MIRA
INFORM REPORT
|
Report Date : |
07.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
JINKO SOLAR CO., LTD. |
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Formerly Known as: |
Jiangxi
Jinko Solar Co., Ltd. |
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Registered Office : |
No. 1 Jinko Road,
Shangrao Economic Development Zone, Jiangxi Province 334100 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
13.12.2006 |
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Com. Reg. No.: |
361100520000106 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
Engaged
in manufacturing monocrystalline silicon, monocrystalline silicon,
polycrystalline ingot, and polycrystalline silicon films; researching, developing,
processing, manufacturing, installing and selling high efficiency solar
cells, modules and photovoltaic power generation system; manufacturing and
selling solar energy materials and related products; designing, consulting,
integrating, manufacturing, engineering installing, and debugging solar
photovoltaic power generation, its application system engineering, electronic
products, building & decorating materials, and solar lighting equipment. Subject
products range includes Jinko Modules, Jinko Cells
& Jinko Wafers |
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|
|
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No. of Employees : |
3,500 (approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
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 – december 01, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
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 & address
JINKO SOLAR CO., LTD.
NO. 1 JINKO
ROAD, SHANGRAO ECONOMIC DEVELOPMENT ZONE
JIANGXI
PROVINCE 334100 PR CHINA
TEL: 86 (0)
793-8588188/86188903
FAX: 86 (0)
793-8461152
EXECUTIVE SUMMARY
Date of Registration : DECEMBER 13, 2006
REGISTRATION NO. : 361100520000106
LEGAL FORM : WHOLLY
FOREIGN-OWNED ENTERPRISE
CHIEF EXECUTIVE : LI XIANDE (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL :
USD 315,000,000
staff : 3,500
BUSINESS CATEGORY :
MANUFACTURING & TRADING
Revenue : CNY 4,715,699,000 (AS OF DEC. 31, 2012)
EQUITIES : CNY 2,200,751,000 (AS OF DEC. 31, 2012)
WEBSITE : www.jinkosolar.com
E-MAIL :
sales@jinkosolar.com
PAYMENT : AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fair
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.05 = 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
LEGAL STATUS & HISTORY
SC was
established as a wholly foreign-owned enterprise of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.: 361100520000106 on December 13, 2006.
SC’s Organization Code Certificate No.:
79479902-8
SC’s registered capital: USD 315,000,000
SC’s paid-in capital: USD 315,000,000
Registration Change Record:-
|
Date |
Change
of Contents |
Before
the change |
After
the change |
|
2008-09 |
Registered
Capital |
USD 106,490,000 |
USD 181,490,000 |
|
Legal
Representative |
Xu
Runsheng |
Li
Xiande |
|
|
2009-01 |
Registered Capital |
USD 181,490,000 |
USD 190,000,000 |
|
2009-04 |
Company Name |
Jiangxi Jinko Solar Co., Ltd. |
Jinko Solar Co., Ltd. |
|
2011-06 |
Registered Capital |
USD 190,000,000 |
USD 250,000,000 |
|
-- |
Registered Capital |
USD 250,000,000 |
USD 315,000,000 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Paker
Technology Limited (Hong Kong) |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman,
and General Manager |
Li
Xiande |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name
%
of Shareholding
Paker
Technology Limited (Hong Kong) 100
---------------------------------
CR No.: 1086646
Date of Registration: November 10, 2006
Legal Form: Private
Status: Live
MANAGEMENT
Li
Xiande, Legal
Representative, Chairman and General Manager
-------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
ID# 332627197508090190
Ø
Age: 39
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal representative, chairman and
general manager
Also working in Jinko Solar Holding Co., Ltd., Shangyao Zhuoyuan Technology Co., Ltd., Jiangxi Jinko Energy Saving Technology Service Co., Ltd., Jiangxi Jinko Real Estate Development Co., Ltd., Shangyao Jinko Photovoltaic Technology Engineering Co., Ltd., Jiangxi Jinko PV Material Co., Ltd., Jinko Solar Import and Export Co., Ltd., Desun Energy Co., Ltd. and Zhejiang Jinko Solar Co., Ltd. as legal representative
BUSINESS
OPERATION
SC’s
registered business scope includes manufacturing monocrystalline silicon,
monocrystalline silicon, polycrystalline ingot, and polycrystalline silicon
films; researching, developing, processing, manufacturing, installing and
selling high efficiency solar cells, modules and photovoltaic power generation
system; manufacturing and selling solar energy materials and related products;
designing, consulting, integrating, manufacturing, engineering installing, and
debugging solar photovoltaic power generation, its application system
engineering, electronic products, building & decorating materials, and
solar lighting equipment.
SC is mainly engaged in manufacturing and selling solar battery.
SC’s
products mainly include: Jinko Modules, Jinko Cells
& Jinko Wafers
Brand:
“Jinko”.
SC sources its materials 90% from domestic market and 10% from the overseas market, mainly Germany, U.S.A., and Korea. SC sells 100% of its products in domestic 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 and Credit of 30-60
days.
Staff & Office:
--------------------------
SC is
known to have approx. 3,500 staff
at present.
SC owns an area as
its operating office and factory, but the detailed information is unknown.
RELATED
COMPANY
JinkoSolar Holding Co., Ltd.
Shangyao Zhuoyuan Technology Co., Ltd.
Registration No.: 361100210048732
Date of Registration: November 25, 2013
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Li Xiande
Jiangxi Jinko Energy Saving Technology Service Co., Ltd.
Registration No.: 361100110004239
Date of Registration: August 28, 2013
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Li Xiande
Jiangxi Jinko Real Estate Development Co., Ltd.
Registration No.: 361100210046466
Date of Registration: August 6, 2013
Legal Form: Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Li Xiande
Shangyao Jinko Real Estate Development Co., Ltd.
Registration No.: 361100210026451
Date of Registration: August 22, 2011
Legal Form: Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Li Xiande
Shangyao Jinko Photovoltaic Technology Engineering Co., Ltd.
Registration No.: 361100110003073
Date of Registration: July 28, 2011
Legal Form: Wholly Foreign-Owned Enterprise
Registered Capital: CNY 460,000,000
Legal Representative: Li Xiande
Jiangxi Jinko PV Material Co., Ltd.
Registration No.: 361100110002337
Date of Registration: December 10, 2010
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Li Xiande
Jinko Solar Import and Export Co., Ltd.
Registration No.: 361100210019059
Date of Registration: December 24, 2009
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 50,000,000
Legal Representative: Li Xiande
Desun Solar Co., Ltd.
Registration No.: 361100520000632
Date of Registration: June 6, 2006
Legal Form: Chinese-foreign equity joint venture enterprise
Registered Capital: HKD 83,280,000
Legal Representative: Li Xiande
Zhejiang
Jinko Solar Co., Ltd.
Registration No.: 330400400008173
Date of Registration: August 2, 2006
Legal Form: Chinese-foreign equity joint venture enterprise
Registered Capital: USD 175,000,000
Legal Representative: Li Xiande
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 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
Basic Bank:
Bank
of China
AC#: N/a
FINANCIALS
Consolidated Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
|
987,660 |
1,127,265 |
|
|
Notes receivable |
17,280 |
1,424 |
|
Accounts
receivable |
1,981,869 |
2,609,954 |
|
Advances to
suppliers |
540,482 |
232,957 |
|
Interest
receivable |
640 |
956 |
|
Other receivable |
739,007 |
577,670 |
|
Inventory |
472,463 |
375,736 |
|
Deferred
expenses |
0 |
0 |
|
Other current
assets |
9,977 |
7,737 |
|
|
------------------ |
------------------ |
|
Current assets |
4,749,378 |
4,933,699 |
|
Long-term
investment |
0 |
7,200 |
|
Fixed assets |
3,401,162 |
3,077,969 |
|
Construction in
progress |
398,986 |
248,194 |
|
Intangible
assets |
375,945 |
372,113 |
|
Long-term
prepaid expenses |
128,051 |
132,098 |
|
Deferred income
tax assets |
21,853 |
75,242 |
|
Other
non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
9,075,375 |
8,846,515 |
|
|
============= |
============= |
|
Short-term loans |
1,808,032 |
1,708,098 |
|
Notes payable |
909,831 |
1,149,137 |
|
Accounts payable |
269,911 |
1,481,541 |
|
Wages payable |
174,683 |
199,032 |
|
Taxes payable |
93,278 |
56,565 |
|
Dividend payable |
54 |
54 |
|
Advances from
clients |
140,980 |
215,159 |
|
Other payable |
665,457 |
663,498 |
|
Non-current
liabilities maturing within one year |
392,250 |
328,000 |
|
Other current
liabilities |
70,961 |
182,830 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
4,525,437 |
5,983,914 |
|
Non-current
liabilities |
1,323,256 |
661,850 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
5,848,693 |
6,645,764 |
|
Equities |
3,226,682 |
2,200,751 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
9,075,375 |
8,846,515 |
|
|
============= |
============= |
Consolidated Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
Revenue |
7,985,692 |
4,715,699 |
|
Cost of sales |
6,946,248 |
4,453,769 |
|
Taxes and surcharges |
8,345 |
24,599 |
|
Sales expense |
236,823 |
202,658 |
|
Management expense |
244,034 |
446,770 |
|
Finance expense |
202,921 |
189,823 |
|
Investment
income |
0 |
15,762 |
|
Non-operating
income |
62,427 |
69,135 |
|
Non-operating expense |
31,763 |
24,621 |
|
Profit before
tax |
85,893 |
-1,072,257 |
|
Less: profit tax |
35,802 |
-51,975 |
|
50,091 |
-1,020,282 |
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
|
*Current ratio |
1.05 |
0.82 |
|
*Quick ratio |
0.95 |
0.76 |
|
*Liabilities
to assets |
0.64 |
0.75 |
|
*Net profit
margin (%) |
0.63 |
-21.64 |
|
*Return on
total assets (%) |
0.55 |
-11.53 |
|
*Inventory /
Revenue ×365 |
22 days |
30 days |
|
*Accounts
receivable / Revenue ×365 |
91 days |
203 days |
|
*Revenue /
Total assets |
0.88 |
0.53 |
|
*Cost of sales
/ Revenue |
0.87 |
0.94 |
FINANCIAL COMMENTS
PROFITABILITY:
POOR
l
The revenue of SC appears fairly good, and it
decreased in 2012.
l
SC’s net profit margin is average in 2011, poor in
2012.
l
SC’s return on total assets is average in 2011,
poor in 2012.
l
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY:
FAIR
l
The current ratio of SC is maintained in a normal
level in 2011, fair in 2012.
l
SC’s quick ratio is maintained in a normal level in
both years.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears large.
l
SC’s short-term loans appear large.
l
SC’s revenue is in a
fair level, comparing with the size of its total assets.
LEVERAGE:
AVERAGE
l
The debt ratio of SC is average.
l
The risk for SC to go bankrupt is average.
Overall financial condition
of the SC: Fair.
CONCLUSIONS
SC is considered large-sized in its line with fair financial
conditions. The large amount of accounts receivable &
short-term loans may be a threat to SC’s financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.50 |
|
UK Pound |
1 |
Rs.101.92 |
|
Euro |
1 |
Rs.84.50 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.