MIRA INFORM REPORT
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Report No. : |
346562 |
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Report Date : |
27.10.2015 |
IDENTIFICATION DETAILS
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Name : |
Mary kay (China)
Cosmetics co., LTD. |
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Registered Office : |
No. 35, 14th Avenue (West), Economic And Technological
Development Zone, Hangzhou, Zhejiang Province, 310018 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
26.04.1994 |
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Com. Reg. No.: |
330100400024961 |
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Legal Form : |
Wholly Foreign-Owned Enterprise |
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Line of Business : |
Subject is
engaged in researching, developing, manufacturing and selling skin care
products, cosmetics, perfumes. |
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No. of Employee : |
350 |
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
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
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 |
Company
name
Mary kay (China) Cosmetics co., LTD.
NO. 35, 14TH AVENUE (WEST), Economic
and Technological Development Zone, HANGZHOU, ZHEJIANG PROVINCE, 310018 PR
CHINA
TEL: 86 (0) 571-88336161/88336084 FAX: 86 (0) 571-88336399
EXECUTIVE
SUMMARY
INCORPORATION DATE : APR. 26, 1994
REGISTRATION NO. : 330100400024961
REGISTERED LEGAL FORM : Wholly foreign-owned
enterprise
STAFF STRENGTH :
350
REGISTERED CAPITAL : USD 22,000,000
BUSINESS LINE :
RESEARCHING, DEVELOPING, MANUFACTURING and TRADING
TURNOVER :
CNY 4,635,280,000 (AS OF DEC. 31, 2014)
EQUITIES :
CNY 5,613,250,000 (AS OF DEC. 31, 2014)
PAYMENT :
No Complaints
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRLY GOOD
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : WELL KNOWN
EXCHANGE RATE :
CNY
6.3384 = USD
Adopted abbreviations:
ANS - amount not stated NS
- not stated SC - subject company (the
company inquired by you)
NA - not available CNY -
China Yuan Renminbi
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image017.gif){kind=small}
SC was registered as a wholly foreign-owned enterprise at
local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on Apr. 26, 1994.
Company Status: Wholly foreign-owned enterprise
This form of business in PR China is defined as a legal person. It is a
limited co. established within the territories of PR China with capital
provided totally by the foreign investors. More than one foreign investor may
jointly invest in a wholly foreign-owned enterprise. The investing
party/parties solely exercise management, reap profit and bear risks and
liabilities by themselves. This form of companies usually have a limited
duration is extendible upon approval of Examination and Approval Authorities.
SC’s registered
business scope includes manufacturing: skin care products, cosmetics, perfumes,
food, daily necessities and other related products; researching and developing
new products; providing services and training related to products and sales;
purchasing and exporting packaging components and related materials in the
territory of People's Republic of China, selling Mary Kay products through
direct sales, issuing materials associated with the company and product;
providing design, development and information systems technology services of
its production and management software to the parent company and other
companies invested by the parent
company; wholesaling, retailing, importing and exporting self-produced
products and related raw materials, department stores, jewelry, clothing (with
permit if needed)
SC is mainly
engaged in researching, developing, manufacturing and selling skin care products,
cosmetics, perfumes.
Mr. Chua Kheng
Kok is legal representative and chairman
of SC at present.
SC is known
to have approx. 350 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the economic and technological development zone
of Hangzhou. Our checks reveal that SC owns the total premise, but the gross
area of the premise is unspecific.
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image018.gif){kind=small}
http://www.marykay.com.cn
The website belongs to Mary Kay Inc. The design is professional and the content
is well organized. At present it is in Chinese version.
E-mail: June.Lei@mkcorp.com
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image019.gif){kind=small}
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2001-9-21 |
Registered capital |
USD 8,000,000 |
USD 10,000,000 |
|
2003-8-22 |
Company name |
Hangzhou Mary Kay Cosmetics Co., Ltd. |
Present one |
|
2004-12-2 |
Registered capital |
USD 10,000,000 |
USD 14,000,000 |
|
2010-11-2 |
USD 14,000,000 |
USD 22,000,000 |
|
|
2012-7-20 |
Shareholder |
Mary Kay Cosmetics, Inc. |
Present one |
Tax registration no.: 330195609167206
Organization code: 609167206
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image020.gif){kind=small}
For the past two years there is no record of litigation.
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image021.gif){kind=small}
MAIN SHAREHOLDERS:
Name %
of Shareholding
Mary Kay Inc. (U.S.A.) 100
Mary Kay offers more than 200 premium products
in more than 35 countries around the world. For more than 50 years, Mary Kay
has helped women discover products that they love: innovative skin care,
irresistible makeup and unforgettable fragrances. At the same time, the Mary
Kay business opportunity has helped women from Kansas to Kazakhstan, discover
extra income, empowered choices and true beauty from the inside out.
P.O.Box 799045
Dallas, Texas 75379-9045
1-800-MARY KAY
1-800-627-9529
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image022.gif){kind=small}
l Legal
representative and chairman:
Mr. Chua Kheng Kok, graduated from Ngee Ann
Polytechnic in 1980 as the most outstanding student in the Business Studies
Department and also attended the prestigious Executive Development Program at
Cornell University in 1988. He is currently responsible for the overall
management of SC.
Working Experience(s):
Prior to joining Mary Kay, Mr. Chua
held senior executive positions in the media and film industry in Asia for Hollywood
Studios and has helped spearhead the opening of Korea, Indonesia and China to
Paramount, Universal and MGM’s products.
At present Working in SC as chairman and legal
representative;
Also working in
Mary Kay (Hangzhou) Daily Necessities Co., Ltd. as legal representative.
l General Manager:
Mr. Paul Yee Mak, American, born in 1958,
with university education. He is currently responsible for the daily management
of SC.
Working Experience(s):
At present Working in SC as general manager
Also working in Mary Kay (China)
Cosmetics Co., Ltd. Ningbo Branch, Mary Kay (China) Cosmetics Co., Ltd.
Zhejiang Branch, Mary Kay (China) Cosmetics Co., Ltd. Shanghai Branch, Mary Kay
(China) Cosmetics Co., Ltd. Beijing Branch, etc. as principal.
l Directors:
Dawid Holl
Thomas Sang Cho
l Supervisor:
Anthony Bruce Cocks
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image023.gif){kind=small}
SC is mainly
engaged in researching, developing, manufacturing and selling skin care
products, cosmetics, perfumes.
SC’s main products:
skin care products, cosmetics, perfumes, etc.
SC sources its materials 90% from domestic
market, and 10% from overseas market. SC sells 10% of its products to overseas
market, and 90% in domestic market.
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
No record
Note: SC’s
management refused to release its main suppliers and customers.
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image024.gif){kind=small}
Mary
Kay (Hangzhou) Daily Necessities Co., Ltd. (Literal translation)
===============================================
Incorporation
date: 2000-12-26
Registration
no.: 330198000054411
Legal
rep.: Chua Kheng Kok
According
to the website: http://www.marykay.com.cn
Mary
Kay (China) Cosmetics Co., Ltd. Ningbo Branch
=====================================
Incorporation
date: 1997-1-13
Registration
no.: 330200500021684
Principal:
Paul Yee Mak
Tel:
0574 -87724382
Fax:
0574 -87724281
Mary
Kay (China) Cosmetics Co., Ltd. Zhejiang Branch
=========================================
Incorporation
date: 1995-3-30
Registration
no.: 330100500003005
Principal:
Paul Yee Mak
Tel:
0571-85392301
Fax:
0571-85392313
Mary
Kay (China) Cosmetics Co., Ltd. Shanghai Branch
=========================================
Incorporation
date: 1995-4-12
Registration
no.: 310000500019236
Principal:
Paul Yee Mak
Tel:
021-62257357
Fax:
021-62257327
Mary
Kay (China) Cosmetics Co., Ltd. Beijing Branch
=======================================
Incorporation
date: 1997-1-14
Registration
no.: 110000420020134
Principal:
Paul Yee Mak
Tel:
010-68349559
Fax:
010-68349339
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image025.gif){kind=small}
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.
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image026.gif){kind=small}
Bank of China
AC#：N/A
Relationship:
Normal.
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image027.gif){kind=small}
Balance Sheet
Unit: CNY’000
|
|
as of Dec. 31,
2014 |
|
Cash & bank |
1,930,820 |
|
Inventory |
416,520 |
|
Accounts
receivable |
32,780 |
|
Advances to
supplies |
330 |
|
Other
receivables |
10,270 |
|
Other current
assets |
21,480 |
|
|
------------------ |
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Current assets |
2,412,200 |
|
Fixed assets net
value |
470,220 |
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Projects under
construction |
66,310 |
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Long-term
investments |
663,170 |
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Hold investment
due |
157,000 |
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Long-term
deferred expense |
1,860 |
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Intangible
assets |
0 |
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Other assets |
0 |
|
|
------------------ |
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Total assets |
3,770,760 |
|
|
============= |
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Short loans |
0 |
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Accounts payable |
381,600 |
|
Advances from
customers |
0 |
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Employee pay
payable |
24,950 |
|
Taxes payable |
256,480 |
|
Other payable |
-2,505,520 |
|
|
----------------- |
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Current
liabilities |
-1,842,490 |
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Long term
liabilities |
0 |
|
|
------------------ |
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Total
liabilities |
-1,842,490 |
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Shareholders
equities |
5,613,250 |
|
|
------------------ |
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Total
liabilities & equities |
3,770,760 |
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|
============= |
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2014 |
|
Turnover |
4,635,280 |
|
Cost of goods
sold |
1,516,040 |
|
Taxes and additional of main operation |
0 |
|
Sales expense |
284,190 |
|
Management expense |
114,550 |
|
Finance expense |
-34,650 |
|
Non-operating
income |
-3,590 |
|
Non-operating expense |
0 |
|
Profit before
tax |
2,751,560 |
|
Less: profit tax |
569,240 |
|
Net profit |
2,182,320 |
Important Ratios
=============
|
|
as of Dec. 31,
2014 |
|
*Current ratio |
/ |
|
*Quick ratio |
/ |
|
*Liabilities
to assets |
/ |
|
*Net profit
margin (%) |
47.08 |
|
*Return on
total assets (%) |
57.87 |
|
*Inventory
/Turnover ×365 |
33 days |
|
*Accounts
receivable/Turnover ×365 |
3 days |
|
*Turnover/Total
assets |
1.23 |
|
*Cost of goods
sold/Turnover |
0.33 |
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image028.gif){kind=small}
PROFITABILITY:
GOOD
l
The turnover of SC appears good in its line.
l
SC’s net profit margin is good.
l
SC’s return on total assets is good.
l
SC’s cost of goods sold is low, comparing with the
size of its turnover.
LIQUIDITY: AVERAGE
l
SC’s inventory is maintained in an average level.
l
SC’s accounts receivable appear small.
l
SS has no short-term loan in 2014.
l
SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly good.
%20COSMETICS%20CO.,%20LTD.%20-%20346562%2027-Oct-2015_files/image029.gif){kind=small}
SC is considered medium-sized in its line with fairly good financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.96 |
|
|
1 |
Rs.99.55 |
|
Euro |
1 |
Rs.71.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
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Report Prepared
by : |
ASH |
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.