MIRA INFORM REPORT
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Report Date : |
21.04.2014 |
IDENTIFICATION DETAILS
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Name : |
CIDIC CO., LTD. |
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Registered Office : |
15/F, Hodo
International Plaza, No. 531 Zhongshan Road, Wuxi, Jiangsu
Province, 214002 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
08.07.2004 |
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Com. Reg. No.: |
320200000112277 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Wholesaling and retailing pre-packaged food; wholesaling
dangerous chemicals (according to items listed in the licenses). Selling
building materials, decoration materials, hardware, needle textile, machinery
and equipment, handicrafts, clothing, cultural goods |
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No. of Employees |
17 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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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 31, 2014
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Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
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 2013 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 consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (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. Debt overhang from its credit-fueled stimulus program in 2008-10, particularly among local governments, and soaring property prices challenge policy makers currently. Their efforts to cool a red-hot property market in 2011 appear to have curbed inflation, but contributed to slower GDP growth in 2012 and 2013. Slow recovery in Europe and other key export markets have also retarded growth. 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 fixed investments and exports in the future. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources
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Source
: CIA |
Company
name and address
CIDIC CO., LTD.
15/F, HODO
International Plaza, no. 531 Zhongshan Road,
WUXI, JIANGSU
PROVINCE, 214002 PR CHINA
TEL: 86 (0)
510-82303030
FAX: 86 (0)
510-82303031
EXECUTIVE
SUMMARY
INCORPORATION DATE : JULY 8, 2004
REGISTRATION NO. : 320200000112277
REGISTERED LEGAL FORM
: LIMITED LIABILITIES COMPANY
CHIEF EXECUTIVE : Ms. bao ming (CHAIRMAN)
STAFF STRENGTH : 17
REGISTERED CAPITAL :
CNY 5,000,000
BUSINESS LINE : TRADING
TURNOVER : CNY 197,550,000
(AS OF DEC. 31, 2013)
EQUITIES : CNY
13,470,000 (AS OF DEC. 31, 2013)
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : STABLE
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.2228 = 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
SC was registered as a limited liabilities company at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on July 8, 2004.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders contribute its registered
capital jointly. Shareholders bear limited liability to the extent of
shareholding, and the co. is liable for its debts only to extent of its
total assets. The characteristics of this form of co. are as follows: Upon the establishment of the
co., an investment certificate is issued to the each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is CNY 30,000. Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 30% of the registered capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co.
SC’s registered business scope includes wholesaling and retailing pre-packaged food; wholesaling dangerous chemicals (according to items listed in the licenses). Selling building materials, decoration materials, hardware, needle textile, machinery and equipment, handicrafts, clothing, cultural goods; importing & exporting all kinds of goods and technology (excluding those refined and prohibited by the state). (with permit if needed).
SC is mainly engaged in importing and exporting chemical products.
Ms. Bao Ming has been legal representative, chairman and general manager of SC since 2004.
SC is known to have approx. 17 employees at present.
SC is currently operating at the above stated address, and this address houses its operating office in the commercial zone of Wuxi. Our checks reveal that SC rents the total premise, but the detailed information of the premise is unspecified.
http://www.cidic.com.cn The design is professional and the content is well organized. At present it is in both Chinese and English versions.
Email: sales@cidic.com.cn
Changes of its
registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2007-11 |
Registered capital |
CNY 2,100,000 |
CNY 5,000,000 |
|
Unknown |
Registration No. |
3202002113511 |
320200000112277 |
Subject passed the annual inspection of 2012 with Administration for Industry & Commerce.
Organization Code: 763555514
There is no record of litigation till now.
MAIN SHAREHOLDERS:
Name % of Shareholding
Bao Ming 34
Di Lingyun 33
Xiao Qiang 33
Legal Representative, Chairman and General
Manager:
Ms. Bao Ming , born in 1968. She is currently responsible for the overall and daily management of SC.
Working Experience(s):
From 2004 to present Working in SC as chairman, legal representative and general manager.
Supervisor:
Xiao Qiang
SC is mainly engaged in importing and exporting chemical products.
SC’s products mainly include:
Fine Chemicals
Pesticide Intermediates
APIs:
Cephalosporins
Antibiotics
Vitamins
Steroids
Other APIs
Inorganic Chemicals
Pigment
Additive:
Pyrethrum
Additives of Daily chemicals, food & feed
Optical Brightener
Petrochemicals
Public Health Insecticide
Nutritional Supplement
Disinfectant
Herbal Extract
SC sources its materials 95% from domestic market, and 5% from overseas market. SC sells 10% of its products in domestic market, and 90% to overseas market, mainly American and Japanese 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 refused to release its main suppliers and clients.
SC is not known to have any subsidiary at present.
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.
Bank of China Wuxi Branch
AC#: 553458218248
Relationship: Normal.
Balance Sheet
Unit: CNY’000
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As of Dec. 31, 2013 |
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Cash & bank |
2,210 |
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Notes receivable |
0 |
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Inventory |
6,880 |
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Accounts receivable |
22,970 |
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Advances to suppliers |
6,530 |
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Short-term investment |
110 |
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Other accounts receivable |
3,380 |
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Prepaid expenses |
370 |
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Other current assets |
0 |
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----------------- |
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Current assets |
42,450 |
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Fixed assets net value |
880 |
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Project under construction |
0 |
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Long term investment |
0 |
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Intangible and other assets |
0 |
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------------------ |
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Total assets |
43,330 |
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============= |
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Short loans |
7,180 |
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Notes payable |
970 |
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Accounts payable |
8,180 |
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Advances from clients |
14,200 |
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Surcharge payable |
50 |
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Taxes payable |
-950 |
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Other accounts payable |
200 |
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Other current liabilities |
30 |
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------------------ |
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Current liabilities |
29,860 |
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Long-term liabilities |
0 |
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------------------ |
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Total liabilities |
29,860 |
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Equities |
13,470 |
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------------------ |
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Total liabilities & equities |
43,330 |
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============= |
Income Statement
Unit: CNY’000
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As of Dec. 31, 2013 |
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Turnover |
197,550 |
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Cost of goods sold |
187,470 |
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Sales expense |
5,070 |
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Management expense |
3,800 |
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Finance expense |
650 |
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Investment income |
1,280 |
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Subsidy income |
460 |
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Non-operating income |
0 |
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Non-operating expense |
200 |
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Profit before tax |
2,090 |
|
400 |
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Profits |
1,690 |
Important Ratios
=============
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as of Dec. 31, 2013 |
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*Current ratio |
1.42 |
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*Quick ratio |
1.19 |
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*Liabilities to assets |
0.69 |
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*Net profit margin (%) |
0.86 |
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*Return on total assets (%) |
3.90 |
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*Inventory /Turnover ×365 |
13 days |
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*Accounts receivable/Turnover ×365 |
43 days |
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*Turnover/Total assets |
4.56 |
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* Cost of goods sold/Turnover |
0.95 |
PROFITABILITY: AVERAGE
The turnover of SC appears fairly good in its line.
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 turnover.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level.
SC’s quick ratio is maintained in a normal level.
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 average in 2013.
SC’s turnover is in a fairly good level, comparing with the size of its total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average.
The risk for SC to go bankrupt is average.
Overall financial condition of the SC: Stable.
SC is considered small-sized in its line with stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.38 |
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|
1 |
Rs.101.63 |
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Euro |
1 |
Rs.83.57 |
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
NIS |
RATING EXPLANATIONS
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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 |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to
overcome financial difficulties seems comparatively below average. |
Small |
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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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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
-- |
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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.