MIRA
INFORM REPORT
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Report Date : |
29.12.2014 |
IDENTIFICATION DETAILS
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Name : |
HANGZHOU HUIXIN METAL PRODUCT CO., LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
26.10.1999 |
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Com. Reg. No.: |
330184000120976 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in Manufacturing and Selling Metal Products. |
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No. of Employee : |
120 |
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 : |
Sloe but correct |
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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 – September 30, 2014
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Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
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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 |
Since the late 1970s
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Source
: CIA |
Company name and address
HANGZHOU HUIXIN METAL PRODUCT CO., LTD.
TEL: 86 (0) 571-86318555/86318600 FAX: 86 (0) 571-86376509
EXECUTIVE SUMMARY
INCORPORATION DATE : OCT. 26, 1999
REGISTRATION NO. : 330184000120976
REGISTERED LEGAL FORM : Limited
liabilities company
CHIEF EXECUTIVE :
MR. LING JINXUAN (CHAIRMAN)
STAFF STRENGTH :
120
REGISTERED CAPITAL : CNY
10,080,000
BUSINESS LINE :
manufacturing, trading
TURNOVER :
CNY 88,280,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 6,850,000 (AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : fair
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.2091 = USD 1
HISTORY
Note: SC is also known as Hangzhou Huixin Metal Products Co., Ltd.
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 oct. 26, 1999.
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: galvanized steel
wire, steel wire, nail, steel wire plastic coated mesh. Selling: galvanized
steel wire, steel wire, nail, steel wire plastic coated mesh; importing and
exporting goods.
SC is mainly engaged in manufacturing and selling metal products.
Mr. Ling Jinxuan is legal representative and chairman of SC at present.
SC is known to have approx. 120 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in the industrial zone of Hangzhou. Our
checks reveal that SC owns the total premise about 11,000 square meters.
WEB SITE
http://www.hzhuixin.net/ The design is professional and the content is
well organized. At present it is in both Chinese and English versions.
Email: web@hzhuixin.net
KEY EVENTS/RECENT DEVELOPMENT
Changes
of its registered information are as follows:
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Date of change |
Item |
Before the change |
After the change |
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2001-6-11 |
Company’s name |
Hangzhou Yuhang Huixin Metal Product Co., Ltd. |
Present one |
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2004-5-18 |
Registered capital |
CNY 1,080,000 |
CNY 3,080,000 |
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2005-8-25 |
Registered capital |
CNY 3,080,000 |
CNY 6,080,000 |
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Shareholders |
Pang Xinhua 3.25% Wang Jianwei 3.25% Xia Liren 3.25% Ling Jinxuan 90.25% |
Pang Xinhua 1.65% Wang Jianwei 4.93% Xia Liren 4.93% Ling Jinxuan 88.49% |
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2010-4-28 |
Registered capital |
CNY 6,080,000 |
Present amount |
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Shareholders |
Pang Xinhua 1.65% Wang Jianwei 4.93% Xia Liren 4.93% Ling Jinxuan 88.49% |
Present ones |
Subject passed the annual inspection of 2012 with Administration for
Industry & Commerce.
Organization Code: 719594321
LITIGATION
There is no record of litigation till now.
OWNERSHIP/MANAGEMENT
MAIN SHAREHOLDERS:
Name Amount
(CNY) % of
Shareholding
Ling Jinxuan 5,380,000 53.37
Ling Ji 4,000,000 39.68
Pang Xinhua 100,000 0.99
Xia Liren 300,000 2.98
Wang Jianwei 300,000 2.98
MANAGEMENT
Legal
representative and Chairman:
Mr. Ling Jinxuan about 57 years old, with university education. He is
currently responsible for the overall management of SC.
Working
Experience(s):
At present Working
in SC as legal representative and chairman.
Also working in Hangzhou Huiren Industry & Trade Co., Ltd. as legal
representative.
BUSINESS OPERATIONS
SC is mainly engaged in manufacturing and selling metal products.
SC’s products mainly include:
Steel wire rope
Bright steel wire
Galvanized steel wire
Galvanized steel wire strand
Steel nail
SC sources its materials 100% from domestic market. SC sells 65% of its
products in domestic market, and 35% to overseas market, mainly
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.
Note: SC’s management declined to release its main clients and
suppliers.
TRADEMARKS & PATENTS
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Registration No. |
3088476 |
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Registration Date |
May 21, 2003 |
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Trademark Design |
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RELATED COMPANIES
SC
is known to invest in the following company:
Hangzhou Huiren Industry & Trade Co., Ltd.
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Registration no.: 330184000022903
Legal representative: Ling Jinxuan
Incorporation date: 1999-10-29
Tel: 0086-571-86318787
Fax: 0086-571-86318555
PAYMENT
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.
BANKING
SC declined to release its banking details.
FINANCIAL HIGHLIGHTS
Balance
Sheet
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Unit: CNY’000 |
as of Dec. 31,
2013 |
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Cash & bank |
11,450 |
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Inventory |
24,520 |
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Accounts receivable |
30,720 |
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Other Accounts receivable |
360 |
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Advances to suppliers |
210 |
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Notes receivable |
100 |
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Other current assets |
0 |
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Current assets |
67,360 |
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Fixed assets net value |
9,060 |
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Projects under construction |
130 |
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Long term investment |
6,380 |
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Intangible and other assets |
410 |
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Total assets |
83,340 |
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============= |
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Short loans |
40,250 |
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Accounts payable |
6,580 |
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Other Accounts payable |
8,130 |
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Advances from clients |
1,270 |
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Notes payable |
20,200 |
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Tax payable |
50 |
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Other current liabilities |
10 |
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Current liabilities |
76,490 |
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Long term liabilities |
0 |
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Total liabilities |
76,490 |
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Equities |
6,850 |
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Total liabilities & equities |
83,340 |
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Income
Statement
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Unit: CNY’000 |
as of Dec. 31,
2013 |
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Turnover |
88,280 |
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Cost of goods sold |
86,090 |
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Taxes and additional of
main operation |
480 |
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Sales expense |
1,080 |
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Management expense |
3,120 |
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Finance expense |
2,280 |
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Profit before tax |
-4,020 |
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Less: profit tax |
0 |
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Profits |
-4,020 |
Important
Ratios
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As of Dec. 31,
2013 |
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*Current ratio |
0.88 |
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*Quick ratio |
0.56 |
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*Liabilities to assets |
0.92 |
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*Net profit margin (%) |
-4.55 |
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*Return on total assets (%) |
-4.82 |
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*Inventory /Turnover ×365 |
102 days |
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*Accounts receivable/Turnover ×365 |
128 days |
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*Turnover/Total assets |
1.06 |
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* Cost of goods sold/Turnover |
0.98 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIR
The turnover of SC appears average in its line.
SC’s net profit margin is fair.
SC’s return on total assets is fair.
SC’s cost of goods sold is high, comparing with its turnover.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a fair level.
The inventory of SC is fairly large.
The accounts receivable of SC is fairly large.
The short-term loan of SC appears large in 2013.
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: Fair.
REMARKS
SC is considered medium-sized in its line with fair financial
conditions. The large amount of inventory, accounts receivable and short loans
could be a threat to SC’s financial condition.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.63.63 |
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1 |
Rs.98.98 |
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Euro |
1 |
Rs.77.74 |
INFORMATION DETAILS
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Analysis Done by
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KAR |
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Report Prepared
by : |
ANK |
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.