MIRA
INFORM REPORT
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Report Date : |
14.03.2012 |
IDENTIFICATION DETAILS
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Name : |
DANYANG HUALAISHI MEDICAL GLASS PRODUCTS CO., LTD. |
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Registered Office : |
Qian’ai, Yunyang Town, Danyang, Jiangsu Province, 212326 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
22.09.2003 |
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Com. Reg. No.: |
321181000047648 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing and Selling Medical Glass |
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No. of Employees : |
76 |
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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Maximum Credit Limit : |
USD 20,000 |
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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) |
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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
Danyang Hualaishi Medical Glass Products Co., Ltd.
QIAN’AI, YUNYANG
TOWN, DANYANG,
jiangsu PROVINCE,
212326 PR CHINA
TEL: 86 (0)
511-86260111 FAX: 86 (0)
511-86265033
EXECUTIVE SUMMARY
INCORPORATION DATE : SEP. 22, 2003
REGISTRATION NO. : 321181000047648
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
76
REGISTERED CAPITAL : CNY 1,000,000
BUSINESS LINE :
manufacturing
TURNOVER :
CNY 14,330,000 (UNAUDITED, AS OF
DEC. 31, 2011)
EQUITIES :
CNY 3,070,000 (UNAUDITED, AS OF DEC. 31, 2011)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO usd 20,000 (periodical review)
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.33 = 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 limited liabilities company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license) on Sep. 22, 2003.
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 pharmaceutical glass products, aluminum products, plastic
products; importing and exporting various kinds of commodities and technology.
SC is mainly
engaged in manufacturing and selling medical glass.
Mr. Yu Yafeng is now acting as chairman of SC.
SC is known to
have approx. 76 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 Danyang. 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 events or changes were found during our checks with local
AIC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Li Cuiyu ID# 321181198008058625 10
Yu Yafeng ID# 321181197812028211 90
l
Chairman and General Manager:
Mr. Yu Yafeng , born in 1978, with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
Now Working
in SC as chairman and general manager.
Supervisor:
========
Li Cuiyu
SC is mainly engaged
in manufacturing and selling medical glass.
SC’s products
mainly include: medical bottle.
SC sources its materials 100% from domestic
market. SC sells 50% of its products in domestic market, and 50% to overseas
market, mainly USA, Europe and Southeast Asian market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
Note: SC’s management declined to release its main 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.
Danyang Rural Commercial Bank
AC# 3211036001201000006166
Relationship:
Normal.
Note: SC’s
financial manager Ms. Zhang released that SC opened a USD account in Bank of
China Zhejiang Branch, but she declined to release the account number.
Balance Sheet
|
Unit: CNY’000 |
as
of Dec. 31, 2010 |
as
of Dec. 31, 2011 |
|
Cash & bank |
440 |
760 |
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Inventory |
210 |
2,070 |
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Accounts
receivable |
3,870 |
3,620 |
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Other Accounts
receivable |
930 |
940 |
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Advances to
suppliers |
0 |
0 |
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Other current
assets |
1,900 |
0 |
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------------------ |
------------------ |
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Current assets |
7,350 |
7,390 |
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Fixed assets net
value |
2,400 |
2,380 |
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Projects under
construction |
570 |
680 |
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Long term
investment |
0 |
0 |
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Other assets |
0 |
1,250 |
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------------------ |
------------------ |
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Total assets |
10,320 |
11,700 |
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============= |
============= |
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Short loans |
0 |
0 |
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Accounts payable |
60 |
1,110 |
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Other Accounts
payable |
5,600 |
7,240 |
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Advances from
clients |
0 |
40 |
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Tax payable |
-130 |
140 |
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Other current
liabilities |
50 |
100 |
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------------------ |
------------------ |
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Current
liabilities |
5,580 |
8,630 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
5,580 |
8,630 |
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Equities |
4,740 |
3,070 |
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------------------ |
------------------ |
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Total
liabilities & equities |
10,320 |
11,700 |
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============= |
============= |
Income Statement
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Unit: CNY’000 |
as of Dec. 31,
2010 |
as of Dec. 31,
2011 |
|
Turnover |
15,500 |
14,330 |
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Cost of goods
sold |
11,880 |
11,970 |
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Sales expense |
2,170 |
-- |
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Management expense |
730 |
-- |
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Finance expense |
10 |
-- |
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Profit before
tax |
610 |
-1,310 |
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Less: profit tax |
170 |
110 |
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Profits |
440 |
-1,420 |
Note: SC’s financial statements for Yr2011 have
not been audited, and SC’s management refused to release the detail of its
Income statement for Yr2011.
Important
Ratios
=============
|
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As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
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*Current ratio |
1.32 |
0.86 |
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*Quick ratio |
1.28 |
0.62 |
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*Liabilities
to assets |
0.54 |
0.74 |
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*Net profit
margin (%) |
2.84 |
-9.91 |
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*Return on
total assets (%) |
4.26 |
-12.14 |
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*Inventory
/Turnover ×365 |
5 days |
53 days |
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*Accounts
receivable/Turnover ×365 |
91 days |
92 days |
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*Turnover/Total
assets |
1.50 |
1.22 |
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* Cost of
goods sold/Turnover |
0.77 |
0.84 |
PROFITABILITY:
FAIR
l
The turnover of SC appears average in 2010 but it
decreased in 2011.
l
SC’s net profit margin is average in 2010 but fair in
2011.
l
SC’s return on total assets is average in 2010 but
fair in 2011.
l
SC’s cost of goods sold is average in both years,
comparing with its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level in 2011.
l
SC’s quick ratio is maintained in a fair level in
2011.
l
The inventory of SC is average in both years.
l
The accounts receivable of SC is fairly large in
both years.
l
SC has no short-term loan in both years.
l
SC’s turnover is in an average level in both years,
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.
SC is considered small-sized in its line with fairly stable financial
conditions. The large amount of accounts receivable could be a threat to SC’s
financial condition. A credit line up to USD 20,000
would appear to be within SC’s capacities upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.84 |
|
|
1 |
Rs.77.97 |
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Euro |
1 |
Rs.65.61 |
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.