MIRA INFORM REPORT
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Report No. : |
322250 |
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Report Date : |
15.05.2015 |
IDENTIFICATION DETAILS
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Name : |
ZHEJIANG UNIFULL INDUSTRIAL FIBER CO., LTD. |
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Registered Office : |
Hefu Industrial Zone, Huzhou, Zhejiang Province 313017 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
30.10.2003 |
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Com. Reg. No.: |
330500400005453 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Manufacturing differentiated FDY polyester fiber and specialty
industrial fabrics, polyester thread, selling its owned products |
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No. of Employees : |
300 |
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 : |
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.
|
Source
: CIA |
sc’s
INFO.
Zhejiang Unifull Industrial Fiber Co., Ltd.
hefu industrial zone, huzhou, zhejiang PROVINCE 313017 PR CHINA
TEL: 86 (0) 572-3961786
FAX: 86 (0) 572-2833555
EXECUTIVE
SUMMARY
Date of Registration : OCTOBER 30, 2003
REGISTRATION NO. : 330500400005453
LEGAL FORM : SHARES LIMITED COMPANY
CHIEF EXECUTIVE : MAO
HUIXIN (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 238,195,880
staff : 300
BUSINESS CATEGORY : manufacturing & trading
REVENUE :
CNY 2,479,241,000 (CONSOLIDATED,
AS OF DEC. 31, 2014)
EQUITIES :
CNY 1,111,542,000 (CONSOLIDATED, AS OF DEC. 31, 2014)
WEBSITE : www.unifull.com
E-MAIL : info@unifull.com
PAYMENT : AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : FAIRLY STEADY
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 shares
limited company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.: 330500400005453
on October 30, 2003.
SC’s Organization Code Certificate No.:
75590256-3
SC’s Tax No.: 330501755902563
SC’s registered capital: CNY 238,195,880
SC’s paid-in capital: CNY 238,195,880
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2011 |
Registered Capital |
CNY 183,227,600 |
CNY 238,195,880 |
Current Co search indicates SC’s
shareholders & chief executives are as follows:-
|
Name of Shareholder (s) (As of March 31, 2015) |
% of Shareholding |
|
Huzhou Unifull Holdings Co., Ltd. |
37.3 |
|
Jiayuan Co., Ltd. |
29.58 |
|
Huzhou Taihe Investment Consulting Co., Ltd. |
2.68 |
|
Huzhou Yuyan Biotechnology Co., Ltd. |
1.99 |
|
Bank of China-Huatai-PineBridge Quantitative Index
Enhanced Equity Fund |
0.6 |
|
China Construction Bank Co., Ltd.-Bosera Yufu CSI 300
Index Fund |
0.45 |
|
Ke Qiang |
0.41 |
|
Huzhou Yifa Investment Consulting Co., Ltd. |
0.41 |
|
Yang Wenzong |
0.35 |
|
Huzhou Lianzhong Investment Consulting Co., Ltd. |
0.31 |
|
Other Shareholders |
25.92 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman and General Manager |
Mao Huixin |
|
Vice Chairman |
Feng Xiaoying |
|
Director |
Chen Kanghua |
|
Wu Chongguo |
|
|
Yin Shijun |
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|
Wang Huaping |
|
|
Wang Feng |
|
|
Gao Xianchao |
|
|
Chen Yan |
|
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Supervisor |
Pan Qinghua |
|
Hu Yunli |
|
|
Chen Yonghuo |
RECENT
DEVELOPMENT
SC is a listed company in Shenzhen Stock Exchange Market with the code
of 002427.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
(As of March 31, 2015)
----------------------------------
Huzhou Unifull Holdings Co., Ltd. 37.3
Jiayuan Co., Ltd. 29.58
Huzhou Taihe Investment Consulting Co., Ltd. 2.68
Huzhou Yuyan Biotechnology Co., Ltd. 1.99
Bank of China-Huatai-PineBridge Quantitative Index Enhanced Equity Fund 0.6
China Construction Bank Co., Ltd.-Bosera Yufu CSI 300 Index Fund 0.45
Ke Qiang 0.41
Huzhou Yifa Investment Consulting Co., Ltd. 0.41
Yang Wenzong 0.35
Huzhou Lianzhong Investment Consulting Co., Ltd. 0.31
Other Shareholders 25.92
Huzhou Unifull Holdings Co., Ltd.
-----------------------------------------------
Registration No.: 330504000007073
Legal Form: One-person Limited Liability Company
Chief Executive: Mao Wenyang
Registered Capital: CNY 10,000,000
Huzhou Taihe Investment Consulting Co., Ltd.
--------------------------------------------------------------
Registration No.: 330504000012681
Legal Form: Limited Liability Company
Chief Executive: Yang Sipin
Registered Capital: CNY 1,000,000
Huzhou Yuyan Biotechnology Co., Ltd.
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Registration No.: 330504000012673
Legal Form: One-person Limited Liability Company
Chief Executive: Mao Huizhong
Registered Capital: CNY 1,000,000
Huzhou Yifa Investment Consulting Co., Ltd.
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Registration No.: 330504000012704
Legal Form: Limited Liability Company
Chief Executive: Qian Youme
Registered Capital: CNY 2,565,000
Huzhou Lianzhong Investment Consulting Co., Ltd.
--------------------------------------------------------------------
Registration No.: 330504000012712
Legal Form: Limited Liability Company
Chief Executive: Xu Longguan
Registered Capital: CNY 1,287,000
MANAGEMENT
Mao Huixin, Legal Representative,
Chairman and General Manager
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Gender: M
Age: 48
Qualification: University
Working experience (s):
From 2003 to present, working in SC as legal representative, chairman
and general manager
Also working in Zhejiang Unifull Hi-tech Industry Co., Ltd. as legal
representative
Feng Xiaoying, Vice Chairman
---------------------------------------------------
Gender: F
Age: 52
Qualification: University
Working experience (s):
At present, working in SC as vice chairman
Director
-----------
Chen Kanghua
Wu Chongguo
Yin Shijun
Wang Huaping
Wang Feng
Gao Xianchao
Chen Yan
Supervisor
--------------
Pan Qinghua
Hu Yunli
Chen Yonghuo
BUSINESS
OPERATION
SC’s registered business scope include manufacturing differentiated FDY
polyester fiber and specialty industrial fabrics, polyester thread, selling its
owned products.
SC is mainly engaged in manufacturing and selling differentiated FDY
polyester fiber.
Brand: 
SC’s products mainly include: industrial polyester yarn, dipped cord,
dipped fabric, etc.
SC sources its materials 45% from domestic market, and 55% from overseas
market, mainly Germany, Japan, Korea, and Taiwan. SC sells 75% of its products
in domestic market, and 25% to overseas market, mainly Germany, Holland,
U.S.A., Korea, Brazil, Columbia, and Taiwan.
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 Customer*
---------------------
Ashfar Enterprises Inc.
Fenner Dunlop
Staff & Office:
--------------------------
SC is known to have approx. 300 staff at present.
SC owns an area as its operating office & factory of approx. 41,000
sq. meters at the heading address.
RELATED
COMPANY
SC is known to invest in the following companies:
Zhejiang Unifull Hi-tech Industry Co., Ltd.
--------------------------------------
Date of Registration: October 22, 2009
Registration No.: 330500400011521
Legal Form: Limited Liability Company
Chief Executive: Mao Huixin
Registered Capital: USD 24,578,600
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 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
Basic Bank:
Bank of
Communications Huzhou Branch
AC#: 335061701018000066858
FINANCIALS
Consolidated Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
As
of Dec. 31, 2014 |
|
150,927 |
133,203 |
|
|
Trading
financial assets |
0 |
0 |
|
Accounts receivable |
269,796 |
277,748 |
|
Notes receivable |
282,237 |
236,901 |
|
Advances to suppliers |
4,998 |
17,799 |
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Interest receivable |
1,929 |
1,878 |
|
Other receivable |
3,977 |
5,687 |
|
Inventory |
377,589 |
347,586 |
|
Non-current assets within one year |
0 |
0 |
|
Other current assets |
91,546 |
127,029 |
|
|
------------------ |
------------------ |
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Current assets |
1,182,999 |
1,147,831 |
|
Real estate investment |
0 |
0 |
|
Fixed assets |
1,084,911 |
1,185,370 |
|
Construction in progress |
145,321 |
33,277 |
|
Project materials |
36 |
278 |
|
Fixed assets in liquidation |
0 |
0 |
|
Intangible assets |
107,731 |
108,910 |
|
Goodwill |
0 |
0 |
|
Long-term deferred expense |
0 |
0 |
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Deferred income tax assets |
4,094 |
10,221 |
|
Other non-current assets |
26,750 |
45,871 |
|
|
------------------ |
------------------ |
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Total assets |
2,551,842 |
2,531,758 |
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|
============= |
============= |
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Short-term loans |
936,852 |
705,029 |
|
Notes payable |
131,000 |
191,000 |
|
Accounts payable |
203,392 |
235,709 |
|
Payroll payable |
7,275 |
13,124 |
|
Taxes payable |
5,068 |
5,401 |
|
Interest payable |
6,937 |
3,752 |
|
Advances from clients |
10,423 |
28,986 |
|
Other payable |
764 |
959 |
|
Other current liabilities |
79,800 |
60,198 |
|
|
------------------ |
------------------ |
|
Current liabilities |
1,381,511 |
1,244,158 |
|
Non-current liabilities |
161,468 |
176,058 |
|
|
------------------ |
------------------ |
|
Total liabilities |
1,542,979 |
1,420,216 |
|
Equities |
1,008,863 |
1,111,542 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
2,551,842 |
2,531,758 |
|
|
============= |
============= |
Consolidated Income Statement
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
As
of Dec. 31, 2014 |
|
Revenue |
1,758,861 |
2,479,241 |
|
Cost of sales |
1,564,801 |
2,104,129 |
|
Business Taxes and Surcharges |
154 |
729 |
|
Sales expense |
42,714 |
63,140 |
|
Management expense |
101,787 |
134,886 |
|
Finance expense |
23,430 |
66,360 |
|
Asset impairment loss |
10,231 |
4,219 |
|
Investment income |
151 |
-308 |
|
Non-operating income |
2,955 |
3,658 |
|
Non-operating expense |
2,420 |
3,265 |
|
Profit before tax |
16,858 |
105,433 |
|
Less: profit tax |
1,196 |
2,754 |
|
15,662 |
102,679 |
Important Ratios
=============
|
|
As
of Dec. 31, 2013 |
As
of Dec. 31, 2014 |
|
*Current ratio |
0.86 |
0.92 |
|
*Quick ratio |
0.58 |
0.64 |
|
*Liabilities to assets |
0.60 |
0.56 |
|
*Net profit margin (%) |
0.89 |
4.14 |
|
*Return on total assets (%) |
0.61 |
4.06 |
|
*Inventory / Revenue ×365 |
79
days |
52 days |
|
*Accounts receivable / Revenue ×365 |
56
days |
41 days |
|
*Revenue / Total assets |
0.69 |
0.98 |
|
*Cost of sales / Revenue |
0.89 |
0.85 |
FINANCIAL
COMMENTS
PROFITABILITY: AVERAGE
The revenue of SC appears
good in its line, and it increased in 2014.
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: FAIR
The current ratio of SC is maintained in a fair level.
SC’s quick ratio is maintained in a fair level.
The inventory of SC appears average.
The accounts receivable of SC appears average.
The short-term loans of SC appear large.
SC’s revenue is in a fair
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 low.
Overall financial condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with
fairly stable financial conditions. The large
amount of short-term loans may be a threat to
SC’s financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.84 |
|
|
1 |
Rs.100.65 |
|
Euro |
1 |
Rs.72.88 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
SHG |
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.