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Report Date : |
30.04.2013 |
IDENTIFICATION DETAILS
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Name : |
TCT MOBILE INTERNATIONAL LTD. |
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Registered Office : |
Room 1910-1912A, 19/F., Tower 3, China Hong Kong City, 33 Canton Road, Tsimshatsui, Kowloon |
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Country : |
Hong Kong. |
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Date of Incorporation : |
11.05.2005. |
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Com. Reg. No.: |
35686831 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Manufacturer, Importer and Exporter of all kind of mobile phones, etc. |
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No. of Employees : |
15. (Including associates) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
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 |
HONG KONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international
trade and finance - the value of goods and services trade, including the
sizable share of re-exports, is about four times GDP. Hong Kong levies excise
duties on only four commodities, namely: hard alcohol, tobacco, hydrocarbon
oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open
economy left it exposed to the global economic slowdown that began in 2008.
Although increasing integration with China, through trade, tourism, and
financial links, helped it to make an initial recovery more quickly than many
observers anticipated, it again faces a possible slowdown as exports to the
Euro zone and US slump. The Hong Kong government is promoting the Special
Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization.
Hong Kong residents are allowed to establish RMB-denominated savings accounts;
RMB-denominated corporate and Chinese government bonds have been issued in Hong
Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion
quota set by Beijing for trade settlements in 2010 due to the growth of
earnings from exports to the mainland. RMB deposits grew to roughly 9.1% of
total system deposits in Hong Kong by the end of 2012, an increase of 59% from
the previous year. The government is pursuing efforts to introduce additional
use of RMB in Hong Kong financial markets and is seeking to expand the RMB
quota. The mainland has long been Hong Kong's largest trading partner,
accounting for about half of Hong Kong's exports by value. Hong Kong's natural
resources are limited, and food and raw materials must be imported. As a result
of China's easing of travel restrictions, the number of mainland tourists to
the territory has surged from 4.5 million in 2001 to 34.9 million in 2012,
outnumbering visitors from all other countries combined. Hong Kong has also
established itself as the premier stock market for Chinese firms seeking to
list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the
firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of
the Exchange's market capitalization. During the past decade, as Hong Kong's
manufacturing industry moved to the mainland, its service industry has grown
rapidly. Growth slowed to 5% in 2011, and less than 2% in 2012. Credit
expansion and tight housing supply conditions caused Hong Kong property prices
to rise rapidly and inflation to rise 4.1% in 2012. Lower and middle income
segments of the population are increasingly unable to afford adequate housing.
Hong Kong continues to link its currency closely to the US dollar, maintaining
an arrangement established in 1983
Source
: CIA
TCT MOBILE
INTERNATIONAL LTD.
ADDRESS: Room 1910-1912A, 19/F., Tower 3, China Hong
Kong City, 33 Canton Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 3990 0261
Managing Director: Mr. Liu Yuk
Tung, Thomas
Incorporated on: 11th
May, 2005.
Organization: Private
Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$1.00
Business Category: Mobile Phone Trader.
Group Turnover: HK$12,031,212,000 (Year ended 31-12-2012)
Employees:
15. (Including associates)
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head Office:-
Room 1910-1912A, 19/F., Tower 3, China Hong Kong City, 33 Canton Road,
Tsimshatsui, Kowloon, Hong Kong.
Holding Company:-
TCT Mobile Worldwide Ltd., Hong Kong.
Intermediate Holding Company:-
TCL Communication Technology Holdings Ltd., Cayman
Islands/Hong Kong
Ultimate Holding Company:-
TCL Corporation, China.
Associated Companies:-
TCL Communication
Technology Holdings Group of Companies
Huizhou TCL Communication Electronic Ltd., China.
Huizhou TCL Mobile, China.
JRD Shanghai, China.
JRD Shenzhen, China.
Ningbo R&D, China.
TCL Communication Technology (Chengdu) Ltd., China.
TCL Mobile Communication (HK) Co. Ltd., Hong Kong.
TCL Mobile-Telefones Ltda., Brazil.
TCT Communication Technology (Suzhou) Ltd., China.
TCT Mobile (US) Inc., US.
TCT Mobile Ltd., Hong Kong.
TCT Mobile Multinational Ltd., Hong Kong.
TCT Mobile SA DE CV, Mexico.
TCT SAS, France.
etc.
35686831
0969687
Managing Director: Mr. Liu Yuk
Tung, Thomas
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$1.00
(As per registry dated 11-05-2012)
|
Name |
|
No. of share |
|
TCT Mobile Worldwide Ltd., Hong Kong. |
|
1 = |
(As per registry dated 11-05-2012)
|
Name (Nationality) |
Address |
|
LIU Yuk Tung, Thomas |
Room A, 34/F., Block 5, Phase, Belvedere Garden, Hong Kong. |
|
GUO Ai Ping |
19C, Block 11, Phase 2, Sunny Bay, Nanshan District, Shenzhen,
Guangdong, China. |
(As per registry dated 11-05-2012)
|
Name |
Address |
Co. No. |
|
Cheto (Nominees) Ltd. |
Room 501, 5/F., Sun Hung Kai Centre, 30 Harbour Road, Hong Kong. |
0098732 |
The subject was incorporated on 11th May, 2005 as a private limited
liability company under the Hong Kong Companies Ordinance.
Originally the subject was registered under the name of T&A Mobile Phones
International Ltd., name changed to the present style on 19th February, 2008.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Manufacturer,
Importer and Exporter.
Lines: All
kind of mobile phones, etc.
Employees: 15. (Including associates)
Commodities Imported: China, etc.
Markets: China,
Japan, other Asian countries, Europe, North America, etc.
Group Turnover: HK$
4,538,281,000 (Year ended
31-12-2008)
HK$ 4,360,886,000
(Year ended 31-12-2009)
HK$ 8,700,694,000
(Year ended 31-12-2010)
HK$10,653,020,000 (Year ended 31-12-2011)
HK$12,031,212,000 (Year ended 31-12-2012)
Terms/Sales:
L/C or as per
contracted.
Terms/Buying: L/C
or as per contracted.
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$1.00
Group Profit/(Loss): HK$ 28,491,000
(Year ended 31-12-2008)
HK$ 23,005,000
(Year ended 31-12-2009)
HK$701,770,000 (Year ended 31-12-2010)
HK$800,645,000 (Year ended 31-12-2011)
(HK$220,028,000)
(Year ended 31-12-2012)
Group Profit or Loss: Group
made a great loss in 2012.
Condition:
Keeping in a
satisfactory manner.
Facilities:
Making rather
active use of general banking facilities.
Payment:
Met trade
commitments as required.
Commercial Morality: Satisfactory.
Bankers:-
The Hongkong & Shanghai Banking Corp.
Ltd., Hong Kong.
Standard Chartered Bank (Hong Kong) Ltd.,
Hong Kong.
Standing: Normal.
TCT Mobile International Ltd. is a wholly-owned subsidiary of TCT Mobile
Worldwide Ltd. which is a Hong Kong-registered firm. The intermediate holding company TCL
Communication Technology Holdings Ltd. [TCL Communication/Company/together with
its subsidiaries collectively refer to the Group] is a Hong Kong listed firm.
The subject is trading in all kinds of mobile phones manufactured by the
Group.
TCL Communication designs, manufactures and markets an expanding
portfolio of mobile and internet products worldwide under two key brands -
ALCATEL ONE TOUCH and TCL. The Group’s
portfolio of products is currently sold in China and over 120 countries
throughout the Americas, Europe, the Middle East, Africa and Asia. TCL Communication operates its manufacturing
plants and R&D centres in various provinces of China with headquarters in
Shenzhen Special Economic Zone, China.
Currently, TCL Corporation [TCL Corp.] is the Group’s largest
shareholder.
The followings are the financial highlights of the Group for the year of
2012:
In 2012, the Group faced many challenges caused by the uncertain global economy, product transition and intensified competition
in the handset market. To cope with this
industry trend, the Group continued to focus on developing its smartphone
business and stepped up its investment and efforts in research and development
[R&D], brand building and marketing.
As a result the group successfully recorded steady and healthy growth in
the sales volume of smartphones and other smart devices.
In total sales of smartphones and other smart devices rose by 375% to
6.5 million units in 2012, accounting for 15.3% of the Group’s total shipment,
compared to 3.2% in the previous year.
The increase in smartphone shipment had the additional effect of
boosting the overall average selling price per unit to US$36.2 during the year
under review, up from US$31.3 in the previous year, which increased the Group’s
overall revenue in 2012 by 13% to HK$12 billion.
However, as the majority of Group’s smartphone and other smart devices
at present consist of entry-level smartphones, a market segment where
competition is extremely fierce, selling prices are currently under
extraordinary pressure. In addition, the
sales volume of the Group’s smartphones has not yet reached an economy of
scale, which has resulted in lower gross profit margins for smartphones. At the same time, due to the global trend of
feature phones being replaced by entry-level smartphones, both the ASP and
gross margin for feature phones have also decreased dramatically. Affected by the above, the Group’s overall
gross margin dropped by 5% from 22% to 17%.
The subject is fully supported by the Group. History in Hong Kong is about eight years.
On the whole, consider the subject good for normal business engagements.
Brief Personal Profile of the Principal Directors:-
Mr. GUO Ai Ping aged 50, is the CEO and Executive Director of the
Company, and the Senior Vice President of TCL Corp. Mr. GUO joined the Group in July 2001 and he
was appointed successively as the Chief Operating Officer, Vice President,
Senior Vice President and President. Mr.
GUO was also a Vice President of TCL Corp.
He has extensive experience in overall management of multinational
company, strategic planning and development, and merger and acquisition in the
worldwide wireless industry. Prior to
joining TCL Corp., Mr. GUO held positions as Manager in SB Global, Project
Coordinator in IBM, Senior Business Consultant in Arthur Andersen and Chief
Technology Officer in Zhaodaola Internet Company. He graduated from Stanford University with a
Doctor’s degree in Management Science and Master’s degree in Engineering Economics
and system.
Mr. LIU Yuk Tung, Thomas
aged 50, is a Senior Vice President and Chief Financial Officer of the
Company, and a director of TCL Finance Co., Ltd. since 20th February 2013. Mr. LIU has about 27 years of experience in
fields of audit, international finance and trading business. Prior to joining the Company, he was the Asia
Pacific Regional Financial Controller of Stratus Corporation in US, Sales and
Marketing Director and General Manager of Neo-Neon Holdings Limited, a company
with its shares listed on the Stock Exchange.
He is also a CPA of HKICPA, Chartered Accountant of ICAEW and fellow
member of ACCA. Mr. LIU holds a
Bachelor’s degree in Economics from the University of Hong Kong, a MBA from the
University of New South Wales, Australia and a Master’s Degree in Accounting
from Jinan University, PRC.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.28 |
|
|
1 |
Rs.84.23 |
|
Euro |
1 |
Rs.70.90 |
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.