MIRA INFORM REPORT

 

 

Report Date :

23.03.2013

 

IDENTIFICATION DETAILS

 

Name :

DINH HA IMPORT - EXPORT JOINT STOCK COMPANY

 

 

Registered Office :

No. 24A7/411 Da Nang Street, Dong Hai 1 Ward, Hai An District, Hai Phong City

 

 

Country :

Vietnam

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

28.02.2008

 

 

Com. Reg. No.:

0203003994

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and Trading of Lime Lump and Lime Powder.

 

 

No. of Employees :

About 100 (including both office staff and worker)

 

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 Complaint

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Vietnam

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

VIETNAM - ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that in the last 30 years has had to recover from the ravages of war, the loss of financial support from the old Soviet Bloc, and the rigidities of a centrally-planned economy. While Vietnam's economy remains dominated by state-owned enterprises, which still produce about 40% of GDP, Vietnamese authorities have reaffirmed their commitment to economic liberalization and international integration. They have moved to implement the structural reforms needed to modernize the economy and to produce more competitive export-driven industries. Vietnam joined the World Trade Organization in January 2007 following more than a decade-long negotiation process. Vietnam became an official negotiating partner in the developing Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to about 22% in 2011, while industry's share increased from 36% to 40% in the same period. Deep poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession has hurt Vietnam's export-oriented economy, with GDP in 2009-11 growing less than the 7% per annum average achieved during the last decade. In 2011, exports increased by more than 33%, year-on-year, and the trade deficit, while reduced from 2010, remained high, prompting the government to maintain administrative trade measures to limit the trade deficit. Vietnam's managed currency, the dong, continues to face downward pressure due to a persistent trade imbalance. Since 2008, the government devalued it in excess of 20% through a series of small devaluations. Foreign donors pledged nearly $8 billion in new development assistance for 2011. However, the government's strong growth-oriented economic policies have caused it to struggle to control one of the region's highest inflation rates, which reached as high as 23% in August 2011 and averaged 18% for the year. In February 2011, Vietnam shifted its focus away from economic growth to stabilizing its economy and tightened fiscal and monetary policies. In early 2012 Vietnam unveiled a broad "three pillar" economic reform program, proposing the restructuring of public investment, state-owned enterprises and the banking sector. Vietnam's economy continues to face challenges from low foreign exchange reserves, an undercapitalized banking sector, and high borrowing costs. The near-bankruptcy and subsequent default of the state-owned-enterprise Vinashin, a leading shipbuilder, led to a ratings downgrade of Vietnam's sovereign debt, exacerbating Vietnam's borrowing difficulties.

 

Source : CIA

 


 

SUBJECT IDENTIFICATION & LEGAL FORM

 

Registered English Name

 

DINH HA IMPORT - EXPORT JOINT STOCK COMPANY

Registered Vietnamese Name

 

CONG TY CO PHAN XUAT NHAP KHAU DINH HA

Registered Short name

 

DINH HA IMPORT – EXPORT -JSC

Type of Business

 

Joint stock company

Year Established

 

2008

Business Registration No.

 

0203003994

Date of Registration

 

28 Feb 2008

Place of Registration

 

Hai Phong Province Planning and Investment Department

Chartered capital

 

VND 8,000,000,000

Status

 

Unlisted

Tax code

 

0200790676

Total Employees

 

About 100 (including both office staff and worker)

Size

 

Small

Note:  The exact name of the subject is above

 

 

COMPANY ADDRESSES

 

Head Office

Address

 

No. 24A7/411 Da Nang Street, Dong Hai 1 Ward, Hai An District, Hai Phong City, Vietnam

Notes:

 - The exact address of the subject is above

- This is only registered address of the subject. Its business activities are performed at transaction office.

 

Transaction office in Hai Phong

Address

 

No. 210, Tran Hung Dao Boundary Road, , Hai Phong City, Vietnam

Telephone

 

(84-31) 3555 110

Fax

 

(84-31) 3555 109

Email

 

dinhhajsc@vnn.vn

Website

 

http://limevietnam.com

Note:  The subject also has factories at Uong Bi District - Quang Ninh Province, Thuy Nguyen District - Hai Phong City, Thai Binh Province, etc

 

 

DIRECTORS

 

1. NAME

 

Mr. VU VAN DUNG

Position

 

Chairman

ID Number/Passport

 

030698958

Resident

 

No. 12/CT1 - A8 Van My, Van My Ward, Ngo Quyen District, Hai Phong City, Vietnam

Nationality

 

Vietnamese

Tel/Mobile phone

 

+84 903450348

 

2. NAME

 

Ms. VU THI THANH THUY

Position

 

Director

Date of Birth

 

23 Dec 1969

ID Number/Passport

 

030732229

ID Issue Date

 

14 Mar 2007

ID Issue Place

 

Hai Phong Police Department

Resident

 

No. 12/CT1 - A8 Van My, Van My Ward, Ngo Quyen District, Hai Phong City, Vietnam

Current resident

 

No. 24A7/411, Da Nang Street, Dong Hai 1 Ward, Hai An District, Hai Phong City, Vietnam

Nationality

 

Vietnamese

Tel/Mobile phone

 

+84 904682269

 

 

BUSINESS NATURE AND ACTIVITIES

 

The subject is specialized in manufacturing and trading lime lump and lime powder

 

 

IMPORT & EXPORT ACTIVITIES

 

IMPORT:

Currently, the subject does not import

 

EXPORT:

·         Market

 

India, Indonesia, Bangladesh, Korea, Thailand, Philippines, Singapore, Malaysia, Australia, Africa, etc

·         Mode of payment

 

L/C (main), T/T

 

 

BANKERS

 

1. VIET NAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE HAI PHONG BRANCH

Address

 

No.36 Dien Bien Phu str, Ngo Quyen District, Hai Phong City, Vietnam

Telephone

 

(84-31) 3859913

 

2. ASIA COMMERCIAL BANK DUYEN HAI BRANCH

Address

 

No.15 Hoang Dieu, Hong Bang District, Hai Phong City, Vietnam

Telephone

 

(84-31) 382 3388

Fax

 

(84-31) 382 3383

 

3. VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK HAI PHONG BRANCH

Address

 

No.32 Tran Phu Street, Ngo Quyen District, Hai Phong City, Vietnam

Telephone

 

(84-31) 3757578

Fax

 

(84-31) 3757571

 

 

SHAREHOLDERS

 

1. NAME

 

Mr. VU VAN NGOC

ID Number/Passport

 

030763539

Resident

 

No. 4, Line 1 floor and 4 rooms, Cang 2 Lane, Le Loi, May To Ward, Ngo Quyen District, Hai Phong City, Vietnam

Nationality

 

Vietnamese

Number of Shares

 

12,000

Value of shares

 

VND 1,200,000,000

Percentage

 

15%

 

2. NAME

 

Mr. VU VAN DUNG

Position

 

Chairman

ID Number/Passport

 

030698958

Resident

 

No. 12/CT1 - A8 Van My, Van My Ward, Ngo Quyen District, Hai Phong City, Vietnam

Mobile phone

 

+84 903450348

Nationality

 

Vietnamese

Number of Shares

 

58,400

Value of shares

 

VND 5,840,000,000

Percentage

 

73%

 

3. NAME

 

Ms. VU THI THANH THUY

Position

 

Director

Date of Birth

 

23 Dec 1969

ID Number/Passport

 

030732229

Issued on

 

14 Mar 2007

Issued Place

 

Hai Phong Police Department

Resident

 

No. 12/CT1 - A8 Van My, Van My Ward, Ngo Quyen District, Hai Phong City, Vietnam

Current Resident

 

No. 24A7/411, Da Nang Street, Dong Hai 1 Ward, Hai An District, Hai Phong City, Vietnam

Mobile phone

 

+84 904682269

Nationality

 

Vietnamese

Number of Shares

 

9,600

Value of shares

 

VND 960,000,000

Percentage

 

12%

 

 

FINANCIAL DATA

 

BALANCE SHEET

Unit: One VND

Balance sheet date

31/12/2011

Number of weeks

52

Audit status

Unknown

ASSETS

A – CURRENT ASSETS

12,565,000,000

I. Cash and cash equivalents

539,000,000

1. Cash

539,000,000

2. Cash equivalents

0

II. Short-term investments

0

1. Short-term investments

0

2. Provisions for devaluation of short-term investments

0

III. Accounts receivable

9,998,000,000

1. Receivable from customers

4,901,000,000

2. Prepayments to suppliers

564,000,000

3. Inter-company receivable

0

4. Receivable according to the progress of construction

0

5. Other receivable

4,533,000,000

6. Provisions for bad debts

0

IV. Inventories

1,000,000

1. Inventories

1,000,000

2. Provisions for devaluation of inventories

0

V. Other Current Assets

2,027,000,000

1. Short-term prepaid expenses

0

2. VAT to be deducted

2,027,000,000

3. Taxes and other accounts receivable from the State

0

4. Other current assets

0

B. LONG-TERM ASSETS

1,188,000,000

I. Long term accounts receivable

0

1. Long term account receivable from customers

0

2. Working capital in affiliates

0

3. Long-term inter-company receivable

0

4. Other long-term receivable

0

5. Provisions for bad debts from customers

0

II. Fixed assets

1,188,000,000

1. Tangible assets

1,188,000,000

- Historical costs

1,252,000,000

- Accumulated depreciation

-64,000,000

2. Financial leasehold assets

0

- Historical costs

0

- Accumulated depreciation

0

3. Intangible assets

0

- Initial costs

0

- Accumulated amortization

0

4. Construction-in-progress

0

III. Investment property

0

Historical costs

0

Accumulated depreciation

0

IV. Long-term investments

0

1. Investments in affiliates

0

2. Investments in business concerns and joint ventures

0

3. Other long-term investments

0

4. Provisions for devaluation of long-term investments

0

V. Other long-term assets

0

1. Long-term prepaid expenses

0

2. Deferred income tax assets

0

3. Other long-term assets

0

VI. Goodwill

0

1. Goodwill

0

TOTAL ASSETS

13,753,000,000

 

LIABILITIES

A- LIABILITIES

5,338,000,000

I. Current liabilities

5,338,000,000

1. Short-term debts and loans

0

2. Payable to suppliers

4,624,000,000

3. Advances from customers

295,000,000

4. Taxes and other obligations to the State Budget

419,000,000

5. Payable to employees

0

6. Accrued expenses

0

7. Inter-company payable

0

8. Payable according to the progress of construction contracts

0

9. Other payable

0

10. Provisions for short-term accounts payable

0

11. Bonus and welfare funds

0

II. Long-Term Liabilities

0

1. Long-term accounts payable to suppliers

0

2. Long-term inter-company payable

0

3. Other long-term payable

0

4. Long-term debts and loans

0

5. Deferred income tax payable

0

6. Provisions for unemployment allowances

0

7. Provisions for long-term accounts payable

0

8. Unearned Revenue

0

9. Science and technology development fund

0

B- OWNER’S EQUITY

8,415,000,000

I. OWNER’S EQUITY

8,415,000,000

1. Capital

8,000,000,000

2. Share premiums

0

3. Other sources of capital

0

4. Treasury stocks

0

5. Differences on asset revaluation

0

6. Foreign exchange differences

0

7. Business promotion fund

0

8. Financial reserved fund

0

9. Other funds

0

10. Retained earnings

415,000,000

11. Construction investment fund

0

12. Business arrangement supporting fund

0

II. Other sources and funds

0

1. Bonus and welfare funds (Elder form)

0

2. Sources of expenditure

0

3. Fund to form fixed assets

0

MINORITY’S INTEREST

0

TOTAL LIABILITIES AND OWNER’S EQUITY

13,753,000,000

 

 

PROFIT & LOSS STATEMENT

 

Description

FY2011

1. Total Sales

43,368,000,000

2. Deduction item

2,343,000,000

3. Net revenue

41,025,000,000

4. Costs of goods sold

25,819,000,000

5. Gross profit

15,206,000,000

6. Financial income

983,000,000

7. Financial expenses

315,000,000

- In which: Loan interest expenses

0

8. Selling expenses

0

9. Administrative overheads

15,292,000,000

10. Net operating profit

582,000,000

11. Other income

0

12. Other expenses

0

13. Other profit /(loss)

0

14. Total accounting profit before tax

582,000,000

15. Current corporate income tax

102,000,000

16. Deferred corporate income tax

0

17. Interest from subsidiaries/related companies

0

18. Profit after tax

480,000,000

 

 

 

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS

 

Description

FY2011

Average Industry

Current liquidity ratio

2.35

1.18

Quick liquidity ratio

2.35

0.54

Inventory circle

25,819.00

3.48

Average receive period

88.95

62.32

Utilizing asset performance

2.98

1.02

Liability by total assets

38.81

64.29

Liability by owner's equity

63.43

198.96

Ebit / Total assets (ROA)

4.23

6.25

Ebit / Owner's equity (ROE)

6.92

16.74

Ebit / Total revenue (NPM)

1.34

5.52

Gross profit / Total revenue (GPM)

35.06

13.15

Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

 

Trade Morality

 

Fair

 

Liquidity

 

Medium

 

Payment status

 

Average

 

Financial Situation

 

Above Average

 

Development trend

 

Stable

 

Litigation data

 

No Record

 

Bankruptcy

 

No Record

 

Payment Methods

 

L/C (main), T/T

 

Sale Methods

 

Exporting

 

 

 

INTERPRETATION ON THE SCORES

 

The subject was established in 2008 as a joint stock company. Currently, it is running under the business registration No. 0203003994 with chartered capital of VND 8 billion.

 

The subject registers its head office at No. 24A7/411 Da Nang Street - Dong Hai Ward - Hai An District - Hai Phong City, but its business transactions are performed at No. 210 Tran Hung Dao Boundary Road - Hai Phong City. Its factories are located at many different provinces such Hai Phong City, Quang Ninh province, Thai Binh Province, etc. Its current total employees are about 100 persons (including both office staff and worker).

The subject is specialized in manufacturing and trading lime lump and lime powder. It now is the official member of Vietnam Chamber of Commerce and Industry. All its products are exported to foreign country with very many markets such as India, Indonesia, Bangladesh, Korea, Thailand, Philippines, Singapore, Malaysia, Australia, Africa, etc.

 

Financially, in 2011, the subject's total sales and profit were acceptable. The subject's debt rate was low because its liabilities were small. The low debt rate shows that, the subject's capital structure was safe. However, looking at balance sheet, in 2011, the subject's total assets were VND 13,753 million, in which the current assets accounted for the major percentage. The accounts receivable were large. It means that the subject has loose credit policy to its customers; this can help the subject enhance its annual turnover but also creates potential risk in gathering the payment.

 

In general, the subject operates on small scale. Its facilities and management capacity are satisfactory. Its capital structure is safe but its liquidity seems normal. Caution is needed for medium and big with the subject.

 

 


APPENDIX

 

INDUSTRY DATA

 

Industry code

Growth speed by price compared with 1994 (%)

Total enterprises 2010

Total employees 2011

(Thous.pers.)

Annual average capital of enterprises 2010

(billion dongs)

2011

2010

Agriculture, Forestry and Fishing

4.00

2.78

8,887

24,362.9

95,227

Industry and Construction

5.53

7.70

95,217

10,718.9

3,641,376

Trade and Services

6.69

7.52

187,195

15,270.2

6,957,082

 

ECONOMIC INDICATORS

 

2011 

2010 

2009 

Population (Million person)

87.84

86.93

86.02

Gross Domestic Products (USD billion)

119

102.2

91

GDP Growth (%)

5.89

6.78

5.32

GDP Per Capita (USD/person/year)

1,300

1,160

1,080

Inflation (% Change in Composite CPI)

18.58

11.75

6.88

State Budget Deficit compared with GDP (%)

4.9

5.8

6.9

 

SERVICE TRADE PERFORMANCE

Billion USD 

2011 

2010 

2009 

Exports

96.3

72.2

57.1

Imports

105.8

84.8

69.9

Trade Balance

-9.5

-12.6

-12.8

Source: General Statistics Office

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.34

UK Pound

1

Rs.82.56

Euro

1

Rs.70.10

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.