MIRA INFORM REPORT
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Report Date : |
03.05.2013 |
IDENTIFICATION DETAILS
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Name : |
CHAOZHOU
CHENGXINDA CERAMICS INDUSTRY CO., LTD. |
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Registered Office : |
Yixi Dongjiao, Chaozhou City,
Guangdong Province 521000 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
13.09.2004 |
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Com. Reg. No.: |
445100400006245 |
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Legal Form : |
Chinese-Foreign Contractual
Joint Venture Enterprise |
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Line of Business : |
Manufacturing and selling ceramic products. |
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No. of Employees : |
73 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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With Financial |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 : |
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
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
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China |
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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 2010 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 near 9% for 2011. An economic slowdown in Europe is expected to further drag Chinese growth in 2012. 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.
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Source : CIA |
Company
name and address
CHAOZHOU CHENGXINDA CERAMICS INDUSTRY
CO., LTD.
YIXI
DONGJIAO, CHAOZHOU CITY, GUANGDONG PROVINCE 521000 PR CHINA
TEL: 86
(0) 768-2325688/2323128
FAX: 86
(0) 768-2323238/2325688/2322928
EXECUTIVE SUMMARY
Date of Registration : SEPTEMBER 13, 2004
REGISTRATION NO. : 445100400006245
LEGAL FORM :
CHINESE-FOREIGN CONTRACTUAL JOINT VENTURE ENTERPRISE
REGISTERED CAPITAL :
hkd 2,000,000
staff : 73
BUSINESS CATEGORY :
MANUFACTURING & trading
Revenue : CNY 11,096,000 (AS OF DEC. 31, 2012)
EQUITIES : CNY 4,149,000 (AS OF DEC. 31, 2012)
WEBSITE : N/A
E-MAIL : N/A
PAYMENT : AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND :
ordinary
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.18 = USD
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 contractual joint venture enterprise of PRC
with State Administration of Industry & Commerce (SAIC) under registration
No.: 445100400006245 on September 13, 2004.
SC’s Organization Code Certificate
No.: 76656607-5
SC’s Tax No.: 445102766566075
Foreign Exchange Registration
Certificate No.: 00059816
Customs Registration No.:
4421921172
SC’s registered capital: HKD 2,000,000
SC’s paid-in capital: HKD 2,000,000 (cny 2,120,000)
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
001512 |
445100400006245 |
Current Co search indicates SC’s shareholders & chief executives
are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Chaozhou Chengxin Ceramics
Manufacturing Co., Ltd. |
60 |
|
Wu Zhijian (Hong Kong) |
40 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman,
and General Manager |
Cai Shurong |
|
Supervisor |
Wu
Zhijian |
RECENT DEVELOPMENT
No recent development was found during our checks at
present.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Chaozhou Chengxin Ceramics Manufacturing
Co., Ltd.
60
Wu Zhijian (Hong Kong)
40
n Chaozhou
Chengxin Ceramics Manufacturing Co., Ltd.
------------------------------------------------------------------------
Registration No.:
445100000000356
Date of Registration: July 22, 2004
Legal Form: Limited Liabilities
Company
Registered Capital: CNY
2,400,000
Legal Representative: Cai
Shurong
MANAGEMENT
Cai
Shurong, Legal Representative, Chairman and General Manager
------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age:
Ø Qualification:
University
Ø Working
experience (s):
At present, working in SC as
legal representative, chairman and general manager
Also working in Chaozhou Chengxin
Ceramics Manufacturing Co., Ltd. as legal representative
Wu
Zhijian, Supervisor
------------------------------------------
Ø
Gender: M
Ø Qualification:
University
Ø Nationality:
Hong Kong
BUSINESS OPERATION
SC’s registered
business scope includes designing, manufacturing, and selling various ceramic
products, sanitary ware, polyester products, ceramic paint, petuntse, rattan,
wood, garments, hardware, plastics, wax, packing cases, electrical appliances,
glass, and assorted products of ceramics.
SC is
mainly engaged in manufacturing and selling ceramic products.
SC’s products mainly include:
ceramic products.
SC sources its materials 100%
from domestic market, mainly Guangdong. SC sells 100% to overseas market,
mainly Hong Kong.
The import & export status of SC in 2011 is as follows,
|
Country |
Amount
of Exports (USD) |
Amount of Imports (USD) |
|
Hong Kong |
1,757,700 |
-- |
|
|
------------------- |
------------------- |
|
Total Amount |
1,757,700 |
-- |
The buying terms of SC include Check, T/T and Credit of
30-60 days. The payment terms of SC include T/T, L/C and Credit of 30-60 days.
Major Supplier:
===========
Guangdong Jiexi County Chunyan Glass Products Factory
Major Client:
=========
Hong Kong Household Products
Limited
Staff & Office:
--------------------------
SC is
known to have approx. 73
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 branch factory, as follows,
-----------------------------------------------------------------
Chaozhou Chengxinda Ceramics
Industry Co., Ltd. Lianyun Ceramic Paint Branch Factory
Registration No.: 445100500002407
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’s
suppliers declined to make any comments.
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
Bank of China
AC#:
823150880208091001
FINANCIALS
Balance Sheet
|
Unit:
CNY’000 |
As of Dec. 31, 2012 |
|
Cash |
642 |
|
Notes
receivable |
0 |
|
Accounts
receivable |
980 |
|
Advances
to suppliers |
0 |
|
Other
receivable |
230 |
|
Inventory |
1,048 |
|
Non-current
assets within one year |
0 |
|
Other
current assets |
72 |
|
|
------------------ |
|
Current
assets |
2,972 |
|
Fixed
assets |
1,242 |
|
Construction
in progress |
0 |
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Intangible
assets |
0 |
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Long-term
investment |
0 |
|
Deferred
income tax assets |
0 |
|
Other
non-current assets |
550 |
|
|
------------------ |
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Total
assets |
4,764 |
|
|
============= |
|
Short-term
loans |
0 |
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Notes
payable |
0 |
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Accounts
payable |
43 |
|
Welfares
payable |
0 |
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Taxes
payable |
0 |
|
Advances
from clients |
0 |
|
Other
payable |
412 |
|
Other
current liabilities |
160 |
|
|
------------------ |
|
Current
liabilities |
615 |
|
Non-current
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
615 |
|
Equities |
4,149 |
|
|
------------------ |
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Total
liabilities & equities |
4,764 |
|
|
============= |
Income Statement
|
Unit:
CNY’000 |
As
of Dec. 31, 2012 |
|
Revenue |
11,096 |
|
Cost of sales |
9,328 |
|
Sales expense |
680 |
|
Management expense |
580 |
|
Finance expense |
110 |
|
Profit
before tax |
387 |
|
Less:
profit tax |
111 |
|
Profits |
276 |
Important
Ratios
=============
|
|
As of
Dec. 31, 2012 |
|
*Current
ratio |
4.83 |
|
*Quick
ratio |
3.13 |
|
*Liabilities
to assets |
0.13 |
|
*Net
profit margin (%) |
2.49 |
|
*Return
on total assets (%) |
5.79 |
|
*Inventory
/ Revenue ×365 |
35
days |
|
*Accounts
receivable / Revenue ×365 |
33
days |
|
*Revenue
/ Total assets |
2.33 |
|
*Cost
of sales / Revenue |
0.84 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l The
revenue of SC appears average.
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 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 average.
l
The accounts receivable of SC appears
average.
l
SC has no short-term loans.
l
SC’s revenue is in a fairly good 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 above
average.
Overall
financial condition of the SC: Fairly Stable
CONCLUSIONS
SC is considered small-sized in its line with fairly stable
financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.73 |
|
|
1 |
Rs.83.54 |
|
Euro |
1 |
Rs.70.71 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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 |
|
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.