MIRA INFORM REPORT
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Report No. : |
348848 |
|
Report Date : |
07.11.2015 |
IDENTIFICATION DETAILS
|
Name : |
ZOOMLION HEAVY INDUSTRY SCIENCE AND TECHNOLOGY CO., LTD. |
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Registered Office : |
Zoomlion Science Park, No. 361 Yinpen South Road, Changsha, Hunan
Province 410013 Pr |
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Country : |
China |
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Financials (as on) : |
30.06.2015 |
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Date of Incorporation : |
31.08.1999 |
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Com. Reg. No.: |
430000400000198 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Developing, manufacturing and selling construction machinery,
sanitation machinery, truck crane & special chassis, fire engines and its
special chassis, other machinery equipment, metal and non-metallic materials,
optical, mechanical and electronic integration of high-tech products and
providing leasing, after-sale technical services; selling building decorative
materials (excluding silicone rubber), engineering vehicles (excluding passenger
cars) and the permitted metal materials, chemical raw materials, chemical
products; importing and exporting commodities and technology (excluding the
items prohibited or limited by the country); real estate investment. |
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No. of Employees : |
20,314 |
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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Payment Behaviour : |
Regular |
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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 |
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Insignificant |
A1 |
|
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. 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 for the first time in modern history. Still, China's per capita income is below the world average.
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 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 also 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
ZOOMLION HEAVY INDUSTRY SCIENCE
AND TECHNOLOGY CO., LTD.
ZOOMLION SCIENCE PARK, NO. 361 YINPEN SOUTH ROAD, CHANGSHA
HUNAN PROVINCE 410013 PR CHINA
TEL: 86 (0) 731-88923730/88923908/85650157
FAX: 86 (0) 731-88923904/88910912
***Note: The (677,
Lugu Street, Gaoxin District, Changsha, Hunan Province, P.R. China) was SC’s
former one, while SC is operating in the heading address.
EXECUTIVE
SUMMARY
Date of Registration : august 31, 1999
REGISTRATION NO. : 430000400000198
LEGAL FORM : SHARES LIMITED
COMPANY
CHIEF EXECUTIVE :
zhan chunxin (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY
7,705,954,050
staff :
20,314
BUSINESS CATEGORY :
developing & manufacturing & trading
REVENUE :
CNY 10,571,350,000 (FROM JAN. 1, 2015 TO JUN. 30, 2015)
EQUITIES :
CNY 40,999,825,000 (AS OF JUN. 30, 2015)
WEBSITE : www.zoomlion.com
E-MAIL :
157@zoomlion.com
PAYMENT :
Regular
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND :
fairly STEADY
GENERAL REPUTATION : FAIRLY GOOD
EXCHANGE RATE :
CNY 6.34 = 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.:
430000400000198 on August 31, 1999.
SC’s Organization Code Certificate No.:
71219440-5
SC’s Tax No.: 430104712194405
SC’s registered capital: CNY 7,705,954,050
SC’s paid-in capital: CNY 7,705,954,050
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
4300001004095 |
430000400000198 |
|
2011-10 |
Company’s Name |
Changsha Zoomlion Heavy Industry Science and Technology Development Co.,
Ltd. |
Zoomlion Heavy Industry Science And
Technology Co., Ltd. |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) (As of September 30, 2015) |
% of Shareholding |
|
HKSCC Nominees Limited |
18.53 |
|
State-owned Assets Supervision and Administration Commission of the
People’s Government of Hunan Province |
16.26 |
|
Changsha Hesheng Science and Technology Investment Co., Ltd. |
5.02 |
|
China Securities Finance Corporation Limited |
2.99 |
|
Good Excel Group Limited |
2.19 |
|
Real Smart International Limited |
2.19 |
|
Changsha Yifang Science and Technology Investment Co., Ltd. |
2.04 |
|
Central Huijin Investment Ltd. |
1.5 |
|
Hony Capital Fund I (Tianjin) (Limited Partnership) |
0.84 |
|
China Jianyin Investment Limited |
0.32 |
|
Other Shareholders |
48.12 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and CEO |
Zhan Chunxin |
|
Vice CEO |
Li Jiangtao |
|
Chen Xiaofei |
|
|
Hong Xiaoming |
|
|
He Wenjin |
|
|
Chen Peiliang |
|
|
Sun Changjun |
|
|
Guo Xuehong |
|
|
Su Yongzhuan |
|
|
Xiong Yanming |
|
|
Huang Qun |
RECENT DEVELOPMENT
SC is a listed company in Shenzhen Stock Exchange Market with the code
of 000157.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
(As of September 30, 2015)
----------------------------------
HKSCC Nominees Limited 18.53
State-owned Assets Supervision and Administration Commission of the
People’s Government of Hunan Province
16.26
Changsha Hesheng Science and Technology Investment Co., Ltd. 5.02
Good Excel Group Limited 4.72
Real Smart International Limited 2.19
Changsha Yifang Science and Technology Investment Co., Ltd. 2.12
Hony Capital Fund I (Tianjin) (Limited Partnership) 2.07
China Jianyin Investment Limited 1.80
Anhui Investment Group Holdings Co., Ltd. 0.73
Guangdong Hengjian Investment
Holding Co., Ltd. 0.67
Other Shareholders 45.89
HKSCC Nominees Limited
--------------------------------------
CR No.: 0309729
Incorporation date:
Legal form: Private
Status: Live
Changsha Hesheng Science and Technology Investment Co., Ltd.
-------------------------------------------------------------------------------------
Registration No.: 430193000013294
Chief Executive: Xun Minghua
Registered Capital: CNY 133,980,000
Changsha Yifang Science and Technology Investment Co., Ltd.
----------------------------------------------------------------------------------
Registration No.: 430193000013309
Chief Executive: Chen Tiejian
Registered Capital: CNY 111,800,000
MANAGEMENT
Zhan Chunxin , Legal Representative, Chairman and CEO
---------------------------------------------------------------------------------------
Gender: M
Age: 60
Qualification: Doctor Degree
Working experience (s):
At present, working in SC as legal representative, chairman and CEO
Also working in Zoomlion Powermole Limited (Britain), Hunan Zhongchen
Steel Product Manufacturing Engineering Co., Ltd., Hunan Teli Hydraulic Co.,
Ltd., etc. as chairman, and in Zoomlion H.K. Holding Co., Limited, Zoomlion
International Trading (H.K.) Co., Limited and Zoomlion Capital (H.K.) Co.,
Limited as director
Vice CEO
-------------
Li Jiangtao
Chen Xiaofei
Hong Xiaoming
He Wenjin
Chen Peiliang
Sun Changjun
Guo Xuehong
Su Yongzhuan
Xiong Yanming
Huang Qun
BUSINESS OPERATION
SC’s registered business scope includes developing, manufacturing and
selling construction machinery, sanitation machinery, truck crane & special
chassis, fire engines and its special chassis, other machinery equipment, metal
and non-metallic materials, optical, mechanical and electronic integration of
high-tech products and providing leasing, after-sale technical services;
selling building decorative materials (excluding silicone rubber), engineering
vehicles (excluding passenger cars) and the permitted metal materials, chemical
raw materials, chemical products; importing and exporting commodities and
technology (excluding the items prohibited or limited by the country); real
estate investment.
SC is mainly engaged in developing, manufacturing and selling
construction machinery equipment.
SC’s products mainly include:
Concrete Machinery:
Truck-mounted Concrete Pump
Concrete Pump
Concrete Placing Boom
Concrete Mixing Plant
Truck-mounted Concrete Mixer
Truck-mounted Line Concrete Pump
Self-propelled Boom Concrete Pump
Mobile Crane Machinery:
Truck Crane
All-Terrain Truck Crane
Crawler Crane
Construction Hoisting Machinery:
Tower Crane
Road Machinery:
Asphalt Road Surface Remixer
Road Surface Heater
Grader
Double-Drum Road Roller
Single-Drum Road Roller
Paver
Road Surface Cold Planner
Asphalt Gravel Chip Sealer
Asphalt Mixing Equipment
Pile Foundation Machinery:
Rotary Drilling Rig
Environmental & Sanitation Machinery:
Road Sweeper
Road Washer
Refuse Compression Collecting and Transfer
Complete Equipment
Compression Transfer Station Complete
Equipment
Snow Remover
Sewer Dredging and Sewage Suction Vehicle
Kitchen Garbage Processing System
Earth Working Machinery:
Loader
Bulldozer
Excavator
Fire Fighting Machinery:
Fire Fighting Truck with Compressed Air Foam
System A
Water Tower Fire Truck
Aerial Ladder Fire Truck
Special Vehicle:
Derrick Cargo Truck
Aerial Working Platform
Road Wrecker
SC sources its materials 90% from domestic market, and 10% from overseas
market. SC sells 95% of its products in domestic market, and 5% to overseas
market, mainly America, European countries, Middle East, etc.
The buying terms of SC include Check, 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:
==============
Beijing Zhongpu Construction Machinery Co., Ltd.
Shanghai Weide Construction Machinery Co., Ltd. (in Chinese pinyin)
Chengdu Zoomlion Hengli Construction Machinery Co., Ltd. (in Chinese
pinyin)
Guangxi Baishicheng Electromechanical Equipment Co., Ltd.
Hubei Zoomlion Construction Hoisting Machinery Co., Ltd. (literal
translation)
Global Crane&Machinery LLC.
ARQUITECTURA Y CONCRETO S.A.S
Target Trading S.A.
*Major Suppliers:
=============
Shanghai Guoye Kailai Industry Co., Ltd.
Shanghai Bosch Rexroth Hydraulics and Automation Ltd.
Wohlenberg Werkzeugmaschinen GMBH
Guizhou Zhongding Environmental Science & Technology Co., Ltd. (in
Chinese pinyin)
Staff &
Office:
--------------------------
SC is known to have approx. 20,314
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 the following subsidiaries and branches:
Guangdong Zhonglian Nanfang Building Machinery Co., Ltd.
Zoomlion Finance & Leasing (Beijing) Co., Ltd.
Hunan Zoomlion International Trade Co., Ltd.
Zoomlion Powermole Limited (Britain)
Changsha Puyuan Equipment Leasing Co., Ltd.
Hunan Zhongchen Steel Product Manufacturing Engineering Co., Ltd.
Hunan Teli Hydraulic Co., Ltd.
Hunan Zoomlion Special Vehicles Co., Ltd.
ZoomlionCifa (Hong Kong) Holdings Limited
Zoomlion Capital (H.K.) Co., Limited
Zoomlion H.K. Holding Co., Limited
ZOOMLION H.K. SPV CO., LIMITED
Zoomlion International Trading (H.K.) Co., Limited
Zoomlion Overseas Investment Management (H.K.) Co., Limited
Zoomlion Ru Co., Ltd. (Moscow)
Yuanjiang Branch
Hoisting Machinery Branch
Changde Auto Hoisting Machinery Branch
Hanshou Branch
Changde Zhongwang Branch
Huji Branch
Mobile Crane Branch
Road Machinery Branch
Zhongwang Branch
Chassis 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 supplier refused 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
The bank information of SC is not filed in SAIC.
FINANCIALS
Consolidated
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2014 |
As of Jun. 30,
2015 |
|
16,894,350 |
16,308,205 |
|
|
Notes receivable |
1,816,491 |
2,003,956 |
|
Accounts receivable |
30,439,390 |
31,578,961 |
|
Advances to suppliers |
386,170 |
431,971 |
|
Interest receivable |
0 |
0 |
|
Other receivable |
926,457 |
1,564,577 |
|
Inventory |
10,376,228 |
13,404,117 |
|
Non-current assets within one year |
12,203,446 |
14,032,113 |
|
Other current assets |
1,039,432 |
1,439,651 |
|
|
------------------ |
------------------ |
|
Current assets |
74,081,964 |
80,763,551 |
|
Long-term equity investment |
228,306 |
225,166 |
|
Fixed assets |
6,066,794 |
7,522,796 |
|
Construction in progress |
713,961 |
783,551 |
|
Engineering materials |
0 |
0 |
|
Intangible assets |
3,306,974 |
4,600,373 |
|
Development expenditure |
0 |
0 |
|
Goodwill |
1,701,212 |
2,011,098 |
|
Long-term prepaid expenses |
3,153 |
2,759 |
|
Deferred income tax assets |
617,820 |
773,016 |
|
Other non-current assets |
7,037,772 |
4,106,179 |
|
|
------------------ |
------------------ |
|
Total assets |
93,757,956 |
100,788,489 |
|
|
============= |
============= |
|
Short-term loans |
3,864,448 |
9,601,148 |
|
Notes payable |
6,141,720 |
5,612,437 |
|
Accounts payable |
7,351,110 |
9,002,109 |
|
Advances from clients |
728,372 |
914,487 |
|
Payroll payable |
417,521 |
154,655 |
|
Tax payable |
436,912 |
251,655 |
|
Interest payable |
210,687 |
429,938 |
|
Dividends payable |
1,188 |
386,486 |
|
Other payable |
4,222,101 |
4,527,063 |
|
Other current liabilities |
1,888,384 |
5,123,134 |
|
|
------------------ |
------------------ |
|
Current liabilities |
25,262,443 |
36,003,112 |
|
Non-current liabilities |
27,247,604 |
23,785,552 |
|
|
------------------ |
------------------ |
|
Total liabilities |
52,510,047 |
59,788,664 |
|
Equities |
41,247,909 |
40,999,825 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
93,757,956 |
100,788,489 |
|
|
============= |
============= |
Consolidated
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2014 |
From Jan. 1,
2015 to Jun. 30, 2015 |
|
Revenue |
25,851,195 |
10,571,350 |
|
Cost of sales |
18,641,595 |
8,042,262 |
|
Taxes and surcharges |
228,129 |
57,238 |
|
Sales expense |
3,035,567 |
1,144,580 |
|
Management expense |
1,929,817 |
902,779 |
|
Finance expense |
745,449 |
419,778 |
|
Investment income |
10,840 |
49,512 |
|
Non-operating income |
414,044 |
137,552 |
|
Non-operating expense |
213,827 |
42,531 |
|
Profit before tax |
863,139 |
-314,996 |
|
Less: profit tax |
235,264 |
19,881 |
|
Profits |
627,875 |
-334,877 |
Important Ratios
=============
|
|
As of Dec. 31,
2014 |
As of Jun. 30,
2015 |
|
*Current ratio |
2.93 |
2.24 |
|
*Quick ratio |
2.52 |
1.87 |
|
*Liabilities to assets |
0.56 |
0.59 |
|
*Net profit margin (%) |
2.43 |
-3.17 |
|
*Return on total assets (%) |
0.67 |
-0.33 |
|
*Inventory / Revenue ×365/180 |
147 days |
229 days |
|
*Accounts receivable / Revenue ×365/180 |
430 days |
538 days |
|
*Revenue / Total assets |
0.28 |
0.10 |
|
*Cost of sales / Revenue |
0.72 |
0.76 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIR
The revenue of SC appears fairly good in its line.
SC’s net profit margin is fair.
SC’s return on total assets is fair.
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a fairly good level.
SC’s quick ratio is maintained in a fairly good level.
The inventory of SC appears large.
The accounts receivable of SC appears large.
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: FAIRLY
GOOD
The debt ratio of SC is low.
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered large-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.79 |
|
|
1 |
Rs.99.95 |
|
Euro |
1 |
Rs.71.55 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAS |
|
|
|
|
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.