MIRA INFORM REPORT
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Report No. : |
320767 |
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Report Date : |
06.05.2015 |
IDENTIFICATION DETAILS
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Name : |
HANGZHOU SHENGHE MEDICAL AUTOMATION MFG. CO., LTD. |
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Registered Office : |
Room A-F, 13/F, Building 2, States Development Building No. 182
Zhaohui Road, Hangzhou, Zhejiang Province 310014 Pr |
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Country : |
China |
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Financials (as on) : |
30.06.2014 |
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Date of Incorporation : |
16.08.2002 |
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Com. Reg. No.: |
330103000050551 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in import and export goods (with permit if needed);
wholesaling and retailing packaging materials, electrical and mechanical
equipment, medical device manufacturing equipment; medical device technology
development and application service; manufacturing medical device
manufacturing equipment (operation limited to branches). |
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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) |
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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. 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 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. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including legislation allowing local governments to issue bonds, further opening several state-owned enterprises to private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
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Source
: CIA |
Company
Name & address
HANGZHOU SHENGHE MEDICAL
AUTOMATION MFG. CO., LTD.
ROOM A-F, 13/F, BUILDING 2, STATES DEVELOPMENT BUILDING
NO. 182 ZHAOHUI ROAD, HANGZHOU, ZHEJIANG PROVINCE 310014 PR CHINA
TEL: 86 (0) 571-85809286/85084370/85809132
FAX: 86 (0) 571-85808960
***Note: SC’s
complete room numbers should be the heading ones, instead of the given one
(A-E).
EXECUTIVE
SUMMARY
Date of Registration : AUGust 16, 2002
REGISTRATION NO. : 330103000050551
LEGAL FORM : LIMITED LIABILITIES
COMPANY
CHIEF EXECUTIVE :
HU SHAOBAI (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY
3,000,000
staff :
40
BUSINESS CATEGORY : MANUFACTURING & TRADING
REVENUE :
CNY 5,470,000 (JAN. 1, 2014 TO
JUN. 30, 2014)
EQUITIES :
CNY 3,270,000 (AS OF JUN. 30, 2014)
WEBSITE : www.hzshenghe.cn
E-MAIL :
hzshenghe@sohu.com
PAYMENT :
AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND :
ordinary
GENERAL REPUTATION : AVERAGE
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 limited liabilities company of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 330103000050551 on
August 16, 2002.
SC’s Organization Code Certificate No.:
74203255-4
SC’s Tax No.: 330103742032554
SC’s registered capital: CNY 3,000,000
SC’s paid-in capital: CNY 3,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
3301032005034 |
330103000050551 |
|
Registered Capital |
CNY 1,000,000 |
CNY 3,000,000 |
|
|
Shareholder (s) (% of Shareholding) |
Wei Yili 20% Hu Shaobai 80% |
Wei Yili 10% Hu Shaobai 90% |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Wei Yili |
10 |
|
Hu Shaobai |
90 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Hu Shaobai |
|
Supervisor |
Wei Yili |
RECENT DEVELOPMENT
SC has obtained certificate of ISO 9001:2000.
SC has gained credit grade AAA, High and new technology enterprise,
Chinese medical instrument industry Association member, Unit of director of
medical Polymer production branch and Chinese medical plastic Committees
member.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Wei Yili 10
Hu Shaobai 90
MANAGEMENT
Hu Shaobai, Legal Representative, Chairman and General
Manager
---------------------------------------------------------------------------------------------------
Gender: M
Age: 58
ID#: 330102195708030916
Qualification: University
Working experience (s):
From 2002 to present, working in SC as legal representative, chairman,
and general manager
Also working in Hangzhou Shenghe Medical Automation Manufacturing Co.,
Ltd. Pingyao Branch as principal
Wei Yili,
Supervisor
--------------------------------------
Gender: F
Age: 52
ID#: 330102196301290948
BUSINESS OPERATION
SC’s registered business scope includes import and export goods (with
permit if needed); wholesaling and retailing packaging materials, electrical
and mechanical equipment, medical device manufacturing equipment; medical
device technology development and application service; manufacturing medical
device manufacturing equipment (operation limited to branches).
SC is mainly engaged in manufacturing and selling medical device
manufacturing equipment.
Brand: SHENGHE
SC’s products mainly include: packer, assembly machine, inspection block
machine, pad printers, medical supplies.
SC sources its materials 100% from domestic market. SC sells 70% of its
products in domestic market and 30% to overseas market, mainly Southeast Asia,
America and Africa.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customer*
---------------------
Bain Medical Equipment (Guangzhou) Co., Ltd.
*Major Supplier*
---------------------
Hangzhou Jingfa Aluminum Co., Ltd.
Staff &
Office:
--------------------------
SC is known to have approx. 40
staff at present.
SC rents an area as its operating office of approx. 500 sq. meters at
the heading address. The factory of SC locates in Changming Village, Pingyao
Town, Yuhang District, Hangzhou.
RELATED COMPANY
SC is known to
have a branch at present:
Hangzhou Shenghe Medical Automation Manufacturing Co., Ltd. Pingyao
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:
Industrial & Commercial Bank of China Hangzhou Zhaohui Sub-branch
AC#: 1202022109900034149
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Jun. 30,
2014 |
|
884 |
804 |
1,280 |
740 |
930 |
|
|
Notes receivable |
0 |
0 |
0 |
200 |
120 |
|
Accounts receivable |
4,280 |
2,868 |
5,253 |
-460 |
5,730 |
|
Advances to suppliers |
0 |
0 |
0 |
0 |
0 |
|
Other receivable |
404 |
1,883 |
2,108 |
6,850 |
-900 |
|
Inventory |
2,172 |
658 |
38 |
1,440 |
2,760 |
|
Non-current assets within one year |
0 |
0 |
0 |
0 |
0 |
|
Other current assets |
0 |
0 |
0 |
10 |
10 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
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Current assets |
7,740 |
6,213 |
8,679 |
8,780 |
8,650 |
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Fixed assets |
1,160 |
901 |
1,159 |
880 |
470 |
|
Long-term prepaid expenses |
0 |
0 |
0 |
0 |
0 |
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Deferred income tax assets |
0 |
0 |
0 |
0 |
0 |
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Other non-current assets |
0 |
0 |
0 |
0 |
0 |
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------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
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Total assets |
8,900 |
7,114 |
9,838 |
9,660 |
9,120 |
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=========== |
============ |
============ |
============ |
============ |
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Short-term loans |
1,150 |
2,000 |
2,500 |
2,500 |
2,500 |
|
Notes payable |
0 |
0 |
0 |
0 |
0 |
|
Accounts payable |
2,633 |
825 |
3,150 |
2,000 |
2,140 |
|
Wages payable |
214 |
214 |
0 |
0 |
0 |
|
Taxes payable |
-94 |
80 |
93 |
60 |
-10 |
|
Advances from clients |
428 |
428 |
428 |
0 |
0 |
|
Other payable |
1,213 |
0 |
-191 |
1,400 |
1,190 |
|
Other current liabilities |
0 |
0 |
217 |
0 |
30 |
|
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------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
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Current liabilities |
5,544 |
3,547 |
6,197 |
5,960 |
5,850 |
|
Non-current liabilities |
0 |
0 |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
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Total liabilities |
5,544 |
3,547 |
6,197 |
5,960 |
5,850 |
|
Equities |
3,356 |
3,567 |
3,641 |
3,700 |
3,270 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
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Total liabilities & equities |
8,900 |
7,114 |
9,838 |
9,660 |
9,120 |
|
|
=========== |
============ |
============ |
============ |
============ |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
Jan. 1, 2014 to
Jun. 30, 2014 |
|
Revenue |
15,635 |
20,343 |
20,097 |
15,370 |
5,470 |
|
Cost of sales |
12,278 |
16,596 |
13,797 |
9,920 |
3,560 |
|
Taxes and surcharges |
63 |
104 |
97 |
30 |
5 |
|
Sales expense |
1,345 |
996 |
1,219 |
1,060 |
290 |
|
Management expense |
1,805 |
2,223 |
4,628 |
3,990 |
1,910 |
|
Finance expense |
36 |
176 |
159 |
220 |
100 |
|
Profit before tax |
112 |
279 |
223 |
150 |
-410 |
|
Less: profit tax |
33 |
71 |
53 |
0 |
30 |
|
79 |
208 |
170 |
150 |
-440 |
Important Ratios
=============
|
|
As of Dec. 31,
2010 |
As of Dec. 31,
2011 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Jun. 30,
2014 |
|
*Current ratio |
1.40 |
1.75 |
1.40 |
1.47 |
1.48 |
|
*Quick ratio |
1.00 |
1.57 |
1.39 |
1.23 |
1.01 |
|
*Liabilities to assets |
0.62 |
0.50 |
0.63 |
0.62 |
0.64 |
|
*Net profit margin (%) |
0.51 |
1.02 |
0.85 |
0.98 |
-8.04 |
|
*Return on total assets (%) |
0.89 |
2.92 |
0.85 |
1.55 |
-4.82 |
|
*Inventory / Revenue ×365/180 |
51 days |
12 days |
1 day |
35 days |
-- |
|
*Accounts receivable / Revenue ×365/180 |
100 days |
52 days |
96 days |
-- |
-- |
|
*Revenue / Total assets |
1.76 |
2.86 |
2.04 |
1.59 |
0.60 |
|
*Cost of sales / Revenue |
0.79 |
0.82 |
0.69 |
0.65 |
0.65 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
The revenue of SC appears average in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of sales 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 in 2013.
The accounts receivable of SC appears large.
The short-term loans of SC appear 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 above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.57 |
|
|
1 |
Rs.97.99 |
|
Euro |
1 |
Rs.70.53 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
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.