MIRA
INFORM REPORT
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Report No. : |
301810 |
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Report Date : |
07.01.2015 |
IDENTIFICATION DETAILS
|
Name : |
SJEC CORPORATION |
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Registered Office : |
No. 28 Weixin Road, Suzhou Industrial Park Zone Jiangsu Province,
215122 Pr |
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Country : |
China |
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Financials (as on) : |
30.09.2014 |
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Date of Incorporation : |
20.06.1992 |
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Com. Reg. No.: |
320000000063348 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Manufacturing and selling elevators,
escalators, passenger conveyor, parking
equipment and accessories, electrical machinery and equipment; installing, transforming
and repairing related products; constructing stereo parking garage; consulting service of elevator
technology; industrial investment. |
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|
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No. of Employee : |
1,872 |
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 : |
Good |
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Payment Behaviour : |
Regular |
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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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
|
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
SJEC CORPORATION
NO. 28 WEIXIN ROAD, SUZHOU INDUSTRIAL PARK ZONE JIANGSU PROVINCE,
215122 PR CHINA
TEL: 86 (0) 512-62741520/62746627
FAX: 86 (0) 512-62860300/89180824
***Note: The (718
Fengting Avenue, SIP, Suzhou) is SC’s registered address, while SC is operating
in the heading address at present.
EXECUTIVE SUMMARY
Date of Registration : JUNE 20, 1992
REGISTRATION NO. : 320000000063348
LEGAL FORM : SHARES LIMITED
COMPANY
CHIEF EXECUTIVE :
JIN
ZHIFENG (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY
400,456,571
staff :
1,872
BUSINESS CATEGORY :
manufacturing & trading
REVENUE : CNY 1,961,926,000 (CONSOLIDATED, JAN. 1 TO SEP. 30, 2014)
EQUITIES :
CNY 1,486,706,000 (CONSOLIDATED, AS OF SEP. 30, 2014)
WEBSITE : www.sjec.com.cn
E-MAIL :
stock@sjec.com.cn
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : FAIRLY GOOD
EXCHANGE RATE :
CNY 6.21 = 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 June 20,
1992. However, SC changed to present legal form, and was registered as shares
limited company of PRC with State Administration of Industry & Commerce
(SAIC) under registration No.: 320000000063348 in September 2007.
SC’s Organization Code Certificate No.:
13801748-9
SC’s registered capital: CNY 400,456,571
SC’s paid-in capital: CNY 400,456,571
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2007-9 |
Company Name |
Suzhou Jiangnan Jiajie Elevator Group Co., Ltd. |
SJEC Corporation |
|
Legal Form |
Limited liabilities Company |
Shares Limited Company |
|
|
2009-6 |
Chinese Name |
苏州江南嘉捷电梯股份有限公司 |
江南嘉捷电梯股份有限公司 |
|
2009 |
Registered Capital |
CNY 100,000,000 |
CNY 120,000,000 |
|
2011 |
Registered Capital |
CNY 120,000,000 |
CNY 168,000,000 |
|
2012 |
Registered Capital |
CNY 168,000,000 |
CNY 224,000,000 |
|
2013 |
Registered Capital |
CNY 224,000,000 |
CNY 231,300,000 |
|
2013 |
Registered Capital |
CNY 231,300,000 |
CNY 416,340,000 |
|
2014 |
Registered Capital |
CNY 416,340,000 |
CNY 400,456,571 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) (As of September 30, 2014) |
% of Shareholding |
|
Jin Zhifeng |
20.58 |
|
Jin Zuming |
8.75 |
|
Qian Jinshui |
5.5 |
|
Wu Jiong |
4.73 |
|
Wang Huifang |
3.61 |
|
Lv Wei |
3.28 |
|
Wei Shanhu |
2.79 |
|
Fei Huijun |
2.57 |
|
Zhang Libin |
1.87 |
|
Pan Guangyu |
1.56 |
|
Other Shareholders |
44.76 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman and General Manager |
Jin Zhifeng |
|
Vice Chairman |
Qian Jinshui |
|
Deputy General Managers |
Su Jinrong |
|
Wei Shanhu |
|
|
Wu Jiong |
|
|
Zou Kelei |
|
|
Qian Yonghua |
RECENT
DEVELOPMENT
SC is a listed company in Shanghai Stock Exchange Market with the code
of 601313.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
(As of September
30, 2014)
---------------------------------
Jin Zhifeng 20.58
Jin Zuming 8.75
Qian Jinshui 5.5
Wu Jiong 4.73
Wang Huifang 3.61
Lv Wei 3.28
Wei Shanhu 2.79
Fei Huijun 2.57
Zhang Libin 1.87
Pan Guangyu 1.56
Other Shareholders 44.76
MANAGEMENT
Jin Zhifeng, Legal
Representative, Chairman and General Manager
---------------------------------------------------------------------------------------------------
Gender: M
Age: 44
Qualification: University
Working experience (s):
At present, working in SC as legal representative, chairman and general
manager
Qian Jinshui, Vice
Chairman
-------------------------------------------------
Gender: M
Age: 67
Qualification: University
Working experience (s):
At present, working in SC as vice chairman
Also working in Suzhou Industrial Park Jiangnan Saite NC Equipment Co., Ltd.
as director; working in Suzhou Jianye Industrial Co., Ltd. as legal
representative
Deputy General
Manager
--------------------------------
Su Jinrong
Wei Shanhu
Wu Jiong
Zou Kelei
Qian Yonghua
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and selling elevators, escalators, passenger
conveyor, parking equipment and
accessories, electrical machinery and equipment; installing, transforming and
repairing related products; constructing stereo parking garage; consulting service of elevator
technology; industrial investment.
SC is mainly engaged in manufacturing and selling elevators, escalators.
Brand: SJEC
SC’s products mainly include: elevators, escalators, passenger conveyor,
stereo parking.
SC sources its materials 70% from domestic market and 30% from overseas
market; SC sells its products 80% in domestic market and 20% 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.
Major Clients:
==========
Elevadores Ev Internacional Sa De Cv
Compania De Servicios SA
Mid-America Elevator Co., Inc.
Ascensores Andino Sas
Soluciones Verticales Peru Sac
Staff & Office:
--------------------------
SC is known to have approx. 1,872
staff at present.
SC owns an area as its operating office & factory of approx. 100,000
sq. meters at the heading address.
RELATED
COMPANY
SC is known to
have following subsidiaries and branches at present:
Suzhou Fuji Lift Co., Ltd.
Suzhou Shijieke Brand Management Co., Ltd.
Suzhou SJEC Mechanical & Electrical Technology Institute Co., Ltd.
Suzhou Industrial Park Jiangnan Saite NC Equipment Co., Ltd.
Sjec Corporation Chongqing Branch
Sjec Corporation Xiamen Branch
Sjec Corporation Yinchuan Branch
Sjec Corporation Fuzhou Branch
Sjec Corporation Guizhou Branch
Sjec Corporation Zhengzhou Branch
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
Basic Bank:
Bank of China Suzhou Branch
AC#: 462459297785
AC#: 467658214864
FINANCIALS
Consolidated
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
As of Sep. 30,
2014 |
|
780,380 |
763,792 |
|
|
Notes receivable |
5,649 |
4,970 |
|
Accounts receivable |
567,349 |
633,488 |
|
Advances to suppliers |
98,950 |
93,190 |
|
Other receivable |
37,762 |
38,130 |
|
Inventory |
312,170 |
385,370 |
|
Non-current assets within one year |
0 |
0 |
|
Other current assets |
275,589 |
297,506 |
|
|
------------------ |
------------------ |
|
Current assets |
2,077,849 |
2,216,446 |
|
Long term equity investment |
323 |
50,323 |
|
Fixed assets |
274,855 |
297,310 |
|
Construction in progress |
67,886 |
122,071 |
|
Goodwill |
2,116 |
2,116 |
|
Intangible assets |
53,107 |
52,772 |
|
Long-term prepaid expenses |
11 |
0 |
|
Deferred income tax assets |
9,664 |
11,425 |
|
Other non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
2,485,811 |
2,752,463 |
|
|
============= |
============= |
|
Short-term loans |
0 |
0 |
|
Notes payable |
45,788 |
0 |
|
Accounts payable |
543,501 |
650,206 |
|
Advances from clients |
446,555 |
573,256 |
|
Payroll payable |
19,059 |
15,024 |
|
Taxes payable |
12,583 |
17,506 |
|
Dividends payable |
2,318 |
4,320 |
|
Other payable |
1,889 |
2,652 |
|
Non-current liabilities within one year |
0 |
0 |
|
Other current liabilities |
989 |
619 |
|
|
------------------ |
------------------ |
|
Current liabilities |
1,072,682 |
1,263,583 |
|
Non-current liabilities |
2,225 |
2,174 |
|
|
------------------ |
------------------ |
|
Total liabilities |
1,074,907 |
1,265,757 |
|
Equities |
1,410,904 |
1,486,706 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
2,485,811 |
2,752,463 |
|
|
============= |
============= |
Consolidated
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2013 |
Jan. 1 to Sep.
30, 2014 |
|
Revenue |
2,423,003 |
1,961,926 |
|
Cost of sales |
1,770,683 |
1,398,693 |
|
Business Taxes and Surcharges |
14,182 |
12,235 |
|
Sales expense |
232,473 |
213,530 |
|
Management expense |
177,031 |
132,822 |
|
Finance expense |
-12,565 |
-11,541 |
|
Assets Devaluation |
23,803 |
12,200 |
|
Investment income |
7,715 |
3,816 |
|
Non-operating income |
5,241 |
2,322 |
|
Non-operating expense |
2,364 |
1,632 |
|
Profit before tax |
227,988 |
208,493 |
|
Less: profit tax |
40,466 |
37,836 |
|
187,522 |
170,657 |
Important Ratios
=============
|
|
As of Dec. 31, 2013 |
As of Sep. 30, 2014 |
|
*Current ratio |
1.94 |
1.75 |
|
*Quick ratio |
1.65 |
1.45 |
|
*Liabilities to assets |
0.43 |
0.46 |
|
*Net profit margin (%) |
7.74 |
8.70 |
|
*Return on total assets (%) |
7.54 |
6.20 |
|
*Inventory / Revenue ×365/270 |
48 days |
54 days |
|
*Accounts receivable / Revenue ×365/270 |
86 days |
88 days |
|
*Revenue / Total assets |
0.97 |
0.71 |
|
*Cost of sales / Revenue |
0.73 |
0.71 |
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 goods sold is average, 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 fairly good level.
The inventory of SC appears average.
The accounts receivable of SC appears average.
SC has no short-term loan.
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: FAIRLY
GOOD
The debt ratio of SC is average.
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered large-sized in its line with fairly good financial
conditions. Taking into consideration of SC’s general performance, reputation
as well as market conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.39 |
|
|
1 |
Rs.96.72 |
|
Euro |
1 |
Rs.75.80 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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|
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.