MIRA
INFORM REPORT
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Report Date : |
26.09.2014 |
IDENTIFICATION DETAILS
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Name : |
JIANGSU
DILONG HEAVY MACHINERY CO., LTD. |
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Registered Office : |
No. 19 Tuanshan
East Road, Economic Development Zone, Lishui District, Nanjing, Jiangsu
Province 211200 Pr |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
05.08.2011 |
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Com. Reg. No.: |
320124000062774 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in researching, developing, manufacturing and
selling heavy machinery; pipeline engineering, and trenchless pipeline construction;
selling tubular product; exporting its product and technology, and importing
machinery, components, raw materials & accessories and technology. |
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No of Employees : |
120 |
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 & address
JIANGSU DILONG
HEAVY MACHINERY CO., LTD.
NO. 19 TUANSHAN
EAST ROAD, ECONOMIC DEVELOPMENT ZONE
LISHUI
DISTRICT, NANJING, JIANGSU PROVINCE 211200 PR CHINA
TEL: 86 (0)
25-52609180/56213631/56213620
FAX: 86 (0)
25-85566231
EXECUTIVE SUMMARY
Date of Registration : august 5, 2011
REGISTRATION NO. : 320124000062774
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE :
jiang zhiguang (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : cny 5,980,000
staff :
120
BUSINESS CATEGORY : R & D & manufacturing & trading
Revenue :
CNY 18,450,000 (AS OF DEC. 31,
2013)
EQUITIES :
CNY 4,390,000 (AS OF DEC. 31, 2013)
WEBSITE : www.njdl.com
E-MAIL :
trade@njdl.com
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND : ORDINARY
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY 6.13 = 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 limited liabilities company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
320124000062774 on August 5, 2011.
SC’s Organization Code Certificate No.:
57594919-6
SC’s Tax No.: 320124575949196
SC’s registered capital: cny 5,980,000
SC’s paid-in capital: cny 5,980,000
Registration Change Record:-
No significant changes of SC have been noted
in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Jiang Zhiguang |
40 |
|
Wu Hong |
30 |
|
Pan Hongming |
30 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman and General Manager |
Jiang Zhiguang |
|
Supervisor |
Pan Hongming |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Jiang Zhiguang 40
Wu Hong 30
Pan Hongming 30
MANAGEMENT
Jiang Zhiguang, Legal Representative, Chairman and General
Manager
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Gender: M
Working experience (s):
At present, working in SC as legal representative, chairman and general
manager
Also working in Nanjing Dilong No-dig Engineering Co., Ltd. as legal
representative
Pan Hongming, Supervisor
----------------------------------------------
Gender: M
BUSINESS
OPERATION
SC’s registered business scope includes researching,
developing, manufacturing and selling heavy machinery; pipeline engineering, and
trenchless pipeline construction; selling tubular product; exporting its
product and technology, and importing machinery, components, raw materials
& accessories and technology.
SC is mainly engaged in researching, developing, manufacturing and selling
heavy machinery.
SC’s products
mainly include:
DF
DDL
DL
Etc.
SC sources its materials 100% from domestic market. SC sells 60% of its
products in domestic market, and 40% 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.
Staff &
Office:
--------------------------
SC is known to have approx. 120
staff at present.
SC rents an area as its operating office and factory, but the detailed
information is unknown.
RELATED
COMPANY
Nanjing Dilong No-dig Engineering Co., Ltd.
Registration No.: 320100000086398
Date of Registration: April 6, 1998
Legal Form: Limited Liabilities Company
Registered Capital: CNY 5,000,000
Legal Representative: Jiang Zhiguang
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
Financial Summary
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Unit: CNY’000 |
As of Dec. 31,
2013 |
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Total assets |
26,440 |
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Total liabilities |
22,050 |
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Equities |
4,390 |
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Revenue |
18,450 |
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Profits |
590 |
Important Ratios
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As of Dec. 31,
2013 |
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*Liabilities to assets |
0.83 |
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*Net profit margin (%) |
3.20 |
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*Return on total assets (%) |
2.23 |
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*Revenue / Total assets |
0.70 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears average in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
LIQUIDITY: FAIR
SC’s revenue is in a fair level, comparing with the size of its total
assets.
LEVERAGE: FAIR
The debt ratio of SC is high.
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.02 |
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1 |
Rs.99.43 |
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Euro |
1 |
Rs.77.84 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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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.