MIRA INFORM REPORT
|
Report No. : |
343519 |
|
Report Date : |
09.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
TAIZHOU FUNENGDA INDUSTRY CO.,
LTD. |
|
|
|
|
Registered Office : |
No. 455 Kaifa Avenue, Jiaojiang
District Taizhou, Zhejiang Province 318000 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
18.10.1999 |
|
|
|
|
Com. Reg. No.: |
331000000021265 |
|
|
|
|
Legal Form : |
Limited Liability Company |
|
|
|
|
Line of Business : |
Subject is
mainly engaged in manufacturing, processing and selling packaging machinery. Products mainly
include: ·
Candy Packing Machine ·
Double-twist Candy Packing Machine ·
Single-twist Candy Packing Machine ·
Flow Wrapping Machine ·
Pillow Type Packing Machine ·
Multifuction Servo Pillow Wrapper ·
Aluminum foil wrapping machine ·
Automatic Chocolate Alignment Flow Wrapping Line ·
Automatic Wrapping Solution ·
Candy Depositing Line ·
Vacuum Film Candy Pouring Production Line ·
Chocolate Wrapping Machine ·
Multifunctional Chocolate Wrapper ·
Soft Jelly Production Line ·
Aseptic Filling Machine |
|
|
|
|
No. of Employees : |
65 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 30,000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
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 |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
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 and address
TAIZHOU FUNENGDA INDUSTRY CO., LTD.
NO. 455 KAIFA AVENUE, JIAOJIANG
DISTRICT
TAIZHOU, ZHEJIANG PROVINCE 318000
PR CHINA
TEL: 86 (0) 576-88529118
FAX: 86 (0) 576-88529111
EXECUTIVE
SUMMARY
Date of Registration : october 18, 1999
REGISTRATION NO. : 331000000021265
LEGAL FORM : Limited Liability Company
REGISTERED CAPITAL : CNY 5,280,000
staff : 65
BUSINESS CATEGORY : MANUFACTURING & PROCESSING & TRADING
Revenue : cny 9,120,000 (AS OF DEC. 31, 2014)
EQUITIES : cny 7,990,000
(AS OF DEC. 31, 2014)
WEBSITE : www.funengd a.com
E-MAIL : fnd@funengda.com
PAYMENT : AVERAGE
RECOMMENDED CREDIT LIMIT :
UP TO USD 30,000 (PERIODICAL REVIEW)
MARKET CONDITION : fair
FINANCIAL CONDITION : fair
OPERATIONAL TREND : ordinary
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.37 = 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.: 331000000021265
on October 18, 1999.
SC’s Organization Code Certificate No.: 72004300-9
SC’s Tax No.: 331001720043009
SC’s registered capital: CNY 5,280,000
SC’s paid-in capital: CNY 5,280,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
3310001001146 |
331000000021265 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Jiang Yabin |
75.38 |
|
Wang Xuefen |
24.62 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman and General Manager |
Jiang Yabin
|
|
Supervisor |
Wang Xuefen |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Jiang Yabin 75.38
Wang Xuefen 24.62
MANAGEMENT
Jiang Yabin, Legal Representative, Chairman and General
Manager
-----------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Nationality: China
Ø Qualification: University
Ø Working experience
(s):
At present, working in SC as legal
representative, chairman and general manager
Supervisor
--------------
Wang Xuefen
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and
processing light industry machinery, electrical & electronic products, auto
parts, and motorcycle parts; importing and exporting commodities.
SC is mainly
engaged in manufacturing, processing and selling packaging machinery.
SC’s products
mainly include:
Candy Packing Machine
Double-twist Candy
Packing Machine
Single-twist Candy
Packing Machine
Flow Wrapping
Machine
Pillow Type
Packing Machine
Multifuction Servo
Pillow Wrapper
Aluminum foil
wrapping machine
Automatic
Chocolate Alignment Flow Wrapping Line
Automatic Wrapping
Solution
Candy Depositing
Line
Vacuum Film Candy
Pouring Production Line
Chocolate Wrapping
Machine
Multifunctional
Chocolate Wrapper
Soft Jelly
Production Line
Aseptic Filling
Machine
SC sources its materials 100% from domestic
market. SC sells 40% of its products in domestic market, and 60% to overseas
market.
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.
Staff & Office:
--------------------------
SC is known
to have approx. 65 staff at
present.
SC rents an area
as its operating office and factory, but the detailed information is unknown.
RELATED COMPANY
SC
is not known to have any subsidiary at present.
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
The bank
information of SC is not filed in SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31, 2014 |
|
500 |
|
|
Notes receivable |
0 |
|
Accounts receivable |
130 |
|
Advances to suppliers |
0 |
|
Other receivable |
1,120 |
|
Inventory |
5,080 |
|
Non-current assets within one year |
0 |
|
Other current assets |
10 |
|
|
------------------ |
|
Current assets |
6,840 |
|
Fixed assets |
5,830 |
|
Construction in progress |
640 |
|
Intangible assets |
0 |
|
Long-term investment |
0 |
|
Deferred income tax assets |
0 |
|
Other non-current assets |
7,840 |
|
|
------------------ |
|
Total assets |
21,150 |
|
|
============= |
|
Short-term loans |
9,660 |
|
Notes payable |
0 |
|
Accounts payable |
1,930 |
|
Welfares payable |
0 |
|
Taxes payable |
0 |
|
Advances from clients |
0 |
|
Other payable |
760 |
|
Other current liabilities |
810 |
|
|
------------------ |
|
Current liabilities |
13,160 |
|
Non-current liabilities |
0 |
|
|
------------------ |
|
Total liabilities |
13,160 |
|
Equities |
7,990 |
|
|
------------------ |
|
Total liabilities & equities |
21,150 |
|
|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31, 2014 |
|
Revenue |
9,120 |
|
Cost of sales |
6,140 |
|
Sales expense |
500 |
|
Management expense |
2,630 |
|
Finance expense |
7 |
|
Profit before tax |
-940 |
|
Less: profit tax |
0 |
|
-940 |
Important Ratios
=============
|
|
As of Dec. 31, 2014 |
|
*Current ratio |
0.52 |
|
*Quick ratio |
0.13 |
|
*Liabilities to assets |
0.62 |
|
*Net profit margin (%) |
-10.31 |
|
*Return on total assets (%) |
-4.44 |
|
*Inventory / Revenue ×365 |
204 days |
|
*Accounts receivable / Revenue ×365 |
6 days |
|
*Revenue / Total assets |
0.43 |
|
*Cost of sales / Revenue |
0.67 |
FINANCIAL
COMMENTS
PROFITABILITY:
FAIR
l The revenue of SC
appears fair in its line.
l SC’s net profit
margin is poor.
l SC’s return on
total assets is fair.
l
SC’s cost of sales is average, comparing with its
revenue.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level.
l
SC’s quick ratio is maintained in a poor level.
l
The inventory of SC appears large.
l
The accounts receivable of SC appears small.
l
The short-term loans of SC appear large.
l
SC’s revenue is in a fair 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: Fair.
CONCLUSIONS
SC is considered small-sized in its line with fair financial conditions.
A credit line up to USD 30,000 would appear to be within SC’s capacities upon a
periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.16 |
|
|
1 |
Rs.99.78 |
|
Euro |
1 |
Rs.73.33 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NIT |
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.