MIRA
INFORM REPORT
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Report Date : |
18.06.2013 |
IDENTIFICATION DETAILS
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Name : |
SHANGHAI YAWA PRINTING MACHINERY CO., LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
23.11.1988 |
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Com. Reg. No.: |
310000400004235 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture |
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Line of Business : |
Manufacturing and selling mechanical equipment. |
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No. of Employees : |
287 |
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
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Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
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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
SHANGHAI YAWA PRINTING MACHINERY CO., LTD.
NO. 218 LUOJIN ROAD, MINHANG DISTRICT, SHANGHAI 201104 PR CHINA
TEL: 86 (0) 21-64541150
FAX: 86 (0) 21-64041244
EXECUTIVE SUMMARY
Date of Registration : November 23, 1988
REGISTRATION NO. : 310000400004235
LEGAL FORM : CHINESE-FOREIGN EQUITY
JOINT VENTURE ENTERPRISE
REGISTERED CAPITAL : USD 10,300,000
staff :
287
BUSINESS CATEGORY : Manufacturing
Revenue :
CNY 165,524,000 (AS OF DEC. 31, 2012)
EQUITIES :
CNY 80,035,000 (AS OF DEC. 31, 2012)
WEBSITE : www.yawainc.com.cn
E-MAIL :
yawa@yawainc.com.cn
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.14 = 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 Chinese-foreign equity joint venture enterprise of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 310000400004235 on November 23, 1988.
SC’s Organization Code Certificate No.:
60723432-1
SC’s registered capital: USD 10,300,000
SC’s paid-in capital: USD 10,300,000
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 |
|
Shanghai Electric Group Printing &
Packaging Machinery Co., Ltd. |
60 |
|
Tai Kong Holdings Limited (Hong Kong) |
40 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Zheng Jinrong |
|
General Manager |
Fan Feiran |
RECENT DEVELOPMENT
Honors
----------
l
Shanghai Municipal High-Tech enterprise
l
Shanghai Municipal Advanced-Tech enterprise
l
Shanghai Municipal Foreign Investment Double
Excellent enterprise
l
Shanghai Municipal Civilization Company
l
Shanghai Double-intensive enterprise
l
Excellent Packaging enterprise of China
l
Top-Five-Hundred enterprises in Chinese Machinery
field
l
Top-Ten enterprises in Chinese Printing &
Packaging Machinery field
l
Shanghai Municipal Top-Fifty Packaging enterprises
l
Shanghai Patent Working Experimental enterprise
l
Shanghai Municipal Intellectual Property rights
Model enterprise
l
Top-Ten Brand enterprises of China (Lion Seal)
l
Shanghai Municipal Famous Brand (Lion Seal)
l
Shanghai Municipal Famous Brand Product consecutive
12 years (Lion Seal)
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Shanghai Electric Group Printing &
Packaging Machinery Co., Ltd. 60
Tai Kong Holdings Limited (Hong Kong) 40
Shanghai Electric Group Printing & Packaging Machinery
Co., Ltd.
-----------------------------------------
Date of Registration: May 4, 1999
Registration No.: 310115000510211
Legal Form: One-person Limited
Liability Company
Registered Capital: CNY 632,862,663
Tai Kong Holdings Limited (Hong Kong)
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CR No.: 0891474
Company Status:
Private
Active Status: Live
MANAGEMENT
Zheng
Jinrong , Legal Representative and
Chairman
-------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 53
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC
as legal representative and chairman
Also working in Shanghai
Electric Group Printing & Packaging Machinery Co., Ltd. as vice chairman,
and working in Shanghai Purlux Machinery Co., Ltd. as chairman
Fan Feiran , General
Manager
--------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as general manager
BUSINESS OPERATION
SC’s registered
business scope includes manufacturing various kinds of package printing
decorated machines and other mechanical & electrical products, selling
self-made products and supplying related after services. Wholesaling/importing
& exporting/supplying commission agency (excluding auction) / offering
related services of the above self –made/related/ products. (should according
to the state regulations if involved in the quota license and
regulations)(with permit if needed)
SC is mainly engaged
in manufacturing and selling mechanical equipment.
Brand: Lion
Seal
SC’s products
mainly include: MW
series automatic diecutting machines, TYM series automatic foil stamping and diecutting
machines, ZH series automatic folder gluers, PYQ series hand-fed creasing and
cutting machines, TYMB series hand-fedstamping and diecutting machines, ZH
series automatic folder gluers, PYQ series hand-fed creasing and cutting
machines, TYMB series hand-fed foil stamping machines, etc.
SC sources its materials 100% from domestic market. SC sells 70% of its products in domestic market, and 30% to overseas market.
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.
*Major Customer:
=============
Bernal Inc.
Staff & Office:
--------------------------
SC is known
to have approx. 287 staff at
present.
SC owns an area as
its operating office & factory of approx. 70,000 sq. meters at the heading
address.
RELATED COMPANY
Shanghai Bernal-Yawa Printing & Packing Machinery Co., Ltd.
Shanghai Purlux Machinery Co., Ltd.
Shanghai Yawa Printing Machinery Co., Ltd.
Staff Technical Association
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
Basic Bank:
China
Construction Bank Jianguo West Road Sub-branch
AC#:
442959226894
FINANCIALS
Financial Summary
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Unit: CNY’000 |
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
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Current assets |
142,858 |
137,959 |
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Long term investment |
0 |
0 |
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Fixed assets |
27,680 |
24,441 |
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Intangible
assets |
16,651 |
15,641 |
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------------- |
------------- |
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Total assets |
187,189 |
178,041 |
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------------- |
------------- |
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Current
liabilities |
108,706 |
98,006 |
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Long term liabilities |
0 |
0 |
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------------- |
------------- |
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Total
liabilities |
108,706 |
98,006 |
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Equities |
78,483 |
80,035 |
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------------- |
------------- |
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Revenue |
185,392 |
165,524 |
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Cost of sales |
149,546 |
140,949 |
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Profit before
tax |
5,030 |
1,483 |
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Less: profit tax |
0 |
0 |
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Profits |
5,030 |
1,483 |
Note: The detailed financials for Y2011 & Y2012 are not available in
SAIC.
Important Ratios
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|
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As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
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*Current ratio |
1.31 |
1.41 |
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*Liabilities
to assets |
0.58 |
0.55 |
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*Net profit
margin (%) |
2.71 |
0.89 |
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*Return on
total assets (%) |
2.69 |
0.83 |
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*
Revenue/Total assets |
0.99 |
0.93 |
|
* Cost of
sales / Revenue |
0.81 |
0.85 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears fairly good in its line.
l
SC’s net profit margin is average in both years.
l
SC’s return on total assets is average in both
years.
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 revenue 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: Stable.
CONCLUSIONS
SC is considered medium-sized in its line with stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.57.73 |
|
|
1 |
Rs.90.61 |
|
Euro |
1 |
Rs.76.96 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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.