MIRA INFORM REPORT
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Report Date : |
18.11.2013 |
IDENTIFICATION DETAILS
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Name : |
BOYA (TIANJIN) INTERNATIONAL LTD. |
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Registered Office : |
Room 1702-1703, Building B, Sanlian Mansion, Shiyijing Road Hedong
District, Tianjin 300170 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
11.01.2006 |
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Com. Reg. No.: |
120192000046093 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Subject is engaged in selling chemical products. |
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No. of Employees : |
8 |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
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 |
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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 |
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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
BOYA (TIANJIN) INTERNATIONAL LTD.
ROOM 1702-1703, BUILDING B, SANLIAN MANSION, SHIYIJING ROAD HEDONG
DISTRICT, TIANJIN 300170 PR CHINA
TEL: 86 (0) 22-24302708
FAX: 86 (0) 22-24302728
EXECUTIVE
SUMMARY
Date of Registration : january 11, 2006
REGISTRATION NO. : 120192000046093
LEGAL FORM : Limited Liability Company
CHIEF EXECUTIVE :
sun wei (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 1,000,000
staff :
8
BUSINESS CATEGORY : TRADING
Revenue :
CNY 33,680,000 (AS OF DEC. 31,
2012)
EQUITIES :
CNY -350,000 (AS OF DEC. 31, 2012)
WEBSITE : www.boya-chemical.com
E-MAIL :
boya@boya-chemical.com
PAYMENT :
AVERAGE
MARKET CONDITION : fair
FINANCIAL CONDITION : poor
OPERATIONAL TREND : Downward
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.11 = 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.: 120192000046093 on January 11, 2006.
SC’s Organization Code Certificate No.:
78331375-8
%20INTERNATIONAL%20LTD%20%20-%20242984%2018-Nov-2013_files/image003.jpg)
SC’s Tax No.: 120116783313758
SC’s registered capital: CNY 1,000,000
SC’s paid-in capital: CNY 1,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
1201922004557 |
120192000046093 |
|
Legal Representative |
Mao Wenli |
Mao Jianchun |
|
|
Shareholder (s) (% of Shareholding) |
Mao Wenli% Wan Jun 45% |
Mao Wenli 55% Mao Jianchun 45% |
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|
2012 |
Legal Representative |
Mao Jianchun |
Sun Wei |
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Shareholder (s) (% of Shareholding) |
Mao Wenli 55% Mao Jianchun 45% |
Mao Wenli 55% Wan Jun 45% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Mao Wenli |
55 |
|
Wan Jun |
45 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Sun Wei |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Mao Wenli 55
Wan Jun 45
MANAGEMENT
Sun Wei, Legal Representative, Chairman and General
Manager
--------------------------------------------------------------------------------------------
Gender: M
Qualification: University
Working experience
(s):
From 2012 to present, working in SC as legal representative, chairman
and general manager
BUSINESS OPERATION
SC’s registered business scope includes international trade, simple
processing, bonded warehousing agents, commodity exhibition; wholesaling and
retailing mineral products, hardware, electronic products, office supplies,
general merchandise; import and export of goods and technology; own machinery
and equipment rental; labor services and related consulting services.
SC is mainly engaged in selling chemical products.
SC’s products mainly include: Sodium Sulphide, Crystal Sodium Sulphide,
Sodium Hydrosulfide, Sodium Metabisulphite, Sodium Thiosulphate, Ammonium
Sulphate, Barium Sulphate, Manganese Sulfate Monohydrate, Calcium Carbide,
Ammonium Chloride, Sodium Hydroxide, Formic Acid, Sodium Formate, etc.
SC sources its materials 99% from domestic market, mainly Tianjin, Hebei, and Inner Mongolia, and 1% from overseas market. SC sells 10% of its products in domestic market, and 90% to overseas market, mainly Pakistan, South Korea, and other Southeast Asia countries.
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.
*Major Customer:
----------------------
Basic Chemical Solutions LLC.
*Major Supplier:
---------------------
Inner Mongolia Lichuan Chemical Co., Ltd.
Staff &
Office:
--------------------------
SC is known to have approx. 8
staff at present.
SC rents an area as its operating office of approx. 100 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: SC’s supplier refused 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#: 11960808091001
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
|
3,580 |
|
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Notes receivable |
0 |
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Accounts receivable |
150 |
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Advances to suppliers |
0 |
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Other receivable |
150 |
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Inventory |
15,150 |
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Non-current assets within one year |
0 |
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Other current assets |
310 |
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|
------------------ |
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Current assets |
19,340 |
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Fixed assets |
10 |
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Long-term prepaid expenses |
0 |
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Deferred income tax assets |
0 |
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Other non-current assets |
0 |
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|
------------------ |
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Total assets |
19,350 |
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|
============= |
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Short-term loans |
0 |
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Notes payable |
0 |
|
Accounts payable |
13,250 |
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Taxes payable |
480 |
|
Advances from clients |
-80 |
|
Other payable |
6,050 |
|
Other current liabilities |
0 |
|
|
------------------ |
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Current liabilities |
19,700 |
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Non-current liabilities |
0 |
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|
------------------ |
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Total liabilities |
19,700 |
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Equities |
-350 |
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|
------------------ |
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Total liabilities & equities |
19,350 |
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|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
|
Revenue |
33,680 |
|
Cost of sales |
30,770 |
|
Sales expense |
1,720 |
|
Management expense |
1,010 |
|
Finance expense |
120 |
|
Profit before tax |
340 |
|
Less: profit tax |
0 |
|
340 |
Important Ratios
=============
|
|
As of Dec. 31,
2012 |
|
*Current ratio |
0.98 |
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*Quick ratio |
0.21 |
|
*Liabilities to assets |
1.02 |
|
*Net profit margin (%) |
1.01 |
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*Return on total assets (%) |
1.76 |
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*Inventory / Revenue ×365 |
165 days |
|
*Accounts receivable / Revenue ×365 |
2 days |
|
*Revenue / Total assets |
1.74 |
|
*Cost of sales / Revenue |
0.91 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears average in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of sales is fairly high, comparing with its revenue.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a poor level.
The inventory of SC appears large.
The accounts receivable of SC is maintained in an average level.
SC has no short-term loans.
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: POOR
The debt ratio of SC is high.
The risk for SC to go bankrupt is high.
Overall financial
condition of the SC: Poor.
CONCLUSIONS
SC is considered small-sized in its line with poor financial conditions.
The large amount of inventory may be a threat to SC’s financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.06 |
|
|
1 |
Rs.101.15 |
|
Euro |
1 |
Rs.84.95 |
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.