MIRA
INFORM REPORT
|
Report No. : |
329360 |
|
Report Date : |
01.07.2015 |
IDENTIFICATION DETAILS
|
Name : |
YONGYI GROUP
CO., LTD. |
|
|
|
|
Formerly Known As : |
ZHEJIANG YONGYI COMPOSITE MATERIAL CO., LTD. |
|
|
|
|
Registered Office : |
No. 188, Jinlong Avenue, Jinxiang Town, Cangnan County, Wenzhou, Zhejiang Province, 325805 Pr |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
28.09.1982 |
|
|
|
|
Com. Reg. No.: |
330000000049497 |
|
|
|
|
Legal Form : |
Shares Limited Co. |
|
|
|
|
Line of Business : |
Subject is engaged in manufacturing and selling series of adhesive
products |
|
|
|
|
No. of Employee : |
120 |
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 – 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 |
|
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. In 2014 the People’s Bank of China (PBOC) doubled 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 2014 stood as the largest economy in the world, surpassing the US that year... 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 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 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 and address
YONGYI GROUP CO.,
LTD.
NO. 188, JINLONG AVENUE, JINXIANG TOWN,
CANGNAN COUNTY,
WENZHOU, ZHEJIANG PROVINCE, 325805 PR CHINA
TEL: 86 (0) 577-64572418 FAX: 86 (0) 577-64574318
EXECUTIVE SUMMARY
INCORPORATION DATE :
SEP. 28, 1982
REGISTRATION NO. :
330000000049497
STAFF STRENGTH :
120
REGISTERED CAPITAL : CNY 50,010,000
BUSINESS LINE :
MANUFACTURING & TRADING
TURNOVER :
CNY 130,807,000 (AS OF DEC. 31,
2014)
EQUITIES :
CNY 53,580,000 (AS OF DEC. 31, 2014)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHNAGE RATE :
CNY 6.206= USD
Adopted abbreviations:
ANS - amount not stated NS - not stated SC - subject company (the company inquired by you)
NA - not available M - million JPY –Japan Yen
HISTORY
SC was registered as a Shares limited co. at local Administration for
Industry & Commerce (AIC - The official body of issuing and renewing
business license).
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
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, processing and selling plastic-coated paper, adhesive sticker brand
materials, glue products; industrial investment, selling decoration materials;
import and export business (excluding items forbidden and limited by State).
SC is mainly
engaged in manufacturing and selling series of adhesive products.
Mr. Lin Ersheng is the legal
representative and chairman of SC at present.
SC is known to have approx. 120 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Wenzhou. SC’s accountant
refused to release detailed information about the premise.
WEB SITE
http://www.cn-yongyi.com/ The design is professional and the content
is well organized. At present the website is in both Chinese and English
versions.
Email: sticker@cn-yongyi.com
LITIGATION
For the past two years there is no record of litigation.
KEY EVENTS/RECENT DEVELOPMENT
Changes
of its registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Legal form |
Limited liabilities co. |
The present one |
|
2010-05-19 |
Registered
capital |
CNY 9,660,000 |
The present amount |
|
Registration No. |
3300002000117 |
The present one |
|
|
2010-07-02 |
Company name |
Zhejiang Yongyi Composite Material Co.,
Ltd. |
The present one |
Note: SC changed its Chinese name before July of 2010, while the English
name remained the same.
Honors and
certificates:
ISO9002, ISO9001, ISO14001 and OHSMS18001 certificates
“Advanced industrial enterprise”
“Key export enterprise”
Etc.
Organization Code:
145775173
OWNERSHIP/MANAGEMENT BACKGROUND
MAIN SHAREHOLDERS:
Name %
of Shareholding
Lin Ersheng 16
Wang Xiaoliang 16
Miao Cunbao 16
Su Qingzhang 13
Lin Erbo 13
Chu Changqing 13
Chen Qinbo 13
MANAGEMENT
l
Legal Representative and Chairman:
Mr. Lin Ersheng , born in 1950. He is
currently responsible for the overall management of SC.
Working Experience(s):
At present Working in SC as legal representative and
chairman.
l
Directors:
Miao Cunbao
Wang
Xiaoliang
Su Qingzhang
Lin Erbo
l
Supervisors:
Chu Changqing
Liu Xueming
Chen Qingbo
BUSINESS OPERATIONS
SC is mainly engaged
in manufacturing and selling series of adhesive products.
SC’s services mainly include: coated
sticker, mirror-cast coated sticker, PET sticker, PVC sticker, metallized
sticker, double sides adhesive tape, pricing label rolls, label sticker, computer
printing sticker, notebooks, photocopy paper, release paper, PE coated paper,
paper for footwear, sack paper for nut packing, etc.
SC sources its materials 100% from domestic market. SC sells 50% of its
products in domestic market, and 50% to overseas market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Note:
SC declined to release its major suppliers and clients.
Trademark &
Patents
|
Registration No. |
4329777 |
7102649 |
5148179 |
|
Registration Date |
|
|
|
|
Trademark Design |
|
|
|
RELATED COMPANIES
SC is known to invest in the following
companies:
Shanghai Chanee Glue Products Co., Ltd.
Registered no.: 310226000982262
Legal representative: Chu Changqing
Incorporation Date:
Web: http://www.chanee-sh.com/
Guangdong Yongyi Composite Material Co.,
Ltd.
Registered no.: 441200000033374
Legal representative: Su Qingzhang
Incorporation Date:
PAYMENT
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.
BANKING
Agricultural
Bank of China Cangnan County Sub-branch Jinxiang Office
AC#:
255901040003791
Relationship:
Normal.
FINANCIAL HIGHLIGHTS
Financial Summary
|
Unit: CNY’000 |
as of Dec. 31,
2014 |
as of Dec. 31,
2013 |
|
285,260 |
||
|
Total
liabilities |
179,281 |
227,981 |
|
Equities |
53,580 |
57,279 |
|
|
=========== |
=========== |
|
Turnover |
130,807 |
182,849 |
|
Profits |
1,862 |
3,226 |
Note: We did not find SC’s detailed
financial reports.
Important
Ratios
=============
|
|
as of Dec. 31,
2014 |
as of Dec. 31,
2013 |
|
*Liabilities
to assets |
0.77 |
0.80 |
|
*Net profit
margin (%) |
1.42 |
1.76 |
|
*Return on
total assets (%) |
0.80 |
1.13 |
|
*Turnover/Total
assets |
0.56 |
0.64 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s turnover is in a fair level, comparing with
the size of its total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is fairly high.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
REMARKS
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.62 |
|
|
1 |
Rs.99.89 |
|
Euro |
1 |
Rs.70.77 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
ASH |
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.