MIRA
INFORM REPORT
|
Report No. : |
328693 |
|
Report Date : |
27.06.2015 |
IDENTIFICATION DETAILS
|
Name : |
XIZI OTIS ELEVATOR CO., LTD. |
|
|
|
|
Registered Office : |
No. 28 Jiuhuan Road, Jianggan Economic Park Zone, Hangzhou Zhejiang Province 310019 Pr |
|
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|
Country : |
China |
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|
|
Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
12.03.1997 |
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Com. Reg. No.: |
330100400019078 |
|
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|
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Legal Form : |
Chinese-Foreign Equity Joint Venture Enterprise |
|
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|
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Line of Business : |
Subject is engaged in manufacturing and selling elevators, escalators and parts. |
|
|
|
|
No of Employees : |
4,558 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
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|
|
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Payment Behaviour : |
Regular |
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|
|
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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 – 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 Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
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 & address
XIZI OTIS ELEVATOR
CO., LTD.
NO. 28 JIUHUAN ROAD,
JIANGGAN ECONOMIC PARK ZONE, HANGZHOU
ZHEJIANG PROVINCE
310019 PR CHINA
TEL: 86 (0)
571-85140888/81600684
FAX: 86 (0)
571-85147888
EXECUTIVE SUMMARY
Date of Registration : march 12, 1997
REGISTRATION NO. : 330100400019078
LEGAL FORM : Chinese-foreign equity joint venture
enterprise
REGISTERED CAPITAL : USD 35,000,000
staff :
4,558
BUSINESS CATEGORY : manufacturing
& TRADING
Revenue :
CNY 8,553,415,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 1,719,277,000 (AS OF DEC. 31, 2013)
WEBSITE : www.xiziotis.com
E-MAIL :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
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 Chinese-foreign equity joint venture enterprise of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.: 330100400019078 on March 12, 1997.
SC’s Organization Code Certificate No.:
60913862-4
SC’s Tax No.: 330104609138624
SC’s registered capital: USD 35,000,000
SC’s paid-in capital: USD 35,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2001-11-30 |
% of Shareholding |
Xizi Elevator Group Co., Ltd. 70% Otis Far East Holdings Ltd. 30% |
Xizi Elevator Group Co., Ltd. 20% Otis Far East Holdings Ltd. 80% |
|
2004-8-27 |
Company Name |
Hangzhou Xizi Otis Elevator Co., Ltd. |
Xizi Otis
Elevator Co., Ltd. |
|
2007-3-8 |
Legal Representative |
Wang Shuifu |
Chen Xiaxin |
|
2008-4-11 |
Registration No. |
002763 |
330100400019078 |
|
Shareholder (s) |
Xizi Elevator Group Co., Ltd. 20% Otis Far East Holdings Ltd. 80% |
Otis Elevator (China)
Investment Co., Ltd. (U.S.A) 80% Xizi Elevator Group Co., Ltd. 20% |
|
|
-- |
Registered
Capital |
USD 15,000,000 |
USD 35,000,000 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Otis Elevator
(China) Investment Co., Ltd. (U.S.A) |
80 |
|
Xizi Elevator Group Co., Ltd. |
20 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and Chairman |
Chen Xiaxin |
|
General Manager |
Zhang Weicong |
|
Vice Chairman |
Thomas Rodney
Vining |
|
Director |
Suthaharanvelauthapillai |
|
Wang Shuifu |
|
|
AleksandrReznik |
|
|
PhilpAnthonyLILUE |
|
|
WilliamHERICKSON |
|
|
Tiong Suk Cheing |
|
|
Jeffrey Michael
Ricapito |
|
|
Zheng Peiming |
RECENT DEVELOPMENT
Honors:
Listed as 2009 Annual International
Energy-saving and Environment-protecting (China) Science and Technology
Demonstration Project
Elected in Top100 Chinese Influence over the
Global Environmental Protection and New Energy Industry
National Award of Customer Satisfaction in
Elevator Products Quality Evaluation Inspection for the Seventh Consecutive
Time
Honor of “Customer Satisfactory Service” in
National Elevator Customer Satisfaction Evaluation
Group Member Unit of Zhejiang Association for
Quality
Won the honor of “Serving the Beijing
Olympics and Keep the Subway Smooth”
2008 Unit with Prominent Contribution in the
Elevator Safety Protection Work for the 2008 Beijing Olympics and Paralympics
by Beijing Bureau of Quality and Technical Supervision
Xizi Otis Elevator’s Wireless Control System
won the Annual Best Design Award of Fortune
Etc.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Otis Elevator (China) Investment Co., Ltd.
(U.S.A) 80
Xizi Elevator Group Co., Ltd. 20
Otis Elevator
(China) Investment Co., Ltd.
-----------------------------------------
Date of Registration: June 1, 1998
Registration No.: 120000400002151
Legal Form: Chinese-Foreign
Equity Joint Venture Enterprise
Registered Capital: CNY 144,365,000
Address: No. 443 South Jiefang Road, Hexi
District, Tianjin
Tel: 86 022-28101188
Xizi Elevator
Group Co., Ltd.
-----------------------------------------
Date of Registration: August 31, 1999
Registration No.: 330104000016372
Legal Form: Limited Liabilities
Company
Registered Capital: CNY 800,000,000
MANAGEMENT
Chen Xiaxin, Legal Representative and Chairman
----------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 53
Ø
ID# 330104196205151916
Ø Qualification:
University
Ø Working experience
(s):
At present, working in SC as legal
representative and chairman
Also working in Hangzhou Xizi Trust
Technology Co., Ltd. and Hangzhou Xizi Forvorda Electrical Co., Ltd. as legal
representative
Zhang
Weicong, General Manager
--------------------------------------------------------
Ø
Gender: M
Ø
Nationality: UK
Ø
Passport No.: 761053578
Ø Qualification:
University
Ø Working experience
(s):
At present, working in SC as general manager
Thomas
Rodney Vining, Vice Chairman
----------------------------------------------------
Ø
Gender: M
Ø
Nationality: USA
Ø
Passport No.: 442065561
Ø Qualification:
University
Ø Working experience
(s):
At present, working in SC as vice chairman
Director
-----------
Suthaharanvelauthapillai Passport No. 483731759
Wang Shuifu王水福 ID# 330104550210191
AleksandrReznik Passport No. 712245926
PhilpAnthonyLILUE Passport No. 710714019
WilliamHERICKSON Passport No. 215209188
Tiong Suk Cheing Passport No. K18969861
Jeffrey Michael Ricapito Passport No. 420992093
Zheng Peiming ID#
310104196712070498
BUSINESS OPERATION
SC’s registered
business scope includes researching,
designing, manufacturing elevators, escalators, moving walkways and related
equipment & accessories (validity period as of November 30, 2013); selling its own products; providing
installation, repair, maintenance, transformation and technical consulting
services; wholesaling,
importing & exporting, acting as a commission agency (excluding auction) of
the same kind products of the above and supplying related technology services
for the same kind products; in accordance with the related
regulations and license.
SC is mainly
engaged in manufacturing and selling elevators, escalators and parts.
Brand: XIZI OTIS.
SC’s products
mainly include: gear-less passenger elevator series, residential elevator
series, machine room-less passenger elevator series, freight elevator series,
gear passenger elevator series, hydraulic elevator series, sightseeing elevator
series, automatic escalator series, medical use series, and automatic walkway
series.
SC sources its materials 60% from domestic market, and 40% from overseas market, mainly U.S.A. and Europe. SC sells 82% of its products in domestic market, and 18% to overseas market, mainly U.S.A. and Southeast Asian market.
The buying terms of SC include T/T, L/C and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customers:
==============
Elevadores Otis Sa Cv
Aymac S.A.
International Elevator Inc.
*Major Supplier:
============
Otis Elevator Co. (U.S.A.)
Staff & Office:
--------------------------
SC is known
to have approx. 4,558 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 have a
subsidiary and 26 branches at present, and the following are the major ones,
n
Xizi Otis (Chongqing) Elevator Co., Ltd.
---------------------------------------------
Date of Registration: February 27, 2007
Registration No.: 500903000040423
Legal Form: One-person Limited
Liabilities Company
Registered Capital: CNY 40,716,039
n
Xizi Otis Elevator Co., Ltd. Ningbo Branch
n
Xizi Otis Elevator Co., Ltd. Hangzhou Branch
n
Xizi Otis Elevator Co., Ltd. Zhejiang Branch
n
Xizi Otis Elevator Co., Ltd. Beijing Branch
n
Xizi Otis Elevator Co., Ltd. Shanghai Branch
n
Xizi Otis Elevator Co., Ltd. Jiangsu Branch
n
Xizi Otis Elevator Co., Ltd. Suzhou Branch
n
Xizi Otis Elevator Co., Ltd. Wuhan Branch
n
Xizi Otis Elevator Co., Ltd. Guangzhou Branch
n
Xizi Otis Elevator Co., Ltd. Shenzhen Branch
n
Xizi Otis Elevator Co., Ltd. Tianjin Branch
n
Xizi Otis Elevator Co., Ltd. Wenzhou Branch
n
Xizi Otis Elevator Co., Ltd. Jiaxing Branch
Etc.
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:
Industrial and
Commercial Bank of China Jiefang Road Sub-branch
AC#: 1202020709016208188
Agricultural
Bank of China Hangzhou Sub-branch
AC#:
015401040000047
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
|
2,515,047 |
3,177,565 |
2,671,555 |
|
|
Notes receivable |
101,949 |
88,606 |
76,065 |
|
Accounts
receivable |
569,548 |
862,307 |
1,013,852 |
|
Advances to
suppliers |
17,698 |
17,683 |
10,611 |
|
Other receivable |
32,854 |
41,744 |
37,373 |
|
Inventory |
264,809 |
359,539 |
415,058 |
|
Deferred
expenses |
2,039 |
3,332 |
3,861 |
|
Other current
assets |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
|
Current assets |
3,503,944 |
4,550,776 |
4,228,375 |
|
Long-term
investment |
0 |
40,979 |
33,406 |
|
Fixed assets |
171,045 |
160,441 |
148,086 |
|
Construction in
progress |
2,694 |
6,924 |
22,802 |
|
Intangible
assets |
19,446 |
21,897 |
18,635 |
|
Long-term prepaid
expenses |
260 |
0 |
0 |
|
Deferred income
tax assets |
0 |
0 |
0 |
|
Other
non-current assets |
42,427 |
41,710 |
77,285 |
|
|
------------------ |
------------------ |
------------------ |
|
Total assets |
3,739,816 |
4,822,727 |
4,528,589 |
|
|
============= |
============= |
============= |
|
Short-term loans |
0 |
0 |
0 |
|
Notes payable |
0 |
0 |
0 |
|
Accounts payable |
856,953 |
1,529,794 |
1,071,432 |
|
Wages payable |
73,037 |
87,266 |
84,756 |
|
Taxes payable |
119,820 |
234,414 |
158,811 |
|
Advances from
clients |
935,772 |
965,703 |
1,092,767 |
|
Other payable |
134,987 |
289,875 |
180,206 |
|
Accrued expenses |
243,447 |
196,031 |
221,197 |
|
Other current
liabilities |
44,466 |
59,394 |
76,234 |
|
|
------------------ |
------------------ |
------------------ |
|
Current
liabilities |
2,408,482 |
3,362,477 |
2,885,403 |
|
Non-current
liabilities |
0 |
2,529 |
997 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities |
2,408,482 |
3,365,006 |
2,886,400 |
|
Equities |
1,331,334 |
1,457,721 |
1,642,189 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities & equities |
3,739,816 |
4,822,727 |
4,528,589 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
|
Revenue |
5,934,196 |
7,021,194 |
7,363,049 |
|
Cost of sales |
4,169,189 |
4,918,591 |
5,144,918 |
|
Taxes and surcharges |
13,941 |
15,370 |
20,168 |
|
Sales expense |
297,245 |
315,616 |
333,252 |
|
Management expense |
149,496 |
167,755 |
180,840 |
|
Finance expense |
-37,819 |
-81,717 |
-78,899 |
|
Income from
investments |
0 |
0 |
-7,573 |
|
Non-business
income |
4,623 |
10,801 |
6,749 |
|
Non-business expenditure |
886 |
885 |
633 |
|
Profit before
tax |
1,345,881 |
1,715,182 |
1,774,240 |
|
Less: profit tax |
352,660 |
432,942 |
433,846 |
|
993,221 |
1,282,240 |
1,340,394 |
Financial Summary
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
|
Total assets |
5,250,999 |
|
|
------------- |
|
Total
liabilities |
3,531,722 |
|
Equities |
1,719,277 |
|
|
------------- |
|
Revenue |
8,553,415 |
|
Profits |
1,417,483 |
Important Ratios
=============
|
|
As
of Dec. 31, 2010 |
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
*Current ratio |
1.45 |
1.35 |
1.47 |
-- |
|
*Quick ratio |
1.34 |
1.25 |
1.32 |
-- |
|
*Liabilities
to assets |
0.64 |
0.70 |
0.64 |
0.67 |
|
*Net profit
margin (%) |
16.74 |
18.26 |
18.20 |
16.57 |
|
*Return on total
assets (%) |
26.56 |
26.59 |
29.60 |
26.99 |
|
*Inventory /
Revenue ×365 |
16 days |
19 days |
21 days |
-- |
|
*Accounts
receivable / Revenue ×365 |
35 days |
45 days |
51 days |
-- |
|
*Revenue /
Total assets |
1.59 |
1.46 |
1.63 |
1.63 |
|
*Cost of sales
/ Revenue |
0.70 |
0.70 |
0.70 |
-- |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
l The revenue of SC
appears good in its line.
l SC’s net profit
margin is fairly good in four years.
l SC’s return on
total assets is good in four years.
l
SC’s cost of sales is average, comparing with its
revenue.
LIQUIDITY: FAIRLY
GOOD
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC is maintained in an
average level.
l
SC has no short-term loans.
l
SC’s revenue is in an average level, comparing with
the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The debt ratio of SC is average.
l
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 good background, general performance, reputation as well as market conditions
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 63.60 |
|
|
1 |
Rs. 100.09 |
|
Euro |
1 |
Rs. 71.23 |
INFORMATION DETAILS
|
Analysis Done by
: |
KRN |
|
|
|
|
Report Prepared
by : |
DPT |
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.