MIRA
INFORM REPORT
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Report Date : |
12.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
Hebei
Xinnuo Roll Forming Machine Co., Ltd. |
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Registered Office : |
Nancang Street, 104 National
Road, Botou City, Hebei
Province 062150 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
26.09.2012 |
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Com. Reg. No.: |
130981000024096 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Manufacturing and selling roll forming machine and parts,
C-beam machine, color steel; goods import and export. |
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No. of Employees |
16 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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
|
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
Hebei Xinnuo Roll Forming Machine
Co., Ltd.
NANCANG
STREET, 104 NATIONAL ROAD, BOTOU CITY
HEBEI PROVINCE
062150 PR CHINA
TEL: 86
(0) 317-8261991/8191889
FAX: 86
(0) 317-8261991
EXECUTIVE SUMMARY
Date of Registration : september 26, 2012
REGISTRATION NO. : 130981000024096
LEGAL FORM :
Limited Liability Company
REGISTERED CAPITAL :
CNY 3,000,000
staff : 16
BUSINESS CATEGORY :
MANUFACTURING & TRADING
Revenue : CNY 1,107,000 (AS OF DEC. 31, 2013)
EQUITIES : CNY 3,052,000 (AS OF DEC. 31, 2013)
WEBSITE : www.hebeixinnuo.com
E-MAIL : xinnuoyawaji@163.com
PAYMENT : AVERAGE
MARKET CONDITION : FAIR
FINANCIAL CONDITION :
fairly stable
OPERATIONAL TREND : Ordinary
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.: 130981000024096 on September 26, 2012.
SC’s Organization Code Certificate
No.: 05404863-2
SC’s registered capital: CNY 3,000,000
SC’s paid-in capital: CNY 3,000,000
Registration Change Record:-
No significant changes of SC have
been noted in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Li Ping |
90 |
|
Wan Lixin |
10 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman, and General Manager |
Li
Ping |
|
Supervisor |
Wan
Lixin |
RECENT DEVELOPMENT
No recent development was found during our checks at
present.
SHAREHOLDER CHART & BACKGROUND
Name % of Shareholding
Li Ping 90
Wan Lixin 10
MANAGEMENT
Li
Ping, Legal
Representative, Chairman and General Manager
------------------------------------------------------------------------------------------
Ø
Gender: F
Ø
Qualification: University
Ø
Working experience (s):
From 2012 to present, working in SC as legal
representative, chairman and general manager
Wan Lixin,
Supervisor
-----------------------------------------
Ø
Gender: M
BUSINESS OPERATION
***Note:
SC started its normal operation in 2013.
SC’s registered business scope
includes manufacturing and selling roll forming machine and parts,
C-beam machine, color steel; goods import and export.
SC is
mainly engaged in manufacturing and selling roll forming machine and parts.
Brand:
XINNUO
SC’s
products mainly include:
Roof
panel forming machine
Double
layer forming machine
Glazed
tile forming machine
C&Z
purlin forming machine
Etc.
SC sources its materials 100% from domestic market, mainly Henan. SC sells 20% of its products in domestic market, and 80% to overseas market, mainly Eastern Europe, Southeast Asia, Africa, etc.
The
buying terms of SC include Check, 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. 16
staff at present.
SC
rents 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, 2013 |
|
2,340 |
|
|
Notes receivable |
0 |
|
Accounts
receivable |
923 |
|
Advances
to suppliers |
0 |
|
Other
receivable |
0 |
|
Inventory |
31 |
|
Non-current
assets within one year |
0 |
|
Other
current assets |
0 |
|
|
------------------ |
|
Current
assets |
3,294 |
|
Fixed
assets |
0 |
|
Long-term
prepaid expenses |
0 |
|
Deferred
income tax assets |
0 |
|
Other
non-current assets |
0 |
|
|
------------------ |
|
Total
assets |
3,294 |
|
|
============= |
|
Short-term
loans |
0 |
|
Notes
payable |
0 |
|
Accounts
payable |
239 |
|
Advances
from clients |
0 |
|
Other
payable |
0 |
|
Other
current liabilities |
3 |
|
|
------------------ |
|
Current
liabilities |
242 |
|
Non-current
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
242 |
|
Equities |
3,052 |
|
|
------------------ |
|
Total
liabilities & equities |
3,294 |
|
|
============= |
Income Statement
|
Unit:
CNY’000 |
As
of Dec. 31, 2013 |
|
Revenue |
1,107 |
|
Cost of sales |
970 |
|
Sales expense |
13 |
|
Management expense |
62 |
|
Finance expense |
0 |
|
Profit
before tax |
59 |
|
Less:
profit tax |
15 |
|
44 |
Important
Ratios
=============
|
|
As of Dec. 31, 2013 |
|
*Current
ratio |
13.61 |
|
*Quick
ratio |
13.48 |
|
*Liabilities
to assets |
0.07 |
|
*Net
profit margin (%) |
3.97 |
|
*Return
on total assets (%) |
1.34 |
|
*Inventory
/ Revenue ×365 |
11
days |
|
*Accounts
receivable/ Revenue ×365 |
305
days |
|
*Revenue/Total
assets |
0.34 |
|
*Cost
of sales / Revenue |
0.88 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears fair 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 sales is average,
comparing with its revenue.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained
in a normal level.
l
SC’s quick ratio is maintained in a
fairly good level.
l
The inventory of SC is maintained in an
average level.
l
The accounts receivable of SC is
maintained in an average level.
l
SC has no short-term loans.
l
SC’s revenue is in a fair level,
comparing with the size of its total assets.
LEVERAGE:
FAIR
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is above
average.
Overall
financial condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable
financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.05 |
|
|
1 |
Rs.101.65 |
|
Euro |
1 |
Rs.83.07 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
PDT |
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.