comparing with its
turnover.
LIQUIDITY:
FAIR
The current ratio of SC is maintained in a fair level in
both years
SC’s quick ratio is maintained in a poor level in both
years.
The inventory of SC appears LARGE in both years.
The accounts receivable of SC appears average in both years.
SC has no short-term loan in both years.
SC’s turnover is in an average level in 2010, comparing with
the size of its total assets.
LEVERAGE:
POOR
The debt ratio of SC is too high.
The risk for SC to go bankrupt is above average.
Overall financial condition of the SC: FAIR.
Opinion amount: USD 1,500,000
SC is considered small-sized in its line with fair financial
conditions. The large amount of inventory could be a threat to SC’s financial
condition. A credit line at the above amount appears to be beyond SC’s capacities,
while C.O.D. is recommended.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.51.75 |
|
|
1 |
Rs.80.00 |
|
Euro |
1 |
Rs.65.99 |
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 |
|
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 |
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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.