MIRA
INFORM REPORT
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Report No. : |
308246 |
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Report Date : |
17.02.2015 |
IDENTIFICATION DETAILS
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Name : |
SHANGHAI
MACHINERY INTERNATIONAL TRADING CORP., LTD. |
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Registered Office : |
Floor 16, 488
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
01.03.2002 |
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Com. Reg. No.: |
310115000662209 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
International trade, industrial investment, trade consulting, property
management; wholesale of prepackaged food, selling medical devices. |
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No. of Employees : |
40 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
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 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
SHANGHAI MACHINERY INTERNATIONAL TRADING
CORP., LTD.
FLOOR 16, 488
YAOHUA ROAD, SHANGHAI 200126 PR CHINA
TEL: 86 (0)
21-20232822/20232608/20232602
FAX: 86 (0)
21-20232610
EXECUTIVE SUMMARY
Date of Registration : march 1, 2002
REGISTRATION NO. : 310115000662209
LEGAL FORM : ONE-PERSON LIMITED
LIABILITY COMPANY
CHIEF EXECUTIVE :
Wang Haiping (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 20,000,000
staff :
40
BUSINESS CATEGORY : trading
Revenue :
CNY 288,260,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 20,570,000 (AS OF DEC. 31, 2013)
WEBSITE : www.smiec-int.com
E-MAIL :
smiec@smiec-int.com
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.23 = 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 on March 1, 2002. However, SC changed to
present legal form, and was registered as one-person limited liabilities
company of PRC with State Administration of Industry & Commerce (SAIC)
under registration No.: 310115000662209 in 2009.
SC’s Organization Code Certificate No.:
73624268-6
SC’s Tax No.: 310115736242686
SC’s registered capital: CNY 20,000,000
SC’s paid-in capital: CNY 20,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2009 |
Legal Form |
Limited Liabilities Company |
One-Person Limited Liabilities |
|
Shareholder (s) (% of Shareholding) |
Wang Haiping 88.89% Shanghai Foreign Economic & Trade Investment Development Co., Ltd. 11.11% |
Shanghai Jusha Investment & Management Co., Ltd. 100% |
|
|
-- |
Legal Representative |
Sun Liqun |
Zhang Wenming |
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Registration No. |
3101072015442 |
310115000662209 |
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|
2012 |
Legal Representative |
Zhang Wenming |
Wang Haiping |
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Registered Capital |
cny 45,000,000 |
CNY 20,000,000 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Shanghai Jusha Investment & Management Co., Ltd. |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Wang Haiping |
|
Supervisor |
Dong Xuegen |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Shanghai Jusha Investment & Management Co., Ltd. 100
=====================
Date of Registration: August 4, 2011
Registration No.: 310115001859279
Legal Form: Limited Liability
Company
Chief Executive: Wang Haiping
Registered Capital: CNY 1,000,000
MANAGEMENT
Wang Haiping, Legal Representative, Chairman and General
Manager
----------------------------------------------------------------------------------------------------------
Gender: M
Qualification: University
Working experience (s):
From 2012 to present, working in SC as legal representative, chairman
and general manager
Also working in Shanghai Jusha Investment & Management Co., Ltd. as
legal representative
Supervisor
--------------
Dong Xuegen
BUSINESS
OPERATION
SC’s registered business scope includes international
trade, industrial investment, trade consulting, property management; wholesale
of prepackaged food, selling medical devices.
SC is mainly engaged in international trade.
SC’s products mainly include: complete sets of equipment, tools, and
electronic instruments.
SC sources its products 100% from domestic market, mainly Jiangsu. SC sells 20% of its products in domestic market, and 80% to overseas market, mainly USA, European and Southeast Asian market.
The buying terms of SC include Check, T/T and Credit of 30 days. The
payment terms of SC include T/T, L/C and Credit of 30 days.
*Major Customers:
==============
Industrial Minera De Colombia S.A.
Tianma Microelectronics (USA) Inc.
Wagan Corporation
Pacific Trading & Development Inc.
Pecoware Co. Inc.
Godrej Boyce Mfg Co., Ltd.
Huaxin Motor SAC
Staff &
Office:
--------------------------
SC is known to have approx. 40
staff at present.
SC rents an area as its operating office of approx. 300 sq. meters at
the heading address.
RELATED
COMPANY
SC is not known to have any subsidiary at present.
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 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.
BANKING
Basic Bank:
Industrial Bank Co., Ltd. Shanghai Branch
AC#: 7541952401
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
30,600 |
11,350 |
|
|
Notes receivable |
0 |
0 |
|
Accounts receivable |
19,780 |
15,320 |
|
Other receivable |
40,050 |
26,210 |
|
Inventory |
28,450 |
20,650 |
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Non-current assets within one year |
0 |
0 |
|
Other current assets |
30,120 |
21,430 |
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|
------------------ |
------------------ |
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Current assets |
149,000 |
94,960 |
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Fixed assets |
2,490 |
1,930 |
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Deferred income tax assets |
0 |
0 |
|
Other non-current assets |
180 |
230 |
|
|
------------------ |
------------------ |
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Total assets |
151,670 |
97,120 |
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|
============= |
============= |
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Short-term loans |
7,000 |
3,000 |
|
Notes payable |
0 |
0 |
|
Accounts payable |
38,420 |
24,270 |
|
Advances from clients |
62,410 |
48,520 |
|
Other payable |
1,250 |
870 |
|
Other current liabilities |
-3,730 |
-100 |
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------------------ |
------------------ |
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Current liabilities |
105,350 |
76,560 |
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Non-current liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total liabilities |
105,350 |
76,560 |
|
Equities |
46,320 |
20,560 |
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|
------------------ |
------------------ |
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Total liabilities & equities |
151,670 |
97,120 |
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============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31, 2011 |
As of Dec. 31,
2012 |
|
Revenue |
475,720 |
322,290 |
|
Cost of sales |
452,610 |
318,620 |
|
Sales expense |
2,580 |
1,630 |
|
Management expense |
4,900 |
2,470 |
|
Finance expense |
-1,260 |
-430 |
|
Profit before tax |
340 |
160 |
|
Less: profit tax |
120 |
90 |
|
220 |
70 |
Financial Summary
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
|
Current assets |
108,640 |
|
|
------------- |
|
Total assets |
110,070 |
|
|
------------- |
|
Current liabilities |
89,500 |
|
|
------------- |
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Total liabilities |
89,500 |
|
Equities |
20,570 |
|
|
------------- |
|
Revenue |
288,260 |
|
Cost of sales |
270,170 |
|
Profit before tax |
70 |
|
Less: profit tax |
60 |
|
Profits |
10 |
Important Ratios
=============
|
|
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
|
*Current ratio |
1.41 |
1.24 |
1.21 |
|
*Quick ratio |
1.14 |
0.97 |
-- |
|
*Liabilities to assets |
0.69 |
0.79 |
0.81 |
|
*Net profit margin (%) |
0.05 |
0.02 |
0.003 |
|
*Return on total assets (%) |
0.15 |
0.07 |
0.01 |
|
*Inventory / Revenue ×365 |
22 days |
24 days |
-- |
|
*Accounts receivable / Revenue ×365 |
16 days |
18 days |
-- |
|
*Revenue / Total assets |
3.14 |
3.32 |
2.62 |
|
*Cost of sales / Revenue |
0.95 |
0.99 |
0.94 |
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 is fairly high, comparing with its revenue.
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 is maintained in an average level.
The accounts receivable of SC is maintained in an average level.
SC’s short-term loans are in an average level.
SC’s revenue 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 average.
Overall financial condition
of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.20 |
|
|
1 |
Rs.96.00 |
|
Euro |
1 |
Rs.71.00 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
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|
Report Prepared
by : |
TPT |
RATING EXPLANATIONS
|
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 |
|
|
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 |
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|
-- |
NB |
New Business |
-- |
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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.