MIRA
INFORM REPORT
|
Report Date : |
04.12.2014 |
IDENTIFICATION DETAILS
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Name : |
NINGBO FANGLI
GROUP MARKETING CO., LTD. |
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Registered Office : |
Fangli Technology Industrial Zone, S214 Rd. Hengzhang
Shiqi Yinzhou District, |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
21.11.2005 |
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Com. Reg. No.: |
330212000185377 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Wholesale and retail of rubber, plastics and printing industry
equipment, electronic equipment and electrical equipment, gas compressors, fans,
mechanical seal and vacuum to obtain equipment, packaging machinery and
equipment, pumps, valves generic parts, plastic products, rubber products;
transit of goods, freight forwarders; warehousing; operating and acting as an
agent of importing and exporting various kinds of commodities and technology,
excluding the goods forbidden by the government |
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No of Employees : |
37 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
|
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
NINGBO FANGLI
GROUP MARKETING CO., LTD.
FANGLI
TECHNOLOGY INDUSTRIAL ZONE, S214 RD. HENGZHANG SHIQI
YINZHOU
DISTRICT, NINGBO, ZHEJIANG PROVINCE 315155 PR CHINA
TEL: 86 (0)
574-28883135/28883018/28883182/28883028
FAX: 86 (0)
574-28883148/28883018
EXECUTIVE SUMMARY
Date of Registration : november 21, 2005
REGISTRATION NO. : 330212000185377
LEGAL FORM : LIMITED
LIABILITIES COMPANY
CHIEF EXECUTIVE :
wang rongrong (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : cny
5,000,000
staff :
37
BUSINESS CATEGORY : trading
Revenue :
CNY 96,640,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 18,510,000 (AS OF DEC. 31, 2013)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.14 = 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.:
330212000185377 on November 21, 2005.
SC’s Organization Code Certificate No.:
78044137-5
SC’s Tax No.: 330227780441375
SC’s registered capital: cny 5,000,000
SC’s paid-in capital: cny 5,000,000
Registration Change Record:-
No significant changes of SC have been noted in
SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Ningbo Fangli Group
Co., Ltd. |
90 |
|
Lu Suqin |
10 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Wang Rongrong |
|
Supervisor |
Wang Yajun |
|
Liu Jichuan |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Ningbo Fangli Group Co.,
Ltd. 90
Lu Suqin 10
Ningbo Fangli Group Co.,
Ltd.
------------------------------------------
Date of Registration: July 13, 1997
Registration No.: 330200000075356
Legal Form: Limited Liabilities
Company
Chief Executive: Fang Guozhen
Registered Capital: CNY 30,000,000
Add: South 31st Floor,Yinzhou Shanghui Building NO.1299 Yinxian
Road (east), Ningbo, Zhejiang,
China
Tel: +86-(0)574-28883018/28883112
Fax: +86-(0)574-28883130
E-mail: fl@fangli.com
Web: www.fangli.com
MANAGEMENT
Wang Rongrong , Legal Representative, Chairman and General
Manager
----------------------------------------------------------------------------------------------------------
Gender: M
Age: 60
ID# 320105541022121
Qualification: University
Working experience (s):
At present, working in SC as legal representative, chairman and general
manager
Supervisor
---------------
Wang Yajun ID#
230102601123282
Liu Jichuan ID#
220202630625364
BUSINESS
OPERATION
SC’s registered business scope includes wholesale and retail
of rubber, plastics and printing industry equipment, electronic equipment and
electrical equipment, gas compressors, fans, mechanical seal and vacuum to
obtain equipment, packaging machinery and equipment, pumps, valves generic
parts, plastic products, rubber products; transit of goods, freight forwarders;
warehousing; operating and acting as an agent of importing and exporting
various kinds of commodities and technology, excluding the goods forbidden by
the government.
SC is mainly engaged in selling machinery and equipment.
Brand: FANGLI
SC’s products mainly include:
Temp-regulator
Loader & Mixer
Plastic-recycling
Coiler
Pump
Valve
Hydraulic Machine
Butt fusion
SC sources its products 100% from domestic market, mainly Ningbo. SC sells 20% of its products in domestic market,
and 80% to overseas market, mainly U.S.A., Europe, Mid East, etc.
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 Customers*
----------------------
Sankyu U.S.A., Inc.
Future Pipe Industries Inc.
*Major Supplier*
--------------------
Ningbo Fangli Group Co.,
Ltd.
Staff &
Office:
--------------------------
SC is known to have approx. 37
staff at present.
SC rents an area as its operating office, but the detailed information
is unknown.
RELATED
COMPANY
Ningbo Graewe Fangli Extrusion Equipment Co., Ltd.
Ningbo Fangli Machinery
Co., Ltd.
Ningbo Fangli Plastic
Welding Equipment Co., Ltd.
Ningbo Fangli Machine
Tool Industry & Trade Co., Ltd.
Ningbo Fangli Investment
Co., Ltd.
Ningbo Fangli Machine
Tool Equipment Co., Ltd.
Ningbo Fangli Technology
Co., Ltd.
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:
China Construction Changfeng
Sub-branch
AC#: 330101995043050500315
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
24,658 |
12,701 |
43,650 |
|
|
Accounts receivable |
26,271 |
22,821 |
26,310 |
|
Advances to suppliers |
49 |
496 |
730 |
|
Other receivable |
46,712 |
67,428 |
124,620 |
|
Inventory |
7,902 |
10,858 |
2,520 |
|
Non-current assets within one year |
0 |
0 |
0 |
|
Other current assets |
882 |
2 |
2,180 |
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|
------------------ |
------------------ |
------------------ |
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Current assets |
106,474 |
114,306 |
200,010 |
|
Fixed assets |
1,328 |
1,052 |
870 |
|
Long-term prepaid expenses |
0 |
0 |
0 |
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Deferred income tax assets |
0 |
0 |
0 |
|
Other non-current assets |
0 |
0 |
0 |
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------------------ |
------------------ |
------------------ |
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Total assets |
107,802 |
115,358 |
200,880 |
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============= |
============= |
============= |
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Short-term loans |
12,000 |
12,000 |
47,000 |
|
Notes payable |
1,500 |
7,841 |
56,770 |
|
Accounts payable |
35,581 |
24,941 |
26,790 |
|
Wages payable |
-16 |
7 |
0 |
|
Taxes payable |
80 |
-428 |
460 |
|
Advances from clients |
42,926 |
53,476 |
40,180 |
|
Other payable |
251 |
421 |
11,260 |
|
Other current liabilities |
0 |
0 |
10 |
|
|
------------------ |
------------------ |
------------------ |
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Current liabilities |
92,322 |
98,258 |
182,470 |
|
Non-current liabilities |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
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Total liabilities |
92,322 |
98,258 |
182,470 |
|
Equities |
15,480 |
17,100 |
18,410 |
|
|
------------------ |
------------------ |
------------------ |
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Total liabilities & equities |
107,802 |
115,358 |
200,880 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31, 2012 |
|
Revenue |
121,644 |
109,575 |
103,100 |
|
Cost of sales |
107,205 |
93,876 |
90,070 |
|
Taxes and surcharges |
250 |
299 |
240 |
|
Sales expense |
10,703 |
10,314 |
9,060 |
|
Management expense |
2,424 |
2,543 |
660 |
|
Finance expense |
157 |
-192 |
1,890 |
|
Non business income |
515 |
477 |
630 |
|
Non-business expenditure |
712 |
838 |
90 |
|
Profit before tax |
705 |
2,372 |
1,720 |
|
Less: profit tax |
166 |
633 |
430 |
|
539 |
1,739 |
1,290 |
Financial Summary
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
|
Total assets |
114,570 |
|
|
------------- |
|
Total liabilities |
96,060 |
|
Equities |
18,510 |
|
|
------------- |
|
Revenue |
96,640 |
|
Profits |
1,430 |
Important Ratios
=============
|
|
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
|
*Current ratio |
1.15 |
1.16 |
1.10 |
-- |
|
*Quick ratio |
1.07 |
1.05 |
1.08 |
-- |
|
*Liabilities to assets |
0.86 |
0.85 |
0.91 |
0.84 |
|
*Net profit margin (%) |
0.44 |
1.59 |
1.25 |
1.48 |
|
*Return on total assets (%) |
0.50 |
1.51 |
0.64 |
1.25 |
|
*Inventory / Revenue ×365 |
24 days |
37 days |
9 days |
-- |
|
*Accounts receivable / Revenue ×365 |
79 days |
77 days |
94 days |
-- |
|
*Revenue / Total assets |
1.13 |
0.95 |
0.51 |
0.84 |
|
*Cost of sales / Revenue |
0.88 |
0.86 |
0.87 |
-- |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears fairly good in its line, and it decreased in
2013.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level.
SC’s quick ratio is maintained in a fairly good level.
The inventory of SC is maintained in an average level.
The accounts receivable of SC appears large.
The short-term loans of SC appear large.
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: FAIR
The debt ratio of SC is fairly high.
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.89 |
|
|
1 |
Rs.96.83 |
|
Euro |
1 |
Rs.76.57 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUB |
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|
Report Prepared
by : |
TPT |
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.