MIRA INFORM REPORT
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Report No. : |
356684 |
|
Report Date : |
25.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
tongkun group co.,
ltd. |
|
|
|
|
Registered Office : |
No. 199, Guangming Road, Economic Development Zone, Tongxiang,
Zhejiang Province, 314500 |
|
|
|
|
Country : |
China |
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|
|
|
Financials (as on) : |
30.09.2015 |
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|
|
Date of Incorporation : |
27.09.1999 |
|
|
|
|
Com. Reg. No.: |
330000000014744 |
|
|
|
|
Legal Form : |
Shares Limited Co. |
|
|
|
|
Line of Business : |
Manufacturing and selling chemical fiber, synthetic fiber and
garments; recycling and processing plastic; economic information consultation
(excluding securities and futures); wholesaling, importing and exporting
dimethylbenzene (the valid term is until Jan. 8, 2017) and chemical raw
materials (excluding dangerous chemicals and easy system drugs), textile raw
materials, textile machinery and equipment and accessories. Above import and
export of goods does not involve state trading, import and export quotas,
export quota bidding, export licenses and other special management provisions
commodity. |
|
|
|
|
No. of Employees : |
15,077 (Including Subsidiaries) |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
|
Payment Behaviour : |
Regular |
|
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 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
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.
|
Source
: CIA |
Company
name & address
tongkun group co., ltd.
NO. 199, GUANGMING ROAD, Economic Development
Zone,
TONGXIANG, ZHEJIANG province, 314500 CHINA
TEL: 86 (0) 573-88187878/88182269 FAX: 86 (0)
573-88187852/88187838/88187776
EXECUTIVE
SUMMARY
INCORPORATION DATE : SEPTEMBER 27, 1999
REGISTRATION NO. : 330000000014744
REGISTERED LEGAL FORM : SHARES LIMITED CO.
CHIEF EXECUTIVE :
MR. CHEN SHILIANG (CHAIRMAN)
STAFF STRENGTH :
15,077
(INCLUDING SUBSIDIARIES)
REGISTERED CAPITAL : CNY
963,600,000
BUSINESS LINE :
manufacturing and selling
TURNOVER :
CNY 16,578,398,000 (Consolidated, JAN. 1~ SEP.
30, 2015)
EQUITIES :
CNY 6,984,109,000 (Consolidated, as of SEP.
30, 2015)
PAYMENT :
Regular
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION : well-known
EXCHANGE RATE :
CNY 6.4711 = 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 shares limited co. at Zhejiang Provincial
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license) on Sep. 27, 1999.
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 manufacturing and selling
chemical fiber, synthetic fiber and garments; recycling and processing plastic;
economic information consultation (excluding securities and futures); wholesaling,
importing and exporting dimethylbenzene (the valid term is until Jan. 8, 2017)
and chemical raw materials (excluding dangerous chemicals and easy system
drugs), textile raw materials, textile machinery and equipment and accessories.
Above import and export of goods does not involve state trading, import and
export quotas, export quota bidding, export licenses and other special
management provisions commodity.
SC is mainly engaged in manufacturing and selling polyester filament and
polyester chips.
Mr. Chen Shiliang has been the legal representative and chairman of SC
since 1999.
SC is known to have approx. 15,077 employees at present,
including the ones in its subsidiaries.
SC is currently operating at the above stated address, and this address
houses its operating office in the economic development zone of Tongxiang. SC’s
accountant refused to release the detail information of the total premise.
SC’s factory is located in No. 188, Jinji Road, Zhouquan Town,
Tongxiang, Zhejiang Province
http://www.zjtkgf.com/
The design is professional and the content is well organized. At present the
web is in Chinese version.
E-mail: zj@zjtkgf.com
SC is a listed company in Shanghai Stock Exchange Market with the code
of 601233.
Honors:
Changes of its registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
|
2004-3-11 |
Company name |
Zhejiang Tongkun Chemical Fiber Group Co.
Ltd. |
Present one |
|
2007-12-18 |
Registered capital |
CNY 102,350,000 |
CNY 300,000,000 |
|
2007-12-25 |
Registration No. |
3300001006087 |
Present one |
|
2008-6-16 |
Registered capital |
CNY 300,000,000 |
CNY 320,000,000 |
|
2010-3-15 |
CNY 320,000,000 |
CNY 361,800,000 |
|
|
2011-7-28 |
CNY 361,800,000 |
CNY 481,800,000 |
|
|
2011-9 |
CNY 481,800,000 |
Present amount |
According to SC’s website, SC’s predecessor was
Tongxiang County Chemical Fiber
Factory
Tax Registration Certificate No.: 330483146846252
Organization Code: 14684625-2
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
(as of Sep. 30, 2015)
Name % of
Shareholding
Zhejiang Tongkun Holding Group Co., Ltd. 37.62
Chen Shiliang 7.82
Jiaxing Yuanchang Investment Co., Ltd. 5.56
Jiaxing Yixing Investment Co., Ltd. 5.56
Jiaxing Shenglong Investment Co., Ltd. 5.56
China Securities Finance Corporation Limited 1.92
Central Huijin Investment Ltd. 1.8
Bank of China Co., Ltd.-China New Economic And
Flexible Configuration Hybrid Securities Investment Fund
0.69
China Life Insurance Company, Ltd.-Traditional-General
Insurance Products-005L-CT001 Hu
0.58
China Construction Bank Corporation-Zhong’ou
New Blue Chips Flexible Configuration Hybrid Securities Investment Fund (In
Chinese Pinyin) 0.43
Other shareholders 32.46
Zhejiang Tongkun Holding Group Co., Ltd.
===============================
Registration No.: 330483000000915
Legal rep.: Chen Shiliang
Legal form: Limited Liabilities Co.
Legal
Representative and Chairman:
Mr. Chen Shiliang, ID#: 33042519630120****, born in 1963, with junior
college education, senior engineer. He is currently responsible for the overall
management of SC.
Working Experience(s):
From 1999 to present Working
in SC as legal representative and chairman
Also working in Zhejiang Tongkun
Holding Group Co., Ltd. as legal representative.
President:
Mr. Xu Jinxiang, born in 1964, with junior college education, senior
economist. He is currently responsible for the daily management of SC.
Working Experience(s):
At present Working in SC as president.
Also working in Jiaxing Petrochemical Co., Ltd. and Tongkun Group
Zhejiang Hengsheng Chemical Fiber Co., Ltd. as legal representative.
Vice President:
Mr. Shen Peixing ID#: 33042519621116****, born in 1962, with junior college
education, senior economist. He is currently responsible for the daily
management of SC.
Working Experience(s):
At present Working
in SC as vice president.
Vice President:
Mr. Chen Shinan, ID#: 33042519680118****, born in 1968, with junior
college education, economist. He is currently responsible for the daily
management of SC.
Working Experience(s):
At present Working
in SC as vice president.
Also working in Tongkun Group Zhejiang Hengtong Chemical Fiber Co., Ltd.
and Tongxiang Zhongzhou Chemical Fiber Co., Ltd. as legal representative.
Vice President:
Mr. Zhou Jun born in 1961, with university education. He is currently
responsible for the daily management of SC.
Working Experience(s):
At present Working
in SC as vice president.
Directors:
Tang Songhua
Shen Kaijun
Lu Zaizhi
Supervisors:
Shen Changsong
Hu Xiaoli
Zhu Guoyan
SC is mainly engaged in manufacturing and selling polyester filament and
polyester chips.
SC’s products mainly include:
*Polyester Filament
FDY Series
POY Series
DTY Series
*Composite wire Series
*Specialty products
Polyester chip
Other products
Brand: "GOLDENCOCK" and “TONGKUN”.
SC sources its materials 70% from domestic market, mainly Zhejiang, and
30% from overseas market. SC sells 90% of its products in domestic market, and
10% 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 T/T, L/C and Credit of 30-60 days.
Note: SC declined to release its major suppliers and clients.
Trademark & Patents
|
Registration No. |
12986217 |
12998395 |
12998450 |
|
Registration Date |
2014-12-28 |
2015-3-28 |
2014-12-14 |
|
Trademark Design |
|
|
|
SC is known to invest in the following companies:
Jiaxing Petrochemical Co., Ltd.
======================
Incorporation date: Jan. 25, 2010
Registration no.: 330405000008823
Registered capital: CNY 1,200,000,000
Legal rep.: Xu Jinxiang
Legal form: One-person Limited Liability Company
Tongkun Group Zhejiang Hengsheng Chemical Fiber Co., Ltd.
==============================================
Incorporation date: Nov. 13, 2000
Registration no.: 330483000014807
Registered capital: CNY 390,000,000
Legal rep.: Xu Jinxiang
Legal form: One-person Limited Liability Company
Tongkun Group Zhejiang Hengtong Chemical Fiber Co., Ltd.
============================================
Incorporation date: May 13, 2008
Registration no.: 330000400001402
Legal rep.: Chen Shinan
Legal form: One-person Limited Liability Company
Tongxiang Zhongzhou Chemical Fiber Co., Ltd.
==================================
Incorporation date: Dec. 1, 1999
Registration no.: 330483000015176
Legal rep.: Chen Shinan
Legal form: One-person Limited Liability Company
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.
Agricultural Bank
of China Tongxiang Sub-branch Zhouquan Office
AC#：372101040006963
Relationship: Normal
Consolidated
Balance Sheet
Unit: CNY’000
|
|
as of Sep. 30, 2015 |
as of Dec. 31, 2014 |
|
Cash & bank |
1,556,445 |
606,126 |
|
Notes receivable |
215,626 |
453,849 |
|
Derivative financial assets |
6,306 |
2,459 |
|
Accounts receivable |
134,690 |
206,263 |
|
Advances to supplies |
353,124 |
319,150 |
|
Other accounts receivable |
40,222 |
21,658 |
|
Inventory |
2,435,483 |
1,807,264 |
|
Other current assets |
782,833 |
950,975 |
|
|
------------------ |
------------------ |
|
Current assets |
5,524,729 |
4,367,744 |
|
Fixed assets |
8,210,678 |
8,608,738 |
|
Projects under construction |
712,175 |
263,458 |
|
Investment real estate |
3,128 |
3,209 |
|
Intangible assets |
497,897 |
490,719 |
|
Long-term investment |
9,596 |
9,596 |
|
Deferred income tax assets |
12,503 |
13,501 |
|
Other assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
14,970,706 |
13,756,965 |
|
|
============= |
============= |
|
Short loans |
2,959,764 |
2,827,736 |
|
Notes payable |
1,314,000 |
350,000 |
|
Accounts payable |
1,687,410 |
1,944,076 |
|
Advances from clients |
130,696 |
105,826 |
|
Employee pay payable |
19,554 |
19,921 |
|
Taxes payable |
23,123 |
21,657 |
|
Interests payable |
56,312 |
74,567 |
|
Dividend payable |
0 |
47,614 |
|
Other accounts payable |
44,241 |
17,641 |
|
Non-current liabilities due within one year |
8,000 |
10,000 |
|
Other liabilities |
199,292 |
0 |
|
|
------------------ |
------------------ |
|
Current liabilities |
6,442,392 |
5,419,038 |
|
Non-current liabilities |
1,544,205 |
1,455,122 |
|
|
------------------ |
------------------ |
|
Total liabilities |
7,986,597 |
6,874,160 |
|
Equities |
6,984,109 |
6,882,805 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
14,970,706 |
13,756,965 |
|
|
============= |
============= |
Consolidated
Income Statement
Unit: CNY’000
|
|
Jan. 1~Sep. 30, 2015 |
as of Dec. 31, 2014 |
|
Turnover |
16,578,398 |
25,094,917 |
|
Cost of goods sold |
15,526,981 |
24,031,925 |
|
Taxes and additional of main operation |
9,445 |
16,625 |
|
Sales expense |
57,114 |
61,386 |
|
Management expense |
526,931 |
615,595 |
|
Finance expense |
257,494 |
290,740 |
|
Asset impairment loss |
-2,157 |
3,834 |
|
The profits on the changes in fair value |
1,123 |
4,150 |
|
Investment income |
-51,652 |
21,644 |
|
Non-operating income |
63,440 |
149,466 |
|
Non-operating expense |
60,030 |
63,456 |
|
Profit before tax |
155,471 |
186,616 |
|
Less: profit tax |
49,382 |
56,844 |
|
Profits |
106,089 |
129,772 |
Important Ratios
=============
|
|
as of Sep. 30, 2015 |
as of Dec. 31, 2014 |
|
*Current ratio |
0.86 |
0.81 |
|
*Quick ratio |
0.48 |
0.47 |
|
*Liabilities to assets |
0.53 |
0.50 |
|
*Net profit margin (%) |
0.64 |
0.52 |
|
*Return on total assets (%) |
0.71 |
0.94 |
|
*Inventory /Turnover ×365 |
/ |
27 days |
|
*Accounts receivable/Turnover ×365 |
/ |
4 days |
|
*Turnover/Total assets |
1.11 |
1.82 |
|
* Cost of goods sold/Turnover |
0.94 |
0.96 |
PROFITABILITY: AVERAGE
The turnover of SC appears 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 fairly high, comparing with its turnover.
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.
The accounts payable of SC appears small.
SC’s short-term loan appears fairly large.
SC’s turnover is in an average level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average.
The risk for SC to go bankrupt is low.
Overall financial condition of the SC: Fairly stable.
SC is considered large-sized in its line with fairly stable financial conditions.
The large amount of short-term loan could be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.20 |
|
|
1 |
Rs.98.30 |
|
Euro |
1 |
Rs.72.41 |
|
CNY |
1 |
Rs.10.23 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
KAS |
|
|
|
|
Report Prepared
by : |
TPT |
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.