MIRA
INFORM REPORT
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Report Date : |
18.07.2014 |
IDENTIFICATION DETAILS
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Name : |
ANHUI FENGLE PERFUME CO., LTD. |
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Registered Office : |
No. 1, |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
05.12.1997 |
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Com. Reg. No.: |
340106000005045 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Engaged in
manufacturing, processing and selling essence, perfume, bulk pharmaceutical
chemicals (menthol, dementholized peppermint oil), hygienic products
(antibacterial agent) and skin-care cosmetics; selling agricultural products, cereals,
oils, and cotton; importing and exporting various goods and technologies
(with permit if needed). Subject products
range includes menthol crystal, peppermint oil dementholized, mentha piperita
oil, spearmint oil, synthetic series products & lavender oil. |
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No. of Employees |
140
(approximately) |
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 : |
Slow 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 – March 31, 2014
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Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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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, 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.
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Source : CIA |
Company
name & address
anhui fengle perfume co., ltd.
no. 1, Tianhu Road,
HIGH-TECH INDUSTRIAL DEVELOPMENT ZONE,
Hefei, anhui
PROVINCE, 230088 PR CHINA
TEL: 86 (0) 551-65319736
FAX: 86 (0) 551-65316868
EXECUTIVE SUMMARY
INCORPORATION DATE : DECEMBER 5, 1997
REGISTRATION NO. : 340106000005045
REGISTERED LEGAL FORM :
ONE-PERSON LIMITED LIABILITY COMPANY
STAFF STRENGTH : 140
REGISTERED CAPITAL : CNY 45,000,000
BUSINESS LINE :
MANUFACTURING, PROCESSING & TRADING
TURNOVER :
CNY 435,390,000 (UNAUDITED, AS OF DEC. 31, 2013)
EQUITIES :
CNY 68,060,000 (UNAUDITED, AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION :
WELL-KNOWN
EXCHANGE RATE :
CNY 6.1433 = 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
Note: the (4, Chuangye Road Shushan Development Zone Hefei, Anhui, China) was SC’s former operating address.
SC was registered as a One-person Limited Liability Company
at local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on December 5, 1997.
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 manufacturing, processing and selling essence, perfume,
bulk pharmaceutical chemicals (menthol, dementholized peppermint oil), hygienic
products (antibacterial agent) and skin-care cosmetics; selling agricultural products, cereals, oils,
and cotton; importing and exporting various goods and technologies (with permit
if needed).
SC is mainly
engaged in manufacturing, processing and selling essence and perfume.
Ms. Xu Jiping is
the legal representative and chairman 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 and factory in the
high-tech industrial development zone of Hefei. Our checks reveal that
SC owns the total premise, but the gross area is unspecified.
http://www.fengleperfume.com The design is
professional and the content is well organized. At present the web site is both
in Chinese and English versions.
E-mail: fengle@fengleperfume.com
SC has got the certificate of ISO9001, ISO 22000, GMP, etc.
Changes of its
registered information are as follows:
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Date
of change |
Item |
Before
the change |
After
the change |
|
2008-3 |
Registration No. |
3401001006820 |
340106000005045 |
|
Unknown |
Registered capital |
CNY 35,000,000 |
CNY 45,000,000 |
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Legal representative |
Chen Dongchen |
Present one |
Subject passed the annual inspection of 2012 with Administration for Industry & Commerce.
Organization Code: 149022646
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Hefei Fengle Seed Co., Ltd. 100
Hefei Fengle Seed Co., Ltd. is the first
listed (Shenzhen Stock Exchange, Code 000713) seed
company in China, solely sponsored by Hefei Seed Company. As a leading seed
company in China, it has expanded to be a large trans-trade and trans-regional
group enterprise combining research, breed, marketing and trade.
Registration No. : 340000000015283
Registered Legal Form : Shares limited co.
Registered Capital : CNY 298,876,000
Address: Fengle Building, No. 501 Changjiang
West Road, Hefei, Anhui Province
Tel: 86 0551-62239888, 62239985
Fax: 86 0551-62239957
Legal
representative and Chairman
Ms. Xu Jiping, born in 1964, with master’s degree, senior agronomist. She 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 Hefei Fengle Seed Co., Ltd. as vice chairman and general manager
SC is mainly
engaged in manufacturing, processing and selling essence and perfume.
Brand: Fengle.
SC’s products mainly
include: menthol crystal, peppermint oil dementholized, mentha piperita oil,
spearmint oil, synthetic series products &
lavender oil.
SC sources its materials 95% from domestic market,
mainly Anhui, and 5% from overseas market. SC sells 70% of its products in
domestic market, and 30% to overseas market, mainly Europe and Southeast Asian
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, L/C and Credit of 30-60 days.
*Major Customer:
==============
Fuerst Diy Lawson Ltd. (U.K.)
Note: SC’s management refused to release its
suppliers.
· Anhui Fengle Agrochemical Co., Ltd.
Zhangye Fengle Seed
Industry Co., Ltd.
Hefei Fengle Ecological Garden Co., Ltd.
Sanya Fengle Industry Co., Ltd.
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.
Huishang Bank Hefei Branch High-tech Zone Sub-branch
AC#：2081012080014911
Add.: No. 848
Changjiang West Road, Shushan District, Hefei City
Tel.:
0551-65323515
Relationship:
Normal.
Note: the given
address (3/F, Huishang Bank Tower, 79 Anqing Road, Hefei 230001, P.R.China)
belongs to Huishang Bank Hefei Branch
Balance Sheet (Unaudited)
Unit: CNY’000
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as of Dec. 31,
2013 |
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Cash & bank |
14,920 |
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Inventory |
74,360 |
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Accountant
receivable |
46,550 |
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Advances to
supplies |
4,940 |
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Note receivables |
4,410 |
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Other receivable |
900 |
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Other current
assets |
0 |
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------------------ |
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Current assets |
146,080 |
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Fixed assets net
value |
30,280 |
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Development
expenditure |
890 |
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Projects under
construction |
680 |
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Long-term investments |
0 |
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Intangible
assets |
13,260 |
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Deferred assets |
590 |
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------------------ |
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Total assets |
191,780 |
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============= |
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Short loans |
54,480 |
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Note payable |
0 |
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Accounts payable |
14,070 |
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Advances from customers |
12,980 |
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Accrued payroll |
1,470 |
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Interests
payable |
260 |
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Taxes payable |
-570 |
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Other accounts
payable |
41,030 |
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Other
current liabilities |
0 |
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----------------- |
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Current
liabilities |
123,720 |
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Long term liabilities |
0 |
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------------------ |
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Total
liabilities |
123,720 |
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Shareholders
equities |
68,060 |
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Total
liabilities & equities |
191,780 |
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Income Statement (Unaudited)
Unit: CNY’000
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as of Dec. 31,
2013 |
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Turnover |
435,390 |
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Cost of goods sold |
437,370 |
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Taxes and additional of main operation |
150 |
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Sales expense |
9,980 |
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Management expense |
5,910 |
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Finance expense |
3,150 |
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Assets impair loss |
5,510 |
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Non-operation
income |
3,250 |
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Non-operation expenses |
260 |
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Profit before
tax |
900,970 |
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Less: profit tax |
0 |
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Profits |
-23,690 |
Important Ratios
=============
|
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as of Dec. 31,
2013 |
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*Current ratio |
1.18 |
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*Quick ratio |
0.58 |
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*Liabilities
to assets |
0.65 |
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*Net profit
margin (%) |
-5.44 |
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*Return on
total assets (%) |
-12.35 |
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*Inventory
/Turnover ×365 |
62 days |
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*Accounts receivable/Turnover
×365 |
39 days |
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*Turnover/Total
assets |
2.27 |
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* Cost of
goods sold/Turnover |
1.00 |
PROFITABILITY:
FAIR
l
The turnover of SC appears fairly good in its line.
l
SC’s net profit margin is fair.
l
SC’s return on total assets is poor.
l
SC’s cost of goods sold is high, comparing with its
turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a fair level.
l
The inventory of SC is fairly large in 2013.
l
SC’s accounts receivable is average in 2013.
l
SC’s short-term loan is fairly large in 2013.
l
SC’s turnover is in an average 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: Fairly stable
SC is considered medium-sized in its line with fairly stable financial
conditions. The large amount of inventory and short-term loan would be a threat
to SC’s financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.14 |
|
UK Pound |
1 |
Rs.103.00 |
|
Euro |
1 |
Rs.81.33 |
INFORMATION DETAILS
|
Report Prepared
by : |
DPT |
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.