MIRA
INFORM REPORT
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Report No. : |
345594 |
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Report Date : |
19.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
JIANGSU GTIG
HUATAI CO., LTD. |
|
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Registered Office : |
15-16/F,
Huachang Oriental Plaza, Renmin Road, Yangshe Town, Zhangjiagang, Jiangsu
Province 215600 Pr |
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Country : |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
03.03.1992 |
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Com. Reg. No.: |
320582000001511 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Wholesale and retail trade, importing and exporting commodities and
technologies, excluding the goods forbidden to exported by the government;
processing with the imported materials and compensation trade agreement,
barter trade and transit trade. |
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|
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No. of Employees : |
180 |
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 |
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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
JIANGSU GTIG HUATAI CO., LTD.
15-16/F,
HUACHANG ORIENTAL PLAZA, RENMIN ROAD
YANGSHE TOWN,
ZHANGJIAGANG, JIANGSU PROVINCE 215600 PR CHINA
TEL: 86 (0)
512-58683725/58696319
FAX: 86 (0)
512-58696990
***Note: The given
company name (Jiangsu Guo Tai International Group Huatai Imp & Exp Co Ltd)
was SC’s former one.
EXECUTIVE SUMMARY
Date of Registration : MARCH 3, 1992
REGISTRATION NO. : 320582000001511
LEGAL FORM : LIMITED
LIABILITIES COMPANY
CHIEF EXECUTIVE :
YANG
GE (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 50,000,000
staff :
180
BUSINESS CATEGORY : TRADING
Revenue :
CNY 2,262,602,000 (AS OF DEC. 31,
2014)
EQUITIES : CNY 212,302,000 (AS OF DEC. 31, 2014)
WEBSITE : www.toolchina.com
E-MAIL :
info@toolchina.com
PAYMENT :
AVERAGE
Recommended Credit Limit : UP TO USD
3,000,000
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.32 = USD 1 AS OF
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.:
320582000001511 on March 3, 1992.
SC’s Organization Code Certificate No.:
14215533-1
SC’s Tax No.: 320582142155331
SC’s registered capital: CNY 50,000,000
SC’s paid-in capital: CNY 50,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2009-2-10 |
Registered Capital |
CNY 12,000,000 |
CNY 20,000,000 |
|
2010-8-7 |
Registered Capital |
CNY 20,000,000 |
CNY 30,000,000 |
|
-- |
Registration No. |
3205821100892 |
320582000001511 |
|
-- |
Registered Capital |
CNY 30,000,000 |
CNY 50,000,000 |
|
2015-9-16 |
Company Name |
Jiangsu Guotai International Group Huatai Import & Export Co.,
Ltd. |
Jiangsu GTIG Huatai Co., Ltd. |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Jiangsu Guotai International Group Co., Ltd. |
25.00 |
|
Zhangjiagang Free Trade Zone Shengtai Investment Co., Ltd. |
15.00 |
|
Chen Yuxiang |
11.00 |
|
He Xiaoping |
9.45 |
|
Qiu Bo |
10.00 |
|
Xu Guoxin |
6.00 |
|
Yang Ge |
12.00 |
|
Other individuals |
11.55 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and General Manager |
Yang Ge |
|
Director |
Chen Xiaodong |
|
Qiu Bo |
|
|
Chang Renfeng |
|
|
He Xiaoping |
|
|
Chen Yuxiang |
|
|
Xu Bin |
|
|
Supervisor |
Xu Guoxin |
|
Zhang Hui |
|
|
Gu Yin |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Jiangsu Guotai International Group Co., Ltd. 25.00
Zhangjiagang Free Trade Zone Shengtai Investment Co., Ltd. 15.00
Chen Yuxiang 11.00
He Xiaoping 9.45
Qiu Bo 10.00
Xu Guoxin 6.00
Yang Ge 12.00
Other individuals 11.55
Jiangsu Guotai International Group Co., Ltd.
----------------------------------------------------------
Jiangsu Guotai International Group is one of the key enterprise groups
in Jiangsu province of China. It is mainly involved in the imp. & exp. business
of such goods as textiles, garments, handcrafts, hardware, chemicals,
pharmaceutical, steel, ships and so on. It also engages in like hotels,
traveling, real estate, software development, finance and security. It has
gradually formed a diversified operation structure with foreign trade as main
operation.
Website: www.gtig.com
E-mail: allenxu@vip.163.com
Tel: 86 (0) 512-58696206
Fax: 86 (0) 512-58696170
Registration No.: 320000000010627
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 800,000,000
Legal Representative: Zhang Ziyan
Zhangjiagang Free Trade Zone Shengtai Investment Co., Ltd.
------------------------------------------------------------
Registration No.: 320592000019756
Legal Form: Limited Liabilities Company
Registered Capital: CNY 18,000,000
Legal Representative: Zhang Ziyan
MANAGEMENT
Yang Ge, Legal
Representative, Chairman and General Manager
--------------------------------------------------------------------------------------------
Gender: M
Age: 53
ID# 320521196208170019
Qualification: University
Working experience (s):
From 1998 to present, working in SC as legal representative, chairman
and general manager
Also working in Jiangsu Guotai International Group Co., Ltd. as deputy
general manager, and working in Jiangsu Newline Textile Technology Co., Ltd. as
legal representative
Director
-----------
Chen Xiaodong
Qiu Bo
Chang Renfeng
He Xiaoping
Chen Yuxiang
Xu Bin
Supervisor
-------------
Xu Guoxin
Zhang Hui
Gu Yin
BUSINESS
OPERATION
SC’s registered business scope includes wholesale and retail trade,
importing and exporting commodities and technologies, excluding the goods
forbidden to exported by the government; processing with the imported materials
and compensation trade agreement, barter trade and transit trade.
SC is mainly engaged in importing and exporting hardware, chemicals and
garments.
SC’s products mainly include: hand tools, power tools, textiles.
SC sources its products 100% from domestic market, mainly Jiangsu. SC
sells 10% of its products in domestic market, and 90% to overseas market,
mainly India.
The buying terms of SC include Check, T/T 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:
==============
Brady Industries Reno
Delta Galil USA Inc.
Staff &
Office:
--------------------------
SC is known to have approx. 180 staff at present.
SC rents an area as its operating office, but the detailed information
is unknown.
RELATED
COMPANY
SC is known to
invest in the following companies:
Zhangjiagang Guotai Investment Co., Ltd.
Suzhou Sanray Pharmaceutical Co., Ltd.
Jiangsu Guotai International Group Industry Investment Co., Ltd.
Juxian Guotai Non-ferrous Metal Materials Co., Ltd.
Nanjing Upstream Information Technology Co., Ltd.
Jiangsu Newline Textile Technology Co., Ltd.
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
Basic Bank:
Bank of China Zhangjiagang Branch
AC#: 12214808091001
Bank of China Zhangjiagang Chenghang Office
AC#: 12753418091001
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Dec. 31,
2014 |
|
Cash |
314,960 |
1,531,680 |
1,461,720 |
|
Notes receivable |
16,528 |
47,209 |
39,213 |
|
Accounts receivable |
138,151 |
152,852 |
135,920 |
|
Advances to suppliers |
0 |
0 |
0 |
|
Other receivable |
0 |
50 |
0 |
|
Inventory |
222,867 |
130,113 |
204,746 |
|
Prepaid expenses |
0 |
0 |
0 |
|
Other current assets |
17,346 |
25,024 |
42,000 |
|
|
------------------ |
------------------ |
------------------ |
|
Current assets |
709,852 |
1,886,928 |
1,883,599 |
|
Long-term investment |
145,350 |
161,050 |
128,150 |
|
Fixed assets |
46,796 |
44,712 |
41,998 |
|
Construction in progress |
0 |
0 |
0 |
|
Intangible assets |
1,090 |
1,054 |
1,019 |
|
Long-term prepaid expenses |
3,404 |
1,883 |
728 |
|
Deferred income tax assets |
0 |
0 |
0 |
|
Other non-current assets |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
|
Total assets |
906,492 |
2,095,627 |
2,055,494 |
|
|
============= |
============= |
============= |
|
Short-term loans |
0 |
0 |
0 |
|
Notes payable |
81,883 |
108,566 |
40,529 |
|
Accounts payable |
678,817 |
1,799,952 |
1,813,456 |
|
Wages payable |
7,402 |
8,943 |
10,102 |
|
Taxes payable |
-21,556 |
-11,197 |
-22,962 |
|
Advances from clients |
0 |
0 |
0 |
|
Other payable |
1,063 |
1,205 |
1,305 |
|
Accrued expenses |
0 |
0 |
0 |
|
Other current liabilities |
9,656 |
6,901 |
762 |
|
|
------------------ |
------------------ |
------------------ |
|
Current liabilities |
757,265 |
1,914,370 |
1,843,192 |
|
Non-current liabilities |
0 |
0 |
0 |
|
|
------------------ |
------------------ |
------------------ |
|
Total liabilities |
757,265 |
1,914,370 |
1,843,192 |
|
Equities |
149,227 |
181,257 |
212,302 |
|
|
------------------ |
------------------ |
------------------ |
|
Total liabilities & equities |
906,492 |
2,095,627 |
2,055,494 |
|
|
============= |
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Dec. 31,
2014 |
|
Revenue |
1,745,072 |
2,029,123 |
2,262,602 |
|
Cost of sales |
1,685,181 |
1,947,207 |
2,172,279 |
|
Taxes and surcharges |
3,725 |
7,778 |
2,315 |
|
Sales expense |
33,378 |
36,624 |
47,508 |
|
Management expense |
20,156 |
23,091 |
25,957 |
|
Finance expense |
243 |
-10,042 |
-15,667 |
|
Investment income |
21,897 |
17,794 |
17,094 |
|
Non-operating income |
16,655 |
3,340 |
2,747 |
|
Non-operating expense |
1 |
6 |
2 |
|
Profit before tax |
40,942 |
45,594 |
50,048 |
|
Less: profit tax |
5,027 |
6,337 |
9,002 |
|
Profits |
35,915 |
39,257 |
41,046 |
Important Ratios
=============
|
|
As of Dec. 31,
2012 |
As of Dec. 31,
2013 |
As of Dec. 31,
2014 |
|
*Current ratio |
0.94 |
0.99 |
1.02 |
|
*Quick ratio |
0.64 |
0.92 |
0.91 |
|
*Liabilities to assets |
0.84 |
0.91 |
0.90 |
|
*Net profit margin (%) |
2.06 |
1.93 |
1.81 |
|
*Return on total assets (%) |
3.96 |
1.87 |
2.00 |
|
*Inventory / Revenue ×365 |
47 days |
24 days |
34 days |
|
*Accounts receivable / Revenue ×365 |
29 days |
28 days |
22 days |
|
*Revenue / Total assets |
1.93 |
0.97 |
1.10 |
|
*Cost of sales / Revenue |
0.97 |
0.96 |
0.96 |
FINANCIAL
COMMENTS
PROFITABILITY:
FAIRLY GOOD
The revenue of SC appears fairly good in its line.
SC’s net profit margin is average in three years.
SC’s return on total assets is average in three years.
SC’s cost of goods sold is fairly high, comparing with its revenue.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level in 2014.
SC’s quick ratio is maintained in a normal level in 2013 and 2014.
The inventory of SC is maintained in an average level.
The accounts receivable of SC is maintained in an average level.
SC has no short-term loan in three years.
SC’s revenue is in an average level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
The debt ratio of SC is fairly high.
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered medium-sized in its line with fairly good financial
conditions. Taking into consideration of SC’s general performance, reputation
as well as market conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.97 |
|
|
1 |
Rs.100.55 |
|
Euro |
1 |
Rs.73.99 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
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.