MIRA
INFORM REPORT
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Report Date : |
05.08.2014 |
IDENTIFICATION DETAILS
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Name : |
Foshan Boffin
Mechanical & Electrical CO., LTD. |
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Registered Office : |
No. 8 Kebaodong Road, Area A, Shishan Industrial Zone, Nanhai
District, Foshan, Guangdong Province, 528225 Pr |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
19.06.2008 |
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Com. Reg. No.: |
440682000076339 |
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Legal Form : |
Limited
Liabilities Company |
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Line of Business : |
Manufacturing & selling ceramic equipment and its ancillary
equipment and spare parts; selling ceramic raw materials (except hazardous
chemicals and toxic); providing new technology hard service; ceramic
technology services; importing and exporting goods and technology. |
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No. of Employees : |
100 |
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 – June 1, 2014
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Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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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 |
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, growth of the
private sector, development of stock markets and a modern banking system, 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 considered important to "economic
security," explicitly looking to foster globally competitive industries.
After keeping its currency tightly linked to the US dollar for years, in July
2005 China 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 and
expanded the daily trading band within which the RMB is permitted to fluctuate.
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. Several factors are
converging to slow China's growth, including debt overhang from its
credit-fueled stimulus program, industrial overcapacity, inefficient allocation
of capital by state-owned banks, and the slow recovery of China's trading
partners. The government's 12th Five-Year Plan, adopted in March 2011 and
reiterated at the Communist Party's "Third Plenum" meeting in
November 2013, emphasizes continued economic reforms and the need to increase
domestic consumption in order to make the economy less dependent in the future
on fixed investments, exports, and heavy industry. 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.
|
Source
: CIA |
Company Name & address
Foshan Boffin Mechanical
& Electrical CO., LTD.
NO. 8 KEBAODONG ROAD, area a, SHISHAN
INDUSTRIAL ZONE, NANHAI DISTRICT, FOSHAN, GUANGDONG province, 528225 PR CHINA
TEL: 86 (0) 757-86696319/86696311
FAX: n/a
EXECUTIVE SUMMARY
INCORPORATION DATE : june 19, 2008
REGISTRATION NO. : 440682000076339
REGISTERED LEGAL FORM : Limited
liabilities company
chief executive :
MR. chen weiqiang (CHAIRMAN)
STAFF STRENGTH :
100
REGISTERED CAPITAL : CNY
5,000,000
BUSINESS LINE :
MANUFACTURING & TRADING
TURNOVER :
CNY 41,183,000 (AS OF DEC. 31, 2012)
EQUITIES :
CNY 4,264,000 (AS OF DEC. 31, 2012)
PAYMENT :
AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : Fairly stable
OPERATIONAL TREND :
fairly STEADY
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY 6.1799 = 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 co. at local Administration
for Industry & Commerce (AIC - The official body of issuing and renewing
business license) on June 19, 2008.
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 manufacturing & selling
ceramic equipment and its ancillary equipment and spare parts; selling ceramic
raw materials (except hazardous chemicals and toxic); providing new technology
hard service; ceramic technology services; importing and exporting goods and
technology.
SC is mainly engaged in manufacturing & selling ceramic equipment
and its ancillary equipment and spare parts.
Mr. Chen Weiqiang has been legal representative and chairman of SC since
2008.
SC is known to have approx. 100 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in Foshan. Our checks reveal that SC
rents the total premise, but SC’s accountant refused to release the gross area.
The other address: No. 6 Gongye Street, Dawang Hi-tech Zone, Sihui,
Zhaoqing, Guangdong
Tel: 0758-6639926/6639916
http://www.foshan-boffin.com/ The website could not open at present.
Changes of its
registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2012-01-19 |
Registered capital |
CNY 1,000,000 |
Present amount |
Subject passed the annual inspection of 2012 with Administration for
Industry & Commerce.
Organization Code: 677065869
There is no record of litigation till now.
MAIN SHAREHOLDERS:
Name %
of Shareholding
He Biaocheng 23
ID# 44068219670916XXXX
Chen Weiqiang 23
ID#44062219720924XXXX
Yan Sujing 23
ID#43010419690310XXXX
Liang Haiguo 23
ID# 44060319730116XXXX
Liang Zhijiang 8
ID#44060319721107XXXX
Legal
representative and chairman:
Mr. Chen Weiqiang, ID# 44062219720924XXXX, born in 1972, he is currently
responsible for the overall management of SC.
Working Experience(s):
From 2008 to present Working in SC as
legal representative and chairman.
General Manager:
Mr. Liang Haiguo, ID# 44060319730116XXXX, born in 1973, he is currently
responsible for the daily management of SC.
Working
Experience(s):
At present
Working in SC as general manager.
Supervisor:
Xia Riguang
ID# 44060119620423XXXX
SC is mainly engaged in manufacturing & selling ceramic equipment
and its ancillary equipment and spare parts.
SC’s products mainly include: ceramic equipment and its ancillary
equipment and spare parts.
SC sources its materials 100% from domestic market. SC sells 80% of its
products in domestic market, and 20% to overseas market, mainly Southeast Asia.
The buying terms of SC include Check, T/T 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.
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TRADEMARKS & PATENTS |
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Registration No. |
7396854 |
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Registration Date |
Aug. 28, 2010 |
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Trademark Design |
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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.
SC’s management declined to release its bank details.
Financial
Summary
===============
Unit: CNY’000
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As
of Dec. 31, 2012 |
As
of Dec. 31, 2011 |
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Total assets |
34,341 |
40,040 |
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========= |
========= |
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Total liabilities |
30,077 |
37,840 |
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Equities |
4,264 |
2,200 |
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-------------- |
-------------- |
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Total liabilities & equities |
34,341 |
40,040 |
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========= |
========= |
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Turnover |
41,183 |
38,905 |
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Profit before tax |
1,489 |
1,245 |
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Less: profit tax |
360 |
313 |
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Profits |
1,129 |
932 |
Note: we did not find SC’s latest and detailed financial information.
Important Ratios
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As
of Dec. 31, 2012 |
As
of Dec. 31, 2011 |
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*Liabilities to assets |
0.88 |
0.95 |
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*Net profit margin (%) |
2.74 |
2.40 |
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*Return on total assets (%) |
3.29 |
2.33 |
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*Turnover/Total assets |
1.20 |
0.97 |
PROFITABILITY:
AVERAGE
The turnover of SC appears average in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s turnover is in an average level, comparing with the size of its
total assets.
LEVERAGE: FAIR
The debt ratio of SC is high.
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.61.02 |
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|
1 |
Rs.102.69 |
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Euro |
1 |
Rs.81.91 |
INFORMATION DETAILS
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Analysis Done by
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SUM |
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Report Prepared
by : |
TPT |
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 |
-- |
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.