MIRA INFORM REPORT
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Report Date : |
23.08.2013 |
IDENTIFICATION DETAILS
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Name : |
WUHAN GOLDEN LASER CO. LIMITED |
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Registered Office : |
Golden Laser Building, No. 6 Shiqiao 1st Road Jiang’an District, Wuhan, Hubei Province 430012 PR |
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Country : |
China |
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Financials (as on) : |
30.06.2013 |
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Date of Incorporation : |
11.03.2005 |
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Com. Reg. No.: |
420100000084853 |
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Legal Form : |
Shares Limited
Company |
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Line of Business : |
Subject is engaged in researching, developing,
manufacturing and selling laser equipment and laser. |
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No. of Employees : |
555 |
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 : |
Good |
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Payment Behaviour : |
Regular |
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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) |
|
China |
A2 |
A2 |
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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 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 AND ADDRESS
WUHAN GOLDEN LASER
CO., LTD.
Golden Laser
Building, NO. 6 SHIQIAO 1ST ROAD
JIANG’AN DISTRICT,
WUHAN, HUBEI PROVINCE 430012 PR CHINA
TEL: 86 (0)
27-82944108/82944300/82943848/82943889
FAX: 86 (0)
27-82944068/82943952
EXECUTIVE SUMMARY
Date of Registration : MARCH 11, 2005
REGISTRATION NO. : 420100000084853
LEGAL FORM : SHARES LIMITED COMPANY
REGISTERED CAPITAL :
cny 70,000,000
staff : 555
BUSINESS CATEGORY :
r & d & manufacturing & trading
REVENUE :
CNY 81,872,000 (JAN. 1 2013 TO
JUN. 30, 2013)
EQUITIES :
CNY 294,082,000 (AS OF JUN. 30, 2013)
WEBSITE : www.goldenlaser.cn
E-MAIL : lwlhd@vip.163.com
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairLY STABLE
OPERATIONAL TREND : FAIRLY
STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.13 = 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 on March 11, 2005. However, SC changed to present legal form,
and was registered as a shares limited company of PRC with State Administration
for Industry & Commerce (SAIC) under registration No.: 420100000084853 in
April 2009.
SC’s Organization
Code Certificate No.: 77137383-3
SC’s registered capital: cny 70,000,000
SC’s paid-in capital: cny 70,000,000
Registration Change
Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2005-11 |
Registered Capital |
CNY 1,000,000 |
CNY 5,000,000 |
|
2008-05 |
Registered Capital |
CNY 5,000,000 |
CNY 10,000,000 |
|
2009-04 |
Registered Capital |
CNY 10,000,000 |
CNY 26,000,000 |
|
Legal Form |
Limited Liabilities Company |
Shares Limited Company |
|
|
2011-5 |
Registered Capital |
CNY 26,000,000 |
CNY 35,000,000 |
|
2013 |
Registered Capital |
CNY 35,000,000 |
cny 70,000,000 |
Current Co search
indicates SC’s shareholders & chief executives are as follows:-
|
Name of
Shareholder (s) (As of June 30, 2013) |
% of Shareholding |
|
Liang Wei |
54.85 |
|
Wuhan Jinshengtong Investment and Management Co., Ltd. |
3.71 |
|
Wang Danmei |
2.02 |
|
Hong Xinyuan |
1.71 |
|
Yi Shumei |
1.49 |
|
Liang Ping |
1.43 |
|
Li Jun |
1.37 |
|
Zhang Kening |
1.30 |
|
Nong Yuanqin |
1.14 |
|
Xu Haitong |
1.14 |
|
Other Shareholders |
29.84 |
SC’s Chief
Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman and General Manager |
Liang Wei |
|
Deputy General Manager |
Li Jun |
|
Ai Jun |
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|
Wang
Danmei |
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|
Wu
Tao |
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Director |
Gong Zhenggang |
|
Zhang Huide |
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|
Supervisor |
Zhu Yiming |
|
Li Aijing |
|
|
Zhang Tao |
RECENT DEVELOPMENT
SC was listed in
Shenzhen Stock Exchange Market with the code of
SHAREHOLDER CHART & BACKGROUND
Name
%
of Shareholding
(As of June 30, 2013)
----------------------------------
Liang Wei
54.85
Wuhan Jinshengtong Investment and Management Co., Ltd.
3.71
Wang Danmei
2.02
Hong Xinyuan
1.71
Yi Shumei
1.49
Liang Ping 1.43
Li Jun 1.37
Zhang Kening
1.30
Nong Yuanqin
1.14
Xu Haitong
1.14
Other Shareholders
29.84
Wuhan
Jinshengtong Investment and Management Co., Ltd.
-------------------------------------------
Registration No.:
420102000065406
Legal Form: Limited Liability Company
Registered Capital:
CNY 600,000
MANAGEMENT
Liang Wei, Legal Representative, Chairman and General Manager
----------------------------------------------------------------------------------------------
Ø
Gender:
M
Ø
Age: 46
Ø Qualification: University
Ø Working experience (s):
From 2005 to present, working in SC as legal representative,
chairman and general manager
Also working in Wuhan Shengxingye Software Technology
Co., Ltd. as legal representative
Deputy
General Manager
-------------------------------
Li Jun
Ai Jun
Wang
Danmei
Wu Tao
Director
-----------
Gong Zhenggang
Zhang Huide
Supervisor
---------------
Zhu
Yiming
Li
Aijing
Zhang
Tao
BUSINESS OPERATION
SC’s registered business scope includes optical and electrical series laser equipment, laser research and development, production, sales and technical services; CNC systems and software development, sales and technical services; CNC equipment, power equipment sales and technical services; import and export of goods and technology; import and export agent (excluding the goods and technology prohibited or limited by the country). (with permit if needed)
SC is mainly engaged in researching, developing, manufacturing and selling laser equipment and laser.
SC’s products mainly include: laser cutting machine, laser engraving
machine, metal laser cutting machine, stainless steel plate cutting machine,
organic glass and acrylic board laser cutting machine, trademark embroidered
cloth laser cutting machine, etc.
SC sources its materials 95% from domestic
market, and 5% from the overseas market. SC sells 50% of its products in
domestic market, and 50% to the overseas market.
The buying terms of SC
include Check, T/T, L/C and Credit of 30-90 days. The payment terms of SC
include Check, T/T, L/C and Credit of 30-60 days.
Major Clients:
……………….
Dekat
Bilgisayar Ve Tekstil Tasarimlari, Ltd.
Sierra Technology Group S.A.
Preco
Inc.
Borda Import Ltd.
Staff & Office:
--------------------------
SC is known to have approx. 555 staff at present.
SC owns an area as its operating office and factory, but the detailed information is unknown.
RELATED COMPANY
SC is known to have
one subsidiary company,
Wuhan Shengxingye
Software Technology Co., Ltd. (in Chinese Pinyin)
Legal
Representative: Liang Wei
Registration No.:
420100000106305
Registered Capital:
CNY 500,000
Date of
Registration: March 31, 2006
Offices
(According to SC’s website):
Shanghai
Office
Add:
Room 102, No. 15, Lane 885, Qinzhou North Road, Shanghai
Nanjing
Office
Add:
Room 405, Unit 2, Building 32, Changying Village, Qixia District, Nanjing
Yangzhou Office
Add: Room 104, Building 10, Meizhuang New Village, Weiyang District, Yangzhou
Tianjin Office
Add: Room 608, Unit 2, Building 7, Dianchili, Weiguodao, Hedong District, Tianjin
Hangzhou Office
Add: Room 614, No. 42, Building 4, Haichao New Village, Shangcheng District, Hangzhou
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 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, 2012 |
As of Jun. 30, 2013 |
|
172,013 |
112,275 |
|
|
Held
for trading financial assets |
0 |
40,000 |
|
Accounts receivable |
12,245 |
28,283 |
|
Notes receivable |
900 |
195 |
|
Advances to suppliers |
9,142 |
4,993 |
|
Interest receivable |
0 |
104 |
|
Other receivable |
3,019 |
4,152 |
|
Inventory |
96,878 |
98,726 |
|
Non-current assets within one year |
0 |
0 |
|
Other current assets |
3,090 |
0 |
|
|
------------------ |
------------------ |
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Current assets |
297,287 |
288,728 |
|
Long-term investments |
0 |
0 |
|
Long-term receivable |
0 |
0 |
|
Real estate investment |
0 |
0 |
|
Fixed assets |
81,765 |
83,121 |
|
Construction in progress |
0 |
0 |
|
Intangible assets |
1,686 |
1,455 |
|
Long-term deferred expense |
3,922 |
3,489 |
|
Deferred income tax assets |
332 |
264 |
|
Other non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
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Total assets |
384,992 |
377,057 |
|
|
============= |
============= |
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Short-term loans |
4,717 |
0 |
|
Notes payable |
0 |
687 |
|
Accounts payable |
14,780 |
14,421 |
|
Payroll payable |
4,230 |
438 |
|
Taxes payable |
69 |
-1,108 |
|
Interest payable |
325 |
2,275 |
|
Dividends payable |
1,687 |
-1 |
|
Advances from clients |
13,348 |
6,382 |
|
Other payable |
1,172 |
204 |
|
Other current liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current liabilities |
40,328 |
23,298 |
|
Non-current liabilities |
58,925 |
59,677 |
|
|
------------------ |
------------------ |
|
Total liabilities |
99,253 |
82,975 |
|
Equities |
285,739 |
294,082 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
384,992 |
377,057 |
|
|
============= |
============= |
Income
Statement
|
Unit: CNY’000 |
As of Dec. 31, 2012 |
Jan. 1 2013 to Jun. 30, 2013 |
|
Revenue |
143,134 |
81,872 |
|
Cost of sales |
79,218 |
48,752 |
|
Business Taxes and Surcharges |
97 |
82 |
|
Sales expense |
32,770 |
11,909 |
|
Management expense |
19,764 |
10,862 |
|
Finance expense |
-778 |
2,389 |
|
Asset impairment loss |
272 |
425 |
|
Investment income |
0 |
437 |
|
Non-operating income |
3,137 |
966 |
|
Non-operating expense |
13 |
321 |
|
Profit before tax |
14,914 |
8,533 |
|
Less: profit tax |
1,695 |
1,379 |
|
13,219 |
7,154 |
Important Ratios
=============
|
|
As of Dec. 31, 2012 |
As of Jun. 30, 2013 |
|
*Current ratio |
7.37 |
12.39 |
|
*Quick ratio |
4.97 |
8.16 |
|
*Liabilities to
assets |
0.26 |
0.22 |
|
*Net profit
margin (%) |
9.24 |
8.74 |
|
*Return on
total assets (%) |
3.43 |
1.90 |
|
*Inventory / Revenue
×365/180 |
248 days |
218 days |
|
*Accounts
receivable / Revenue ×365/180 |
32 days |
63 days |
|
*Revenue /
Total assets |
0.37 |
0.22 |
|
*Cost of sales
/ Revenue |
0.55 |
0.60 |
FINANCIAL COMMENTS
PROFITABILITY: FAIRLY GOOD
l The revenue of SC appears fairly good in its line.
l SC’s net profit margin is fairly good.
l SC’s return on total assets is average.
l SC’s cost of goods sold is average, comparing with its revenue.
LIQUIDITY: AVERAGE
l The current ratio of SC is maintained in a fairly good level.
l SC’s quick ratio is maintained in a fairly good level.
l The inventory of SC appears large.
l The accounts receivable of SC appears average.
l The short-term loans of SC appear average in 2012.
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 low.
l The risk for SC to go bankrupt is average.
Overall financial condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 65.42 |
|
|
1 |
Rs. 102.10 |
|
Euro |
1 |
Rs. 87.32 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIS |
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.