MIRA
INFORM REPORT
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Report Date : |
21.07.2014 |
IDENTIFICATION DETAILS
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Name : |
WINALL HI-TECH
SEED CO., LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.03.2014 (Consolidated) |
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Date of Incorporation : |
24.07.2002 |
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Com. Reg. No.: |
340106000003332 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
· Engaged in researching, developing and selling crop seed, seedling and flowers & plants seed; deep processing, storage and selling agricultural by products Engaged in
wholesaling and retailing agricultural
materials (not operating the limited items before obtaining the permits);
exporting self-made products and importing machines, components, raw
materials, required, excluding the items prohibited by the state. Subject
product ranges includes guidance, and
hybrid rice, rapeseed, cotton and some vegetables seed |
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No of Employees : |
398 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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
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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, 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.
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Source : CIA |
Company name & address
WINALL HI-TECH SEED CO., LTD.
NO. 3 TIANZHI ROAD, HI-TECH
DEVELOPMENT ZONE
HEFEI, ANHUI PROVINCE 230088 PR
CHINA
TEL: 86 (0) 551-5355175
FAX: 86 (0) 551-5320226
EXECUTIVE SUMMARY
Date of
Registration : JULY 24, 2002
REGISTRATION NO. : 340106000003332
LEGAL FORM : SHARES LIMITED COMPANY
CHIEF EXECUTIVE :
ZHANG QIN (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 158,400,000
staff :
398
BUSINESS CATEGORY : R&D, MANUFACTURE & processing
& TRADing
REVENUE :
CNY 82,048,000 (JAN. 1, 2014 TO
MAR. 31, 2014)
EQUITIES :
CNY 719,935,000 (AS OF MAR. 31, 2014)
WEBSITE : www.winallseed.com
E-MAIL : info@winall-cn.com
PAYMENT : AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.21= 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 shares limited company of PRC with State Administration of Industry & Commerce
(SAIC) under registration No.: 340106000003332 on July 24, 2002.
SC’s Organization Code Certificate No.:
74087222-6
SC’s registered capital: CNY 158,400,000
SC’s paid-in capital: CNY 158,400,000
Registration Change Record:-
|
Date |
Change
of Contents |
Before
the change |
After
the change |
|
2009-02 |
Registered Capital |
CNY 30,000,000 |
CNY 39,600,000 |
|
-- |
Registration No. |
3401001006332 |
340106000003332 |
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Registered Capital |
CNY 39,600,000 |
CNY 52,800,000 |
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|
Registered Capital |
CNY 52,800,000 |
CNY 105,600,000 |
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|
2014 |
Registered Capital |
CNY 105,600,000 |
CNY 158,400,000 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) (As of Mar. 31, 2014) |
% of Shareholding |
|
Jia Guilan |
11.39 |
|
Zhang Qin |
8.77 |
|
Gao Jian |
4.82 |
|
Chen Jinjie |
4.46 |
|
Zhang Conghe |
2.87 |
|
Li Chengquan |
2.60 |
|
Zhang Jun |
1.83 |
|
Wang Heqin |
1.78 |
|
Wang Qun |
1.72 |
|
Xu Wenjian |
1.69 |
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Other Shareholders |
58.07 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and
Chairman |
Zhang
Qin |
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General Manager |
Chen Jinjie |
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Director |
Wang Yun |
|
Lin Wei |
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|
Ning Zhong |
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|
Wu Yuejin |
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Supervisor |
Wang Heqin |
|
Jiang Xiaomin |
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|
Yan Zhi |
RECENT
DEVELOPMENT
SC is a listed company in Shenzhen Stock Exchange Market with the code
of 300087.
SHAREHOLDER
CHART & BACKGROUND
Name
%
of Shareholding
(As of Mar. 31, 2014)
---------------------------
Jia Guilan 11.39
Zhang Qin 8.77
Gao Jian 4.82
Chen Jinjie 4.46
Zhang Conghe 2.87
Li Chengquan 2.60
Zhang Jun 1.83
Wang Heqin 1.78
Wang Qun 1.72
Xu Wenjian 1.69
Other Shareholders 58.07
MANAGEMENT
Zhang
Qin, Legal Representative and Chairman
-----------------------------------------------------------------------
Ø
Gender: F
Ø
Age: 51
Ø
ID# 340104196306182529
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal representative and
chairman
Chen Jinjie, General Manager
---------------------------------------------------
Ø
Gender: M
Ø
Age: 50
Ø
ID# 330104640801161
Ø
Qualification:
University
Ø
Working
experience (s):
At present, worked in SC as general manager
Director
-----------
Wang Yun
Lin Wei
Ning Zhong
Wu Yuejin
Supervisor
---------------
Wang Heqin
Jiang Xiaomin
Yan Zhi
BUSINESS
OPERATION
SC’s
registered business scope includes researching, developing and selling crop
seed, seedling and flowers & plants
seed; deep processing, storage and selling agricultural by products;
wholesaling and retailing agricultural
materials (not operating the limited items before obtaining the permits);
exporting self-made products and importing machines, components, raw materials,
required, excluding the items prohibited by the state.
SC is
mainly engaged in researching, developing, manufacturing, processing and
selling crop seed
Brand: 
SC’s
products mainly include: guidance, and hybrid rice, rapeseed, cotton and
some vegetables seed
SC sources its materials 70%
from domestic market, and 30% from overseas market. SC sells 80% of its
products in domestic market, and 20% to overseas market, mainly 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 Customers:
=============
Rachna Agri Business
Sohni Dharti International
Pt.Biogene Plantation
*Major Supplier:
============
Jiangsu Lantian Seed Co., Ltd.
Staff & Office:
--------------------------
SC is
known to have approx. 398 staff
at present.
SC owns an area as
its operating office and factory, but the detailed information is unknown.
RELATED
COMPANY
n
Hefei Hewei Food Co., Ltd.
n
Green Land Native Products Limited Co. Hefei
SC is
also known to have the following subsidiary:
n
Anhui Quanyin Seed Technology Co., Ltd.
n
Hubei Quanyin Hi-Tech Seed Co., Ltd.
n
Anhui Quanyin Xinlong Seed Co., Ltd.
n
Hefei Xinqiang Seed 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’s suppliers
declined to make any comments.
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:
Huishang Bank
AC#: N/a
FINANCIALS
Consolidated Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
As
of Mar. 31, 2014 |
|
279,271 |
253,392 |
251,741 |
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Accounts
receivable |
34,023 |
38,223 |
31,573 |
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Notes receivable |
0 |
0 |
0 |
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Advances to
suppliers |
94,389 |
60,014 |
63,645 |
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Interest
receivable |
0 |
0 |
0 |
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Other receivable |
7,149 |
5,072 |
10,204 |
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Inventory |
394,033 |
379,154 |
370,141 |
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Non-current
assets within one year |
0 |
0 |
0 |
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Other current
assets |
0 |
0 |
0 |
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------------------ |
------------------ |
------------------ |
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Current assets |
808,865 |
735,855 |
727,304 |
|
Long-term
investments |
2,600 |
9,100 |
9,079 |
|
Long-term
receivable |
0 |
0 |
0 |
|
Real estate
investment |
0 |
0 |
0 |
|
Fixed assets |
60,473 |
123,240 |
121,811 |
|
Construction in
progress |
30,738 |
21,263 |
30,512 |
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Project
materials |
0 |
0 |
0 |
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Fixed assets in
liquidation |
0 |
0 |
0 |
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Intangible
assets |
57,042 |
69,724 |
71,251 |
|
Goodwill |
40,646 |
40,645 |
40,645 |
|
Long-term
deferred expense |
1,697 |
2,545 |
2,444 |
|
Deferred income
tax assets |
27 |
41 |
87 |
|
Other
non-current assets |
0 |
0 |
0 |
|
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------------------ |
------------------ |
------------------ |
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Total assets |
1,002,088 |
1,002,413 |
1,003,133 |
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|
============= |
============= |
============= |
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Short-term loans |
13,000 |
23,000 |
23,000 |
|
Notes payable |
0 |
0 |
0 |
|
Accounts payable |
144,753 |
84,940 |
57,992 |
|
Payroll payable |
9,243 |
7,318 |
3,173 |
|
Taxes payable |
537 |
1,983 |
211 |
|
Interest payable |
0 |
20 |
0 |
|
Dividends
payable |
659 |
876 |
9,196 |
|
Advances from
clients |
109,075 |
127,637 |
151,481 |
|
Other payable |
28,592 |
17,640 |
21,117 |
|
Other current
liabilities |
3 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
|
Current
liabilities |
305,862 |
263,414 |
266,170 |
|
Non-current
liabilities |
12,097 |
16,127 |
17,028 |
|
|
------------------ |
------------------ |
------------------ |
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Total
liabilities |
317,959 |
279,541 |
283,198 |
|
Equities |
684,129 |
722,872 |
719,935 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities & equities |
1,002,088 |
1,002,413 |
1,003,133 |
|
|
============= |
============= |
============= |
Consolidated Income Statement
|
Unit: CNY’000 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
Jan.
1, 2014 to Mar. 31, 2014 |
|
Revenue |
406,748 |
466,067 |
82,048 |
|
Cost of sales |
262,035 |
304,121 |
50,806 |
|
Business Taxes and Surcharges |
93 |
96 |
0 |
|
Sales expense |
62,437 |
68,010 |
13,666 |
|
Management expense |
52,890 |
55,450 |
12,265 |
|
Finance expense |
-6,510 |
453 |
-567 |
|
Asset impairment loss |
7,904 |
10,497 |
-97 |
|
Investment
income |
0 |
-914 |
-20 |
|
Non-operating
income |
8,907 |
3,635 |
714 |
|
Non-operating expense |
329 |
3,793 |
0 |
|
Profit before
tax |
36,474 |
26,369 |
6,669 |
|
Less: profit tax |
884 |
1,559 |
35 |
|
35,590 |
24,810 |
6,634 |
Important Ratios
=============
|
|
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
As
of Mar. 31, 2014 |
|
*Current ratio |
2.64 |
2.79 |
2.73 |
|
*Quick ratio |
1.36 |
1.35 |
1.34 |
|
*Liabilities
to assets |
0.32 |
0.28 |
0.28 |
|
*Net profit
margin (%) |
8.75 |
5.32 |
8.09 |
|
*Return on
total assets (%) |
3.55 |
2.48 |
0.66 |
|
*Inventory /
Revenue ×365/90 |
354 days |
287 days |
407 days |
|
*Accounts
receivable / Revenue ×365/90 |
31 days |
30 days |
35 days |
|
*Revenue /
Total assets |
0.41 |
0.46 |
0.08 |
|
*Cost of sales
/ Revenue |
0.64 |
0.65 |
0.62 |
FINANCIAL
COMMENTS
PROFITABILITY:
FAIRLY GOOD
l
The revenue of SC appears fairly good in its line.
l
SC’s net profit margin is fairly good.
l
SC’s return on total assets is average.
l
SC’s cost of goods sold is low, comparing with its revenue.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained in a fairly
good level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
The inventory of SC appears large.
l
The accounts receivable of SC appears average.
l
SC’s short-term loans are in an average level.
l
SC’s revenue is in a
fair level, comparing with the size of its total assets.
LEVERAGE:
FAIRLY GOOD
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered medium-sized in its line with
fairly good financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.33 |
|
UK Pound |
1 |
Rs.103.18 |
|
Euro |
1 |
Rs.81.58 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
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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.