MIRA
INFORM REPORT
|
Report Date : |
10.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
ZHENJIANG DINGSHENG ALUMINIUM INDUSTRIES JOINT-STOCK LIMITED COMPANY |
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Registered Office : |
Dongshi Village, Yanjiang Highway, Jingkou Science & Technology Industries Area, Zhenjiang, Jiangsu Province 212006 PR |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
12.08.2003 |
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Com. Reg. No.: |
321100000026664 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Subject is engaged in deep processing, manufacturing and selling aluminium, aluminium alloy plate, aluminum tapes, rolled aluminium materials, aluminium coating materials and aluminium materials; selling electromechanical equipment; exporting its products and technology, importing machinery, parts, raw materials and technology needed in its production, excluding the items limited or prohibited by the state. |
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No of Employees : |
1,157 |
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
|
Very High Risk |
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
ZHENJIANG DINGSHENG
ALUMINIUM INDUSTRIES JOINT-STOCK LIMITED COMPANY
DONGSHI VILLAGE,
YANJIANG HIGHWAY, JINGKOU SCIENCE & TECHNOLOGY INDUSTRIES AREA, ZHENJIANG,
JIANGSU PROVINCE 212006 PR CHINA.
TEL: 86 (0)
511-83331195/83323788
FAX: 86 (0)
511-83327498
EXECUTIVE SUMMARY
Date of Registration : august 12, 2003
REGISTRATION NO. : 321100000026664
LEGAL FORM : SHARES LIMITED
COMPANY
REGISTERED CAPITAL : CNY 322,000,000
staff :
1,157
BUSINESS CATEGORY : processing &
manufacturing & trading
Revenue :
CNY 5,221,400,000 (AS OF DEC. 31,
2012)
EQUITIES :
CNY
1,229,340,000 (AS OF DEC. 31,
2012)
WEBSITE : www.dingshenggroup.com
E-MAIL :
jie.xu@dingshenggroup.com
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : fairly good
EXCHANGE RATE :
CNY 6.20 = 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 on August 12, 2003. However, SC changed to present legal form, and was
registered as a shares limited company of PRC with State Administration for
Industry & Commerce (SAIC) under registration No.: 321100000026664 in July
2008.
SC’s Organization Code Certificate No.:
75321015-X
SC’s Tax No.: 32110275321015X
SC’s registered capital: CNY 322,000,000
SC’s paid-in capital: CNY 322,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2008-7 |
Company Name |
Zhenjiang Dingsheng Aluminium Industries Co., Ltd. |
Zhenjiang Dingsheng Aluminium Stock Co., Ltd. |
|
Legal Form |
Limited Liabilities Company |
Shares Limited Company |
|
|
-- |
Registered Capital |
CNY 170,000,000 |
CNY 262,000,000 |
|
-- |
Registration No. |
3211002604455 |
321100000026664 |
|
-- |
Shareholder (s) (% of Shareholding) |
Hangzhou Dingsheng Industrial Co., Ltd. 72.1% Jiangsu Changfa Industrial Group Co., Ltd. 0.3% Wang Xiaoli 3.5% Zhou Xianhai 24.1% |
Hangzhou Dingsheng Industrial Group Co.,
Ltd. 51.64% Tianma Holding Group Co., Ltd. 2.77% Shanghai Baoying Assets Management Co.,
Ltd. 1.15% Shanghai Dehui Venture Investment Co.,
Ltd. 1.72% Jiangsu Winfast Investment & Development
Co., Ltd. 1.91% Zhou Xianhai 17.21% Gu Youxia 2.09% Chen Liming 1.85% Other 40 individuals 19.66% |
|
2010 |
Registered Capital |
CNY 262,000,000 |
CNY 322,000,000 |
|
Shareholder (s) (% of Shareholding) |
Hangzhou Dingsheng Industrial Group Co.,
Ltd. 51.64% Tianma Holding Group Co., Ltd. 2.77% Shanghai Baoying Assets Management Co.,
Ltd. 1.15% Shanghai Dehui Venture Investment Co.,
Ltd. 1.72% Jiangsu Winfast Investment &
Development Co., Ltd. 1.91% Zhou Xianhai 17.21% Gu Youxia 2.09% Chen Liming 1.85% Other 40 individuals 19.66% |
Hangzhou Dingsheng Industrial Group Co.,
Ltd. 42.02% Tianma Holding Group Co., Ltd. 2.25% Shanghai Baoying Assets Management Co.,
Ltd. 0.93% Shanghai Dehui Venture Investment Co.,
Ltd. 1.40% Jiangsu Winfast Investment &
Development Co., Ltd. 1.55% Zhou Xianhai 14.01% Wang Xiaoli 2.05% Pan Jianjun 1.80% Gu Youxia 1.70% Duanmu Minhui 1.60% Chen Liming 1.50% Other 37 individuals 29.19% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Hangzhou Dingsheng Industrial Group Co.,
Ltd. |
42.02 |
|
Tianma Holding Group Co., Ltd. |
2.25 |
|
Shanghai Baoying Assets Management Co.,
Ltd. |
0.93 |
|
Shanghai Dehui Venture Investment Co.,
Ltd. |
1.40 |
|
Jiangsu Winfast Investment &
Development Co., Ltd. |
1.55 |
|
Zhou Xianhai |
14.01 |
|
Wang Xiaoli |
2.05 |
|
Pan Jianjun |
1.80 |
|
Gu Youxia |
1.70 |
|
Duanmu Minhui |
1.60 |
|
Chen Liming |
1.50 |
|
Other 37 individuals |
29.19 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Zhou Xianhai |
|
Director |
Wang Xiaoli |
|
Wang Tianzhong |
|
|
He Jianwei |
|
|
Pan Yuqing |
|
|
Yang Yibing |
|
|
Cheng Xiaonong |
|
|
Xu Wenxue |
|
|
Tao Jie |
|
|
Supervisor |
Gao Fengting |
|
Liu Jing |
|
|
Li Rongchang |
RECENT DEVELOPMENT
SC has got the certificate ISO9001.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Hangzhou Dingsheng Industrial Group Co.,
Ltd. 42.02
Tianma Holding Group Co., Ltd. 2.25
Shanghai Baoying Assets Management Co., Ltd. 0.93
Shanghai Dehui Venture Investment Co., Ltd. 1.40
Jiangsu Winfast Investment & Development
Co., Ltd. 1.55
Zhou Xianhai 14.01
Wang Xiaoli 2.05
Pan Jianjun 1.80
Gu Youxia 1.70
Duanmu Minhui 1.60
Chen Liming 1.50
Other 37 individuals 29.19
Hangzhou Dingsheng
Industrial Group Co., Ltd.
========================================
Registration No.: 330184000016835
Date of Registration: January 22, 2003
Legal Form: Limited Liabilities Company
Registered Capital: CNY 70,500,000
Legal Representative: Wang Tianzhong
Tianma Holding
Group Co., Ltd.
=============================
Registration No.: 330105000001582
Date of Registration: February 13, 1999
Legal Form: Limited Liabilities Company
Registered Capital: CNY 77,680,000
Legal Representative: Ma Xingfa
Shanghai Baoying
Assets Management Co., Ltd.
========================================
Registration No.: 310115000998529
Date of Registration: February 25, 2007
Legal Form: Limited Liabilities Company
Registered Capital: CNY 29,500,000
Legal Representative: Xiong Jun
Shanghai Dehui
Venture Investment Co., Ltd.
======================================
Registration No.: 310115001021807
Date of Registration: July 2, 2007
Legal Form: Limited Liabilities Company
Registered Capital: CNY 50,000,000
Legal Representative: Xue Jiayu
Jiangsu Winfast
Investment & Development Co., Ltd.
============================================
Jiangsu Winfast Investment & Development Co., Ltd. as a professional
securities asset management company well-known in China was founded in July
2003 with a registered capital of CNY 50 million yuan. Investments of Jiangsu
Winfast focus on capital market, stretch over three big segments of the
securities circulation market (the secondary market), the market where
additional corporate stock issue is tailed (the “one-half-grade” market) and
the private equity investment market (venture investment and direct investment
market or the primary market), thus completely covering the entire industrial
chain of capital market.
MANAGEMENT
Zhou Xianhai,
Legal Representative, Chairman and General Manager
------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 53
Ø
ID# 330107196107180616
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal representative, chairman
and general manager
Also
working in Hangzhou Dingcheng Aluminium Co., Ltd., Hangzhou Dingfu Aluminium
Co., Ltd. and Hangzhou Wuxing Aluminium Co., Ltd. as legal representative
Director
-----------
Wang Xiaoli ID#
330107196207020329
Wang Tianzhong ID#
330107195907020317
He Jianwei ID#
230108196112300435
Pan Yuqing ID#
132430196309116158
Yang Yibing ID#
130302196410111877
Cheng Xiaonong ID#
321102195802050437
Xu Wenxue ID#
321102196502150510
Tao Jie ID#
340104196310011570
Supervisor
--------------
Gao Fengting ID#
320302196608050411
Liu Jing ID#
321102197012211522
Li Rongchang ID#
310109197308161239
BUSINESS OPERATION
SC’s registered
business scope includes deep processing, manufacturing and selling aluminium,
aluminium alloy plate, aluminum tapes, rolled aluminium materials, aluminium
coating materials and aluminium materials; selling electromechanical equipment;
exporting its products and technology, importing machinery, parts, raw
materials and technology needed in its production, excluding the items limited
or prohibited by the state.
SC is mainly
engaged in processing, manufacturing and selling aluminium materials.
SC’s products
mainly include: aluminium sheet, aluminium cast coil, aluminium coil strip,
aluminium foil, etc.
SC sources its materials 100% from domestic
market. SC sells 70% of its products in domestic market, and 30% to overseas
market, mainly South Korea, Turkey, USA, Brazil, Thailand, India, and Israel.
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.
*Major Customers:
==============
LG
Samsung
USA Fedders
Chigo
Staff & Office:
--------------------------
SC is known
to have approx. 1,157 staff
at present.
SC owns an area as
its operating office & factory of approx. 300,000 sq. meters at the heading
address.
RELATED
COMPANY
SC is known to have 4
subsidiaries at present:
n
Hangzhou Dingcheng Aluminium Co., Ltd.
n
Hangzhou Wuxing Aluminium Co., Ltd.
n
Hangzhou Dingfu Aluminium Co., Ltd.
n
Hangzhou Dingsheng Imp. & Exp. 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 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
Industrial & Commercial Bank of China Zhenjiang Branch Chengxi
Sub-branch
AC#:
1104050009200113647
Bank of China Zhenjiang
Jingkou Sub-branch
AC#:
27872308091001
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
1,048,409 |
1,216,786 |
1,210,570 |
|
|
Notes receivable |
547,953 |
200,281 |
639,940 |
|
Accounts
receivable |
468,062 |
630,343 |
529,440 |
|
Advances to
suppliers |
209,193 |
368,550 |
258,430 |
|
Other receivable |
43,522 |
265,263 |
222,140 |
|
Inventory |
581,085 |
579,226 |
743,680 |
|
Non-current
assets within one year |
0 |
0 |
0 |
|
Other current
assets |
319 |
906 |
338,140 |
|
|
------------------ |
------------------ |
------------------ |
|
Current assets |
2,898,543 |
3,261,355 |
3,942,340 |
|
Long-term
investment |
600,636 |
560,862 |
361,870 |
|
Fixed assets |
830,225 |
710,107 |
941,420 |
|
Construction in
progress |
75,872 |
170,399 |
110,230 |
|
Intangible
assets |
25,465 |
24,864 |
26,030 |
|
Deferred income
tax assets |
2,611 |
7,698 |
5,120 |
|
Other
non-current assets |
1,212 |
171,527 |
130,060 |
|
|
------------------ |
------------------ |
------------------ |
|
Total assets |
4,434,564 |
4,906,812 |
5,517,070 |
|
|
============= |
============= |
============= |
|
Short-term loans |
1,676,765 |
1,065,802 |
1,513,750 |
|
Notes payable |
1,066,615 |
1,995,128 |
1,477,490 |
|
Accounts payable |
422,307 |
181,500 |
70,220 |
|
Wages payable |
12,074 |
8,588 |
10,210 |
|
Taxes payable |
-1,558 |
12,747 |
8,450 |
|
Advances from
clients |
10,328 |
8,385 |
9,100 |
|
Other payable |
23,006 |
87,340 |
5,790 |
|
Other current liabilities |
2,902 |
4,084 |
1,016,340 |
|
|
------------------ |
------------------ |
------------------ |
|
Current
liabilities |
3,212,439 |
3,363,574 |
4,111,350 |
|
Non-current
liabilities |
72,000 |
370,153 |
176,380 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities |
3,284,439 |
3,733,727 |
4,287,730 |
|
Equities |
1,150,125 |
1,173,085 |
1,229,340 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities & equities |
4,434,564 |
4,906,812 |
5,517,070 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
|
Revenue |
4,176,023 |
5,221,400 |
|
Cost of sales |
3,793,577 |
4,894,840 |
|
Sales expense |
45,199 |
52,120 |
|
Management expense |
175,115 |
177,100 |
|
Finance expense |
116,191 |
125,400 |
|
Profit before
tax |
73,080 |
-- |
|
Less: profit tax |
10,962 |
-- |
|
62,118 |
86,400 |
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
*Current ratio |
0.90 |
0.97 |
0.96 |
|
*Quick ratio |
0.72 |
0.80 |
0.78 |
|
*Liabilities
to assets |
0.74 |
0.76 |
0.78 |
|
*Net profit
margin (%) |
-- |
1.49 |
1.65 |
|
*Return on
total assets (%) |
-- |
1.27 |
1.57 |
|
*Inventory /
Revenue ×365 |
-- |
51 days |
52 days |
|
*Accounts
receivable/ Revenue ×365 |
-- |
56 days |
38 days |
|
*Revenue /
Total assets |
-- |
0.85 |
0.95 |
|
*Cost of sales
/ Revenue |
-- |
0.91 |
0.94 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears good in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of goods sold is fairly high, comparing with
its revenue.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level in three years.
l
SC’s quick ratio is maintained in a fair level in
three years.
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC is maintained in an
average level.
l
The short-term loans of SC appear large.
l
SC’s revenue is in an average level, comparing with
the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average in three years.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered large-sized in its line with fairly stable financial
conditions. The large amount of short-term loans may be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 59.72 |
|
|
1 |
Rs. 102.35 |
|
Euro |
1 |
Rs. 81.38 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
DPT |
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.