MIRA
INFORM REPORT
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Report No. : |
344971 |
|
Report Date : |
16.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
YUYUE HOME TEXTILE CO., LTD. |
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|
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Registered Office : |
No. 1, Xin’er Road, High-Tech Industrial Development
Zone, Binzhou, Shandong Province, 256623 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
09.12.2003 |
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Com. Reg. No.: |
371602018001707 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in purchasing and selling, processing
cotton; manufacturing and selling household textiles. |
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No. of Employees : |
4000 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
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 |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
|
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
YUYUE HOME TEXTILE CO., LTD.
NO.
1, XIN’ER ROAD, HIGH-TECH INDUSTRIAL DEVELOPMENT ZONE,
BINZHOU,
SHANDONG PROVINCE, 256623 PR CHINA
TEL: 86 (0) 543-3618003/3618028/3618015 FAX:
86 (0) 543-3618015
EXECUTIVE SUMMARY
INCORPORATION DATE :
DEC. 9, 2003
REGISTRATION NO. :
371602018001707
REGISTERED LEGAL FORM : LIMITED
LIABILITIES COMPANY
CHIEF EXECUTIVE :
MR. LIU YUEXING (CHAIRMAN)
STAFF STRENGTH :
4,000
REGISTERED CAPITAL :
CNY 100,000,000
BUSINESS LINE :
MANUFACTURING, processing AND TRADING
TURNOVER :
CNY 3,082,318,000 (CONSOLIDATED, AS OF DEC. 31, 2014)
EQUITIES :
CNY 1,696,112,000 (CONSOLIDATED, AS OF DEC. 31, 2014)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
fairLY STABLE
OPERATIONAL TREND :
steady
GENERAL REPUTATION :
well-known
EXCHANGE RATE :
CNY 6.3489 =
USD 1
Adopted abbreviations:
ANS
- amount not stated
NS
- not stated
SC
- subject company (the company inquired by you)
NA
- not available
CNY
- China Yuan Renminbi
SC
was registered as a limited liabilities company at local Administration for
Industry & Commerce (AIC - The official body of issuing and renewing
business license) on Dec. 9, 2003.
Company Status:
Limited liabilities co.
This form of business in PR China
is defined as a legal person. No more than fifty shareholders contribute its registered
capital jointly. Shareholders bear limited liability to the extent of
shareholding, and the co. is liable for its debts only to extent of its total
assets. The characteristics of this form of co. are as follows:
Upon
the establishment of the co., an investment certificate is issued to the each
of shareholders.
The board of directors is
comprised of three to thirteen members.
The minimum registered capital for
a co. is CNY 30,000.
Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology.
Cash contributed by all
shareholders must account for at least 30% of the registered capital.
Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the other
shareholders and to subscribe for the newly increased registered capital of the
co.
SC’s
registered business scope includes processing cotton (with permit if needed);
purchasing and selling cotton; manufacturing, processing and selling spinning,
weaving, dyeing and finishing, warp knitting, garments, textile products,
chemical products (excluding dangerous chemicals, monitoring chemical and
precursor chemicals), dyes, auxiliaries, decorative materials, packaging
materials; technology development, technical services and technology transfer
of new products; researching, developing, manufacturing and selling mobile
phones and other mobile communications products and software; equipment
leasing; import and export business within the scope of the record (with permit
if needed).
SC
is mainly engaged in purchasing and selling, processing cotton; manufacturing
and selling household textiles.
Mr.
Liu Yuexing is the legal representative, chairman and general manager of SC at
present.
SC is
known to have approx. 4,000 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the high-tech industrial development zone of
Binzhou. Our checks reveal that SC covers an area about 994,000 square meters
(1,491 mu).
http://www.yytex.net/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
E-Mail:
yybgs@yytex.net
Changes of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Registration No. |
3716021800170 |
Present one |
|
Shareholders |
Shandong Binzhou Printing & Dyeing Group Co., Ltd. 26%; Labor Union Committee of Shandong Binzhou Printing & Dyeing
Group Co., Ltd. 25%; Other 15 Individuals 49% |
Labor Union Committee of Yuyue Home Textile Co., Ltd. 77.4%; Liu Yuexing 20.0% Labor Union Committee of Shandong Binzhou Printing & Dyeing
Group Co., Ltd. 2.6% |
|
|
Labor Union Committee of Yuyue Home Textile Co., Ltd. 77.4%; Liu Yuexing 20.0% Labor Union Committee of Shandong Binzhou Printing & Dyeing
Group Co., Ltd.2.6% |
Labor Union Committee of Yuyue Home Textile Co., Ltd. 77.4%; Liu Yuexing 20.0%; Binzhou Huili Venture Capital Co., Ltd. (in Chinese Pinyin) 2.6% |
||
|
2015-8-26 |
Labor Union Committee of Yuyue Home Textile Co., Ltd. 77.4%; Liu Yuexing 20.0%; Binzhou Huili Venture Capital Co., Ltd. (in Chinese Pinyin) 2.6% |
Present ones |
Tax
registration no.: 372301757461407
Organization
code: 757461407
For
the past two years there is no record of litigation.
MAIN
SHAREHOLDERS:
Name % of Shareholding
Labor
Union Committee of Yuyue Home Textile Co., Ltd. 80
Liu
Yuexing
20
Legal Representative, Chairman and General Manager:
Mr.
Liu Yuexing, born in 1958, with junior college education, senior engineer, he
is currently responsible for the overall management of SC.
Working
Experience(s):
At
present Working in SC
as legal representative, chairman and general manager
Also
working in Binzhou Dongli Thermoelectric Co., Ltd. (in Chinese Pinyin) and Binzhou Yuyue International Logistics
Co., Ltd. (in Chinese Pinyin) as
legal representative
Supervisor:
Wang
Xianglan
Directors:
Cai
Jianfeng
Zhang
Guoqing
SC
is mainly engaged in purchasing and selling, processing cotton; manufacturing and
selling household textiles.
SC’s
products mainly include: printed series, embroidery series, yard-dyed series
and jacquard series.
SC
sources its materials 90% from domestic market, and 10% from the overseas
market, mainly European countries. SC sells 35% of its products in domestic
market, and 65% to the overseas market, mainly America, Australia, Canada,
United Kingdom, Japan, Malaysia, Korea, and Middle East.
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.
Trademarks
& Patents
|
Registration No. |
8477756 |
6331189 |
8477755 |
|
Registration Date |
2011-8-21 |
2010-11-28 |
2011-8-21 |
|
Trademark Design |
|
|
|
*Major
Clients:
===========
Saint
Melin Group Co., Ltd.
IKEA
Trading (Hong Kong) Ltd.
Goldland
Macao Commercial Offshore Ltd.
Note:
SC’s management refused to release its main suppliers
SC
is known to invest in the following companies:
Binzhou Dongli Thermoelectric Co., Ltd. (in Chinese Pinyin)
Registration No.: 371602018001723
Legal representative: Liu Yuexing
Binzhou Yuyi Textile Science & Technology Co.,
Ltd.
Registration No.: 371602018002228
Legal representative: Meng Lingsheng
Binzhou Yuejia Real Estate Co., Ltd. (in Chinese Pinyin)
Registration No.: 371602000000142
Legal representative: Zheng Yuqiang
Binzhou Yuyue International Logistics Co., Ltd. (in Chinese Pinyin)
Registration No.: 371600000000844
Legal representative: Liu Yuexing
SC
is known to have the following branches:
Yuyue
Home Textile Co., Ltd. Specialty 1st Store
Incorporation
date: 2006-10-30
Registration
no.: 371602119003768
Principal:
Li Chunxia
Yuyue
Home Textile Co., Ltd. Flagship Store
Incorporation
date: 2006-10-30
Registration
no.: 371602119003776
Principal:
Wang Chen
Yuyue
Home Textile Co., Ltd. Special Fiber Branch
Incorporation
date: 2010-6-8
Registration
no.: 371602100000303
Principal:
Wang Yuping
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: SC’s suppliers declined 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.
China
Construction Bank Binzhou Branch
AC#：37001836808059111111
Relationship:
Normal.
Consolidated Balance Sheet
Unit:
CNY’000
|
|
as of Dec. 31, 2014 |
as of Dec. 31, 2013 |
|
Cash & bank |
433,007 |
568,033 |
|
Financial assets at fair value through profit and loss |
1,033 |
2,536 |
|
Notes receivable |
2,240 |
6,392 |
|
Inventory |
405,695 |
427,536 |
|
Accounts receivable |
393,367 |
217,104 |
|
Advances to supplies |
236,076 |
140,065 |
|
Other receivables |
711,301 |
603,356 |
|
Other current assets |
5,052 |
5,753 |
|
|
------------------ |
------------------ |
|
Current assets |
2,187,771 |
1,970,775 |
|
Investment real estate |
20,342 |
21,031 |
|
Fixed assets net value |
1,272,295 |
1,176,871 |
|
Projects under construction |
93,135 |
163,163 |
|
Long-term investments |
47,434 |
32,721 |
|
Intangible assets |
340,885 |
341,118 |
|
Deferred income tax assets |
16,897 |
10,924 |
|
Other assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
3,978,759 |
3,716,603 |
|
|
============= |
============= |
|
Short loans |
1,050,152 |
1,185,307 |
|
Accounts payable |
246,392 |
71,474 |
|
Notes payable |
460,950 |
173,800 |
|
Advances from customers |
44,370 |
34,011 |
|
Employee pay payable |
719 |
793 |
|
Interest payable |
0 |
0 |
|
Taxes payable |
-32,009 |
108,111 |
|
Other Accounts payable |
54,669 |
117,292 |
|
Long-term liabilities due with in one year |
43,000 |
58,463 |
|
Other current liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current liabilities |
1,868,243 |
1,749,251 |
|
Long term liabilities |
414,404 |
450,995 |
|
|
------------------ |
------------------ |
|
Total liabilities |
2,282,647 |
2,200,246 |
|
Shareholders equities |
1,696,112 |
1,516,357 |
|
|
------------------ |
------------------ |
|
Total liabilities & equities |
3,978,759 |
3,716,603 |
|
|
============= |
============= |
Consolidated Income Statement
Unit:
CNY’000
|
|
as of Dec. 31, 2014 |
as of Dec. 31, 2013 |
|
Turnover |
3,082,318 |
2,941,110 |
|
Cost of goods sold |
2,632,267 |
2,523,913 |
|
Taxes and additional of main operation |
14,698 |
10,904 |
|
Sales expense |
42,252 |
34,117 |
|
Management expense |
63,983 |
49,407 |
|
Finance expense |
114,222 |
97,514 |
|
Asset impairment loss |
10,657 |
10,511 |
|
Sound value flexible profit/loss |
-246 |
91 |
|
Investment income |
1,122 |
9,674 |
|
Non-operating income |
8,019 |
11,558 |
|
Non-operating expense |
849 |
2,522 |
|
Profit before tax |
212,285 |
233,545 |
|
Less: profit tax |
52,274 |
18,539 |
|
Net profit |
160,011 |
215,006 |
Important Ratios
=============
|
|
as of Dec. 31, 2014 |
as of Dec. 31, 2013 |
|
*Current ratio |
1.17 |
1.13 |
|
*Quick ratio |
0.95 |
0.88 |
|
*Liabilities to assets |
0.57 |
0.59 |
|
*Net profit margin (%) |
5.19 |
7.31 |
|
*Return on total assets (%) |
4.02 |
5.79 |
|
*Inventory /Turnover ×365 |
49 days |
54 days |
|
*Accounts receivable/Turnover ×365 |
47 days |
27 days |
|
*Turnover/Total assets |
0.77 |
0.79 |
|
* Cost of goods sold/Turnover |
0.85 |
0.86 |
PROFITABILITY: AVERAGE
The
turnover of SC appears good in its line in both years.
SC’s
net profit margin appears fairly good in both years.
SC’s
return on total assets appears fairly good in 2013 but average in 2014.
SC’s
cost of goods sold is average in both years, comparing with its turnover.
LIQUIDITY: AVERAGE
The
current ratio of SC is maintained in a normal level in both years.
SC’s
quick ratio is maintained in a normal level in both years.
SC’s
inventory appears average in both years.
SC’s
accounts receivable appears average in both years.
SC’s
short-term loan appears large in both years.
SC’s
turnover is in a fair level in both years, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
The
debt ratio of SC is average in both years.
The
risk for SC to go bankrupt is fairly low.
Overall financial
condition of the SC: Fairly Stable.
SC
is considered large-sized in its line with fairly stable financial conditions.
The large amount of short-term loan could be a threat to SC’s financial
condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.82 |
|
UK Pound |
1 |
Rs.100.41 |
|
Euro |
1 |
Rs.74.50 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
TRU |
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.