MIRA
INFORM REPORT
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Report Date : |
02.09.2014 |
IDENTIFICATION DETAILS
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Name : |
Marohn Elevator
Co., Ltd. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
01.12.2010 |
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Com. Reg. No.: |
320581000243976 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
Subject is engaged in design, development and manufacture of kinds of
elevators, escalator, autowalks and parts (excluding plastic and rubber); sales
of own products; retail (if needed with permit) of kinds of elevators,
escalator, autowalks and parts, commission agency (excluding auction),
wholesale, import and export business; providing installation, debugging,
repair, maintenance, reforming and other after sale service of related
products, technology service and consulting (if needed operating according to
related regulations) (if needed with permit). |
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No of Employees : |
200 |
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 – June 01, 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 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.
|
Source
: CIA |
Company name & address
Marohn Elevator Co., Ltd.
No. 8 suzhou road, hi-tech Industrial park,
changshu,
JIANGSU PROVINCE, 215500 PR CHINA
TEL: 86 (0) 512-52153035
FAX: 86 (0) 512-52150888
EXECUTIVE SUMMARY
INCORPORATION DATE : dec. 1, 2010
REGISTRATION NO. : 320581000243976
REGISTERED LEGAL FORM :
Chinese-foreign equity joint venture enterprise
CHIEF EXECUTIVE :
Mr. Wu danqun (legal
representative)
STAFF STRENGTH :
200
REGISTERED CAPITAL : CNY
200,010,000
BUSINESS LINE :
TRADING and manufacturing
TURNOVER :
CNY 528,200,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 152,250,000 (AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : competitive
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : fairly steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.1413 = 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 Dec. 1, 2010, and has been under present
legal form since 2011.
Company Status: Chinese-foreign equity joint venture
enterprise This form of business in PR China is defined as a legal
person. It is a limited co. jointly invested by one or more foreign
companies and one or more PR China controlled companies within the
territories of PR China according to a certain proportion of capital
investment. The investing parties exercise business management, share
profits and bear all risks and liabilities of the co. together. The equity
joint venture law requires that foreign party contribute not less than 25%
of the registered capital, with no maximum. The investing parties are free
to agree on method of profit distribution and liabilities bearing according
to the proportion of capital investment. Each investing parties contributes
funds, tangible assets, technology & The board of directors excises the
high authority. The joint venture usually has a limited duration of 10 to
50 years. Enterprise with large investment, long construction periods, low
investment returns, introducing of advanced technology & advanced
technology products that have good competition position in international
market may extend beyond the 50 years limit.
SC’s registered business scope includes design, development and
manufacture of kinds of elevators, escalator, autowalks and parts (excluding
plastic and rubber); sales of own products; retail (if needed with permit) of
kinds of elevators, escalator, autowalks and parts, commission agency
(excluding auction), wholesale, import and export business; providing
installation, debugging, repair, maintenance, reforming and other after sale service
of related products, technology service and consulting (if needed operating
according to related regulations) (if needed with permit).
SC is mainly engaged in manufacturing and sales of elevators.
Mr. Wu Danqun is legal representative and chairman of SC at present.
SC is known to have approx. 200 employees
at present.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in the hi-tech industrial zone of Changshu.
Detailed premise information is not available at present.
Note: According to SC’s staff, SC has an office at Room 1808, No. 1
Lvzhou Zhonghuan Center, Lane 1628, Jinshajiang Road, Shanghai (Tel: (0)
21-32200773/32200795; Fax: (0) 21-33030903)
http://www.marohn.com/
The design is professional and the content is well organized. At present it is
in Chinese version.
For the past two years there is no record of litigation.
Changes of its
registered information:
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Date of change |
Item |
Before the change |
After the change |
|
2010-12-16 |
Shareholders |
Wu Danqun 90% Wang Lei10% |
Wu Danqun 70% Lu Yaning 30% |
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2010-12-28 |
Shareholders |
Wu Danqun 70% Lu Yaning 30% |
Wu Danqun 90% Lu Yaning 10% |
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2010-12-31 |
Shareholders |
Wu Danqun 90% Lu Yaning 10% |
Wu Danqun 70% Lu Yaning 30% |
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2011-03-31 |
Shareholders |
Wu Danqun 70% Lu Yaning 30% |
Wu Danqun 52.5% Lu Yaning 22.5% ThyssenKrupp (China) Ltd. 25% |
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Company’s name |
Suzhou Dima Elevator Co., Ltd. (In Chinese Pinyin) |
Suzhou Marohn Elevator Co., Ltd. |
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Registered legal form |
Limited liabilities co. |
Present one |
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|
2012-05-15 |
Company’s name |
Suzhou Marohn Elevator Co., Ltd. |
Present one |
|
2013-7-16 |
Registered capital |
CNY 100,000,000 |
Present amount |
Subject passed the annual inspection of 2012 with Administration for
Industry & Commerce.
Organization Code: 565328943
MAIN SHAREHOLDERS:
Name %
of Shareholding
Wu Danqun 52.5
Lu Yaning 22.5
ThyssenKrupp (China) Ltd. 25
ThyssenKrupp (China) Ltd.
===========================
Incorporation Date:
Registration No.: 100000400011298
Legal representative: Tilo Quink
Website: http://www.thyssenkrupp.com.cn/
Legal
Representative and Chairman:
Mr. Wu Danqun (吴丹群), ID# 31010519590919xxxx,
born in 1959. He is currently responsible for the overall management of SC.
Working
Experience(s):
At present Working
in SC as legal representative and chairman.
General Manager and Director:
Mr. Lu Yaning (陆亚宁), ID# 11010819570625xxxx,
born in 1957. He is currently responsible for the daily management of SC.
Working
Experience(s):
At present Working
in SC as general manager and director.
Director:
Peter James Walker
Supervisor:
He Feiqun
Kohl Gerd-Hermann
SC is mainly engaged in manufacturing and sales of elevators.
SC’s products mainly include: elevators, escalator and autowalks.
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 Check, T/T, L/C and Credit of 30-60 days.
Note: SC declined to release its major suppliers and clients.
According to SC’s website:
ThyssenKrupp AG
==============
Add: P.O. Box, 45063 Essen
Phone: +49 201 844 0
Fax: +49 201 844 536000
Website: http://www.thyssenkrupp.com/
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’s accountant refused to release the bank details.
Balance
Sheet
Unit: CNY’000
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As of Dec. 31,
2013 |
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Cash & bank |
324,920 |
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Inventory |
9,350 |
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Accounts receivable |
40,290 |
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Advances to suppliers |
14,730 |
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Other receivables |
9,300 |
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Current assets |
398,590 |
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Fixed assets net value |
1,520 |
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Deferred tax assets |
17,710 |
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Long term prepaid expenses |
190 |
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Projects under construction |
1,000 |
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Intangible and other assets |
24,360 |
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Total assets |
443,370 |
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=========== |
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Short loan |
0 |
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Accounts payable |
101,150 |
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Advances from customers |
87,600 |
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Taxes payable |
33,310 |
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Other accounts payable |
42,130 |
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Payroll payable |
12,780 |
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Accrued expenses |
14,100 |
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Current liabilities |
291,070 |
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Long term liabilities |
50 |
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Total liabilities |
291,120 |
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Equities |
152,250 |
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Total liabilities & equities |
443,370 |
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Income
Statement
Unit: CNY’000
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As of Dec. 31,
2013 |
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Turnover |
528,200 |
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Cost of goods sold |
365,690 |
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Taxes and additional of
main operation |
4,760 |
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Sales expense |
42,950 |
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Management expense |
17,600 |
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Finance expense |
-960 |
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Investment income |
290 |
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Non-operating income |
30 |
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Non-operating expense |
170 |
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Profit before tax |
98,310 |
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Less: profit tax |
11,760 |
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Profits |
86,550 |
Important
Ratios
=============
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As of Dec.
31, 2013 |
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*Current ratio |
1.37 |
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*Quick ratio |
1.34 |
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*Liabilities to assets |
0.66 |
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*Net profit margin (%) |
16.39 |
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*Return on total assets (%) |
19.52 |
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*Inventory /Turnover ×365 |
7 days |
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*Accounts receivable/Turnover ×365 |
28 days |
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*Turnover/Total assets |
1.19 |
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* Cost of goods sold/Turnover |
0.69 |
PROFITABILITY:
FAIRLY GOOD
The turnover of SC appears fairly good in its
line.
SC’s net profit margin is good.
SC’s return on total assets is good.
SC’s cost of goods sold is average.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level.
SC’s quick ratio is maintained in a normal level.
The inventory of SC appears small.
The accounts receivable of SC is maintained in an average level.
SC has no short loans in 2013.
SC’s turnover 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.
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.47 |
|
|
1 |
Rs.100.43 |
|
Euro |
1 |
Rs.79.40 |
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
TPT |
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.