MIRA
INFORM REPORT
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Report Date : |
17.04.2013 |
IDENTIFICATION DETAILS
|
Name : |
NEW ZHONG YUAN CERAMICS IMPORT & EXPORT CO.,
LTD. OF GUANGDONG |
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Registered Office : |
Zhongyuan
Building, Shinan Road, Nanzhuang,
Chancheng District, Foshan,
Guangdong Province, 528219 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
15.03.1995 |
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Com. Reg. No.: |
440602000217085 |
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Legal Form : |
Limited Liabilities Co. |
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Line of Business : |
Engaged in exporting ceramics and wall & floor tiles. |
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No. of Employees : |
60 |
RATING & COMMENTS
|
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 – 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.
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Source : CIA |
Company name and address
NEW ZHONG YUAN CERAMICS IMPORT & EXPORT CO., LTD.
OF GUANGDONG
ZHONGYUAN
BUILDING, SHINAN ROAD, NANZHUANG, CHANCHENG DISTRICT, FOSHAN, GUANGDONG
PROVINCE, 528219 PR CHINA
TEL: 86
(0) 757-85382058/85395186/15728813753 FAX:
86 (0) 757-85387881/85387833
EXECUTIVE SUMMARY
INCORPORATION DATE : MARch 15, 1995
REGISTRATION NO. :
440602000217085
REGISTERED LEGAL FORM : LIMITED LIABILITIES CO.
STAFF STRENGTH : 60
REGISTERED CAPITAL : CNY 10,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 457,052,000 (AS OF DEC. 31, 2010)
EQUITIES :
CNY 35,877,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION : FAIRLY STABLE (AS OF DEC. 31, 2010)
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.20=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 Ren
Min Bi
Note: SC’s complete name should be the heading one.
SC was registered as a limited liabilities co. at local Administration for Industry &
Commerce (AIC-The official body of issuing and renewing business license) on
March 15, 1995.
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 selling building materials,
decorative materials, steel, ceramic machinery parts, paper products, water
heating equipment, non-ferrous metals (excluding gold and silver); importing
and exporting commodities and technologies, excluding commodities and
technologies prohibited by country.
SC is mainly
engaged in exporting ceramics and wall & floor tiles.
Mr.
Huo Jinxiang has been
chairman & legal representative of SC since 2006
SC is known
to have approx. 60 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Foshan.
Our checks reveal that SC rents the total premise about 500 square meters.
http://www.newzhongyuan.com/
The website
belongs to SC’s parent company. The design is professional and the content is
well organized. At present the web is in English and Chinese versions.
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
1996-12 |
Legal Representative |
Huo Shuling |
Huo Chihong |
|
1998-6 |
Legal Representative |
Huo Chihong |
Huo Rubiao |
|
2002-6 |
Registered Capital |
CNY 3,000,000 |
Present amount |
|
2003-6 |
Company Name |
Nanhai Zhongyuan
Trading Co., Ltd. (In Chinese pinyin) |
Present one |
|
Legal Representative |
Huo Rubiao |
Huo Lianquan |
|
|
Registration No. |
4406822001396 |
4406821508878 |
|
|
2004-5 |
Registration No. |
4406821508878 |
4406041001932 |
|
2006-9 |
Legal Representative |
Huo Lianquan |
Present one |
|
Unknown |
Registration No. |
4406041001932 |
Present one |
MAIN SHAREHOLDERS:
Name
% of
shareholdings
New Zhong
Yuan Ceramics Co., Ltd. of Guangdong 90
Zeng Yanchi ID#: 440623197201123199 10
New Zhong
Yuan Ceramics Co., Ltd. of Guangdong
======================================
New Zhong
Yuan Ceramics Co., Ltd. of Guangdong is the construction ceramics manufacturer
engaged by large-scale production and modern management in China. In the past
years, New Zhongyuan has won the trust and loyalty
from its buyers and distributors by scientific management system, excellent
staffs, powerful R&D competence & production capacity, competitive
price upon performance and highly efficient sales network. (according to its
website)
Web: http://www.newzhongyuan.com/
Email: newzhongyuan@newzhongyuan.com
Add: Shinan
Street, Nanzhuang Town, Foshan,
Guangdong Province
Tel: 0757-85389918
l
Chairman & Legal Representative:
Mr. Huo Jinxiang
, ID#: 440622196305205059, born in 1963 with university education. He is
currently responsible for the overall management of SC
Working Experience(s):
From 2006 to present Working in SC as chairman
& legal
representative
SC is mainly
engaged in exporting ceramics and wall & floor tiles.
SC’s products
mainly include ceramics, ceramic tiles, micro crystal tiles, etc.
SC sources its materials 100% from domestic
market. SC sells 100% of its products to overseas market, mainly South America
and Middle East.
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 refused to release its main customers 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
AC#：N/A
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
|
|
as
of Dec. 31, 2009 |
|
Cash & bank |
32,770 |
|
Inventory |
0 |
|
Accounts
receivable |
67,230 |
|
Advances to
suppliers |
360 |
|
Other
receivables |
176,690 |
|
Subsidies
receivable |
4,760 |
|
Prepaid expenses |
1,110 |
|
Other current
assets |
0 |
|
|
------------------ |
|
Current assets |
282,920 |
|
Fixed assets net
value |
280 |
|
Projects under
construction |
0 |
|
Long term
investment |
0 |
|
Other assets |
0 |
|
|
------------------ |
|
Total assets |
283,200 |
|
|
============= |
|
Short loans |
3,380 |
|
54,490 |
|
|
Other payable |
40,320 |
|
Bills payable |
28,610 |
|
Advances from
clients |
124,400 |
|
Accrued
payroll |
100 |
|
Tax payable |
110 |
|
Other current
liabilities |
20 |
|
|
------------------ |
|
Current
liabilities |
251,430 |
|
Long term liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
251,430 |
|
Equities |
31,770 |
|
|
------------------ |
|
Total
liabilities & equities |
283,200 |
|
|
============= |
Income Statement
Unit: CNY’000
|
|
as
of Dec. 31, 2009 |
|
Turnover |
299,000 |
|
Cost of goods
sold |
278,970 |
|
Sales expense |
10,440 |
|
Management expense |
5,050 |
|
Finance expense |
2,240 |
|
Subsidy income |
540 |
|
Profit before
tax |
2,830 |
|
Less: profit tax |
720 |
|
Net profit |
2,110 |
Financial Summary
Unit: CNY’000
|
|
as
of Dec. 31, 2010 |
|
Total liabilities |
303,309 |
|
Equities |
35,877 |
|
|
------------------ |
|
Total assets |
|
|
|
============= |
|
Turnover |
457,052 |
|
Profit before tax |
5,480 |
|
Less: profit tax |
1,380 |
|
Profits |
4,100 |
Note: SC’s
management declined to release the latest financial information.
Important
Ratios
=============
|
|
as
of Dec. 31, 2009 |
as
of Dec. 31, 2010 |
|
*Current ratio |
1.13 |
/ |
|
*Quick ratio |
1.13 |
/ |
|
*Liabilities
to assets |
0.89 |
0.89 |
|
*Net profit
margin (%) |
0.71 |
0.90 |
|
*Return on
total assets (%) |
0.75 |
1.21 |
|
*Inventory
/Turnover ×365 |
/ |
/ |
|
*Accounts
receivable/Turnover ×365 |
83 days |
/ |
|
*Turnover/Total
assets |
1.06 |
1.35 |
|
* Cost of
goods sold/Turnover |
0.93 |
/ |
PROFITABILITY: AVERAGE
l
The turnover of SC appears fairly good in both
years, and it increased in 2010.
l
SC’s net profit margin appears average in both
years.
l
SC’s return on total assets appears average in both
years.
l
SC’s cost of goods sold is fairly high in 2009,
comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level in 2009.
l
SC’s quick ratio is maintained in a normal level in
2009.
l
SC has no inventory in 2009.
l
The accounts receivable of SC appears fairly large
in 2009.
l
SC’s short-term loan appears average in 2009.
l
SC’s turnover is in an average level in both years,
comparing with the size of its total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is high.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable
SC is considered medium-sized
in its line with fairly stable financial conditions. Taking into consideration
of SC’s background and development history, credit up to moderate amount
appears acceptable.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.32 |
|
|
1 |
Rs.83.17 |
|
Euro |
1 |
Rs.71.05 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.