MIRA
INFORM REPORT
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Report Date : |
26.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
JINKO SOLAR IMPORT AND
EXPORT CO., LTD. |
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Registered Office : |
No. 1 Jingke Road, Xuri District, Shangrao Economic Development Zone, Jiangxi Province, 334100 Pr |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
24.12.2009 |
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Com. Reg. No.: |
361100210019059 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Trading in solar battery and other related products. |
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No. of Employees : |
60 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 : |
Slow |
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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 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
|
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
JINKO
SOLAR IMPORT AND EXPORT CO., LTD.
NO. 1 JINGKE ROAD, XURI DISTRICT, SHANGRAO
ECONOMIC
DEVELOPMENT ZONE, JIANGXI PROVINCE, 334100
PR CHINA
TEL: 86 (0) 793-8588188/8461400 FAX: 86 (0) 793-8461152
EXECUTIVE SUMMARY
INCORPORATION DATE : DECEMBER 24, 2009
REGISTRATION NO. :
361100210019059
REGISTERED LEGAL FORM : ONE-PERSON LIMITED LIABILITY COMPANY
STAFF STRENGTH :
60
REGISTERED CAPITAL : CNY 50,000,000
BUSINESS LINE : TRADING
TURNOVER :
CNY 2,297,210,000 (AS OF DEC. 31, 2012)
EQUITIES :
CNY -74,520,000 (AS OF DEC. 31, 2012)
PAYMENT :
AVERAGE
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : FAIR
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.147 = 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 Jinko Import and Export Co., Ltd.
SC was registered as a one-person limited liability company at local Administration for
Industry & Commerce (AIC-The official body of issuing and renewing business
license) on December 24, 2009.
Company Status: One-person Limited Liability Company Single person LLC refers to a
limited liability company set up by only one natural person or legal person
as the single shareholder of it. The minimum registered capital
of Single person LLC is CNY100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only
invest in and set up one limited liability company, which is not permitted
to invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered business scope includes importing and
exporting monocrystalline silicon rod, monocrystalline silicon piece, multicrystalline
ingot, multicrystalline silicon piece, solar cells, solar modules and
photovoltaic lighting systems, photovoltaic application systems and related
accessories (with permit if needed).
SC is mainly
engaged in trading in solar battery and other related products.
Mr.
Li Xiande has been the legal
representative and chairman of SC since 2009.
SC is known to
have approx. 60 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the economic development zone of Shangrao. The detailed
information about the premise is unspecified.
http://www.jinkosolar.com
The website belongs to JinkoSolar Holding Co., Ltd. The design is professional
and the content is well organized. At present it is in Chinese, English, German
versions and etc.
No significant events or changes were found during our checks with local
AIC.
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jinko Solar Co., Ltd. 100
Incorporation Date :
Dec. 13, 2006
Registration No. :
361100520000106
Registered Legal Form :
Wholly Foreign-Owned Enterprise
Chief Executive :
Mr. Li Xiande (Chairman)
Registered Capital :
USD 315,000,000
Add.: No. 1 Jingke Road, Shangrao Economic
Development Zone, Jiangxi Province
Tel: 86 (0) 793-8588188
Fax: 86 (0) 793-8461152
l
Legal representative and chairman:
Mr. Li Xiande
ID#332627197508090190, born in 1975, with university education. He is
currently responsible for the overall management of SC.
Working Experience(s):
From 2009 to present
Working in SC as legal
representative and chairman;
Also working in Jinko Solar Co., Ltd., Zhejiang Jinko
Solar Co., Ltd. and Zhejiang Jinko Trading Co., Ltd. as legal representative; JinkoSolar
Holding Co., Ltd., as chairman; Jinko Solar Co., Ltd. Shanghai Branch as
principal.
SC is mainly
engaged in trading in solar battery and other related products.
SC’s products mainly
include: monocrystalline silicon rod, monocrystalline silicon piece,
multicrystalline ingot, multicrystalline silicon piece, efficient solar
battery, component and PV system, etc.
SC sources its materials 90% from domestic market and 10% from the overseas
market, mainly Germany, America and Korea. SC sells 60% of its products in
domestic market, and 40% 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 major clients and suppliers.
Jinko Solar Holding Co., Ltd.
=====================
Chairman: Li Xiande
The said company is a listed company in New York Stock Exchange Market
with the code of JKS.
Zhejiang Jinko Solar Co., Ltd.
=====================
Incorporation Date :
Aug. 2, 2006
Registration No. :
330400400008173
Registered Legal Form :
Chinese-foreign equity joint venture enterprise
Chief Executive :
Mr. Li Xiande (Chairman)
Registered Capital :
USD 160,000,000
Add: No. 58, Yuanxi Road, Industrial Functional Zone, Yuanhua Town,
Haining, Zhejiang Province
Tel: 86 (0) 573-87872660
Fax: 86 (0) 573-87871070
Zhejiang Jinko Trading Co., Ltd.
===============================
Incorporation Date :
June 13, 2010
Registration No. :
330481000079290
Registered Legal Form : One-Person Limited Liabilities Company
Chief Executive :
Mr. Li Xiande (Chairman)
Registered Capital :
CNY 50,000,000
Add: No. 58, Yuanxi Road, Industrial Functional Zone, Yuanhua Town,
Haining, Zhejiang Province
Tel: 86 (0) 573-87872660
Fax: 86 (0) 573-87871070
Jinko Solar Co., Ltd. Shanghai Branch
===========================
Incorporation Date :
Jan. 21, 2009
Registration No. :
310115500083642
Principal :
Li Xiande
Etc.
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.
The bank
information is not available in local AIC.
Balance Sheet
Unit: CNY’000
|
|
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
|
Cash & bank |
/ |
/ |
|
Inventory |
/ |
/ |
|
Notes receivable |
/ |
/ |
|
Accounts
receivable |
/ |
/ |
|
Advances to
suppliers |
/ |
/ |
|
Other
receivables |
/ |
/ |
|
Prepaid expenses |
/ |
/ |
|
Other current
assets |
/ |
/ |
|
|
------------------ |
------------------ |
|
Current assets |
/ |
/ |
|
Fixed assets net
value |
/ |
/ |
|
Projects under
construction |
/ |
/ |
|
Long term
investment |
/ |
/ |
|
Intangible assets
and other assets |
/ |
/ |
|
|
------------------ |
------------------ |
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Total assets |
2,466,950 |
1,663,340 |
|
|
============= |
============= |
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Short loans |
/ |
/ |
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Notes payable |
/ |
/ |
|
Accounts payable |
/ |
/ |
|
Advances from
clients |
/ |
/ |
|
Taxes payable |
/ |
/ |
|
Payroll payable |
/ |
/ |
|
Other payable |
/ |
/ |
|
Withholding
Expenses |
/ |
/ |
|
Other current
liabilities |
/ |
/ |
|
|
------------------ |
------------------ |
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Current
liabilities |
/ |
/ |
|
Long term
liabilities |
/ |
/ |
|
|
------------------ |
------------------ |
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Total
liabilities |
2,509,050 |
1,737,860 |
|
Equities |
-42,100 |
-74,520 |
|
|
------------------ |
------------------ |
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Total
liabilities & equities |
2,466,950 |
1,663,340 |
|
|
============= |
============= |
Note:
SC’s accountant refused to release the detailed Balance Sheet for Yr2011 and
Yr2012.
Income Statement
Unit: CNY’000
|
|
As of Dec. 31, 2012 |
|
Turnover |
2,297,210 |
|
Cost of goods sold |
2,243,620 |
|
Taxes and additional of main operation |
6,250 |
|
Sales expense |
47,880 |
|
Management expense |
15,460 |
|
Finance expense |
5,230 |
|
Impairment
loss of assets |
12,230 |
|
Non-operation income |
1,060 |
|
Non-operation
expense |
20 |
|
Profit before tax |
-32,420 |
|
Less: profit tax |
0 |
|
Profits |
-32,420 |
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
|
*Current ratio |
/ |
/ |
|
*Quick ratio |
/ |
/ |
|
*Liabilities
to assets |
1.02 |
1.04 |
|
*Net profit
margin (%) |
/ |
-1.41 |
|
*Return on
total assets (%) |
/ |
-1.95 |
|
*Inventory
/Turnover ×365 |
/ |
/ |
|
*Accounts
receivable/Turnover ×365 |
/ |
/ |
|
*Turnover/Total
assets |
/ |
1.38 |
|
* Cost of
goods sold/Turnover |
/ |
0.98 |
PROFITABILITY:
FAIR
l
The turnover of SC appears good in its line in
2012.
l
SC’s net profit margin appears fair in 2012.
l
SC’s return on total assets is fair in 2012.
l
SC’s cost of goods sold is high in 2012, comparing
with its turnover.
l
SC’s turnover is in an average level in 2012,
comparing with the size of its total assets.
LEVERAGE: POOR
l
The debt ratio of SC is too high.
l
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fair.
SC is considered medium-sized in its line with fair financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.70 |
|
|
1 |
Rs.92.25 |
|
Euro |
1 |
Rs.78.38 |
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.