MIRA INFORM REPORT
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Report No. : |
354227 |
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Report Date : |
16.12.2015 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
No. 33-6, Changsheng Street, Shahekou District, Dalian, Liaoning Province, 116200 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
14.03.1996 |
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Com. Reg. No.: |
210200000087882 |
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Legal Form : |
One-Person Limited Liability
Company |
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Line of Business : |
Subject engaged in import and export business of goods and
technologies, general domestic trading (With permit if needed). |
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No. of Employee : |
28 |
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
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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
dalian machine tool import & export
co., ltd.
NO.
33-6, CHANGSHENG STREET, SHAHEKOU DISTRICT, DALIAN,
LIAONING
PROVINCE, 116200 PR CHINA
TEL: 86 (0) 411-87582936 FAX: N/A
EXECUTIVE
SUMMARY
INCORPORATION
DATE : MARCH 14, 1996
REGISTRATION
NO. : 210200000087882
REGISTERED
LEGAL FORM : ONE-PERSON LIMITED LIABILITY COMPANY
CHIEF
EXECUTIVE : MR. WANG JIN (LEGAL REPRESENTATIVE)
STAFF
STRENGTH : 28
REGISTERED
CAPITAL : CNY 54,730,000
BUSINESS
LINE : TRADING
TURNOVER : CNY 145,920,000 (AS
OF DEC. 31, 2014)
EQUITIES : CNY 55,530,000 (AS OF DEC. 31, 2014)
PAYMENT
: NO COMPLAINTS
MARKET
CONDITION : AVERAGE
FINANCIAL
CONDITION : FAIRLY STABLE
OPERATIONAL
TREND : STEADY
GENERAL
REPUTATION : AVERAGE
EXCHANGE
RATE : CNY 6.4671= 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 state-owned enterprise at local Administration for Industry
& Commerce (AIC - The official body of issuing and renewing business
license) on March 14, 1996 and has been under present legal form since 2007.
Company Status: One-person
Limited Liability Company
Single person LLC refers to a
limited liability company set up by only one natural person or legal person as
the single shareholder of it.
The minimum registered capital of
Single person LLC is CNY100,000. The shareholder’s capital contributes, as set
out by the articles of associations should be a lump-sum payment in full.
One natural person can only invest
in and set up one limited liability company, which is not permitted to invest
in and set up a new Single person LLC.
As to any one-person limited liability
company, the sole-investor nature of the natural person or legal person shall
be indicated in the registration documents of the company and shall be
indicated in the business license thereof as well.
The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person LLC has
no shareholder meeting.
SC’s
registered business scope includes import and export business of goods and
technologies, general domestic trading (With permit if needed).
SC
is mainly engaged in trading of machine tools.
Mr.
Wang Jin has been legal representative, executive director and general manager
of SC since 2007.
SC
is known to have approx. 28 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Dalian. Our checks reveal that SC
rents the total premise about 1,000 square meters.
SC
is not known to host website of its own at present.
E-mail:
chenning2140@sina.com
Changes of its registered
information are as follows:
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Date of change |
Item |
Before the change |
After the change |
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1999-3-18 |
Legal representative |
Gao Tianshun |
Dong Qingfu |
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2007-6-29 |
Shareholder |
Dalian Machine Tool 100% |
Dalian Gragon CNC Machine Tool Co., Ltd.100% |
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company name |
Dalian Machine Tool Import & Export Corp. |
Dalian Machine Tool Import & Export Co., Ltd. |
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Legal representative |
Dong Qingfu |
Present one |
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Registered capital |
CNY 1,300,000 |
CNY 4,730,000 |
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Registered legal form |
State-owned enterprise |
One-person limited liability company |
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2011-3-28 |
Shareholder’s name |
Dalian Machine Tool (Numerical Control) Co., Ltd. (literal
translation) |
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2014-5-7 |
Registered capital |
CNY 4,730,000 |
Present amount |
Organization
Code: 118310549
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Dalian
Machine Tool (Numerical Control) Co., Ltd. (literal translation) 100
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Reg.
number: 210200000092742
Incorporation
Date: 2002-9-28
Legal
Representative: Chen Yongkai (陈永开)
Legal representative, Executive Director and General Manager:
Mr.
Wang Jin, with university education. He 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 Dalian Machine Tool
Accessories Sales Co., Ltd. as legal representative and executive director;
Dalian Machine Tool (Numerical Control) Co., Ltd. (literal translation) as director.
Supervisor:
Han
Longhua
SC
is mainly engaged in trading of machine tools.
SC’s
products mainly include: CD Series Universal Lathe, CDL Series Universal Lathe,
CDS Series Universal Lathe, and CW Series Universal Lathe.
SC
sources its materials 90% from domestic market, and 10% from overseas market.
SC sells 20% of its products in domestic market, and 80% 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 major clients and suppliers.
Dalian Machine Tool Group Co., Ltd.
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Reg.
number: 210200000091135
Incorporation
Date: 1997-6-26
Legal
Representative: Chen Yongkai
Web:
http://en.dmtg.com/
SC is known to invest in
the following company:
Dalian Machine Tool Accessories Sales Co., Ltd.
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Reg.
number: 210200000484022
Incorporation
Date: 2012-2-22
Legal
Representative: Mr. Wang Jin
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
management declined to release its bank information
Financial Summary
Unit:
CNY’000
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As of Dec. 31, 2013 |
As of Dec. 31, 2014 |
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120,710 |
10,970 |
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Equities |
5,380 |
55,530 |
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126,090 |
66,500 |
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162,620 |
145,920 |
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Profit before tax |
2,600 |
270 |
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Less: profit tax |
100 |
70 |
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2,500 |
200 |
Note:
SC’s accountant refused to disclose the detailed financial statements for year
2013 & 2014.
Important Ratios
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As of Dec. 31, 2013 |
As of Dec. 31, 2014 |
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*Liabilities to assets |
0.96 |
0.16 |
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*Net profit margin (%) |
1.54 |
0.14 |
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*Return on total assets (%) |
1.98 |
0.30 |
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*Turnover/Total assets |
1.29 |
2.19 |
PROFITABILITY: AVERAGE
The
turnover of SC appears fairly good in its line in both years.
SC’s
net profit margin is average
SC’s
return on total assets is average.
SC’s
turnover is in an average level, comparing with the size of its total assets.
LEVERAGE: FAIRLY GOOD
The
debt ratio of SC is high in 2013 and low in 2014.
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.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.67.04 |
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|
1 |
Rs.101.67 |
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Euro |
1 |
Rs.73.93 |
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CNY |
1 |
Rs.10.32 |
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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KAS |
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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.