MIRA INFORM REPORT
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Report No. : |
336844 |
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Report Date : |
19.08.2015 |
IDENTIFICATION DETAILS
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Name : |
JIANGSU WEIER METAL CO., LTD. |
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Registered Office : |
Qingpu Industrial Park, Qindong Town, Dongtai City, Jiangsu Province, 224212 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
13.05.2008 |
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Com. Reg. No.: |
320981000091699 |
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Legal Form : |
Shares limited co. |
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Line of Business : |
Subject is engaged in manufacturing and sales of solar
mounting system. |
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No. of Employees : |
125 |
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) |
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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. 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
Jiangsu Weier Metal Co., Ltd.
Qingpu industrial park, qindong town,
dongtai city, JIANGSU PROVINCE, 224212 PR CHINA
TEL: 86 (0) 515-85926899/15295383248 FAX: 86 (0) 515-85920899
EXECUTIVE
SUMMARY
INCORPORATION DATE :
may 13, 2008
REGISTRATION NO. :
320981000091699
REGISTERED LEGAL FORM : Shares
limited co.
CHIEF EXECUTIVE :
Mr. Qian zhongmei (legal
representative)
STAFF STRENGTH :
125
REGISTERED CAPITAL :
CNY 31,000,000
BUSINESS LINE :
TRADING and manufacturing
TURNOVER :
CNY 202,373,000 (AS OF DEC. 31, 2014)
EQUITIES :
CNY 28,930,000 (AS OF DEC. 31, 2014)
PAYMENT :
NO COMPLAINTS
MARKET CONDITION :
competitive
FINANCIAL CONDITION :
fairly STABLE
OPERATIONAL TREND :
fairly steady
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.3948
SC
was registered as a limited liabilities company at local Administration for
Industry & Commerce (AIC – The official body of issuing and renewing
business license) on May 13, 2008 and has been under present
legal form since 2014.
Company Status: Shares limited co.
This form of business in PR China is defined as a legal
person. Its registered capital is divided into shares of equal par value and
the co. raises capital by issuing share certificates by promotion or by public
offer. Shareholders bear limited liability to the extent of shareholding, and
the co. is liable for its debts only to the extent of its total assets. The co
has independent property of legal person and enjoys property rights of legal
person. The characteristics of the shares limited co. are as follows:
The establishment of the co. requires at least two
promoters and no more than 200, half of whom shall be domiciled in China..
Natural person are allowed to serve as promoters.
The minimum registered capital of a co. is CNY 5M. while
that of the co. with foreign investment is CNY 5M. The total capital of a co.
which propose to apply for publicly listed must be no less than CNY 30M.
The board of directors must consist of five to nineteen
directors.
If the co. raises capital by public offer, the promoters
must not subscribe less than 35% of the total shares. the promoters’ shares are
restricted to transfer- within one year of the offer.
A state-owned enterprise that is restructured into a shares
limited co. must comply with the conditions & requirements specified under
the law & administrative rule.
SC’s
registered business scope includes manufacture and sales of hardware
accessories (steel, fasteners, hardware and electrical and accessories,
chemical anchor bolt, trough, tray, shelf), piping fittings (pipe fittings,
hanging with pipe fittings, flanges) (excluding forging, pickling and
galvanizing process); manufacture and installation of PV stand, spiral pile;
purchase and sale of thermal insulation materials; import and export of goods
and technology (excluding those limited or prohibited by the state) (if needed
with permit).
SC
is mainly engaged in manufacturing and sales of solar mounting system.
Mr.
Qian Zhongmei is legal representative, chairman and general manager of SC at
present.
SC
is known to have approx. 125 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 Dongtai. Detailed
premise information is not available at present.
http://www.weiermetal.com/
The design is professional and the content is well organized. At present it is
in Chinese and English versions.
Email:
info@weiermetal.com
See
below for SC as executive party (defendant).
|
Executed Party |
Jiangsu Weier Metal Co., Ltd. |
|
Court |
Pingyin County People's Court |
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Date of Case |
2015-07-27 |
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Case Number |
(2015) 00806 |
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Claim Amount |
RMB 100,000 |
Remark: Due to the lack of information, we are unable to provide the cause
of action, judgment or other information.
Changes of its registered
information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
|
2014-03-19 |
Company’s name |
|
Present one |
|
Legal form |
limited Liabilities Company |
||
|
2014-04-16 |
Registered capital |
CNY 20,000,000 |
CNY 20,520,000 |
|
2015-02-16 |
Registered capital |
CNY 20,520,000 |
Present amount |
Note:
SC changed its Chinese name in 2014, while its English name remains the same.
Organization
Code: 675451985
MAIN SHAREHOLDERS:
Name Amount
(CNY) % of Shareholding
Qian
Zhongmei 27,980,000 90.26
Qian
Lanzhi 2,500,000 8.06
Guangxi
Forevermark Investment Co., Ltd. 520,000 1.68
Guangxi
Forevermark Investment Co., Ltd.
==============================
Registration
No.: 450100000121913
Legal
representative: Huang Jianwei
Web:
http://www.gxforevermark.com/
Legal Representative,
Chairman and General Manager:
Mr.
Qian Zhongmei, about 47 years old. He is currently responsible for the overall
management of SC.
Working
Experience(s):
At
present Working in SC
as legal representative, chairman and general manager.
Director:
Jiang
Shanhua
Lv
Xinglan
Yuan
Yajing
Lu
Jun
Supervisor:
Qian
Lanzhi
Wang
Yinchun
Deng
Wei
SC
is mainly engaged in manufacturing and sales of solar mounting system.
SC’s
products mainly include: Ground Mounting System, Roof Mounting System, Tracking
System.
SC
sources its materials 100% from domestic market. SC sells 95% of its products in
domestic market, and 5% to overseas market.
The
buying terms of SC include Check, T/T and Credit of 30-60 days. The payment
terms of SC include T/T, L/C and Credit of 30-60 days.
Note:
SC declined to release its major suppliers and clients.
SC
is not known to have the 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’s
accountant refused to release the bank details.
Balance Sheet
Unit:
CNY’000
|
|
As of Dec. 31, 2014 |
As of Dec. 31, 2013 |
|
Cash & bank |
5,132 |
7,439 |
|
Inventory |
4,306 |
1,078 |
|
Accounts receivable |
89,964 |
35,736 |
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Note receivable |
5,341 |
10,492 |
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Advances to suppliers |
0 |
61,899 |
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Other receivables |
22,399 |
8,922 |
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|
------------------ |
------------------ |
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Current assets |
127,142 |
125,566 |
|
Fixed assets net value |
5,352 |
4,001 |
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Projects under construction |
1,778 |
761 |
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Intangible and other assets |
0 |
0 |
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|
------------------ |
------------------ |
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Total assets |
134,272 |
130,328 |
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|
=========== |
=========== |
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Short loan |
43,200 |
49,700 |
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Accounts payable |
15,909 |
40,205 |
|
Note payable |
6,000 |
10,000 |
|
Taxes payable |
1,475 |
1,253 |
|
Other accounts payable |
35,227 |
0 |
|
Payroll payable |
3,531 |
4,196 |
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|
------------------ |
------------------ |
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Current liabilities |
105,342 |
105,354 |
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Long term liabilities |
0 |
0 |
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|
------------------ |
------------------ |
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Total liabilities |
105,342 |
105,354 |
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Equities |
28,930 |
24,974 |
|
|
------------------ |
------------------ |
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Total liabilities & equities |
134,272 |
130,328 |
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|
=========== |
=========== |
Income Statement
Unit:
CNY’000
|
|
As of Dec. 31, 2014 |
As of Dec. 31, 2013 |
|
Turnover |
202,373 |
164,169 |
|
Cost of goods sold |
166,286 |
139,338 |
|
Taxes and additional
of main operation |
301 |
734 |
|
Sales expense |
23,224 |
14,656 |
|
Management expense |
4,121 |
1,589 |
|
Finance expense |
4,883 |
3,685 |
|
Non-operating income |
1,077 |
0 |
|
Non-operating expense |
17 |
50 |
|
Profit before tax |
4,618 |
4,117 |
|
Less: profit tax |
1,156 |
1,029 |
|
Profits |
3,462 |
3,088 |
Important Ratios
=============
|
|
As of Dec. 31, 2014 |
As of Dec. 31, 2013 |
|
*Current ratio |
1.21 |
1.19 |
|
*Quick ratio |
1.17 |
1.18 |
|
*Liabilities to assets |
0.78 |
0.81 |
|
*Net profit margin (%) |
1.71 |
1.88 |
|
*Return on total assets (%) |
2.58 |
2.37 |
|
*Inventory /Turnover ×365 |
8 days |
3 days |
|
*Accounts receivable/Turnover ×365 |
163 days |
80 days |
|
*Turnover/Total assets |
1.51 |
1.26 |
|
* Cost of goods sold/Turnover |
0.82 |
0.85 |
PROFITABILITY: AVERAGE
The turnover of SC appears fairly good in its line.
SC’s
net profit margin is average.
SC’s
return on total assets is average.
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 average in 2013, but large in 2014
SC’s
short loans are large in both years.
SC’s
turnover is in an average level, comparing with the size of its total assets.
LEVERAGE: FAIR
The
debt ratio of SC is fairly high.
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.
The large amount of accounts receivable and short loans could be a threat to
SC’s financial situation.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.22 |
|
UK Pound |
1 |
Rs.102.23 |
|
Euro |
1 |
Rs.72.39 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAS |
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Report Prepared
by : |
TRU |
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.