MIRA
INFORM REPORT
|
Report Date : |
21.06.2014 |
IDENTIFICATION DETAILS
|
Name : |
WUHAN WUYAO PHARMACEUTICAL CO., LTD. |
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Registered Office : |
No. 5 Gutian Road, Qiaokou District, Wuhan Hubei Province 430035 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
28.07.2002 |
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Com. Reg. No.: |
420104000004384 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in the manufacturing and selling chemical raw
materials; exporting its products and technology; importing materials,
instrument, machinery and equipment, parts and technology needed for its
production; processing with imported materials, processing with imported
samples, assembling with imported parts, and compensation trade in agreement;
pharmaceutical engineering design, manufacture, installation, medical
engineering technology development and consulting; manufacturing bulk drugs. |
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No. of Employees : |
939 |
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 : |
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 |
|
Moderately Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderately High Risk |
C1 |
|
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 and address
WUHAN WUYAO PHARMACEUTICAL CO.,
LTD.
NO. 5 GUTIAN ROAD, QIAOKOU DISTRICT, WUHAN
HUBEI PROVINCE 430035 PR CHINA
TEL: 86 (0) 27-83835948
FAX: N/A
EXECUTIVE SUMMARY
Date of Registration : july 28, 2002
REGISTRATION NO. : 420104000004384
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE :
xiong xiansheng (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : cny 61,000,000
staff :
939
BUSINESS CATEGORY : manufacturing & trading
Revenue :
CNY 360,676,000 (AS OF DEC. 31,
2012)
EQUITIES :
CNY 95,369,000 (AS OF DEC. 31, 2012)
WEBSITE : www.wyzy.net
E-MAIL :
wyzy@wyzy.net
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.23 = 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 with State
Administration of Industry & Commerce (SAIC) under registration No.:
420104000004384 on July 28, 2002.
SC’s Organization Code Certificate No.:
74140314-9
SC’s registered capital: cny 61,000,000
SC’s paid-in capital: cny 61,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2003-8-26 |
Registered Capital |
CNY 16,800,000 |
CNY 31,000,000 |
|
Shareholder (s) (% of Shareholding) |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 2.98% Wuhan Pharmaceutical Group Co., Ltd. 92.86% Xiangfan Alcohol Plant 1.78% China Chemical Supply and Marketing Central
South Company 2.38% |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 2.98% Wuhan Yuanda Pharmaceutical Group Co., Ltd. 93.94% Xiangfan Alcohol Plant 1.79% China Chemical Produce Stock Co., Ltd. 1.29% |
|
|
2004-8-2 |
Legal Representative |
Zhang Yousheng |
Wei Junhao |
|
2004-9-28 |
Registration No. |
4201151100130 |
4201041100352 |
|
2007-4-23 |
Legal Representative |
Wei Junhao |
Zhang Bangguo |
|
2007-9-11 |
Shareholder (s) (% of Shareholding) |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 2.98% Wuhan Yuanda Pharmaceutical Group Co., Ltd. 93.94% Xiangfan Alcohol Plant 1.79% China Chemical Produce Stock Co., Ltd. 1.29% |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 1.61% Wuhan Yuanda Pharmaceutical Group Co., Ltd. 97.10% China Chemical Produce Stock Co., Ltd. 1.29% |
|
Registration No. |
4201041100352 |
420104000004384 |
|
|
2011-1-20 |
Shareholder (s) (% of Shareholding) |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 1.61% Wuhan Yuanda Pharmaceutical Group Co., Ltd. 97.10% China Chemical Produce Stock Co., Ltd. 1.29% |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 0.82% Wuhan Yuanda Pharmaceutical Group Co., Ltd. 98.52% China Chemical Produce Stock Co., Ltd. 0.66% |
|
Registered Capital |
CNY 31,000,000 |
CNY 61,000,000 |
|
|
2011-11-1 |
Shareholder (s) (% of Shareholding) |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 0.82% Wuhan Yuanda Pharmaceutical Group Co., Ltd. 98.52% China Chemical Produce Stock Co., Ltd. 0.66% |
Wuhan Tiantianming Pharmaceutical Co., Ltd. 0.82% Grand Pharma (China) Co., Ltd. 98.52% China Chemical Produce Stock Co., Ltd. 0.66% |
|
2014-02-28 |
Legal Representative |
Zhang Bangguo |
Xiong Xiansheng |
|
The Name of SC’s Shareholder |
China Chemical Produce Stock Co., Ltd. |
CNOOC Marketing (Beijing) Co., Ltd. |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Grand Pharma (China) Co., Ltd. |
98.52 |
|
Wuhan Tiantianming Pharmaceutical Co., Ltd. |
0.82 |
|
CNOOC Marketing (Beijing) Co., Ltd. |
0.66 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Xiong Xiansheng |
|
Director |
Yang Bo |
|
Qian Zhiqiang |
|
|
Zhang Qi |
|
|
Lv Fei |
|
|
Supervisor |
Wang Jing |
|
Huang Haiyan |
|
|
Sun Yuqin |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name % of Shareholding
Grand Pharma (China) Co., Ltd. 98.52
Wuhan Tiantianming Pharmaceutical Co., Ltd. 0.82
CNOOC Marketing (Beijing) Co., Ltd. 0.66
Grand Pharma (China) Co., Ltd.
--------------------------------------------
Date of Registration: February 24, 1990
Registration No.: 420100400000587
Legal Form: Chinese-foreign
equity joint venture enterprise
Chief Executive: Xie Guofan
Registered Capital: CNY 185,000,000
Wuhan Tiantianming Pharmaceutical Co., Ltd.
-----------------------------------------
Date of Registration: June 6, 1996
Registration No.: 420104000007475
Legal Form: Limited Liabilities
Company
Chief Executive: Chen Bin
Registered Capital: CNY 10,000,000
CNOOC Marketing (Beijing) Co., Ltd.
---------------------------------------------
Date of Registration: January 4, 2001
Registration No.: 100000000034895
Legal Form: Shares Limited
Company
Chief Executive: Yuan Xueping
Registered Capital: CNY 188,998,669
MANAGEMENT
Xiong Xiansheng, Legal
Representative, Chairman and General Manager
---------------------------------------------------------------------------------------------------------
Gender: M
Qualification: University
Working experience
(s):
At present, working in SC as legal representative, chairman and general
manager
Director
----------
Yang Bo
Qian Zhiqiang
Zhang Qi
Lv Fei
Supervisor
--------------
Wang Jing
Huang Haiyan
Sun Yuqin
BUSINESS OPERATION
SC’s registered business scope includes manufacturing and
selling chemical raw materials; exporting its products and technology;
importing materials, instrument, machinery and equipment, parts and technology
needed for its production; processing with imported materials, processing with
imported samples, assembling with imported parts, and compensation trade in
agreement; pharmaceutical engineering design, manufacture, installation,
medical engineering technology development and consulting; manufacturing bulk
drugs.
SC is mainly engaged in manufacturing and selling chemical raw
materials.
SC’s products mainly include:
Analgin
Metronidazole
Enoxacin
SC sources its materials 100% from domestic market, mainly Hubei. SC
sells 45% of its products in domestic market, and 55% to overseas market,
mainly Southeast Asian market.
The buying terms of SC include T/T and Credit of 30-60 days. The payment
terms of SC include T/T, L/C and Credit of 30-60 days.
Staff &
Office:
--------------------------
SC is known to have approx. 939
staff at present.
SC owns an area as its operating office and factory, but the detailed
information is unknown.
RELATED COMPANY
SC is not known to have any subsidiary at present.
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
The bank information of SC is not filed in SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2009 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
440 |
9,041 |
23,108 |
27,120 |
|
|
Notes receivable |
3,086 |
3,571 |
4,197 |
11,399 |
|
Accounts receivable |
74 |
9,935 |
19,634 |
85,361 |
|
Advances to suppliers |
3,656 |
3,387 |
47,602 |
11,065 |
|
Other receivable |
8,509 |
190 |
361 |
472 |
|
Inventory |
28,770 |
42,801 |
56,758 |
81,867 |
|
Prepaid expenses |
16 |
13 |
0 |
119 |
|
Other current assets |
178 |
1,058 |
470 |
108 |
|
|
----------------- |
----------------- |
----------------- |
----------------- |
|
Current assets |
44,729 |
69,996 |
152,130 |
217,511 |
|
Long-term investment |
17,564 |
17,564 |
31,975 |
31,975 |
|
Fixed assets |
28,711 |
31,551 |
63,174 |
136,828 |
|
Construction in progress |
2,424 |
7,877 |
53,137 |
111,716 |
|
Intangible assets |
0 |
0 |
0 |
15,958 |
|
Long-term prepaid expenses |
495 |
545 |
354 |
246 |
|
Deferred income tax assets |
1,804 |
2,360 |
1,113 |
853 |
|
Other non-current assets |
0 |
0 |
0 |
0 |
|
|
----------------- |
----------------- |
----------------- |
----------------- |
|
Total assets |
95,727 |
129,893 |
301,883 |
515,087 |
|
|
========== |
========== |
========== |
========== |
|
Short-term loans |
0 |
0 |
0 |
0 |
|
Notes payable |
0 |
5,000 |
0 |
0 |
|
Accounts payable |
15,716 |
16,027 |
14,924 |
22,748 |
|
Wages payable |
3,508 |
8,571 |
6,197 |
5,320 |
|
Taxes payable |
211 |
2,093 |
-1,870 |
-4,053 |
|
Advances from clients |
2,611 |
4,481 |
1,862 |
340,142 |
|
Other payable |
700 |
4,648 |
1,440 |
7,366 |
|
Other current liabilities |
38,583 |
45,623 |
120,820 |
35,595 |
|
|
----------------- |
----------------- |
----------------- |
----------------- |
|
Current liabilities |
61,329 |
86,443 |
143,373 |
407,118 |
|
Non-current liabilities |
0 |
0 |
56,940 |
12,600 |
|
|
----------------- |
----------------- |
----------------- |
----------------- |
|
Total liabilities |
61,329 |
86,443 |
200,313 |
419,718 |
|
Equities |
34,398 |
43,450 |
101,570 |
95,369 |
|
|
----------------- |
----------------- |
----------------- |
----------------- |
|
Total liabilities & equities |
95,727 |
129,893 |
301,883 |
515,087 |
|
|
========== |
========== |
========== |
========== |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2009 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
Revenue |
190,274 |
272,170 |
331,844 |
360,676 |
|
Cost of sales |
166,690 |
218,621 |
267,532 |
296,567 |
|
Taxes and surcharges |
1,247 |
1,169 |
1,369 |
1,282 |
|
Sales expense |
6,241 |
16,203 |
7,466 |
11,247 |
|
Management expense |
14,452 |
23,841 |
24,846 |
24,754 |
|
Finance expense |
945 |
2,107 |
2,629 |
2,538 |
|
Non-business income |
276 |
486 |
1,308 |
8,364 |
|
Non-business expense |
41 |
10 |
17 |
0 |
|
Profit before tax |
683 |
10,043 |
31,851 |
32,471 |
|
Less: profit tax |
116 |
991 |
3,730 |
3,078 |
|
567 |
9,052 |
28,121 |
29,393 |
Important Ratios
|
|
As of Dec. 31,
2009 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
*Current ratio |
0.73 |
0.81 |
1.06 |
0.53 |
|
*Quick ratio |
0.26 |
0.31 |
0.67 |
0.33 |
|
*Liabilities to assets |
0.64 |
0.67 |
0.66 |
0.81 |
|
*Net profit margin (%) |
0.30 |
3.33 |
8.47 |
8.15 |
|
*Return on total assets (%) |
0.59 |
6.97 |
9.32 |
5.71 |
|
*Inventory / Revenue ×365 |
56 days |
58 days |
63 days |
83 days |
|
*Accounts receivable / Revenue ×365 |
1 day |
14 days |
22 days |
87 days |
|
*Revenue / Total assets |
1.99 |
2.10 |
1.10 |
0.70 |
|
*Cost of sales / Revenue |
0.88 |
0.80 |
0.81 |
0.82 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
·
The revenue of SC appears fairly good, and it was
rising year by year.
·
SC’s net profit margin is average in 2009 and 2010,
fairly good in 2011 and 2012.
·
SC’s return on total assets is average in 2009,
fairly good in 2010 & 2011 and 2012.
·
SC’s cost of sales is average, comparing with its
revenue.
LIQUIDITY: FAIR
·
The current ratio of SC is maintained in a fair
level in four years.
·
SC’s quick ratio is maintained in a fair level in
four years.
·
The inventory of SC is maintained in an average
level.
·
The accounts receivable of SC is maintained in an
average level.
·
SC has no short-term loans in four years.
·
SC’s revenue is in an average level, comparing with
the size of its total assets.
LEVERAGE: AVERAGE
·
The debt ratio of SC is average.
·
The risk for SC to go bankrupt is average
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.28 |
|
|
1 |
Rs.102.77 |
|
Euro |
1 |
Rs.82.12 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
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|
Report Prepared
by : |
NNA |
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.