MIRA INFORM REPORT
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Report No. : |
334224 |
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Report Date : |
04.08.2015 |
IDENTIFICATION DETAILS
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Name : |
QINGDAO PHOENIX-HITARGET PRINTING & DYEING CO., LTD. |
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Registered Office : |
Shuiji Industrial Park, Laixi City,
Qingdao City, Shandong Province, 266600 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
08.10.2003 |
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Com. Reg. No.: |
370285400002718 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
Subject is engaged in manufacturing and trading printing & dyeing
cloth and related products |
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No. of Employee : |
1,477 |
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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
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. In 2014 the People’s Bank of China (PBOC) doubled 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 2014 stood as the largest economy in the world, surpassing the US that year... 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 2014 more than 274 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. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
|
Source
: CIA |
Company
name and address
QINGDAO PHOENIX-HITARGET PRINTING & DYEING CO., LTD.
SHUIJI INDUSTRIAL
PARK, LAIXI CITY,
QINGDAO CITY,
SHANDONG PROVINCE, 266600 PR CHINA
TEL: 86 (0)
532-88452712/88452778 FAX: 86 (0)
532-88452776
EXECUTIVE
SUMMARY
INCORPORATION DATE :
OCT. 8, 2003
REGISTRATION NO. :
370285400002718
REGISTERED LEGAL FORM : CHINESE-FOREIGN EQUITY JOINT VENTURE
ENTERPRISE
STAFF STRENGTH :
1,477
REGISTERED CAPITAL : USD 10,320,000
BUSINESS LINE :
MANUFACTURING & TRADING
TURNOVER :
CNY 1,409,060,000 (AS OF DEC. 31, 2014)
EQUITIES :
CNY 334,980,000 (AS OF DEC. 31, 2014)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY GOOD
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.2119 = USD
Adopted abbreviations:
ANS - amount not stated NS - not stated SC - subject company (the company inquired by you)
NA - not available CNY - China Yuan Renminbi
Note: The given address belongs to SC’s
parent company “Qingdao Phoenix Printing & Dyeing Co., Ltd.”.
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 Oct. 8, 2003.
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 manufacturing printing & dyeing cloth, garments,
sawing products and deep processing products. (Selling 100% of its products to
overseas market) (with permits if needed).
SC is mainly
engaged in manufacturing and trading printing & dyeing cloth and related
products.
Mr. Dai
Shouhua is the legal representative and
chairman of SC at present.
SC is known to have approx. 1,477 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 Laixi. Our checks reveal
that SC owns the total premise, but SC’s accountant refused to release the
gross area.
www.qdphoenixpd.com
It is the website of SC’s parent-Qingdao Phoenix Printing & Dyeing Co.,
Ltd. The design is professional and the content is well organized. At present
it is in both Chinese and English versions.
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
Organization code: 750445105
See below for SC as executive party (defendant).
|
Executed
Party |
Qingdao
Phoenix-Hitarget Printing & Dyeing Co., Ltd. |
|
Court |
Laixi City People's Court莱西市人民法院 |
|
Date of Case |
2007-03-28 |
|
Case
Number |
(2007)
00284 |
|
Claim Amount |
RMB 6,974 |
|
Executed Party |
Qingdao Phoenix-Hitarget Printing & Dyeing Co., Ltd. |
|
Court |
Laixi City People's Court莱西市人民法院 |
|
Date
of Case |
|
|
Case Number |
(2010) 01320 |
|
Claim
Amount |
RMB 40,554 |
Etc.
Remark: Due to the lack of information, we are unable to provide the cause of
action, judgment or other information.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Qingdao
Phoenix Printing & Dyeing Co., Ltd. 75
Hitarget
Holding Company Limited (Hong Kong) 25
Qingdao
Phoenix Printing & Dyeing Co., Ltd.
=================================
Incorporation Date : Dec.
8, 1998
Registration No. :
370200018003250
Registered Legal Form : Limited
Liabilities Company
Registered Capital : CNY
5,260,000
Add.:
No. 4 Yong Ping Road, Licang District, Qingdao, China
Tel.:
0532-84661306
Email:
phoenix@qdphoenixpd.com
Hitarget
Holding Company Limited (Hong Kong)
====================================
CR No.: 1145504
Company Status: Private company limited by
shares
Incorporation Date: 2007-6-29
Active Status: Live
l
Legal Representative and Chairman:
Mr. Dai Shouhua, ID# 37020419490406****, born in 1949, with bachelor’s
degree, he is currently responsible for the overall management of SC.
Working Experience(s):
At present Working in SC as chairman and legal
representative.
Also working in Qingdao Phoenix
Printing & Dyeing Co., Ltd.
Qingdao Phoenix-Miho Printing Dyeing
Co., Ltd. and Qingdao Phoenix Import & Export Co., Ltd. as legal representative.
l Vice Chairman:
Yang Hao is currently responsible for the daily
management of SC.
Working Experience(s):
At present Working in SC as vice chairman.
l General Manager and
Director:
Mr. Wu Xiaofei, born in 1963, with bachelor’s
degree, he is currently responsible for the daily management of SC.
Working Experience(s):
At present Working in SC as general manager and director.
Also working in Qingdao Phoenix
Printing & Dyeing Co., Ltd. as general
manager.
l Directors:
Sun Mei’an
Wang Lei
Yan Yong
SC is mainly
engaged in manufacturing and trading printing & dyeing cloth and related
products.
SC’s products
mainly include: printing & dyeing cloth and related products.
SC sources its materials 60% from domestic
market, and 40% from overseas market. SC sells 100% of its products to overseas
market.
The buying terms of SC include Check, T/T, L/C 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 main suppliers and customers.
Trademark &
Patents
|
Registration No. |
4879201 |
|
Registration Date |
2009-3-7 |
|
Trademark Design |
|
Qingdao
Phoenix-Miho Printing Dyeing Co., Ltd.
====================================
Incorporation
Date: Nov. 18, 2002
Registration
No.: 370200400102669
Chief
Executive: Dai Shouhua
Registered
Capital: USD 1,306,000
Qingdao
Phoenix Import & Export Co., Ltd.
===============================
Incorporation
Date: Apr. 20, 2009
Registration
No.: 370200020000906
Chief
Executive: Dai Shouhua
Registered
Capital: CNY 5,000,000
Etc.
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
|
|
as of Dec. 31,
2014 |
|
Current assets |
232,970 |
|
Fixed assets net
value |
160,640 |
|
Projects under
construction |
15,380 |
|
Long-term
deferred expenses |
0 |
|
Other assets |
21,530 |
|
|
------------------ |
|
Total assets |
430,520 |
|
|
============= |
|
Current
liabilities |
95,540 |
|
Long term liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
95,540 |
|
Shareholders
equities |
334,980 |
|
|
------------------ |
|
Total
liabilities & equities |
430,520 |
|
|
============= |
Note: SC’s accountant refused to release the detailed Balance Sheet.
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2014 |
|
Turnover |
1,409,060 |
|
Cost of goods sold |
1,237,260 |
|
Taxes and additional of main operations |
4,450 |
|
Sales expense |
12,560 |
|
Management expense |
42,540 |
|
Finance expense |
-420 |
|
Non-operating
income |
2,910 |
|
Non-operating expense |
7,370 |
|
Investment
income |
1,750 |
|
Profit before
tax |
109,960 |
|
Less: profit tax |
27,750 |
|
Profits |
82,210 |
Important Ratios
|
|
as of Dec. 31,
2014 |
|
*Current ratio |
2.44 |
|
*Quick ratio |
2.44 |
|
*Liabilities
to assets |
0.22 |
|
*Net profit
margin (%) |
5.83 |
|
*Return on
total assets (%) |
19.10 |
|
*Inventory
/Turnover ×365 |
/ |
|
*Accounts receivable/Turnover
×365 |
/ |
|
*Turnover/Total
assets |
3.27 |
|
* Cost of
goods sold/Turnover |
0.88 |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears good in its line.
l
SC’s net profit margin is fairly good.
l
SC’s return on total assets is good.
l
SC’s cost of goods sold is average, comparing with
its turnover.
LIQUIDITY: FAIRLY
GOOD
l
The current ratio of SC is maintained in a fairly
good level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
SC’s turnover is in a fairly good level, comparing
with the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly good.
SC is considered large-sized in its line with fairly good financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.96 |
|
UK Pound |
1 |
Rs.99.93. |
|
Euro |
1 |
Rs.70.16 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
ASH |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
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 |
|
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 |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
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.