MIRA
INFORM REPORT
|
Report No. : |
307920 |
|
Report Date : |
16.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
YIBIN HIEST
FIBRE LIMITED CORPORATION |
|
|
|
|
Registered Office : |
Nan’an
Economic Development Zone, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
30.06.2014 |
|
|
|
|
Date of Incorporation : |
24.07.2002 |
|
|
|
|
Com. Reg. No.: |
511500000001165 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
Subject is engaged in producing and selling viscose filament yarn;
importing raw materials, instruments and meters, machinery equipment, parts and
technology needed in the manufacture, excluding the items limited or
forbidden by the state; importing and selling textile materials and paper
pulp; processing with imported materials, processing with imported samples,
assemblying with imported parts, and compensation trade in agreement. |
|
|
|
|
No. of Employees : |
5,180 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No complaints |
|
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
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.
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 and
expanded 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 2013 stood as the second-largest economy in the world after the US, having
surpassed Japan in 2001. The dollar values of China's agricultural and
industrial output each exceed those of the US; China is second to the US in the
value of services it produces. 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 2011 more than 250 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.
|
Source
: CIA |
Company name & address
YIBIN HIEST
FIBRE LIMITED CORPORATION
NAN’AN ECONOMIC
DEVELOPMENT ZONE, CUIPING DISTRICT YIBIN CITY, SICHUAN PROVINCE 644002 PR CHINA
TEL: 86 (0)
831-2323598/2322038/2360081/2360099
FAX: 86 (0)
831-2323598
***Note: SC’s
current address should be the heading one, while the (
EXECUTIVE SUMMARY
Date of Registration : JULY 24, 2002
REGISTRATION NO. : 511500000001165
LEGAL FORM : LIMITED
LIABILITIES COMPANY
CHIEF EXECUTIVE :
DENG
CHUANDONG (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 982,050,000
staff :
5,180
BUSINESS CATEGORY : manufacturing & TRADING
REVENUE :
CNY 1,719,889,000 (JAN. 1, 2014
TO JUN. 30, 2014)
EQUITIES :
CNY 1,342,257,000 (AS OF JUN. 30, 2014)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.25 = USD 1
Adopted
abbreviations (as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established as a limited liabilities company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
511500000001165 on July 24, 2002.
SC’s Organization Code Certificate No.:
74003366-8
SC’s registered capital: CNY 982,050,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2013-06-14 |
Registered Capital |
CNY 480,000,000 |
CNY 482,050,000 |
|
Shareholder (s) (% of Shareholding) |
Yibin Grace Co., Ltd. 53.750% Yibin Grace Group Company 39.875% Yibin Xinya Co., Ltd. 6.1875% Chongqing Taihe Air Automatic Control Technique Co., Ltd. 0.1875% |
Sichuan Development Holding Co., Ltd. 0.43% Li Ling 0.18% Yibin Xinya Co., Ltd. 6.16% Yibin Grace Group Company 39.71% Yibin Grace Co., Ltd. 53.52% |
|
|
2014-04-17 |
Legal Representative |
Feng Tao |
Deng Chuandong |
|
2014-09-02 |
Registered Capital |
CNY 482,050,000 |
CNY 982,050,000 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Sichuan Development Holding Co., Ltd. |
0.43 |
|
Li Ling |
0.18 |
|
Yibin Xinya Co., Ltd. |
6.16 |
|
Yibin Grace Group Company |
39.71 |
|
Yibin Grace Co., Ltd. |
53.52 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Deng Chuandong |
|
General Manager |
Li Rongling |
|
Director |
Feng Tao |
|
Deng Ming |
|
|
Tang Jinzhong |
|
|
Liao Zhourong |
|
|
Li Xuemei |
|
|
Deng Hua |
|
|
Tian Qibing |
|
|
Tang Xiaobing |
|
|
Zhang Zhigang |
|
|
Supervisor |
Nie Mei |
|
Sun Yi |
|
|
Zhang Xiaomei |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Sichuan Development Holding Co., Ltd. 0.43
Li Ling 0.18
Yibin Xinya Co., Ltd. 6.16
Yibin Grace Group Company 39.71
Yibin Grace Co., Ltd. 53.52
Sichuan
Development Holding Co., Ltd.
--------------------------------------------------------
Registration No.: 510000000087383
Legal Form: Sole State-owned Enterprise
Legal Representative: Wang Bin
Registered Capital: CNY 80,000,000,000
Web: www.sdholding.com
Yibin Xinya Co.,
Ltd.
---------------------------------
Registration No.: 511500000000814
Legal Form: Limited Liabilities Company
Legal Representative: Feng Tao
Registered Capital: CNY 448,200,000
Yibin Grace Group Company
--------------------------------------------
Located in Yibin, Yibin
Grace Group Company has established
YAN PING BA Textile Industry Garden and CHANG XIN Pioneer Graden, forming into
a comprehensive industry group, including viscose fiber ,embroidery thread,
cotton pulp, real estate, paper-making, heating and energy. So far, Grace
Company has fallen into the category of one of the worldwide biggest supplier
of viscose filament yarn, one of the first session "China 500
big competitive enterprises" and one of the "Sichuan rapidly
cultivated developing Companies”. The company has created a national
post-doctoral science and research center, a national–appointed enterprise
technology development and test center; And also the company boasts more than
100 international-level leading technologies, over 200 national-level
technologies, over 100 intellectual property rights . Products are enjoying
over 40 countries and regions such as North America, East Europe，Korea, and Japan;
The market share both at home and abroad has soared to more than 30% and 17%
respectively in recent years. Grace wins such honors as National Export Name
Brand, National Labor Award, National Scientific Textile Enterprise Award,
National Torch-Plan Project, China Qualified Real Estate, National Advanced
Company-Affair Opening Unit, National Sci-Tech Textile Company, and so on. At
the same time, The company has approved the ISO9001：2000 Standard
Quality System, ISO14001: 2004 Environment Management System and Swiss
Oeko-TexStandard.100 Environment Textile Standard Certification.
Website: http://www.cn-grace.com
Registration No.: 511500000000068
Legal Form: Limited Liabilities Company
Legal Representative: Feng Tao 冯涛
Registered Capital: CNY 341,047,800
Yibin Grace Co.,
Ltd.
---------------------------------
Registration No.: 511500000017209
Legal Form: Shares limited company
Legal Representative: Feng Tao 冯涛
Registered Capital: CNY 700,000,000
MANAGEMENT
Deng Chuandong,
Legal Representative and Chairman
----------------------------------------------------------------------------------
Gender: M
Qualification: University
Working experience (s):
At present, working in SC as legal representative and chairman
Li Rongling,
General Manager
---------------------------------------------------
Gender: F
Qualification: University
Working experience (s):
At present, working in SC as general manager
Director
-----------
Feng Tao
Deng Ming
Tang Jinzhong
Liao Zhourong
Li Xuemei
Deng Hua
Tian Qibing
Tang Xiaobing
Zhang Zhigang
Supervisor
--------------
Nie Mei
Sun Yi
Zhang Xiaomei
BUSINESS OPERATION
SC’s registered business scope includes producing and selling viscose
filament yarn; importing raw materials, instruments and meters, machinery
equipment, parts and technology needed in the manufacture, excluding the items
limited or forbidden by the state; importing and selling textile materials and
paper pulp; processing with imported materials, processing with imported
samples, assemblying with imported parts, and compensation trade in agreement.
SC is mainly engaged in manufacturing and selling viscose filament yarn.
SC’s products mainly include: viscose filament yarn and paper pulp.
SC sources its materials 80% from domestic market, and 20% from the
overseas market. SC sells 30% of its products to overseas market, and 70% in domestic 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.
*Major Supplier*
--------------------
Yibin Grace Co., Ltd.
*Major Customer*
---------------------
Yibin Grace Group Company
Staff &
Office:
--------------------------
SC is known to have approx. 5,180
staff at present.
SC owns an area as its operating office and factory, but the detailed
information is unknown.
RELATED COMPANY
SC is known to
invest in the following companies:
Zhangjiagang Zhiya Textile Trade Co., Ltd.
Yibin Changxin Industry Co., Ltd.
PAYMENT
Overall payment appraisal: ( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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’s suppliers declined to make any
comments.
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.
BANKING
The bank information of SC is not filed in SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Jun. 30,
2014 |
|
278,732 |
788,064 |
909,025 |
876,707 |
731,464 |
|
|
Notes receivable |
83,333 |
44,411 |
78,065 |
40,051 |
61,565 |
|
Accounts receivable |
11,172 |
10,777 |
8,805 |
8,251 |
11,778 |
|
Advances to suppliers |
157,535 |
142,736 |
193,821 |
92,974 |
42,633 |
|
Other receivable |
140,095 |
749,211 |
1,228,133 |
1,817,417 |
2,159,578 |
|
Inventory |
445,830 |
412,377 |
321,279 |
325,774 |
515,978 |
|
Non-current assets within one year |
0 |
0 |
0 |
0 |
0 |
|
Other current assets |
1,052 |
10,411 |
19,192 |
26,619 |
31,864 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
Current assets |
1,117,749 |
2,157,987 |
2,758,320 |
3,187,793 |
3,554,860 |
|
Long-term investment |
12,695 |
13,336 |
13,615 |
18,697 |
33,572 |
|
Fixed assets |
1,367,754 |
1,323,497 |
1,253,268 |
1,642,325 |
1,589,808 |
|
Construction in progress |
34,744 |
62,165 |
239,346 |
167,786 |
270,001 |
|
Intangible assets |
88,435 |
74,659 |
73,426 |
81,302 |
80,321 |
|
Long-term prepaid expenses |
0 |
0 |
45,657 |
40,855 |
32,452 |
|
Deferred assets |
37,753 |
52,339 |
0 |
0 |
0 |
|
Other non-current assets |
0 |
0 |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
Total assets |
2,659,130 |
3,683,983 |
4,383,632 |
5,138,758 |
5,561,014 |
|
|
============ |
============ |
============ |
============ |
============ |
|
Short-term loans |
701,125 |
1,306,228 |
1,232,914 |
1,870,042 |
1,608,114 |
|
Notes payable |
587,006 |
1,017,264 |
1,751,904 |
1,732,632 |
1,345,445 |
|
Accounts payable |
90,033 |
112,827 |
126,559 |
187,697 |
260,053 |
|
Wages payable |
4,905 |
5,934 |
0 |
0 |
5,428 |
|
Tax payable |
-2,612 |
15,604 |
7,408 |
-6,278 |
-33,463 |
|
Advances from clients |
110,127 |
52,740 |
42,743 |
28,544 |
42,897 |
|
Other payable |
78,389 |
75,635 |
111,979 |
36,064 |
442,631 |
|
Other current liabilities |
1,177 |
600 |
600 |
702 |
50,637 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
Current liabilities |
1,570,150 |
2,586,832 |
3,274,107 |
3,849,403 |
3,721,742 |
|
Non-current liabilities |
339,797 |
316,920 |
322,500 |
471,015 |
497,015 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
Total liabilities |
1,909,947 |
2,903,752 |
3,596,607 |
4,320,418 |
4,218,757 |
|
Equities |
749,183 |
780,231 |
787,025 |
818,340 |
1,342,257 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
Total liabilities & equities |
2,659,130 |
3,683,983 |
4,383,632 |
5,138,758 |
5,561,014 |
|
|
============ |
============ |
============ |
============ |
============ |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
Jan. 1, 2014 to
Jun. 30, 2014 |
|
Revenue |
2,936,637 |
4,073,774 |
4,480,992 |
3,867,441 |
1,719,889 |
|
Cost of sales |
2,737,296 |
3,863,335 |
4,230,329 |
3,673,233 |
1,640,742 |
|
Sales expense |
46,723 |
47,439 |
40,695 |
39,734 |
16,976 |
|
Management expense |
51,859 |
69,691 |
67,413 |
67,609 |
31,019 |
|
Finance expense |
62,522 |
73,515 |
144,430 |
130,241 |
15,267 |
|
Investment income |
142 |
1,240 |
279 |
82 |
804 |
|
Profit before tax |
40,441 |
44,887 |
9,059 |
35,079 |
23,995 |
|
Less: profit tax |
0 |
11,070 |
2,265 |
8,770 |
0 |
|
40,441 |
33,817 |
6,794 |
26,309 |
23,995 |
Important Ratios
=============
|
|
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Jun. 30,
2014 |
|
*Current ratio |
0.71 |
0.83 |
0.84 |
0.83 |
0.96 |
|
*Quick ratio |
0.43 |
0.67 |
0.74 |
0.84 |
0.82 |
|
*Liabilities to assets |
0.72 |
0.79 |
0.82 |
0.84 |
0.76 |
|
*Net profit margin (%) |
1.38 |
0.83 |
0.15 |
0.68 |
1.40 |
|
*Return on total assets (%) |
1.52 |
0.92 |
0.15 |
0.51 |
0.43 |
|
*Inventory / Revenue ×365/180 |
56 days |
37 days |
27 days |
31 days |
55 days |
|
*Accounts receivable / Revenue ×365/180 |
2 days |
1 day |
1 day |
1 day |
2 days |
|
*Revenue / Total assets |
1.10 |
1.11 |
1.02 |
0.75 |
0.31 |
|
*Cost of sales / Revenue |
0.93 |
0.95 |
0.94 |
0.95 |
0.95 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
The revenue 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 sales sold is fairly high, comparing with its revenue.
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 receivable of SC appears small.
The short-term loan of SC appears too large.
SC’s revenue is in an average level, comparing with the size of its
total assets in 2010 and 2011.
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.
CONCLUSIONS
SC is considered large-sized in its line with fairly stable financial
conditions. Too large amount of short-term loans may be a threat to SC’s
financial condition, but taking into consideration of SC’s good background,
general performance, reputation as well as market conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.14 |
|
|
1 |
Rs.95.77 |
|
Euro |
1 |
Rs.71.05 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
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.