MIRA
INFORM REPORT
|
Report Date : |
28.09.2012 |
IDENTIFICATION DETAILS
|
Name : |
XIAMEN JOIN PORFIT TRADE CO., LTD. |
|
|
|
|
|
|
Registered Office : |
4/F, No. 16 Wanghai Road, Software Park 2nd Stages Siming District,
Xiamen, Fujian Province 361008 Pr |
|
|
|
|
|
|
Country : |
|
|
|
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
|
|
Date of Incorporation : |
11.03.2004 |
|
|
|
|
|
|
Com. Reg. No.: |
350206200000253 |
|
|
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
|
|
Line of Business : |
Importing and exporting commodities and technology (no additionally attaching importing and exporting commodity catalog), excluding the items prohibited by the state (operating the limited items after obtaining the permits). |
|
|
|
|
|
|
No. of Employees : |
48 |
|
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No Complaints |
|
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 (31.03.2011) |
Current Rating (30.06.2012) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
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 and address
XIAMEN JOIN PORFIT TRADE CO., LTD.
4/f, NO. 16 WANGHAI ROAD, SOFTWARE PARK 2ND STAGES
SIMING DISTRICT, XIAMEN, FUJIAN PROVINCE 361008 PR CHINA
TEL: 86 (0) 592-3351523/3351500
FAX: 86 (0) 592-3351520
EXECUTIVE SUMMARY
Date of Registration : MARCH 11, 2004
REGISTRATION NO. : 350206200000253
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : CNY 30,000,000
staff :
48
BUSINESS CATEGORY : trading
Revenue :
CNY 386,730,000 (AS OF DEC. 31,
2011)
EQUITIES :
CNY 38,005,000 (AS OF DEC. 31, 2011)
WEBSITE : www.jld666.com
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.31 = 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.: 350206200000253
on March 11, 2004.
SC’s Organization Code Certificate No.:
75163320-4
SC’s Tax No.: 350203751633204
SC’s registered capital: cny 30,000,000
SC’s paid-in capital: cny 30,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2005-06 |
Registered Capital |
CNY 3,000,000 |
CNY 6,500,000 |
|
2005-08 |
Registered Capital |
CNY 6,500,000 |
CNY 8,500,000 |
|
2005-12 |
Registered Capital |
CNY 8,500,000 |
CNY 10,000,000 |
|
2007-06 |
Legal Representative |
Chen Fugen |
He Wenfeng |
|
2007-12 |
Legal Representative |
He Wenfeng |
Chen Lihong |
|
2010-09 |
Registered Capital |
CNY 10,000,000 |
CNY 30,000,000 |
|
2010-09 |
Shareholder (s) (% of Shareholding) |
Chen Lihong 80% Chen Zuojia 20% |
Chen Lihong 60% Chen Zuojia 20% He Wenfeng 20% |
|
2010-10 |
Legal Representative |
Chen Lihong |
He Wenfeng |
|
% of Shareholding |
Chen Lihong 60% Chen Zuojia 20% He Wenfeng 20% |
Chen Lihong 40% Chen Zuojia 20% He Wenfeng 40% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Chen Lihong |
40 |
|
Chen Zuojia |
20 |
|
He Wenfen |
40 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
He Wenfeng |
|
Director/Supervisor |
Chen Lihong |
|
Chen Zuojia |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Chen Lihong 40
Chen Zuojia 20
He Wenfeng 40
MANAGEMENT
He Wenfeng , Legal Representative, Chairman and General
Manager
----------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 42
Ø
ID# 350125197009101911
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal representative,
chairman and general manager
Also working in Xiamen Junhe Textile Technology Co.,
Ltd. as legal representative
Chen Lihong ,
Director/Supervisor
-------------------------------------------------------
Ø
Gender: F
Ø
Age: 43
Ø
ID# 350321196909074227
Ø
Working
experience (s):
At present, working in Xiamen Double Textile
Trading Co., Ltd. as legal
representative
Chen Zuojia ,
Director/Supervisor
-------------------------------------------------------
Ø
Gender: M
Ø
Age: 36
Ø
ID# 350321197602154251
BUSINESS OPERATION
SC’s registered
business scope includes importing and exporting commodities and technology (no
additionally attaching importing and
exporting commodity catalog), excluding the items prohibited by the
state (operating the limited items after obtaining the permits).
SC is mainly
engaged in international trade.
Main Products:
Silicone oil
Emulsion
Silica gel
Softening agent
Defoaming agent
Bulking agents
Brightening agent
Smoothing agent
Brightening agent
Mold release agent
Raising agent
SC sources its products 60% from domestic
market, and 40% from overseas market, mainly U.S.A., Canada, etc. SC sells 30%
of its products in domestic market, and 70% to overseas market, mainly U.S.A.,
Southeast Asia, etc.
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 Suppliers:
---------------------
Conifex Fibre
Marketing Incorporate
Dow Corning
Corporation
*Major Customers:
----------------------
Happy New Star
Inc.
Cencosud Retail
S.A.
Staff & Office:
--------------------------
SC is known
to have approx. 48 staff at
present.
SC rents an area as
its operating office, but the detailed information is unknown.
RELATED COMPANY
u
Xiamen Double Textile Trading Co., Ltd.
Registration No.: 350203200123520
Date of Registration: May 21, 2001
Legal Form: Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Chen Lihong
u
Xiamen Jiedian Textile Co., Ltd.
Registration No.: 350203200123511
Date of Registration: July 29, 2003
Legal Form: Limited Liabilities Company
Registered Capital: CNY 3,000,000
Legal Representative: Chen Qingfei
u
Bojian (
Registration No.: 350203200103684
Date of Registration: October 22, 2003
Legal Form: Limited Liabilities Company
Registered Capital: CNY 3,000,000
Legal Representative: Chen Zuozhong
Etc.
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
refused 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
Basic Bank:
China
Construction Bank Xiamen Hongbingshan Sub-branch
AC#: N/a
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
|
12,987 |
11,655 |
|
|
Notes receivable |
0 |
1,000 |
|
Accounts
receivable |
138,022 |
36,237 |
|
Advances to
suppliers |
99,216 |
56,012 |
|
Other receivable |
3,015 |
5,155 |
|
Subsidy receivable |
13,636 |
6,497 |
|
Inventory |
21,139 |
28,076 |
|
Prepaid expense |
577 |
441 |
|
Non-current
assets within one year |
0 |
0 |
|
Other current
assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current assets |
288,592 |
145,073 |
|
Long-term
investment |
0 |
0 |
|
Fixed assets |
18,122 |
17,781 |
|
Construction in
progress |
0 |
0 |
|
Intangible
assets |
0 |
0 |
|
Long-term
prepaid expenses |
0 |
0 |
|
Deferred income
tax assets |
0 |
0 |
|
Other
non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
306,714 |
162,854 |
|
|
============= |
============= |
|
Short-term loans |
0 |
19,966 |
|
Notes payable |
10,601 |
11,325 |
|
Accounts payable |
138,773 |
51,967 |
|
Wages payable |
90 |
0 |
|
Taxes payable |
94 |
-395 |
|
Advances from
clients |
53,121 |
28,822 |
|
Other payable |
61,765 |
8,002 |
|
Other current
liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
264,444 |
119,687 |
|
Non-current
liabilities |
5,828 |
5,162 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
270,272 |
124,849 |
|
Equities |
36,442 |
38,005 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
306,714 |
162,854 |
|
|
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
|
Revenue |
384,701 |
386,730 |
|
Cost of sales |
370,292 |
373,700 |
|
Taxes and surcharges |
126 |
118 |
|
Sales expense |
5,709 |
4,278 |
|
Management expense |
5,381 |
3,714 |
|
Finance expense |
1,706 |
3,265 |
|
Income on
investment |
0 |
0 |
|
Non-business
income |
335 |
20 |
|
Non-business expenditure |
0 |
112 |
|
Profit before
tax |
1,851 |
1,563 |
|
Less: profit tax |
498 |
174 |
|
1,353 |
1,389 |
Important Ratios
=============
|
|
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
|
*Current ratio |
1.09 |
1.21 |
|
*Quick ratio |
1.01 |
0.98 |
|
*Liabilities
to assets |
0.88 |
0.77 |
|
*Net profit
margin (%) |
0.35 |
0.36 |
|
*Return on
total assets (%) |
0.44 |
0.85 |
|
*Inventory /
Revenue ×365 |
21 days |
27 days |
|
*Accounts
receivable/ Revenue ×365 |
131 days |
35 days |
|
*
Revenue/Total assets |
1.25 |
2.37 |
|
* Cost of sales
/ Revenue |
0.96 |
0.97 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears fairly good in its line
in both years.
l
SC’s net profit margin is average in both years.
l
SC’s return on total assets is average in both
years.
l
SC’s cost of sales is fairly high, comparing with
its revenue.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a normal level.
l
The inventory of SC appears average.
l
The accounts receivable of SC is maintained in an
average level in 2011.
l
SC’s short-term loans are in an average level in
2011.
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: Stable.
CONCLUSIONS
SC is considered medium-sized in its line with stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.25 |
|
|
1 |
Rs.86.23 |
|
Euro |
1 |
Rs.68.64 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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.