MIRA
INFORM REPORT
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Report Date : |
23.04.2013 |
IDENTIFICATION DETAILS
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Name : |
TAIZHOU HUANGYAN FEIDA-SANHE PLASTIC PRODRCTS
CO., LTD. |
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Registered Office : |
No. 9 Rouji Road, Huangyan Economic Development
Zone, Taizhou, Zhejiang
Province 318020 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
31.05.2002 |
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Com. Reg. No.: |
3310032006781 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
manufacturing, processing and selling plastic products and moulds |
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No. of Employees : |
168 |
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 : |
Unknown |
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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 |
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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 2012 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 under 8% for 2012. An economic slowdown in Europe
contributed to China's, and is expected to further drag Chinese growth in 2013.
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
Taizhou Huangyan Feida-Sanhe Plastic Prodrcts Co., Ltd.
no. 9 rouji road, huangyan
economic development zone
taizhou, zhejiang province 318020
PR CHINA
TEL: 86 (0) 576-84276883
FAX: 86 (0) 576-84276766
EXECUTIVE SUMMARY
Date of Registration : may 31, 2002
REGISTRATION NO. : 3310032006781
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny 12,280,000
staff : 168
BUSINESS CATEGORY : manufacturing & processing & trading
Revenue : CNY 57,916,000 (AS OF DEC. 31, 2011)
EQUITIES : CNY 17,802,000 (AS OF DEC. 31, 2011)
WEBSITE : www.feidash.com
E-MAIL : sales@feidash.com
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : ORDINARY
GENERAL REPUTATION : average
EXCHANGE RATE : CNY 6.18 = 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
LEGAL STATUS & HISTORY
SC was
established as a limited liabilities company of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 3310032006781 on May 31,
2002.
SC’s Organization Code Certificate
No.: 14813779-1
SC’s registered capital: cny 12,280,000
SC’s paid-in capital: cny 12,280,000
Registration Change Record:-
No significant changes of SC have
been noted in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Guan Changguo |
40 |
|
Wang Jie |
10 |
|
Wang Qixiu |
50 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman
and General Manager |
Wang Qixiu |
|
Director |
Wang Jie |
|
Supervisor |
Guan Changguo |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Guan Changguo 40
Wang Jie 10
Wang Qixiu 50
MANAGEMENT
Wang
Qixiu, Legal
Representative, Chairman and General Manager
---------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
ID# 332622195009170033
Ø
Age: 63
Ø
Working
experience (s):
At present, working in SC as legal representative, chairman
and general manager
Wang
Jie, Director
----------------------------------
Ø
Gender: F
Ø
ID# 332603780901002
Ø
Age: 35
Guan
Changguo , Supervisor
-------------------------------------------------
Ø
Gender: M
Ø
ID# 332622197202232493
Ø
Age: 41
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing,
processing, and selling plastic products and moulds; exporting its products, importing
machinery, components, raw materials and accessories; and selling cloth goods,
cloth baby products, plastic raw materials, and rubber products for daily use.
SC is
mainly engaged in manufacturing, processing and selling plastic products and moulds.
SC’s products mainly include:
F
Series
Bathroom
Series
Zaohe
Series
Counters
Series
Cup
Series
Series
barrel
Kitchen
Series
Toolbox
Series
Series
of children's products
Ironing
board series
NretiaryBag
Series
Slippers
Series
Conglutinate
draw Series
Basket
series
Transparent
series
Initate
jade series
Poly
chrome series
Lvory-white
series
The
first clear food container series
The
second clear food container series
SC sources its materials 100% from domestic market.
SC sells 55% of its products in domestic market, and 45% to overseas market,
mainly Southeast Asia, etc.
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.
Staff & Office:
--------------------------
SC is
known to have approx. 168 staff
at present.
SC rents an area
as its operating office and factory, but the detailed information is unknown.
RELATED
COMPANY
SC
is not known to have any subsidiary at present.
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 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
The bank information
of SC is not filed in local SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
|
5,949 |
|
|
Notes receivable |
0 |
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Accounts
receivable |
35,995 |
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Advances to
suppliers |
0 |
|
Other receivable |
21,345 |
|
Inventory |
3,886 |
|
Prepaid
expense |
8 |
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Other current
assets |
0 |
|
|
------------------ |
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Current assets |
67,183 |
|
Fixed assets |
8,308 |
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Construction in
progress |
0 |
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Intangible
assets |
407 |
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Long-term
investment |
160 |
|
Deferred income
tax assets |
0 |
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Other
non-current assets |
0 |
|
|
------------------ |
|
Total assets |
76,058 |
|
|
============= |
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Short-term loans |
50,945 |
|
Notes payable |
4,694 |
|
Accounts payable |
2,451 |
|
Welfares payable |
0 |
|
Taxes payable |
0 |
|
Advances from
clients |
272 |
|
Other payable |
-155 |
|
Other current
liabilities |
49 |
|
|
------------------ |
|
Current
liabilities |
58,256 |
|
Non-current
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
58,256 |
|
Equities |
17,802 |
|
|
------------------ |
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Total
liabilities & equities |
76,058 |
|
|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2011 |
|
Revenue |
57,916 |
|
Cost of sales |
48,318 |
|
Sales expense |
1,283 |
|
Management expense |
3,181 |
|
Finance expense |
3,368 |
|
Investment
income |
23 |
|
Non-operating
income |
0 |
|
Non-operating expense |
4 |
|
Profit before
tax |
1,528 |
|
Less: profit tax |
382 |
|
1,146 |
Important Ratios
=============
|
|
As of Dec. 31, 2011 |
|
*Current ratio |
1.15 |
|
*Quick ratio |
1.09 |
|
*Liabilities
to assets |
0.77 |
|
*Net profit
margin (%) |
1.98 |
|
*Return on
total assets (%) |
1.51 |
|
*Inventory /
Revenue ×365 |
25 days |
|
*Accounts
receivable / Revenue ×365 |
227 days |
|
*Revenue /
Total assets |
0.76 |
|
*Cost of sales
/ Revenue |
0.83 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears
average in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of sales is average, 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 fairly good
level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears large.
l
The short-term loans of SC appear large.
l
SC’s revenue is in a
fair 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 above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable
financial conditions. The large amount of accounts receivable and short-term loans may be a threat to SC’s financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.17 |
|
UK Pound |
1 |
Rs.82.45 |
|
Euro |
1 |
Rs.70.70 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.