MIRA INFORM REPORT
|
Report Date : |
30.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
ZHEJIANG TIANLE MICRO ELECTRONICS TECHNOLOGY CORPORATION LIMITED |
|
|
|
|
Registered Office : |
No. 38, Tianle Road, Economic Development Zone, Shengzhou, Shaoxing, Zhejiang PROVINCE, 312400 PR |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
01.06.2010 |
|
|
|
|
Com. Reg. No.: |
330600000097032 |
|
|
|
|
Legal Form : |
Shares Limited Company |
|
|
|
|
Line of Business : |
Manufacturing and Selling Led Back Light Mould. |
|
|
|
|
No. of Employees : |
300 |
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 – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
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 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
ZHEJIANG TIANLE MICRO ELECTRONICS TECHNOLOGY
Corporation Limited
No. 38, tianle
road, Economic development Zone, shengzhou,
Shaoxing, zhejiang
PROVINCE, 312400 PR CHINA
TEL: 86 (0)
575-83798312 FAX: 86 (0)
575-83358798
EXECUTIVE SUMMARY
INCORPORATION DATE : june 1, 2010
REGISTRATION NO. : 330600000097032
REGISTERED LEGAL FORM : SHARES LIMITED COMPANY
STAFF STRENGTH :
300
REGISTERED CAPITAL : CNY 30,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 416,040,000 (AS OF DEC. 31, 2012)
EQUITIES : CNY 56,830,000
(AS OF DEC. 31, 2012)
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.12 = 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 Renminbi
Note: SC is also
known as Zhejiang Tianle Microelectronics Technology Co., Ltd.
SC was registered as a shares limited co. at local Administration for
industry & commerce (AIC - the official body of issuing and renewing
business license) on June 1, 2010.
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The co has independent
property of legal person and enjoys property rights of legal person. The characteristics of the shares limited co. are as
follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be domiciled
in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co.
raises capital by public offer, the promoters must not subscribe less than
35% of the total shares. the promoters’ shares are restricted to transfer-
within one year of the offer. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered business scope includes researching and developing
micro-electronics; manufacturing and selling LED back light mould, blue-ray
DVD; wholesaling and retailing flat panel display products, LED light-emitting devices
and plastics; import and export of goods.
SC is mainly
engaged in manufacturing and selling LED back light mould.
Mr. Qian
Yimin is legal representative, chairman
and general manager of SC at present.
SC is known to have approx. 300 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the development zone of Shengzhou. The detailed
information of the premise is unspecified.
SC is not known to host website of its own at present.
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
Tax Registration Certificate No.: 330683556181687
Organization Code: 556181687
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Zhejiang Tianle Group Co., Ltd. 3
Ge Nanyao 32
Wang Qingchun 10
Song Hongyuan 10
Qian Yimin 10
Qian Linchai 10
Ge Jinming 20
Ge Jinrong 5
Zhejiang Tianle Group Co., Ltd.
========================
Registered no.: 330683000020474
Legal representative: Ge Jinming
Registered capital: CNY 51,800,000
Date of incorporation:
Web: http://www.tianle.com The website is unable
to be landed at present for the technical reason.
Tel: 86-575-83365058
Fax: 86-575-83358111
l Legal
representative, Chairman and General manager:
Mr. Qian Yimin , born in 1970 with
university education. He is currently responsible for the overall management of
SC.
Working Experience(s):
At present Working in SC as legal representative, chairman
and general manager.
l Vice-chairman:
Mr. Song Hongyuan , born in 1952 with
university education. He is currently responsible for the daily management of
SC.
Working Experience(s):
At present Working in SC as vice-chairman
Also working in Zhejiang Tianle
Digital Electronic Co., Ltd. as vice-general manager
SC is mainly
engaged in manufacturing and selling LED back light mould.
SC’s products mainly
include: LED back light, LCM mould system, etc.
SC sources its materials 80% from domestic
market, and 20% from overseas market. SC sells 70% of its products in domestic
market, and 30% to overseas market.
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.
Note: SC’s management declined to release its customer and supplier
details.
Zhejiang Tianle Digital Electronic Co., Ltd.
----------------------------------------------------
Registered no.: 330600400013099
Legal representative: Wang Qingchun
Registered capital: USD 7,240,000
Date of incorporation:
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.
SC’s management declined
to release its bank details.
Balance Sheet
Unit: CNY’000
|
|
as
of Dec. 31, 2012 |
|
Cash & bank |
38,230 |
|
Inventory |
49,950 |
|
Accounts
receivable |
35,980 |
|
Advances to
suppliers |
2,520 |
|
Other receivables |
2,230 |
|
Other current
assets |
0 |
|
|
------------------ |
|
Current assets |
128,910 |
|
Fixed assets net
value |
55,060 |
|
Projects under
construction |
0 |
|
Long term
investment |
0 |
|
Intangible
assets |
10,420 |
|
Other assets |
0 |
|
|
------------------ |
|
Total assets |
194,390 |
|
|
============= |
|
Short loans |
61,400 |
|
Notes payable |
2,530 |
|
Accounts payable |
72,210 |
|
Other payable |
60 |
|
Taxes payable |
300 |
|
Advances from
clients |
0 |
|
Other current
liabilities |
1,060 |
|
|
------------------ |
|
Current
liabilities |
137,560 |
|
Long term
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
137,560 |
|
Equities |
56,830 |
|
|
------------------ |
|
Total
liabilities & equities |
194,390 |
|
|
============= |
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2012 |
|
Turnover |
416,040 |
|
Cost of goods
sold |
372,310 |
|
Taxes and
additional of main operation |
90 |
|
Sales expense |
2,880 |
|
Management expense |
15,290 |
|
Finance expense |
4,990 |
|
Profit before
tax |
20,990 |
|
Less: profit tax |
6,080 |
|
Profits |
14,910 |
Important Ratios
=============
|
|
as
of Dec. 31, 2012 |
|
*Current ratio |
0.94 |
|
*Quick ratio |
0.57 |
|
*Liabilities
to assets |
0.71 |
|
*Net profit
margin (%) |
3.58 |
|
*Return on
total assets (%) |
7.67 |
|
*Inventory
/Turnover ×365 |
44 days |
|
*Accounts
receivable/Turnover ×365 |
32 days |
|
*Turnover/Total
assets |
2.14 |
|
* Cost of
goods sold/Turnover |
0.89 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is fairly good.
l
SC’s cost of goods sold is average, comparing with
its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level.
l
SC’s quick ratio is maintained in a fair level.
l
The inventory of SC appears average in 2012.
l
The accounts receivable of SC appears average in
2012.
l
SC’s short-term loan appears fairly large in 2012.
l
SC’s turnover 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:
Fairly stable.
SC is considered medium-sized in its line with fairly stable financial
conditions. The large amount of short loans could be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.67.70 |
|
|
1 |
Rs.105.14 |
|
Euro |
1 |
Rs.90.03 |
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.