MIRA INFORM REPORT
|
Report Date : |
15.05.2013 |
IDENTIFICATION DETAILS
|
Name : |
JINING
SUNSHINE COAL-CHEM CO., LTD. |
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Registered Office : |
Crossing Of Jiaxiang
Airport Road And Yanlan Road, Jiaxiang County, Jining, Shandong Province
272400 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
31.12.2003 |
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Com. Reg. No.: |
370829228009020 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in manufacturing and selling chemical products. |
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No. of Employees : |
325 |
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 |
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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) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
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
JINING SUNSHINE COAL-CHEM CO., LTD.
CROSSING OF
JIAXIANG AIRPORT ROAD AND YANLAN ROAD, JIAXIANG COUNTY, JINING, SHANDONG
PROVINCE 272400 PR CHINA
TEL: 86 (0)
537-6829166/6825278
FAX: 86 (0)
537-6825275
EXECUTIVE SUMMARY
Date of Registration : december 31, 2003
REGISTRATION NO. : 370829228009020
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE :
yu xiansong (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : cny 50,780,000
staff :
325
BUSINESS CATEGORY : manufacturing
Revenue :
CNY 232,762,000 (AS OF DEC. 31,
2012)
EQUITIES :
CNY 65,407,000 (AS OF DEC. 31, 2012)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.15 = 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 limited liabilities company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
370829228009020 on December 31, 2003.
SC’s Organization Code Certificate No.:
75749744-2
SC’s registered capital: CNY 50,780,000
SC’s paid-in capital: CNY 50,780,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2010-2 |
Registered Capital |
CNY 25,600,000 |
cny 30,600,000 |
|
-- |
Registration No. |
3708291800568 |
370829228009020 |
|
2012 |
Registered Capital |
cny 30,600,000 |
CNY 50,780,000 |
|
Shareholder (s) (% of Shareholding) |
Shandong Sunshine Pigment Co., Ltd. 55.86% Yu Xianhai 6.17% Other 18 individuals 37.97% |
Shandong Sunshine Pigment Co., Ltd. 65.41% Yu Xianhai 4.83% Yu Yang 3.22% Other 17 individuals 26.54% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Shandong Sunshine Pigment Co., Ltd. |
65.41 |
|
Yu Xianhai |
4.83 |
|
Yu Yang |
3.22 |
|
Other 17 individuals |
26.54 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Yu Xiansong |
|
General Manager and Director |
Zhang Jinghong |
|
Director |
Huang Shouchun |
|
Yu Xianha |
|
|
Zhao Min |
|
|
Supervisor |
Li Benjian |
|
Sheng Anquan |
|
|
Wu Shumei |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Shandong Sunshine Pigment Co., Ltd. 65.41
Yu Xianhai 4.83
Yu Yang 3.22
Other 17 individuals 26.54
Shandong Sunshine Pigment Co., Ltd.
---------------------------------------------------
Date of Registration: January 17, 1990
Registration No.: 370800228024012
Registered Legal Form: Limited
Liabilities Company
Legal Representative: Yu Xiansong
Registered Capital: CNY 76,200,000
Business Line: Manufacturing
Address: Chezhan South Road, Jining, Shandong Province
Tel: 86 0537-2389684
Fax: 86 0537-2311908
Web: www.sino-pigment.com
E-mail: market@sino-pigment.com
MANAGEMENT
Yu Xiansong, Legal
Representative and Chairman
----------------------------------------------------------------------------
Gender: M
ID#37080219611227301X
Age: 52
Qualification: University
Working experience (s):
At present, working in SC as legal representative and chairman
Also working in Shandong Sunshine Pigment Co., Ltd. as legal
representative
Zhang Jinghong, General Manager
and Director
--------------------------------------------------------------------------
Gender: M
Qualification: University
Working experience (s):
At present, working in SC as general manager and director
Director
-----------
Huang Shouchun
Yu Xianhai
Zhao Min
Supervisor
--------------
Li Benjian
Sheng Anquan
Wu Shumei
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and
selling chemical products, chemical reagents.
SC is mainly engaged in manufacturing and selling chemical products.
SC’s products mainly include: 2-hydrogen-based, 3-carboxylic acid and
etc.
SC sources its materials 100% from domestic market, mainly Shandong. SC
sells 60% of its products in domestic market, and 40% to overseas market,
mainly India.
The buying terms of SC include 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:
============
Jining Chenguang JECT Coal & Chemical Co., Ltd.
Staff &
Office:
--------------------------
SC is known to have approx. 325 staff at present.
SC rents an area as its operating office & factory of approx. 61,200
sq. meters at the heading address.
RELATED
COMPANY
SC is not known to have any subsidiary at present.
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: A
trade enquiry currently conducted with SC's supplier(s) reveal the following:
Supplier A
Products sold: Coal pitch
Date account opened: Since
2009 to present
Line of credit: N/A
Terms: 30-60
days
Average monthly sales: N/A
Current balance: N/A
Rating Key: 3
Payment record keys:
1 = Prompt: Payment made before the credit period expires
2 = As agreed terms: Payment made upon due date
3 = Slightly slow but acceptable: Payment made 5 to 20 days beyond
agreed terms
4 = Slow: Payment made 16 to 45 days beyond agreed terms
5 = Poor: Payment made over 45 days beyond agreed terms
6 = No comment: Account is newly opened & record is not yet
established
Note: In some instances, payment beyond terms can be the result of disputes
over merchandise, lost invoices, disputed accounts & etc.
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:
Agricultural Bank of China Jining Branch
AC#: N/a
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
2,160 |
10,051 |
6,479 |
|
|
Notes receivable |
0 |
5,490 |
16,020 |
|
Accounts receivable |
1,760 |
1,303 |
14,903 |
|
Advances to suppliers |
0 |
0 |
0 |
|
Other receivable |
10 |
338 |
524 |
|
Inventory |
10,190 |
20,952 |
13,268 |
|
Non-current assets within one year |
0 |
0 |
0 |
|
Other current assets |
9,200 |
1,452 |
984 |
|
|
------------------ |
------------------ |
------------------ |
|
Current assets |
23,320 |
39,586 |
52,178 |
|
Fixed assets |
49,600 |
47,789 |
45,544 |
|
Construction in progress |
930 |
0 |
0 |
|
Intangible assets |
0 |
0 |
0 |
|
Long-term prepaid expenses |
0 |
0 |
0 |
|
Deferred income tax assets |
0 |
0 |
0 |
|
Other non-current assets |
10 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
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Total assets |
73,860 |
87,375 |
97,722 |
|
|
============= |
============= |
============= |
|
Short-term loans |
10,000 |
17,935 |
14,486 |
|
Notes payable |
0 |
9,575 |
5,000 |
|
Accounts payable |
13,650 |
8,518 |
939 |
|
Welfare payable |
0 |
0 |
0 |
|
Taxes payable |
0 |
197 |
34 |
|
Advances from clients |
0 |
0 |
0 |
|
Other payable |
6,700 |
8,436 |
11,828 |
|
Other current liabilities |
230 |
63 |
28 |
|
|
------------------ |
------------------ |
------------------ |
|
Current liabilities |
30,580 |
44,724 |
32,315 |
|
Non-current liabilities |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
|
Total liabilities |
30,580 |
44,724 |
32,315 |
|
Equities |
43,280 |
42,651 |
65,407 |
|
|
------------------ |
------------------ |
------------------ |
|
Total liabilities & equities |
73,860 |
87,375 |
97,722 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
Revenue |
192,280 |
208,233 |
232,762 |
|
Cost of sales |
176,400 |
198,282 |
213,979 |
|
Sales expense |
2,300 |
3,239 |
6,295 |
|
Management expense |
2,570 |
3,173 |
4,804 |
|
Finance expense |
2,320 |
2,864 |
3,002 |
|
Profit before tax |
8,190 |
216 |
4,153 |
|
Less: profit tax |
600 |
168 |
53 |
|
7,590 |
48 |
4,100 |
Important Ratios
=============
|
|
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31, 2012 |
|
*Current ratio |
0.76 |
0.89 |
1.61 |
|
*Quick ratio |
0.43 |
0.42 |
1.20 |
|
*Liabilities to assets |
0.41 |
0.51 |
0.33 |
|
*Net profit margin (%) |
3.95 |
0.02 |
1.76 |
|
*Return on total assets (%) |
10.28 |
0.05 |
4.20 |
|
*Inventory / Revenue ×365 |
20 days |
37 days |
21 days |
|
*Accounts receivable / Revenue ×365 |
4 days |
3 days |
24 days |
|
* Revenue / Total assets |
2.60 |
2.38 |
2.38 |
|
* Cost of sales / Revenue |
0.92 |
0.95 |
0.92 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears fairly good in its line, and it increased year
by year.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of goods sold is fairly high, comparing with its revenue.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a fair level in 2010 and 2011,
normal in 2012.
SC’s quick ratio is maintained in a fair level in 2010 and 2011, fairly
good in 2012.
The inventory of SC is maintained in an average level.
The accounts receivable of SC is maintained in an average level.
SC’s short-term loan is in an average level.
SC’s revenue is in a fairly good level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average in three years.
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.54.63 |
|
|
1 |
Rs.83.67 |
|
Euro |
1 |
Rs.71.02 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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.