MIRA
INFORM REPORT
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Report Date : |
12.09.2014 |
IDENTIFICATION DETAILS
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Name : |
beijing chostar equipment 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 : |
07.07.2006 |
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Com. Reg. No.: |
110000410292647 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture Enterprise |
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Line of Business : |
Wholesale, Import & Export, Commission Agent (excluding auction)
of Chemical Equipment and Parts, Chemical Materials, Technical Service. |
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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 |
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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 01, 2014
|
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
beijing chostar equipment co., ltd.
No. 5 Xingye Street, Economic &
Technological Development area,
Beijing, 100176 PR CHINA
TEL: 86 (0) 10-58082004/58082198/58082196
FAX: 86 (0) 10-58082197/58082095
EXECUTIVE SUMMARY
INCORPORATION DATE : july 7, 2006
REGISTRATION NO. : 110000410292647
REGISTERED LEGAL FORM : Chinese-foreign equity joint venture enterprise
CHIEF EXECUTIVE :
MR. wang jianjun (CHAIRMAN)
STAFF STRENGTH :
16
REGISTERED CAPITAL : usd 1,000,000
BUSINESS LINE :
trading
TURNOVER :
CNY 90,890,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 15,590,000 (AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : Average
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.1323 = 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 Chinese-foreign equity joint venture enterprise
at local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on July 7, 2006.
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 & etc. 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 wholesale, import & export,
commission agent (excluding auction) of chemical equipment and parts, chemical
materials, technical service.
SC is mainly engaged in selling chemical equipment and parts, chemical
materials.
Mr. Wang Jianjun is legal representative and chairman of SC at present.
SC is known to have approx. 16 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office in the Economic & Technological Development
Area of Beijing. Detailed premise information is not available at present.
The other address: Inner of Beijing Chemical Machinery Plant, No. 27
West Dawang Road, Chaoyang District, Beijing City
SC is not known to host web site of its own at present.
Email: wangbenting@chostar.cn
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Registration no. |
029264 |
110000410292647 |
|
One of Shareholders name |
Beijing Chemical Machinery Plant |
Beijing Chemical Machinery Co., Ltd. |
Subject passed the annual inspection of 2012 with Administration for
Industry & Commerce.
Tax Registration Certificate No.: 110105789954943
Organization Code: 789954943
There is no record of litigation till now.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Beijing Chemical Machinery Co., Ltd. 60
(Japan) Chori Co., Ltd. 40
Beijing Chemical Machinery Co., Ltd.
--------------------------------------
Beijing Chemical Machinery Co., Ltd. was formerly named as Beijing
Chemical Machinery Plant
Registration no.: 110105002048012
Legal representative: Wang Jianjun
Incorporation date: July 24, 1996
Registered capital: CNY 300,000,000
(Japan) Chori Co., Ltd.
--------------------------
Capital: JPY 6,800 million
Incorporated:
Employees: 434（Consolidated:1,292）（As of March
31,2014）
Head office:
Website: www.chori.co.jp
Legal
representative and Chairman:
Mr. Wang Jianjun, ID# 11010519671108XXXX, born in 1967 with university
education. He is currently responsible for the overall management of SC.
Working
Experience(s):
At present Working
in SC as legal representative and chairman.
Also working as legal representative in Beijing Chemical Machinery Co.,
Ltd., Bluestar (Beijing) Chemical Machinery Co., Ltd., Beijing Bluestar Energy
Investment Management Co., Ltd., and Toray Bluestar Membrane Co., Ltd., etc.
Vice
chairman:
Mr. Noboru Kojima is currently responsible for the daily management of
SC.
Working
Experience(s):
At present Working
in SC as vice chairman.
Directors:
Kang Jianzhong (ID# 11010519650209XXXX)
Wang Weihong
SC is mainly engaged in selling chemical equipment and parts, chemical
materials.
SC’s products mainly include: chemical equipment and parts, chemical
materials.
SC sources its materials 20% from domestic market, and 80% from overseas
market, mainly Japan. SC sells 80% of its products in domestic market, and 20%
to overseas market, mainly Southeast Asian market.
The buying terms of SC include T/T, L/C and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customer:
=============
Bluestar (Beijing) Chemical Machinery Co., Ltd.
*Major Supplier:
============
(Japan) Chori Co., Ltd.
Bluestar (Beijing) Chemical Machinery Co., Ltd.
============================
Registration no.: 110302001609494
Legal representative: Wang Jianjun
Incorporation date:
Website: www.beijing-bluestar.com
Beijing Bluestar Energy Investment Management Co., Ltd.
===========================
Registration no.: 110302013040100
Legal representative: Wang Jianjun
Incorporation date:
Toray Bluestar Membrane Co., Ltd.
==============================
Registration no.: 110000450106685
Legal representative: Wang Jianjun
Incorporation date:
Website: www.tbmc-bj.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’s suppliers declined to make any comments.
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.
Bank of China Beijing Branch
AC#：N/A
Relationship: Normal.
Balance
Sheet
|
Unit: CNY’000 |
as of Dec. 31,
2013 |
as of Dec. 31,
2012 |
|
10,390 |
7,350 |
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Bills receivable |
0 |
0 |
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Inventory |
41,830 |
41,860 |
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Accounts
receivable |
300 |
5,650 |
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Advances to
suppliers |
21,500 |
4,260 |
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Other
receivables |
710 |
0 |
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Other current
assets |
20 |
0 |
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------------------ |
------------------ |
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Current assets |
74,750 |
59,120 |
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Fixed assets net value |
220 |
280 |
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Projects under construction |
0 |
0 |
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Long-term equity investments |
0 |
0 |
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Intangible assets |
0 |
0 |
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Other assets |
10 |
0 |
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------------------ |
------------------ |
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Total assets |
74,980 |
59,400 |
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============= |
============= |
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Short loans |
0 |
0 |
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Notes payable |
0 |
0 |
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Accounts payable |
5,480 |
39,400 |
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Advances from customers |
56,280 |
5,800 |
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Taxes payable |
-2,370 |
-730 |
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Other payable |
0 |
0 |
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Other current liabilities |
0 |
0 |
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------------------ |
------------------ |
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Current liabilities |
59,390 |
44,470 |
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Long term liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total liabilities |
59,390 |
44,470 |
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Equities |
15,590 |
14,930 |
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------------------ |
------------------ |
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Total liabilities & equities |
74,980 |
59,400 |
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============= |
============= |
Income
Statement
|
Unit: CNY’000 |
as of Dec. 31,
2013 |
as of Dec. 31,
2012 |
|
Turnover |
90,890 |
131,620 |
|
Cost of goods sold |
81,570 |
120,250 |
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Taxes and additional of main operation |
220 |
180 |
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Sales expense |
4,000 |
6,460 |
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Management expense |
5,540 |
3,770 |
|
Finance expense |
-1,420 |
-280 |
|
Profit before tax |
970 |
1,240 |
|
Less: profit tax |
310 |
360 |
|
Profits |
660 |
880 |
Important
Ratios
=============
|
|
as
of Dec. 31, 2013 |
as
of Dec. 31, 2012 |
|
*Current ratio |
1.26 |
1.33 |
|
*Quick ratio |
0.55 |
0.39 |
|
*Liabilities to assets |
0.79 |
0.75 |
|
*Net profit margin (%) |
0.73 |
0.67 |
|
*Return on total assets (%) |
0.88 |
1.48 |
|
*Inventory /Turnover ×365 |
168 days |
117 days |
|
*Accounts receivable/Turnover ×365 |
2 days |
16 days |
|
*Turnover/Total assets |
1.21 |
2.22 |
|
* Cost of goods sold/Turnover |
0.90 |
0.91 |
PROFITABILITY:
AVERAGE
The turnover of SC appears fairly good in 2012, but it decreased in
2013.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of goods sold is average, comparing with its turnover.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a normal 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 has no short-term loan in both years.
SC’s turnover is in a fairly good level in 2012 but average in 2013,
comparing with the size of its total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average in 2012, but fairly high in 2013.
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 inventory could be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.91 |
|
|
1 |
Rs.98.65 |
|
Euro |
1 |
Rs.78.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
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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 |
|
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 |
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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 |
-- |
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.