MIRA INFORM REPORT
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Report Date : |
11.10.2014 |
IDENTIFICATION DETAILS
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Name : |
ANHUI ANNADA TITANIUM INDUSTRY CO., LTD. |
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Registered Office : |
No. 1288 South Tongguan Road, Tongling, Anhui Province 244000 Pr |
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Country : |
China |
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Financials (as on) : |
30.06.2014 |
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Date of Incorporation : |
23.03.2005 |
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Com. Reg. No.: |
340700000019292 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Manufacturing and selling serials of titanium dioxide and related
chemicals (excluding hazardous chemicals). |
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No of Employees : |
713 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
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
ANHUI ANNADA TITANIUM INDUSTRY CO., LTD.
NO. 1288 SOUTH TONGGUAN ROAD
TONGLING, ANHUI PROVINCE 244000 PR CHINA
TEL: 86 (0) 562-3867899/3862867
FAX: 86 (0) 562-3861769
EXECUTIVE
SUMMARY
Date of Registration : March 23, 2005
REGISTRATION NO. : 340700000019292
LEGAL FORM : SHARES LIMITED COmpany
CHIEF EXECUTIVE :
Yuan Juxing (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 215,020,000
staff :
713
BUSINESS CATEGORY : manufacturing & trading
REVENUE :
CNY 375,142,000 (JAN. 1, 2014 TO JUN. 30, 2014)
EQUITIES :
CNY 579,802,000 (AS OF JUN. 30, 2014)
WEBSITE : www.andty.com
E-MAIL :
and@andty.com
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION : fair
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY 6.14 = 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 shares limited company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
340700000019292 on March 23, 2005.
SC’s Organization Code Certificate No.:
61043625-8
SC’s Tax No.: 340700610436258
SC’s registered capital: CNY 215,020,000
SC’s paid-in capital: CNY 215,020,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2011-11-23 |
Registration No. |
3400001300488 |
340700000019292 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) (As
of June 30, 2014) |
% of Shareholding |
|
Tongling Chemical Industry Group Co., Ltd. |
30.91 |
|
Yinchuan Economic and Technological Development Zone Investment
Holding Co., Ltd. |
5.00 |
|
Ping An Trust Co., Ltd.-Ruifu No. 2 |
2.33 |
|
GuoYuan Securities Co., Ltd.-Special Account |
2.33 |
|
Nan Yajun |
1.81 |
|
Wanjiagongying-Industrial Bank-Wanjiagongying Value Growing-2#
Specific Customer Asset Management Plans |
0.47 |
|
Wang Qionghua |
0.45 |
|
Xia Yong |
0.45 |
|
Zhongrong International Trust Co., Ltd.-Zhongrong 51# |
0.37 |
|
Mi Wei |
0.30 |
|
Other shareholders |
55.58 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Yuan Juxing |
|
General Manager |
Bao Shinian |
|
Deputy General Manager |
Zhang Jun |
|
Dong Zeyou |
|
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Director |
Pan Ping |
|
Li Xiaoling |
|
|
Cui Peng |
|
|
Huang Huafeng |
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|
Li Xia |
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|
Ma Su’an |
|
|
Hao Jinglin |
|
|
Chen Jiasheng |
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Supervisor |
Wang Qingcheng |
|
Wang Zequn |
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|
Yao Chengkuan |
RECENT DEVELOPMENT
SC was listed in Shenzhen Stock Exchange Market in 2007 with the stock code
002136.
SHAREHOLDER CHART & BACKGROUND
Name (As of June
30, 2014) %
of Shareholding
Tongling Chemical Industry Group Co., Ltd 30.91
Yinchuan Economic and Technological Development Zone Investment Holding
Co., Ltd. 5.00
Ping An Trust Co., Ltd.-Ruifu No. 2 2.33
GuoYuan Securities Co., Ltd.-Special Account 2.33
Nan Yajun 1.81
Wanjiagongying-Industrial Bank-Wanjiagongying Value Growing-2# Specific
Customer Asset Management Plans 0.47
Wang Qionghua 0.45
Xia Yong 0.45
Zhongrong International Trust Co., Ltd.-Zhongrong 51# 0.37
Mi Wei 0.30
Other shareholders 55.58
Tongling Chemical Industry Group Co., Ltd.
===================================
Date of Registration: November 12, 1991
Legal Representative: Huang Huafeng
Registered capital: CNY 1,255,263,000
Web: www.tlchem.com.cn
Tel: 86 (0) 562-2652822
Fax: 86 (0) 562-2652638
Add.: No. 2758 Cuihu First Road, Tongling City, Anhui
MANAGEMENT
Yuan Juxing, Legal
Representative and Chairman
----------------------------------------------------------------------------
Gender: M
Age: 52
Qualification: Master Degree
Working experience (s):
At present, working in SC as legal representative and chairman
Bao Shinian,
General Manager
---------------------------------------------------
Gender: M
Age: 45
Qualification: Bachelor Degree
Working experience (s):
At present, working in SC as general manager
Deputy General
Manager
---------------------------------
Zhang Jun
Dong Zeyou
Director
-----------
Pan Ping
Li Xiaoling
Cui Peng
Huang Huafeng
Li Xia
Ma Su’an
Hao Jinglin
Chen Jiasheng
Supervisor
--------------
Wang Qingcheng
Wang Zequn
Yao Chengkuan
BUSINESS OPERATION
SC’s registered business scope includes manufacturing and selling
serials of titanium dioxide and related chemicals (excluding hazardous
chemicals).
SC is mainly engaged in manufacturing and selling titanium dioxide.
SC’s products mainly include: ATR-312
Rutile Type Titanium Dioxide, ATR-315 Rutile Type Titanium Dioxide, ATA-125
Anatase Type Titanium Dioxide, ATA-121 Chemical Fiber Type Titanium Dioxide,
etc.
SC sources its materials 100% from domestic market. SC sells 80% of its
products in domestic market, and 20% to overseas market.
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.
*Major Customers:
==============
Pinturas Termoplasticas
Poly America Lp
Flint Trading Inc.
Staff &
Office:
--------------------------
SC is known to have approx. 713 staff at present.
SC owns an area as its operating office and factory, but the detailed
information is unknown.
RELATED COMPANY
SC is known to
have the following subsidiary:
Tongling Nayuan Materials Technology Co., Ltd.
(literal translation)
Registration No.: 340700000087852
Date of Registration:
Chief Executive: Dong Zeyou
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 local SAIC.
FINANCIALS
Consolidated
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
As of Jun. 30,
2014 |
|
44,569 |
24,560 |
|
|
Accounts receivable |
29,167 |
66,742 |
|
Notes receivable |
60,473 |
58,781 |
|
Advances to suppliers |
11,105 |
4,638 |
|
Other receivable |
111 |
196 |
|
Inventory |
184,966 |
166,224 |
|
Interest receivable |
0 |
0 |
|
Other current assets |
22,673 |
7,264 |
|
|
------------------ |
------------------ |
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Current assets |
353,064 |
328,405 |
|
Fixed assets |
659,783 |
640,648 |
|
Construction in progress |
1,579 |
10,678 |
|
Project materials |
0 |
0 |
|
Intangible assets |
45,482 |
44,933 |
|
Long-term investment |
0 |
0 |
|
Long-term deferred expense |
0 |
0 |
|
Deferred income tax assets |
10,757 |
13,772 |
|
Other non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
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Total assets |
1,070,665 |
1,038,436 |
|
|
============= |
============= |
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Short-term loans |
249,983 |
212,942 |
|
Notes payable |
0 |
21,300 |
|
Accounts payable |
148,818 |
142,884 |
|
Wages payable |
5,506 |
5,016 |
|
Taxes payable |
635 |
1,256 |
|
Interest payable |
537 |
535 |
|
Dividend payable |
0 |
0 |
|
Advances from clients |
10,439 |
7,646 |
|
Other payable |
2,969 |
3,595 |
|
Non-current liabilities due within one year |
0 |
7,000 |
|
Other current liabilities |
8,850 |
8,460 |
|
|
------------------ |
------------------ |
|
Current liabilities |
427,737 |
410,634 |
|
Non-current liabilities |
48,000 |
48,000 |
|
|
------------------ |
------------------ |
|
Total liabilities |
475,737 |
458,634 |
|
Equities |
594,928 |
579,802 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
1,070,665 |
1,038,436 |
|
|
============= |
============= |
Consolidated
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
Jan. 1, 2014 to
Jun. 30, 2014 |
|
Revenue |
495,641 |
375,142 |
|
Cost of sales |
476,316 |
355,087 |
|
Taxes and surcharges |
0 |
0 |
|
Sales expense |
14,279 |
11,718 |
|
Management expense |
17,160 |
8,246 |
|
Finance expense |
12,596 |
10,293 |
|
Assets impairment loss |
32,441 |
11,746 |
|
Non-operating income |
3,264 |
1,751 |
|
Non-operating expense |
178 |
0 |
|
Profit before tax |
-54,066 |
-20,197 |
|
Less: profit tax |
-8,186 |
-3,015 |
|
-45,880 |
-17,182 |
Important Ratios
=============
|
|
As of Dec. 31,
2013 |
As of Jun. 30,
2014 |
|
*Current ratio |
0.83 |
0.80 |
|
*Quick ratio |
0.39 |
0.39 |
|
*Liabilities to assets |
0.44 |
0.44 |
|
*Net profit margin (%) |
-9.26 |
-4.58 |
|
*Return on total assets (%) |
-4.29 |
-1.65 |
|
*Inventory / Revenue ×365/180 |
137 days |
80 days |
|
*Accounts receivable / Revenue ×365/180 |
22 days |
33 days |
|
*Revenue / Total assets |
0.46 |
0.36 |
|
*Cost of sales / Revenue |
0.96 |
0.95 |
FINANCIAL COMMENTS
PROFITABILITY: AVERAGE
The revenue of SC appears fairly good in its line.
SC’s net profit margin is fair.
SC’s return on total assets is fair.
SC’s cost of sales is fairly high, comparing with its revenue.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a fair level.
The inventory of SC appears large.
The accounts receivable of SC appears average.
SC’s short-term loans appear large.
SC’s revenue is in a fair level, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
The debt ratio of SC is low.
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fair.
CONCLUSIONS
SC is considered medium-sized in its line with fair financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.16 |
|
|
1 |
Rs.98.62 |
|
Euro |
1 |
Rs.77.67 |
INFORMATION DETAILS
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Analysis Done by
: |
SUB |
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|
Report Prepared
by : |
TPT |
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.