MIRA INFORM REPORT
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Report No. : |
343951 |
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Report Date : |
13.10.2015 |
IDENTIFICATION DETAILS
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Name : |
ZHENGZHOU VIPEAK HEAVY INDUSTRY MACHINERY CO., LTD. |
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Registered Office : |
No. 9 Rantun North Road, Zhengzhou Henan Province 450007 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
28.07.2005 |
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Com. Reg. No.: |
410199100031372 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in manufacturing and selling industrial mills. Products mainly
include:
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No. of Employee : |
170 |
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 : |
No complaints |
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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
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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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.
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
ZHENGZHOU VIPEAK HEAVY
INDUSTRY MACHINERY CO., LTD.
NO. 9 RANTUN NORTH ROAD, ZHENGZHOU
HENAN PROVINCE 450007 PR CHINA
TEL: 86 (0) 371-67771000/67770136
FAX: 86 (0) 371-67431834
EXECUTIVE
SUMMARY
Date of Registration : JULY 28, 2005
REGISTRATION NO. : 410199100031372
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny
20,000,000
staff : 170
BUSINESS CATEGORY :
manufacturing & trading
Revenue : CNY 83,680,000 (AS OF DEC. 31, 2014)
EQUITIES : CNY 29,610,000 (AS OF DEC. 31, 2014)
WEBSITE : www.vipeak.com
E-MAIL : webmaster@vipeak.com
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : ordinary
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.32= 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.:
410199100031372 on July 28, 2005.
SC’s Organization Code Certificate No.:
77797801-6
SC’s registered capital: CNY 20,000,000
SC’s paid-in capital: CNY 20,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
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% of Shareholding |
Ning Jin 90% Zhang Jinquan 10% |
Ning Jin 98% Zhang Jinquan 2% |
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Registered Capital |
CNY 1,000,000 |
CNY 5,000,000 |
|
|
-- |
Registration No. |
4101002128701 |
410199100031372 |
|
Legal Representative |
Yang Songke |
Ning Jin |
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|
Registered Capital |
CNY 5,000,000 |
CNY 20,000,000 |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Ning Jin |
98 |
|
Zhang Jinquan |
2 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman and General
Manager |
Ning Jin |
|
Supervisor |
Zhang Jinquan |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Ning Jin 98
Zhang Jinquan 2
MANAGEMENT
Ning Jin, Legal
Representative, Chairman and General Manager
---------------------------------------------------------------------------------------------
Ø
Gender: M
Ø Qualification:
University
Ø Working experience
(s):
At present, working in SC as legal
representative, chairman and general manager
Also
working in Zhengzhou
Vipeak Heavy Industry Machinery Co., Ltd. Sale Branch, Zhengzhou Vipeak Heavy
Industry Machinery Co., Ltd. Chemical Road Branch as principal
Zhang Jinquan, Supervisor
----------------------------------------------
Ø
Gender: M
Ø Qualification:
University
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and
selling mining machines; importing and exporting the above products.
SC is mainly
engaged in manufacturing and selling industrial mills.
Brand: VIPEAK
SC’s products
mainly include:
Mill Series
High Pressure Medium Speed Grinder
MGZ Straight Centrifugal Grinder
HGM Series Micropowder Grinder
Raymond Mill
High Pressure Micro-powder Grinder
Ball Mill
Stone Crushing
Frame Construction Series Jaw Crusher
Jaw Crusher
Impact Crusher
PY Series Spring Cone Crusher
Symons cone crusher
Sand Making Machine
Sand Washing Machine
Hammer Crusher
Circular Vibrating Screen
Vibrating Feeder
Belt Conveyor
Production Line
Stone Crushing & Screening Plants
Sand Making & Washing Plants
Mobile Crusher
Fittings
SC sources its materials 90% from domestic market and 10% from the
overseas market. SC sells 60% of its products in domestic market, and 40% to overseas market, mainly in Europe, America, Canada,
Southeast Asia and Japan.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
*Major Customers*
-----------------------
Orica Mining
Services S.A.
Industria De
Minerales
Staff & Office:
--------------------------
SC is known
to have approx. 170 staff at
present.
SC rents an area as
its operating office and factory, but the detailed information is unknown.
RELATED
COMPANY
Vipeak
(Shanghai) Heavy Industry Machinery Co., Ltd.
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Add:
N0.1088, Xinjinqiao Road, Pudong New District, Shanghai, China
Postcode:201206
International
Trade Department Tel:
0086-21-51382188
0086-21-51382189
Fax:
0086-21-51382186
Email:
vipeak@vipeakgroup.com
SC is known to have 2
branches at present:
Zhengzhou Vipeak Heavy Industry Machinery Co., Ltd. Sale Branch
Zhengzhou Vipeak Heavy Industry Machinery Co., Ltd. Chemical Road 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 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 |
|
2,880 |
|
|
Notes receivable |
0 |
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Accounts
receivable |
0 |
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Advances to
suppliers |
0 |
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Other receivable |
17,910 |
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Inventory |
11,920 |
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Non-current
assets within one year |
0 |
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Other current
assets |
10 |
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------------------ |
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Current assets |
32,720 |
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Fixed assets |
8,680 |
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Construction in
progress |
1,380 |
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Deferred income
tax assets |
0 |
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Other
non-current assets |
14,250 |
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------------------ |
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Total assets |
57,030 |
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============= |
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Short-term loans |
0 |
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Notes payable |
0 |
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Accounts payable |
14,800 |
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Advances from
clients |
-5,490 |
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Other payable |
30 |
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Other current
liabilities |
330 |
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------------------ |
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Current
liabilities |
9,670 |
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Non-current
liabilities |
17,750 |
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------------------ |
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Total
liabilities |
27,420 |
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Equities |
29,610 |
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|
------------------ |
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Total
liabilities & equities |
57,030 |
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============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2014 |
|
Revenue |
83,680 |
|
Cost of sales |
65,290 |
|
Sales expense |
9,740 |
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Management expense |
6,160 |
|
Finance expense |
450 |
|
Profit before
tax |
1,960 |
|
Less: profit tax |
490 |
|
1,470 |
Important Ratios
=============
|
|
As
of Dec. 31, 2014 |
|
*Current ratio |
3.38 |
|
*Quick ratio |
2.15 |
|
*Liabilities
to assets |
0.48 |
|
*Net profit
margin (%) |
1.76 |
|
*Return on
total assets (%) |
2.58 |
|
*Inventory /
Revenue ×365 |
52 days |
|
*Accounts
receivable/ Revenue ×365 |
-- |
|
*Revenue/Total
assets |
1.47 |
|
*Cost of sales
/ Revenue |
0.78 |
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: FAIRLY
GOOD
l
The current ratio of SC is maintained in a fairly
good level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
The inventory of SC appears average.
l
SC has no accounts receivable.
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 low.
l
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.73 |
|
|
1 |
Rs.99.30 |
|
Euro |
1 |
Rs.73.60 |
INFORMATION DETAILS
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Analysis Done by
: |
KIN |
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Report Prepared
by : |
ANK |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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.