MIRA
INFORM REPORT
|
Report Date : |
03.01.2014 |
IDENTIFICATION DETAILS
|
Name : |
JIANGSU ZHONGBO
COMMUNICATIONS CO., LTD. |
|
|
|
|
Registered Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
05.09.2007 |
|
|
|
|
Com. Reg. No.: |
320000000022927 |
|
|
|
|
Legal Form : |
One-Person Limited
Liability Company |
|
|
|
|
Line of Business : |
Subject is engaged in selling communication and electronic equipment, and providing related
services |
|
|
|
|
No. of Employees : |
140 |
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 |
|
Payment Behaviour : |
Slow but correct |
|
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, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
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 and address
JIANGSU ZHONGBO COMMUNICATIONS CO., LTD.
NO. 80 NORTH HUJU ROAD, NANJING, JIANGSU PROVINCE, 210003 PR
CHINA
TEL: 86 (0) 25-86561582/83426733
FAX: 86 (0) 25-86563707/83426733
EXECUTIVE SUMMARY
INCORPORATION DATE :
SEP. 5, 2007
REGISTRATION NO. : 320000000022927
REGISTERED LEGAL FORM :
ONE-PERSON LIMITED LIABILITY COMPANY
CHIEF EXECUTIVE : MR. SHEN SHUNYUAN (GENERAL MANAGER)
STAFF STRENGTH :
140
REGISTERED CAPITAL :
CNY 100,000,000
BUSINESS LINE :
TRADING AND SERVICE
TURNOVER :
CNY 1,540,550,000 (AS OF DEC.
31, 2012)
EQUITIES :
CNY 117,150,000 (AS OF DEC. 31, 2012)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.0606 = 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 one-person limited liability company at Jiangsu Provincial Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Sep. 5, 2007.
Company Status: One-person Limited Liability Company Single person LLC refers to a
limited liability company set up by only one natural person or legal person
as the single shareholder of it. The minimum registered capital
of Single person LLC is CNY100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only
invest in and set up one limited liability company, which is not permitted
to invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered business scope includes general cargo transport, wholesaling and retailing pre-packaged foods, bulk food; insurance agency (insurance agents listed by the license). Sales and maintenance of communications equipment (excluding ground satellite reception facilities ), other electronic products, fax documents and accessories, sales of metal products, plastic products, decorative materials, hardware, clothing and department stores, wires and cables, instrumentation , computers and accessories, scales, paper and paper products, chemical raw materials and products, building materials, automobiles, cars, motorcycles and accessories, communication equipment installation, handling, loading and unloading, warehousing services, freight forwarding, exhibition services, waste recycling, construction decoration. Communications products sales agents, communications technology services, technical consulting, information services, installation and commissioning of communications engineering, import and export business of self-made products and technology and the needed machinery and equipment, spare parts, raw and auxiliary materials and technology, import and export business of various commodities and technologies, communications product testing, agent, agent for telecommunications services, communication and information network system integration ( C ) , communications construction project bidding agency. Housing and equipment rental. (The following business scope is limited to branches) manufacturing and selling Low-voltage switchgear equipment, telephone switching equipment, communications equipment (excluding ground satellite reception facilities) and its ancillary equipment, enthalpy, fresh air, heat exchangers and other energy-saving systems and equipment, manufacturing and selling electric energy meter and energy metering terminal.
SC is mainly engaged in selling communication and other electronic equipment, and providing related services.
Mr. Shen Shunyuan is the legal representative and general manager of SC at present.
SC is known to have approx. 140 employees at present.
SC is currently operating at the above stated address, and this address houses its operating office in Nanjing. Our checks reveal that SC owns the total premise, but SC’s accountant refused to release the gross area.
http://www.jszbc.com.cn/ The design is professional and the content is well organized. At present it is in Chinese and English versions.
E-mail: jszb@jszbc.com.cn
SC has AAA credit rating and has passed the ISO9001 certification. It is an AAAA logistics enterprise in China and a major logistics enterprise in Jiangsu Province as well as in Nanjing city. It is a member of China Federation of Logistics & Purchasing, a communication product test agency accredited by Jiangsu Administration of Quality and Technology Supervision, a lab accredited by China National Accreditation Service for Conformity Assessment (CNAS), and a member of Standards Association of Jiangsu Province.
No significant changes were found during our checks with the local AIC.
There is no record of litigation till now.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jiangsu Communications Services Co., Ltd. 100
Add: No. 9 Changle Road, Nanjing
Tel: 025-52869903
Email: js_chinaccs@yahoo.com.cn
Legal representative and general manager:
Mr. Shen Shunyuan, ID# 32022319600815XXXX, born in 1960, he is currently responsible for the overall and daily management of SC.
Working Experience(s):
At present Working in SC as legal representative and general manager.
Also working in Jiangsu Telecom Equipment Industry Company as legal representative.
Chairman:
Mr. Guo Yajin , ID# 32010319551010XXXX, born in 1955, he is currently responsible for the overall management of SC.
Working Experience(s):
At present Working in SC as chairman.
Also working in Jiangsu Telecom Industry Qiaoning Properties Co., Ltd. (in Chinese pinyin) as legal representative.
Directors:
Shen Shunyuan
Shao Hong
Ji Wei
Supervisors:
Guo Chenguang
Li Jing
SC is mainly engaged in selling communication and other electronic equipment, and providing related services.
SC’s products mainly include: communication products and other electronic equipment.
SC sources its materials 99% from domestic market, and 1% from the overseas market. SC sells 20% of its products in domestic market, and 80% to overseas market.
The buying terms of SC include Check, L/C, 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.
Partners: according to SC’s website
==========================
Jiangsu Telecom Equipment Industry Company
Jiangsu Telecom Industry Qiaoning Properties Co., Ltd. (in Chinese pinyin)
Branches:
Jiangsu Zhongbo Communications Co., Ltd. Binjiang Branch
Jiangsu Zhongbo Communications Co., Ltd. Maqun Office
Jiangsu Zhongbo Communications Co., Ltd. Trade Office
Jiangsu Zhongbo Communications Co., Ltd. Equipment Branch
Jiangsu Zhongbo Communications Co., Ltd. Communications Product Quality Inspection Station
Jiangsu Zhongbo Communications Co., Ltd. Yaohuamen Office
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 declined to release its banking details.
Financial Summary
===============
Unit: CNY’000
|
|
As of Dec. 31, 2012 |
|
Current assets |
930,220 |
|
Total assets |
985,570 |
|
|
========= |
|
Current liabilities |
868,420 |
|
Long term liabilities |
0 |
|
|
-------------- |
|
Total liabilities |
868,420 |
|
Equities |
117,150 |
|
|
-------------- |
|
Total liabilities & equities |
985,570 |
|
|
========= |
|
Turnover |
1,540,550 |
|
Cost of goods sold |
1,494,260 |
|
Profit before tax |
50,420 |
|
Less: profit tax |
13,390 |
|
Profits |
37,030 |
Note: SC’s management refused to release its detailed financial
reports.
Important Ratios
=============
|
|
as of Dec. 31, 2012 |
|
*Current ratio |
1.07 |
|
*Liabilities to assets |
0.88 |
|
*Net profit margin (%) |
2.40 |
|
*Return on total assets (%) |
3.76 |
|
*Turnover/Total assets |
1.56 |
|
* Cost of goods sold/Turnover |
0.97 |
PROFITABILITY: AVERAGE
The turnover of SC appears 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 high, comparing with its turnover.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level.
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
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.90 |
|
|
1 |
Rs.102.74 |
|
Euro |
1 |
Rs.85.16 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIS |
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.