MIRA
INFORM REPORT
|
Report No. : |
345818 |
|
Report Date : |
21.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
XINGTAI CITY XINXING
FASTENERS MANUFACTURE CO., LTD. |
|
|
|
|
Registered Office : |
No. 188, Jiangdong Three Road, Development Zone, Xingtai, Hebei Province, 054001 Pr |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
25.08.2006 |
|
|
|
|
Com. Reg. No.: |
130501000017607 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
Design, manufacture, sales and import and export of fasteners
products; sales and import and export of auto parts, machinery, mould and
steel. (With permit if needed). |
|
|
|
|
No. of Employees : |
156 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
Payment Behaviour : |
Slow |
|
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 & address
XINGTAI CITY XINXING FASTENERS MANUFACTURE CO., LTD.
NO. 188, JIANGDONG THREE ROAD, DEVELOPMENT ZONE, XINGTAI,
HEBEI PROVINCE, 054001 PR CHINA
TEL: 86 (0) 319-3633105
FAX: 86 (0) 319-8219118
EXECUTIVE SUMMARY
INCORPORATION DATE :
AUG. 25, 2006
REGISTRATION NO. :
130501000017607
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
CHIEF EXECUTIVE :
MR. YU LIANGBIN (LEGAL
REPRESENTATIVE)
STAFF STRENGTH :
156
REGISTERED CAPITAL :
CNY 10,000,000
BUSINESS LINE :
MANUFACTURING AND TRADING
TURNOVER :
CNY 69,300,000 (AS OF DEC. 31, 2014)
EQUITIES :
CNY 6,360,000 (AS OF DEC. 31, 2014)
PAYMENT :
AVERAGE
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND :
FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.3590= 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 Aug. 25, 2006.
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 design, manufacture, sales and
import and export of fasteners products; sales and import and export of auto
parts, machinery, mould and steel. (With permit if needed).
SC is mainly engaged in manufacturing and trading of fasteners products.
Mr. Yu Liangbin is the legal representative, executive director and
general manager of SC at present.
SC is known to have approx. 156 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in the development zone of Xingtai.
SC’s employee refused to release the gross area of the premise.
http://www.xinxingfasteners.com/ The design is
professional and the content is well organized. At present it is in English
version.
Email: xtxxjgjgs@163.com;
sales@xinxingfasteners.com
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
Organization Code: 792686169
MAIN SHAREHOLDERS:
Name %
of Shareholding
Yu Liangbin 87.5
Yuan Nianqin 12.5
Legal Representative, Executive Director and General Manager:
Mr. Yu Liangbin is currently
responsible for the overall management of SC.
Working Experience(s):
At present Working in SC as
legal representative, executive director and general manager;
Also working in Ningbo Xinxing Fasteners Manufacture Co., Ltd. as legal
representative, executive director and general manager.
Supervisor:
Yuan Nianqin
SC is mainly engaged in manufacturing and trading of fasteners products.
SC’s products mainly include:
Hexagon Bolts
Round Head Bolts
Other Standard Bolts
Non-Standard Special-Shaped Bolts
Hexagon Nuts
Other Standard Nuts
Non-Standard Nuts
Washers
Thread Rods
Furniture Screws
Power Parts
SC sources its materials 100% from domestic market. SC sells 30% of its
products in domestic markets and 70% to overseas market.
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.
Note: SC’s management declined to release its main clients and
suppliers.
According to the website http://www.xinxingfasteners.com/:
Ningbo Xinxing Fasteners Manufacture Co., Ltd.
--------------------------------------------
Registration no.: 330212000254673
Incorporation Date:
Legal representative: Mr. Yu Liangbin
Tel: 0086-574-88475700/88097700
Fax: 0086-574-88475007
Factory Add.: No. 59, Jiangnan Road, Jiangshan Zhen, Ningbo, Zhejiang
Province, China.
Overseas Sales Office: Worldfast Group
Add: C/ Creixell 4,08720 Vilafranca del Penedes, Barcelona, SPAIN
Tel: 0034 93 818 1184
Fax: 0034 93 892 4123
E-mail: export@xinxingfastener.com
Branch:
Xingtai City Xinxing Fasteners Manufacture Co., Ltd. Chongqing Branch
-------------------------------------------------------------------
Registration no.: 500901300015925
Incorporation Date:
Principal: Li Shengnian
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 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.
SC’s management declined to release its bank details.
Balance
Sheet
Unit: CNY’000
|
|
As of Dec. 31,
2014 |
|
Cash & bank |
520 |
|
Inventory |
53,150 |
|
Accounts receivable |
1,970 |
|
Other receivables |
40 |
|
Subsidy receivable |
220 |
|
Notes receivable |
220 |
|
|
------------------ |
|
Current assets |
56,120 |
|
Fixed assets net value |
26,520 |
|
Long-term prepaid expenses |
350 |
|
Other assets |
2,320 |
|
|
------------------ |
|
Total assets |
85,310 |
|
|
=========== |
|
Short loan |
28,120 |
|
Accounts payable |
8,270 |
|
Taxes payable |
410 |
|
Other Accounts payable |
41,440 |
|
Salaries payable |
710 |
|
|
----------------- |
|
Current liabilities |
78,950 |
|
Long term liabilities |
0 |
|
|
------------------ |
|
Total liabilities |
78,950 |
|
Equities |
6,360 |
|
|
------------------ |
|
Total liabilities & equities |
85,310 |
|
|
=========== |
Income
Statement
Unit: CNY’000
|
|
As of Dec. 31, 2014 |
|
Turnover |
69,300 |
|
Cost of goods sold |
63,830 |
|
Tax and additional of main
operation |
60 |
|
Sales expense |
1,570 |
|
Management expense |
3,320 |
|
Finance expense |
2,670 |
|
Subsidy income |
210 |
|
2,120 |
|
|
Non-operating expense |
150 |
|
Profit before tax |
30 |
|
Less: profit tax |
0 |
|
Profits |
30 |
Important
Ratios
=============
|
|
As of Dec. 31, 2014 |
|
*Current ratio |
0.71 |
|
*Quick ratio |
0.04 |
|
*Liabilities to assets |
0.93 |
|
*Net profit margin (%) |
0.04 |
|
*Return on total assets (%) |
0.04 |
|
*Inventory /Turnover ×365 |
280 days |
|
*Accounts receivable/Turnover ×365 |
11 days |
|
*Turnover/Total assets |
0.81 |
|
* Cost of goods sold/Turnover |
0.92 |
PROFITABILITY:
AVERAGE
The turnover of SC appears average in its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of goods sold is average in 2014, comparing with its turnover.
LIQUIDITY: FAIR
The current ratio of SC is maintained in a fair level in 2014.
SC’s quick ratio is maintained in a poor level in 2014.
The inventory of SC appears large in 2014.
The accounts receivable of SC appears average in 2014.
The short-term loan of SC appears large in 2014.
SC’s turnover is in a fair level in 2014, comparing with the size of its
total assets.
LEVERAGE: FAIR
The debt ratio of SC is high.
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable
SC is considered medium-sized in its line with fairly stable financial
conditions. The large amount of inventory and short-term
loan could be a threat to SC’s financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.89 |
|
|
1 |
Rs.100.39 |
|
Euro |
1 |
Rs.73.52 |
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.