MIRA
INFORM REPORT
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Report Date : |
03.09.2014 |
IDENTIFICATION DETAILS
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Name : |
Cangzhou
Senary Chemical Import and Export 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 : |
18.09.2013 |
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Com. Reg. No.: |
130902000027691 |
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Legal Form : |
One-Person Limited Liability
Company |
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Line of Business : |
Engaged in trading of chemicals. |
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No. of Employees : |
4 |
RATING & COMMENTS
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MIRA’s Rating : |
NB |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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-- |
NB |
New Business |
-- |
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Status : |
New Business |
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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 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
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Source
: CIA |
Company name and address
Cangzhou Senary Chemical Import and
Export Co., Ltd.
NO. 168 Jinde Road, XINHUA
DISTRICT, Cangzhou City,
HeBEI PROVINCE, 061000 PR CHINA
TEL: 86 (0) 317-3566337 FAX: 86 (0) 317-3563199
EXECUTIVE SUMMARY
INCORPORATION DATE : sep. 18, 2013
REGISTRATION NO. :
130902000027691
REGISTERED LEGAL FORM :
One-person Limited Liability Company
STAFF STRENGTH : 4
REGISTERED CAPITAL :
CNY 1,000,000
BUSINESS LINE : tradING
TURNOVER : CNY 1,650,000 (AS OF DEC. 31, 2013)
EQUITIES : CNY 980,000 (AS OF DEC. 31, 2013)
PAYMENT : AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND :
FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.15 = 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 One-person Limited
Liability Company at local Administration for Industry & Commerce (AIC -
The official body of issuing and renewing business license) on Sep. 18, 2013.
Company Status: One-person Limited Liability Company Single person LLC refers to a
limited liability company set up by only one natural person or legal person
as the single shareholder of it. The minimum registered capital
of Single person LLC is CNY 100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only
invest in and set up one limited liability company, which is not permitted
to invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered business scope includes import and export of goods and
technology.
SC is mainly
engaged in trading of chemicals.
Mr.
Liu Jinsong (刘劲松) has been the legal representative,
chairman and general manager of SC since 2013.
SC is
known to have approx. 4 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Cangzhou.
Detailed information of the premise is unspecified.
SC is not known to have any websites at present.
SC started its normal operation in Dec. of 2013.
There is no record of litigation till
now.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Cangzhou Senary Chemical Science-tech Co.,
Ltd. 100
Registration No.: 130902000003104
Incorporation Date:
Chairman: Liu Jinsong
Tel.: +86-317-3563899
Fax: +86-317-3563199
Add.:
E-mail: trade@senary.com
l
Legal Representative, Chairman and General Manager:
Mr. Liu Jinsong, ID #
13090319700620****, born in 1970, he is currently responsible for the
overall and daily management of SC.
Working Experience(s):
From 2013 to present Working in SC as legal
representative, chairman and general manager.
Also working in Cangzhou Senary Chemical
Science-tech Co., Ltd. as legal representative.
l
Supervisor:
Yu Shuling
SC is mainly
engaged in trading of chemicals.
SC’s products
mainly include: active pharmaceutical ingredients, pharmaceutical
intermediates, etc.
SC sources its materials 100%
from domestic market. SC sells 100% of its products 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’s management declined to release its major clients and suppliers.
SC is not known to have any
subsidiary at present.
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 bank details.
Balance Sheet
Unit: CNY’000
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as of Dec. 31, 2013 |
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Cash & bank |
110 |
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Inventory |
0 |
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Accounts
receivable |
1,630 |
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Advances to
suppliers |
0 |
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Other
receivables |
0 |
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Other current
assets |
0 |
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------------------ |
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Current assets |
1,740 |
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Fixed assets net
value |
0 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Intangible
assets |
0 |
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Other assets |
0 |
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Total assets |
1,740 |
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============= |
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Short loans |
0 |
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Accounts payable |
920 |
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Other accounts
payable |
0 |
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Taxes payable |
-160 |
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Advances from
clients |
0 |
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Accrued payroll |
0 |
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Other current
liabilities |
0 |
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Current
liabilities |
760 |
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Long term
liabilities |
0 |
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------------------ |
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Total
liabilities |
760 |
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Equities |
980 |
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------------------ |
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Total liabilities
& equities |
1,740 |
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Income Statement
Unit: CNY’000
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as of Dec. 31,
2013 |
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Turnover |
1,650 |
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Cost of goods
sold |
1,660 |
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Sales expense |
10 |
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Management expense |
0 |
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Finance expense |
0 |
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Profit before
tax |
-20 |
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Less: profit tax |
0 |
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Profits |
-20 |
Important Ratios
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as
of Dec. 31, 2013 |
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*Current ratio |
2.29
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*Quick ratio |
2.29
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*Liabilities
to assets |
0.44
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*Net profit
margin (%) |
-1.21 |
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*Return on
total assets (%) |
-1.15 |
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*Inventory
/Turnover ×365 |
/ |
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*Accounts
receivable/Turnover ×365 |
361
days |
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*Turnover/Total
assets |
0.95
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* Cost of
goods sold/Turnover |
1.01
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PROFITABILITY:
FAIR
l
The turnover of SC appears average in its line.
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SC’s net profit margin is fair.
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SC’s return on total assets is fair.
l
SC’s cost of goods sold is fairly high, comparing with
its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is normal.
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SC’s quick ratio is maintained in a normal level.
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SC has no inventory in 2013.
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The accounts receivable of SC appears
large in 2013.
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SC has no short-term loan
in 2013.
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SC’s turnover is fair, comparing with the size of
its total assets.
LEVERAGE: AVERAGE
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The debt ratio of SC is low.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
SC is considered small-sized in its line with fairly stable
financial conditions. The large amount of accounts receivable could be a threat
to SC’s financial condition.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.60.61 |
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1 |
Rs.100.48 |
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Euro |
1 |
Rs.79.56 |
INFORMATION DETAILS
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Analysis Done by
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SUB |
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Report Prepared
by : |
PDT |
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.