MIRA INFORM REPORT
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Report No. : |
302932 |
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Report Date : |
15.01.2015 |
IDENTIFICATION DETAILS
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Name : |
GUANGDONG MEIZHI COMPRESSOR LIMITED |
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Registered Office : |
Shunfengshan Industrial Development Zone, Shunde District, Foshan, Guangdong
Province 528333 Pr |
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Country : |
China |
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Financials (as on) : |
30.06.2014 |
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Date of Incorporation : |
26.09.1995 |
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Com. Reg. No.: |
440681400009926 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture Enterprise |
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Line of Business : |
·
Developing, designing and manufacturing household
air condition rotary type compressor, electrical motor, parts; selling
self-made products and supplying installing and maintain services. ·
Subject is engaged in researching, developing,
manufacturing and selling room-used rotary air-conditioner compressors. |
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No. of Employee : |
3,000 |
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 – September 30, 2014
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Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
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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.
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.
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Source
: CIA |
Company
name & address
GUANGDONG MEIZHI COMPRESSOR
LIMITED
SHUNFENGSHAN INDUSTRIAL DEVELOPMENT ZONE, SHUNDE DISTRICT
FOSHAN, GUANGDONG PROVINCE 528333 PR CHINA
TEL: 86 (0) 757-22329071/22329000/22329111
FAX: 86 (0) 757-22297514/22922733
EXECUTIVE
SUMMARY
Date of Registration : SEPTEMBER 26, 1995
REGISTRATION NO. : 440681400009926
LEGAL FORM : CHINESE-FOREIGN
EQUITY JOINT VENTURE ENTERPRISE
CHIEF EXECUTIVE :
fang hongbo (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : USD 55,270,000
staff :
3,000
BUSINESS CATEGORY : r & d & MANUFACTURING & TRADING
REVENUE :
CNY 2,634,829,000 (FROM JAN. 1, 2014 TO JUN. 30, 2014)
EQUITIES :
CNY 1,516,361,000 (AS OF JUN. 30, 2014)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : FAIRLY GOOD
EXCHANGE RATE :
CNY 6.20 = 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 Chinese-foreign
equity joint venture enterprise of PRC with State Administration of
Industry & Commerce (SAIC) under registration No.: 440681400009926 on September 26, 1995.
SC’s Organization Code Certificate No.:
61741137-9
SC’s registered capital: USD 55,270,000
SC’s paid-in capital: USD 55,270,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
1999-09 |
Company Name |
Guangdong Toshiba Macro Compressor Limited |
Guangdong Meizhi Compressor Limited |
|
2003-06 |
Shareholder (s) |
Guangdong Midea Group Holding Co. Ltd. Japan Toshiba Corporation |
Guangdong Midea Group Holding Co. Ltd. Japan Toshiba Carrier Corporation |
|
2007-03 |
Registered Capital |
USD 32,600,000 |
USD 55,270,000 |
|
2007-04 |
Legal Representative |
He Xiangjian |
Cai Qiwu |
|
2008-09 |
Registration No. |
002682 |
440681400009926 |
|
-- |
Shareholder (s) |
Guangdong Midea Group Holding Co. Ltd. Japan Toshiba Carrier Corporation |
GD Midea Holding Co., Ltd. 60% Japan Toshiba Carrier Corporation 40% |
|
Legal Representative |
Cai Qiwu |
Fang Hongbo |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
GD Midea Holding Co., Ltd. |
60 |
|
Japan Toshiba Carrier Corporation |
40 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Fang Hongbo |
|
Vice Chairman |
Ti Yuanli |
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Director |
Xiang Weimin |
|
Paul A.Fraipont |
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|
Li Feide |
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|
Xiao Mingguang |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
GD Midea Holding Co., Ltd. 60
Japan Toshiba Carrier Corporation 40
GD Midea Holding Co., Ltd.
========================
Its former English name was “Guangdong Midea Electric Appliances Co.,
Ltd.”.
It is a listed company in Shenzhen Stock Exchange Market with the code
of 000527.
GD Midea Holding Co., Ltd. is principally engaged in the manufacture and
sale of household electronics, commercial equipment and compressors. The
Company’s main products include household air conditioners, commercial air
conditioners, compressors, refrigerators and washing machines. Midea has grown
from what was once a local workshop into a leading consumer appliances and air
conditioning systems manufacturer, with operations around the world. Its many
years of persistent growth has brought its global turnover to $22 billion USD
in 2011. Consequently, Midea has created over 150,000 jobs both in China, and
throughout the world.
Registration No.: 440000000020099
Legal Representative: Fang Hongbo
Registered Capital: CNY 3,384,350,000
Tel: +86-757-26338779
Fax: +86-757-26651991
Web: www.midea.com
E-mail: IR@midea.com
Japan Toshiba Carrier Corporation
============================
Representative (President): Akira Inoue
Capital: 11,510,000,000 Yen
Number of Employees: About 3,200 (as of March 2010/Toshiba Carrier
Group)
Add.: Shinagawa Center Building, 23-17, Takanawa 3-chome, Minato-ku,
Tokyo, 108-0074, Japan
Tel: +81-3-6409-4155
Fax: +81-3-5447-8395
MANAGEMENT
Fang Hongbo, Legal
Representative and Chairman
-----------------------------------------------------------------------------
Gender: M
Age: 46
Qualification: University
Working experience (s):
From 1998 to present, working in SC as legal representative and chairman
Also working in GD Midea Holding Co., Ltd., Guangdong Meizhi Precision
Manufacturing Co., Ltd., Wuxi Little Swan Company Limited as legal
representative
Ti Yuanli, Vice
Chairman
---------------------------------------------
Gender: M
Qualification: University
Working experience (s):
At present, working in SC as vice chairman
Director
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Xiang Weimin
Paul A.Fraipont
Li Feide
Xiao Mingguang
BUSINESS OPERATION
SC’s registered business scope includes developing, designing and
manufacturing household air condition rotary type compressor, electrical motor,
parts; selling self-made products and supplying installing and maintain
services.
SC is mainly engaged in researching, developing, manufacturing and
selling room-used rotary air-conditioner compressors.
SC’s products mainly include: room-used rotary
air-conditioner compressor.
SC sources its materials 70% from domestic market, and 30% from overseas
market. SC sells 80% of its products 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.
Staff &
Office:
--------------------------
SC is known to have approx.
3,000 staff at present.
SC rents an area as its operating office and factory, but the detailed
information is unknown.
RELATED COMPANY
Guangdong Meizhi Precision Manufacturing Co., Ltd.
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Registration No.: 440681400010295
Incorporation Date:
Chairman: Fang Hongbo
Registered Capital: USD 7,740,097
Tel.: 757-22329000
Fax: 757-22297514
Wuxi Little Swan Company Limited
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It is a listed company in Shenzhen Stock Exchange Market with the code
of 000418.
Registration No.: 320200000014723
Incorporation Date:
Chairman: Fang Hongbo
Registered Capital: CNY 632,488,000
Tel.: 0510-81082320
Fax: 0510-83720879
Web: http://www.littleswan.com
E-mail: IR_littleswan@littleswan.com.cn
Anhui Meizhi Compressor Co., Ltd.
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Incorporation Date: Feb. 28, 2008
Registration No.: 340000400000890
Address: No. 418 Rainbow Road, Science City, High-Tech Industrial
Development Zone, Hefei, Anhui Province, 230031 PR China
Tel: 86 (0) 551-5298968/5298928
Fax: 86 (0) 551-5298889
Anhui Meizhi Precision Manufacturing Co., Ltd.
------------------------------------
Address: No. 3, Taishan Road, Wuhu Economic & Technological
Development Area, Anhui
Tel.: +86-553-5621000
Fax: +86-553-5621000
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
The bank information of SC is not filed in local SAIC.
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As of Jun. 30,
2014 |
|
Total assets |
3,206,836 |
|
|
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Total liabilities |
1,690,475 |
|
Equities |
1,516,361 |
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|
------------- |
|
Unit: CNY’000 |
From Jan. 1,
2014 to Jun. 30, 2014 |
|
Revenue |
2,634,829 |
|
Profits |
41,489 |
Important Ratios
=============
|
|
As of Jun. 30,
2014 |
|
*Liabilities to assets |
0.53 |
|
*Net profit margin (%) |
1.57 |
|
*Return on total assets (%) |
1.29 |
|
* Revenue/Total assets |
0.82 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
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.
LIQUIDITY: AVERAGE
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: Stable.
CONCLUSIONS
SC is considered large-sized in its line with stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.15 |
|
|
1 |
Rs.94.24 |
|
Euro |
1 |
Rs.73.30 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
TPT |
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 |
|
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.