MIRA INFORM REPORT
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Report No. : |
324402 |
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Report Date : |
27.05.2015 |
IDENTIFICATION DETAILS
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Name : |
ZHUHAI CHUMING DEVELOPMENT COMPANY LIMITED |
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Registered Office : |
9/F Garden Building, Lianhuayuan, Jiuzhou Street, Zhuhai, Guangdong
Province 519015 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
09.06.1999 |
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Com. Reg. No.: |
440400000148262 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in selling medicine raw materials and related products. |
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No. of Employee : |
12 |
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) |
|
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 |
Company
name and address
ZHUHAI CHUMING
DEVELOPMENT COMPANY LIMITED
9/F GARDEN BUILDING, LIANHUAYUAN, JIUZHOU STREET, ZHUHAI, GUANGDONG
PROVINCE 519015 PR CHINA
TEL: 86 (0) 756-3361032/3369312
FAX: 86 (0) 756-3359896
EXECUTIVE
SUMMARY
Date of Registration : JUNE 9, 1999
REGISTRATION NO. : 440400000148262
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : CNY 3,000,000
staff : 12
BUSINESS CATEGORY : TRADING
REVENUE : CNY 26,066,000 (AS OF DEC. 31, 2014)
EQUITIES : CNY 4,283,000
(AS OF DEC. 31, 2014)
WEBSITE : www.chuming.com
E-MAIL : zhlmchem@pub.zhuhai.gd.cn
PAYMENT : AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : Fairly
Steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.21 = USD 1
AS
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.: 440400000148262
on June 9, 1999.
SC’s Organization Code Certificate No.:
71484193-6
SC’s Tax No.: 440401714841936
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. |
4404002020450 |
440400000148262 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Feng Youchu |
83.33 |
|
Yin Liming |
16.67 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Feng Youchu |
|
Supervisor |
Yin Liming |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Feng Youchu 83.33
Yin Liming 16.67
MANAGEMENT
Feng Youchu,
Legal Representative, Chairman and General Manager
-----------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø Qualification:
University
Ø Working experience
(s):
From
1999 to present, working in SC as legal representative, chairman and general
manager
Yin Liming , Supervisor
-------------------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø Qualification:
University
BUSINESS
OPERATION
SC’s registered business scope includes domestic trade; international trade
in Zhuhai special economic zone.
SC is mainly
engaged in selling medicine raw materials
and related products.
SC’s
products mainly include:
*Active
Pharmaceutical Ingredients
*Plant Extracts
*Animal health
Products (Active Ingredients)
*Chinese Medicines
*Finished Dosages
*Intermediate
Chemicals
SC sources its
products 100% from domestic market. SC sells 5% of its products in domestic
market, and 95% to the overseas market, mainly India and Pakistan.
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*
--------------------
WEIICK LTD. (Pakistan)
*Major Suppliers*
---------------------
Nantong Jinghua Pharmaceutical Co., Ltd.
Zhejiang Kangyu Pharmaceutical Co., Ltd.
Staff & Office:
--------------------------
SC is known
to have approx. 12 staff at
present.
SC rents an area
as its operating office of approx. 150 sq. meters at the heading address.
RELATED
COMPANY
n
Chuming Pharmaceutical Limited (Hong Kong)
--------------------------------------------------------
Registered
Number: 0824793
Incorporated
Date: Dec. 9, 2002
Legal
Form: Private
Status:
Live
n
Hugeland Chemical Co., Limited
----------------------------------------------
Hugeland
Chemical Co., Limited
Registered
Address: MSC3227 RM B 1-F
Company
No. 06570750
Status:
Active
Date
of Incorporation:
Country
of Origin: United Kingdom
Company
Type: Private Limited Company
Nature
of Business (SIC): Non-trading Company
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: A trade enquiry currently
conducted with SC's supplier(s) reveal the following:
Supplier
A
Products sold: Pharmaceutical
Intermediates
Date account opened: Since 2010 to present
Line of credit: N/A
Terms: 30-60
days
Average monthly sales: N/A
Current balance: N/A
Rating Key : 3
Payment record keys:
1 = Prompt: Payment made before the credit
period expires
2 = As agreed terms: Payment made upon due
date
3 = Slightly slow but acceptable: Payment
made 5 to 20 days beyond agreed terms
4 = Slow: Payment made 16 to 45 days beyond
agreed terms
5 = Poor: Payment made over 45 days beyond
agreed terms
6
= No comment: Account is newly opened & record is not yet established
Note: In some instances, payment beyond terms can be the result of disputes
over merchandise, lost invoices, disputed accounts & etc.
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:
Zhuhai Commercial Bank Lianhuashan Sub-branch
AC#:
31201080002448745012
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2013 |
As
of Dec. 31, 2014 |
|
2,138 |
3,561 |
|
|
Short-term
investments |
8,500 |
5,400 |
|
Accounts
receivable |
1,962 |
5,688 |
|
Advances to
suppliers |
252 |
233 |
|
Other receivable |
9 |
25 |
|
Inventory |
0 |
0 |
|
Subsidies
receivable |
0 |
0 |
|
Other current
assets |
1,148 |
307 |
|
|
------------------ |
------------------ |
|
Current assets |
14,009 |
15,214 |
|
Fixed assets |
21 |
18 |
|
Construction in
progress |
0 |
0 |
|
Intangible
assets |
7 |
6 |
|
Long-term
prepaid expenses |
0 |
0 |
|
Deferred income
tax assets |
0 |
0 |
|
Other
non-current assets |
0 |
0 |
|
|
------------------ |
------------------ |
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Total assets |
14,037 |
15,238 |
|
|
============ |
============ |
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Short-term loans |
0 |
0 |
|
Notes payable |
2,209 |
5,370 |
|
Accounts payable |
363 |
-125 |
|
Taxes payable |
213 |
-491 |
|
Advances from
clients |
3,401 |
1,402 |
|
Other payable |
3,243 |
3,998 |
|
Accrued expenses |
0 |
0 |
|
Other current
liabilities |
460 |
801 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
9,889 |
10,955 |
|
Non-current
liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total liabilities |
9,889 |
10,955 |
|
Equities |
4,148 |
4,283 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
14,037 |
15,238 |
|
|
============ |
============ |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2014 |
|
Revenue |
26,066 |
|
Cost of sales |
21,404 |
|
Taxes and surcharges |
1 |
|
Sales expense |
3,207 |
|
Management expense |
1,745 |
|
Finance expense |
-448 |
|
Non-operating
income |
4 |
|
Non-operating expense |
0 |
|
Profit before
tax |
162 |
|
Less: profit tax |
26 |
|
136 |
Important Ratios
=============
|
|
As
of Dec. 31, 2013 |
As
of Dec. 31, 2014 |
|
*Current ratio |
1.42 |
1.39 |
|
*Quick ratio |
1.42 |
1.39 |
|
*Liabilities
to assets |
0.70 |
0.72 |
|
*Net profit
margin (%) |
-- |
0.52 |
|
*Return on
total assets (%) |
-- |
0.89 |
|
*Inventory /
Revenue ×360/270 |
-- |
-- |
|
*Accounts
receivable / Revenue ×360/270 |
-- |
80 days |
|
*Revenue /
Total assets |
-- |
1.71 |
|
*Cost of sales
/ Revenue |
-- |
0.82 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l The revenue of SC
appears average in its line.
l SC’s net profit
margin is average.
l SC’s return on
total assets is average.
l
SC’s cost of sales is average, comparing with its
revenue.
LIQUIDITY: AVERAGE
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
SC has no inventory.
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: AVERAGE
l
The debt ratio of SC is average.
l
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Stable.
CONCLUSIONS
SC is considered small-sized in its line with stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.84 |
|
|
1 |
Rs.98.38 |
|
Euro |
1 |
Rs.69.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
ANK |
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.