MIRA INFORM REPORT
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Report Date : |
22.09.2012 |
IDENTIFICATION DETAILS
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Name : |
ANHUI
PROVINCE YIFAN SPICE CO. LTD. |
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Registered Office : |
Section B, Taihe Industrial District,
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
06.07.2000 |
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Com. Reg. No.: |
341222000011498 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Processing
and selling of peppermint oil, vegetable oil, menthol, flavors and fragrances,
spearmint, chemical, pharmaceutical intermediates. |
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No. of Employees : |
120 |
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 : |
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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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China |
A2 |
A2 |
|
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.
Source : CIA
COMPANY NAME & ADDRESS
ANHUI PROVINCE YIFAN SPICE CO.,
LTD.
Section
B, Taihe Industrial District, Taihe county
anhui
PROVINCE 236600 PR CHINA
TEL: 86
(0) 558-8216696/8216719/8216722
FAX: 86
(0) 558-8216686/3512458
EXECUTIVE SUMMARY
Date of Registration : july 6, 2000
REGISTRATION NO. : 341222000011498
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny 36,000,000
staff : 120
BUSINESS CATEGORY : processing
Revenue :
CNY 114,760,000 (AS OF DEC. 31,
2011)
EQUITIES :
CNY 35,250,000 (AS OF DEC. 31, 2011)
WEBSITE : www.ifanchem.com
E-MAIL :
manage@ifanchem.com
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.33 = 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
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.: 341222000011498 on July 6,
2000.
SC’s Organization Code Certificate
No.: 71396363-2
SC’s registered capital: cny 36,000,000
SC’s paid-in capital: cny 36,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2003-11 |
Registered Capital |
CNY 500,000 |
CNY 2,600,000 |
|
|
Shareholder (s) (% of
Shareholding) |
Ma Shouying 92.30% Mao Kuixing 3.85% Zhu Zumin 3.85% |
Ma Shouying 3.85% Zhu Fei 96.15% |
|
-- |
Shareholder (s) (% of
Shareholding) |
Ma Shouying 3.85% Zhu Fei 96.15% |
Ma Shouying 75% Zhu Fei 25% |
|
Registration No. |
3421232000229 |
341222000011498 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Ma Shouying |
75 |
|
Zhu Fei |
25 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman, and General Manager |
Ma
Shouying |
|
Supervisor |
Zhu
Fei |
RECENT DEVELOPMENT
SC has got the certificate ISO 9001.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Ma Shouying
75
Zhu Fei
25
MANAGEMENT
Ma
Shouying, Legal
Representative, Chairman and General Manager
------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 48
Ø
ID# 342123196405150574
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal representative, chairman
and general manager
Zhu
Fei, Supervisor
----------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ren Qiaozhen, Sales
Manager
--------------------------------------------------
Ø
Gender: F
Ø
Mobile: 86 (0) 15212775339
BUSINESS OPERATION
SC’s registered business scope includes processing
peppermint oil, vegetable oil, menthol, flavors and fragrances, spearmint,
chemical, pharmaceutical intermediates; selling Chinese herbal medicine,
agricultural and sideline products, knitting, department stores, clothing,
household appliances; operating and acting as an agent of importing and
exporting various kinds of commodities and technology, excluding the goods
forbidden by the government.
SC is
mainly engaged in processing and selling peppermint oil, vegetable oil, menthol,
flavors and fragrances, spearmint, chemical, pharmaceutical intermediates.
Brand: Yinjing
SC’s
products mainly include:
Menthol Crystal
Peppermint Oil
Lamivudine (3TC)
CME
HME
L-MGH
Lamivudine Salicylate
SC sources its materials 30% from domestic
market, and 70% from overseas market. SC sells 85% of its products in domestic market,
and 15% to overseas market, mainly South America, Southeast Asia, Africa, Hong
Kong, Macao, Taiwan, etc.
The
buying terms of SC include T/T, L/C and Credit of 30-60 days. The payment terms
of SC include T/T, L/C and Credit of 30-60 days.
*Major Customer:
=============
JM
Trading Inc.
Staff & Office:
--------------------------
SC is
known to have approx. 120
staff at present.
SC owns an area as
its operating office & factory of approx. 50,000 sq. meters at the heading
address.
RELATED COMPANY
SC
is known to have an office at present:
n
Anhui Province Yifan Spice Co., Ltd. Hefei Office
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 records 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:
Bank
of China Taihe County Sub-branch
AC#: 491431032318091001
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
|
5,730 |
1,880 |
3,590 |
|
|
Accounts
receivable |
2,910 |
3,360 |
7,380 |
|
Advances to
suppliers |
0 |
0 |
0 |
|
Other receivable |
3,900 |
0 |
11,340 |
|
Inventory |
20,360 |
48,910 |
58,950 |
|
Non-current
assets within one year |
0 |
0 |
0 |
|
Other current
assets |
2,490 |
180 |
6,370 |
|
|
------------------ |
------------------ |
------------------ |
|
Current assets |
35,390 |
54,330 |
87,630 |
|
Fixed assets |
11,550 |
18,380 |
16,720 |
|
Intangible
assets |
0 |
0 |
0 |
|
Long-term
prepaid expenses |
0 |
0 |
0 |
|
Deferred income
tax assets |
0 |
0 |
0 |
|
Other
non-current assets |
10,640 |
4,690 |
7,290 |
|
|
------------------ |
------------------ |
------------------ |
|
Total assets |
57,580 |
77,400 |
111,640 |
|
|
============= |
============= |
============= |
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Short-term loans |
19,150 |
21,090 |
26,340 |
|
Notes payable |
0 |
0 |
0 |
|
Accounts payable |
1,780 |
9,970 |
17,570 |
|
Wages payable |
0 |
0 |
0 |
|
Advances from
clients |
0 |
0 |
7,880 |
|
Other payable |
5,910 |
10,390 |
22,310 |
|
Other current
liabilities |
-810 |
-80 |
2,290 |
|
|
------------------ |
------------------ |
------------------ |
|
Current
liabilities |
26,030 |
41,370 |
76,390 |
|
Non-current
liabilities |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities |
26,030 |
41,370 |
76,390 |
|
Equities |
31,550 |
36,030 |
35,250 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities & equities |
57,580 |
77,400 |
111,640 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
|
Revenue |
68,820 |
114,760 |
|
Cost of sales |
59,810 |
108,430 |
|
Sales expense |
1,300 |
2,120 |
|
Management expense |
2,600 |
2,940 |
|
Finance expense |
1,300 |
1,750 |
|
Profit before
tax |
4,350 |
-780 |
|
Less: profit tax |
10 |
0 |
|
4,340 |
-780 |
Important Ratios
|
|
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
|
*Current ratio |
1.36 |
1.31 |
1.15 |
|
*Quick ratio |
0.58 |
0.13 |
0.64 |
|
*Liabilities
to assets |
0.45 |
0.53 |
0.68 |
|
*Net profit
margin (%) |
-- |
6.31 |
-0.68 |
|
*Return on
total assets (%) |
-- |
5.61 |
-0.70 |
|
*Inventory /
Revenue ×365 |
-- |
260 days |
124 days |
|
*Accounts
receivable/ Revenue ×365 |
-- |
18 days |
24 days |
|
*
Revenue/Total assets |
-- |
0.89 |
1.03 |
|
* Cost of
sales / Revenue |
-- |
0.87 |
0.94 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIR
l
The revenue of SC appears average, and it was
rising in 2011.
l
SC’s net profit margin is average in 2010 and fair
in 2011.
l
SC’s return on total assets is average in 2010 and
fair in 2011.
l
SC’s cost of goods sold is fairly high, comparing
with its revenue.
LIQUIDITY:
FAIR
l
The current ratio of SC is maintained in a normal
level in both years.
l
SC’s quick ratio is maintained in a fair level in
2011.
l
The inventory of SC appears large.
l
The accounts receivable of SC is maintained in an average
level.
l
The short-term loan of SC appears fairly large.
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: Fair.
CONCLUSIONS
SC is considered medium-sized in its line with fair financial
conditions. The large amount of inventory may be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.90 |
|
UK Pound |
1 |
Rs.87.60 |
|
Euro |
1 |
Rs.70.00 |
INFORMATION DETAILS
|
Report Prepared
by : |
NLM |
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.