MIRA INFORM REPORT
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Report No. : |
352574 |
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Report Date : |
09.12.2015 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
No. 112 North
Linyu Road, Zhenhai District,
Ningbo City, Zhejiang Province, 315207 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
06.04.2007 |
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Com. Reg. No.: |
330211000002317 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject engaged in manufacturing and processing bearings,
parts, motors and motor parts, power tools, machinery and electronic
products, plastic products; self-support
and agent importing and exporting goods and technology except goods and
technology prohibited by the State |
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No. of Employee : |
160 |
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 : |
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 – March 31, 2015
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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. 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 for the first time in modern history. Still, China's per capita income is below the world average.
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 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 also 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.
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Source
: CIA |
Company
name and address
NINGBO KAILI HI-TECH BEARING CO., LTD.
no. 112 north linyu road, zhenhai district, ningbo
city,
zhejiang province, 315207 PR CHINA
TEL: 86 (0) 574-86369982 FAX: 86 (0) 574-87753063
EXECUTIVE
SUMMARY
INCORPORATION
DATE : APRIL 6, 2007
REGISTRATION
NO. : 330211000002317
REGISTERED
LEGAL FORM : LIMITED LIABILITIES COMPANY
CHIEF
EXECUTIVE :
MR. LU WENLI卢文立 (LEGAL REPRESENTATIVE)
STAFF
STRENGTH : 160
REGISTERED
CAPITAL :
CNY 5,000,000
BUSINESS
LINE :
MANUFACTURING & TRADING
TURNOVER : CNY 95,130,000
(AS OF DEC. 31, 2014)
EQUITIES : CNY
12,540,000 (AS OF DEC. 31, 2014)
PAYMENT
: SLOW BUT CORRECT
MARKET
CONDITION : AVERAGE
FINANCIAL
CONDITION : FAIRLY STABLE
OPERATIONAL
TREND :
FAIRLY STEADY
GENERAL
REPUTATION : AVERAGE
EXCHANGE
RATE : CNY 6.3952 = 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 limited liabilities co. at local Administration for
Industry & Commerce (AIC - The official body of issuing and renewing business
license) on April 6, 2007.
Company Status: Limited liabilities co.
This form of business in PR China
is defined as a legal person. No more than fifty shareholders contribute its
registered capital jointly. Shareholders bear limited liability to the extent
of shareholding, and the co. is liable for its debts only to extent of its
total assets. The characteristics of this form of co. are as follows:
Upon the establishment of the co.,
an investment certificate is issued to the each of shareholders.
The board of directors is
comprised of three to thirteen members.
The minimum registered capital for
a co. is CNY 30,000.
Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology.
Cash contributed by all
shareholders must account for at least 30% of the registered capital.
Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the other
shareholders and to subscribe for the newly increased registered capital of the
co.
SC’s
registered business scope includes: general business items: manufacturing and
processing Bearings, parts, motors and motor parts, power tools, machinery and
electronic products, plastic products; self-support
and agent importing and exporting goods and technology except goods and
technology prohibited by the State.
Mr.
Lu
Wenli is legal representative of SC at present.
SC
is known to have approx. 160 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 Ningbo. The detailed
information of the premise is unspecified.
http://www.kaili-industry.com/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
Email:
wenlilu_858@yahoo.com.cn
Changes of its registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
|
2007-7-31 |
Registration number |
3302112003305 |
Present one |
Organization
code: 79952850X
There is no litigation record of SC for the past two
years.
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Lu
Wenli 80
Li Xiangyi 20
Legal Representative, executive director and
general manager:
Mr.
Lu Wenli is currently responsible for the overall management of SC.
Working
Experience(s):
At
present Working in SC as
legal representative, executive director and general manager.
Also
working in Ningbo Kaili Import & Export Co., Ltd. as supervisor.
Supervisor:
Li
Xiangyi
Also
working in Ningbo Kaili Import & Export Co., Ltd. as legal representative,
executive director and manager.
SC
is mainly engaged in manufacturing & selling bearing, bearing fittings and
other related products.
SC’s
products mainly include: ball bearings, turned rings, specialized bearings, automobile
bearing, agriculture bearing, bearing components.
SC
sources its materials 95% from domestic market, 5% from oversea market. SC
sells 2% of its products in domestic market, and 98% 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 refused to
release its major clients and suppliers.
Trademarks:
|
Trademark |
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Registration
No. |
6963346 |
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Registration
Date |
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Ningbo
Feitian Machinery Produce Co., Ltd.
=================================
Registration
number: 330200400032788
Legal
representative: Zhang Pin
Incorporation
date:
Ningbo Kaili Import & Export Co., Ltd.
==============================
Registration
number: 330211000057488
Legal
representative: Li Xiangyi
Incorporation
date:
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.
N/A
Balance Sheet
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Unit: CNY’000 |
As
of Dec. 31, 2014 |
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Cash & bank |
4,840 |
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Inventory |
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Notes receivable |
4,350 |
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7,410 |
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Other accounts receivable |
8,990 |
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------------------ |
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Current assets |
34,400 |
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Fixed assets net value |
23,230 |
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Total intangible and other assets |
5,320 |
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------------------ |
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Total assets |
62,950 |
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=========== |
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Short loans |
0 |
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Accounts payable |
32,830 |
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Accrued payroll |
1,380 |
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Taxes payable |
7,440 |
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Other accounts payable |
3,300 |
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Other levies payable |
5,460 |
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------------------ |
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Current liabilities |
50,410 |
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Long term liabilities |
0 |
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------------------ |
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Total liabilities |
50,410 |
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Equities |
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------------------ |
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Total liabilities & equities |
62,950 |
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=========== |
Income Statement
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Unit: CNY’000 |
As of Dec. 31, 2014 |
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Turnover |
95,130 |
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Cost of goods sold |
79,560 |
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Taxes and additional
of main operation |
540 |
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Sales expense |
4,450 |
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Management expense |
2,410 |
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Finance expense |
290 |
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Non-operating income |
180 |
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Non-operating expenses |
1,210 |
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Profit before tax |
6,850 |
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Less: profit tax |
1,710 |
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Profits |
5,140 |
Important Ratios
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|
As of Dec. 31, 2014 |
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*Current ratio |
0.68 |
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*Quick ratio |
0.51 |
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*Liabilities to assets |
0.80 |
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*Net profit margin (%) |
5.40 |
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*Return on total assets (%) |
8.17 |
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*Inventory /Turnover ×365 |
34 days |
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*Accounts receivable/Turnover ×365 |
29 days |
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*Turnover/Total assets |
1.51 |
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* Cost of goods sold/Turnover |
0.84 |
PROFITABILITY: FAIRLY GOOD
The turnover of SC appears average.
SC’s net profit margin is fairly good.
SC’s return on total assets is fairly good.
SC’s cost of goods sold is in an average level.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a fair level.
The inventory of SC appears average.
SC’s accounts receivable is average.
SC has no short term loan in 2014.
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.
After our research and based on the
information obtained.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.80 |
|
|
1 |
Rs.100.49 |
|
Euro |
1 |
Rs.72.52 |
|
CNY |
1 |
Rs.10.40 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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KAR |
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Report Prepared
by : |
TRU |
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 |
-- |
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.