MIRA INFORM REPORT
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Report Date : |
21.10.2014 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
No. 188 Zhenxing North Road, Xidian Town, Ninghai County, Ningbo City,
Zhejiang, 315613 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
26.07.2013 |
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Com. Reg. No.: |
330226000116093 |
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Legal Form : |
Limited Liabilities Co. |
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Line of Business : |
Manufacturing, Processing and Selling of Silicone & Rubber
Products. |
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No. of Employees : |
100 |
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 – June 1, 2014
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Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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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 |
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.
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Source
: CIA |
Company
Name and Address
NINGBO
HENGFENG RUBBER PLASTICS CO., LTD.
NO. 188 ZHENXING NORTH ROAD, XIDIAN TOWN,
NINGHAI COUNTY,
NINGBO CITY, ZHEJIANG, 315613 PR CHINA
TEL: 86 (0) 574- 59979975 /65171809 FAX: 86 (0) 574-65177009
EXECUTIVE
SUMMARY
INCORPORATION DATE : JULY 26, 2013
REGISTRATION NO. : 330226000116093
REGISTERED LEGAL FORM : LIMITED LIABILITIES CO.
CHIEF EXECUTIVE : MR. YOU QIYI (CHAIRMAN)
STAFF STRENGTH : 100
REGISTERED CAPITAL : CNY 1,000,000
BUSINESS LINE : MANUFACTURING, PROCESSING &
TRADING
TURNOVER : CNY 5,820,000
(AS OF DEC. 31, 2013)
EQUITIES : CNY 2,560,000
(AS OF DEC. 31, 2013)
PAYMENT : AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.1213= 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
SC was registered as a Limited liabilities
co. at local Administration for Industry & Commerce (AIC - The official body
of issuing and renewing business license) on July 26, 2013.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders
contribute its registered capital jointly. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to extent of its total assets. The characteristics of this form
of co. are as follows: Upon the establishment of the
co., an investment certificate is issued to the each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is CNY 30,000. Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 30% of the registered capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co.
SC’s registered business scope includes
manufacturing and processing rubber parts, silicone parts, plastic parts & hardware
parts; importing and exporting various goods and technologies, excluding goods
or technologies limited or forbidden by state.
SC is mainly engaged in manufacturing, processing and selling silicone
& rubber products.
Mr. You Qiyi has been the legal
representative, chairman and general manager of SC since July, 2013
SC is known to have approx. 100 employees at
present.
SC is currently operating
at the above stated address, and this address houses its operating office and
factory in the industrial zone of Ninghai County. SC refused to release the
detailed information of the premise.
http://hengfengxs.com The design is professional
and the content is well organized. At present it is in Chinese and English
versions.
Email: 13777290202@163.com, mark@hengfengxs.com
SC was taken into operation in 2013.
Organization Code: 07149903X
Tax No.: 33022607149903X
There is no record of litigation till now.
MAIN SHAREHOLDERS:
Name %
of Shareholding
You Jiawei 50
l Legal
representative, chairman & general manager:
Mr. You Qiyi, ID#330226196910******, born in 1969, is currently responsible for the
overall management of SC.
Working Experience(s):
From July, 2013 to present Working in SC as legal representative,
chairman and general manager
Also working in Ningbo Shengbang
International Logistics Co., Ltd. as legal representative and Ninghai Hengfeng
Freight Express Co., Ltd. Shenzhen Branch as principal
l Supervisor:
You Jiawei,
ID#330226198909******, born in 1989
SC is mainly engaged in manufacturing, processing and selling silicone
& rubber products.
SC was taken into operation in 2013.
SC’s products mainly include kitchen
silicone rubber parts, silicone cake mould, baking molds, silicone glove,
silicone mat, silicone ice cube tray, silicone bracket for spoon, silicone
filter, silicone funnel, silicone egg boiler, silicone fresh lid, silicone
barbecue brush, silicone spatula, silicone measuring spoon, silicone garlic
peeler, silicone cup, etc.
SC sources its materials 100% from domestic
market. SC sells 50% of its products in domestic market and 50% to overseas
market.
The buying terms of SC include Check, T/T
and Credit of 30-60 days. The payment terms of SC include Check, T/T, L/C and
Credit of 30-60 days.
Note: SC refused to release its major
suppliers and clients.
Ningbo Shengbang International Logistics
Co., Ltd. (literal translation)
====================================
Reg. No.: 330226000129835
Legal representative: You Qiyi
Incorporation date:
Ninghai Hengfeng Freight Express Co., Ltd.
(literal translation)
====================================
Reg. No.: 330226000043986
Legal representative: Wang Yaqin
Incorporation date:
Ninghai Hengfeng Freight Express Co., Ltd.
Shenzhen Branch
====================================
Reg. No.: 330226000023290
Principal: You Qiyi
Incorporation date:
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.
SC declined to release its banking details.
Balance Sheet
Unit: CNY’000
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as of Dec. 31,
2013 |
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Cash & bank |
20 |
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Inventory |
500 |
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Accounts receivable |
-450 |
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Other receivables |
3,800 |
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Advances to suppliers |
0 |
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Other current assets |
0 |
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------------------ |
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Current assets |
3,870 |
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Fixed assets net value |
840 |
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Projects under construction |
0 |
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Intangible assets |
0 |
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Long term investment |
0 |
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------------------ |
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Total assets |
4,710 |
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============= |
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Short loans |
0 |
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Accounts payable |
1,710 |
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Advances from clients |
0 |
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Accrued payroll |
40 |
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Tax payable |
50 |
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Other payable |
350 |
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Other current liabilities |
0 |
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------------------ |
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Current liabilities |
2,150 |
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Long term liabilities |
0 |
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Total liabilities |
2,150 |
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Equities |
2,560 |
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------------------ |
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Total liabilities & equities |
4,710 |
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Income Statement
Unit: CNY’000
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as of Dec. 31, 2013 |
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Turnover |
5,820 |
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Cost of goods sold |
4,480 |
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Taxes and additional of main operation |
50 |
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Sales expense |
70 |
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Management expense |
260 |
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Finance expense |
20 |
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Profit before tax |
940 |
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Less: profit tax |
140 |
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Profits |
800 |
Important Ratios
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as of Dec. 31, 2013 |
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*Current
ratio |
1.80 |
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*Quick
ratio |
1.57 |
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*Liabilities
to assets |
0.46 |
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*Net profit
margin (%) |
13.75 |
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*Return on
total assets (%) |
16.99 |
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*Inventory
/Turnover ×365 |
31 days |
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*Accounts
receivable/Turnover ×365 |
/ |
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*Turnover/Total
assets |
1.24 |
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* Cost of
goods sold/Turnover |
0.77 |
PROFITABILITY:
FAIRLY GOOD
l The turnover of SC
appears average in its line.
l SC’s net profit
margin is good.
l SC’s return on
total assets is good.
l SC’s cost of goods
sold is average, 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 normal level.
l The inventory of SC appears average in 2013.
l SC has no
short-term loan 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 low.
l The risk for SC to
go bankrupt is average.
Overall
financial condition of the SC: Stable.
SC is considered small-sized in its line
with stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
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US Dollar |
1 |
Rs.61.48 |
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|
1 |
Rs.98.24 |
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Euro |
1 |
Rs.78.66 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
NIT |
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.