MIRA INFORM REPORT

 

 

Report No. :

503659

Report Date :

14.04.2018

 

 

 

IDENTIFICATION DETAILS

 

Name :

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD

 

 

Registered Office :

8, Temasek Boulevard, 08-05, Suntec Tower Three, 038988

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2016

 

 

Date of Incorporation :

04.10.2012

 

 

Com. Reg. No.:

201224479W

 

 

Legal Form :

Private Limited (Limited By Share)

 

 

Line of Business :

The Subject is engaged in the investment holding.

 

 

No. of Employees :

Not available

 

 

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23rd January 2017)

 

MIRA’s Rating :

B

 

Credit Rating

Explanation

Rating Comments

B

Medium Risk

Business dealings permissible on a regular monitoring basis

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but Correct

 

 

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

 

Country Name

Previous Rating

(30.09.2017)

Current Rating

(31.12.2017)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

SINGAPORE - ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors.

The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010. Growth in 2014-17 was slower than during the previous decade, at under 3% annually, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector.

The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity growth, and increasing Singaporean wages. Singapore has attracted major investments in advanced manufacturing, pharmaceuticals, and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and technology hub. Singapore is a member of the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea, and New Zealand. In 2015, Singapore formed, with the other ASEAN members, the ASEAN Economic Community.

 

Source : CIA

 

 

EXECUTIVE SUMMARY

 

REGISTRATION NO.

:

201224479W

COMPANY NAME

:

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

04/10/2012

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

8, TEMASEK BOULEVARD, 08-05, SUNTEC TOWER THREE, 038988, SINGAPORE.

BUSINESS ADDRESS

:

8 TEMASEK BOULEVARD #08-05 SUNTEC TOWER THREE,, 038988, SINGAPORE.

TEL.NO.

:

65-68846338

FAX.NO.

:

65-68846338

CONTACT PERSON

:

SHEN KE ( DIRECTOR )

PRINCIPAL ACTIVITY

:

INVESTMENT HOLDING

ISSUED AND PAID UP CAPITAL

:

1,000,000.00 ORDINARY SHARE, OF A VALUE OF USD 1,000,000.00

SALES

:

USD 4,366,168 [2016]

NET WORTH

:

USD 157,802 [2016]

STAFF STRENGTH

:

N/A

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

STABLE

PAYMENT

:

SLOW BUT CORRECT

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

N/A

CURRENCY EXPOSURE

:

N/A

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

MARGINAL GROWTH

 

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

 

The Subject is principally engaged in the (as a / as an) investment holding.

 

The immediate and ultimate holding company of the Subject is ZOOMLION HEAVY INDUSTRY SCIENCE AND TECHNOLOGY CO., LTD., a company incorporated in CHINA.

 

Share Capital History

Date

Issue & Paid Up Capital

13/04/2018

USD 1,000,000.00

 

The major shareholder(s) of the Subject are shown as follows :

 

Current Shareholder(s) :

Name

Address

IC/PP/Loc No

Shareholding

(%)

ZOOMLION HEAVY INDUSTRY SCIENCE AND TECHNOLOGY CO., LTD.

361, YIN PEN SOUTH ROAD, CHANGSHA CITY, HUNAN PROVINCE CHINA

T12UF3720

1,000,000.00

100.00

---------------

------

1,000,000.00

100.00

============

=====

+ Also Director

 

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :


Local No

Country

Company

Status

(%)

As At

INDONESIA

PT ZOOMLION INDONESIA HEAVY INDUSTRY

-

99.00

31/12/2016

PAKISTAN

ZOOMLION PAKISTAN (PVT) LIMITED

-

100.00

31/12/2016

INDIA

ZOOMLION TRADE (INDIA) PVT LTD

-

90.00

31/12/2016

 

 

 

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

SHEN KE

Address

:

224, YOU YI ZHAI, YUE LU DISTRICT, CHANGSHA CITY, CHINA.

IC / PP No

:

G51724769

Nationality

:

CHINESE

Date of Appointment

:

04/10/2012


INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

201224479W

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD.

Director

04/10/2012

0.00

-

USD100,564.00

2016

-

13/04/2018

 

DIRECTOR 2

 

Name Of Subject

:

LIU QINGLIN

Address

:

99, JALAN SENDUDOK, 05-88, THE NAUTICAL, 769475, SINGAPORE.

Other Address(es)

:

353B, ADMIRALTY DRIVE, 08-286, 752353, SINGAPORE.

IC / PP No

:

S7977463D

Nationality

:

SINGAPOREAN

Date of Appointment

:

04/10/2012


INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

201132519W

DEEMON PTE. LTD.

Secretary Director

08/11/2011 08/11/2011

0.00

-

-

2013

-

11/12/2013

2

201024398K

GLOBAL DYNAMIC INVESTMENTS PTE. LTD.

Director Secretary

17/03/2015 17/03/2015

0.00

-

SGD(240,155.00)

2013

-

14/12/2015

3

201120253H

HONG RONG INVESTMENT PTE. LTD.

Director Secretary

26/08/2011 26/08/2011

0.00

-

-

2013

-

29/09/2015

4

201316790G

MOTOLOGY ELECTRIC PTE. LTD.

Secretary

21/06/2013

0.00

-

-

2014

-

09/11/2016

5

201132556R

SINGAPORE HORIZON INTERNATIONAL INVESTMENT PTE. LTD.

Director Secretary

08/11/2011 08/11/2011

0.00

-

-

2013

-

16/12/2015

6

201502982H

SINGAPORE YONGSHENG ENERGY INVESTMENT PTE. LTD.

Secretary Director

30/01/2015 30/01/2015

0.00

-

-

2014

-

31/03/2016

7

201314076M

SINO GLORY ENERGY GROUP PTE. LTD.

Secretary

30/09/2015

0.00

-

SGD(377,807.71)

2014

Disolved

(04/07/2016)

16/03/2017

8

201117284N

SINO-STAR INT'L TRADING PTE. LTD.

Director Secretary

20/07/2011 20/07/2011

0.00

-

-

2013

-

03/09/2015

9

201216492C

WELLFORE EXMETAL PTE. LTD.

Secretary Director

04/07/2012 04/07/2012

0.00

-

-

2013

-

10/09/2014

10

201012995N

ZHONG RUN GROUP PTE. LTD.

Secretary

18/01/2014

0.00

-

-

-

-

30/06/2014

11

201132525G

ZOELIC PTE. LTD.

Director Secretary

08/11/2011 08/11/2011

0.00

-

-

2013

-

11/12/2013

12

201224479W

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD.

Director Secretary

04/10/2012 04/10/2012

0.00

-

USD100,564.00

2016

-

13/04/2018

 

 

MANAGEMENT

 

 

 

1)

Name of Subject

:

SHEN KE

Position

:

DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

FAC ASSURANCE PAC

Auditor' Address

:

N/A

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

LIU QINGLIN

IC / PP No

:

S7977463D

Address

:

99, JALAN SENDUDOK, 05-88, THE NAUTICAL, 769475, SINGAPORE.

 

 

 

BANKING


No Banker found in our databank.

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation.

 

 

CIVIL LITIGATION CHECK - SUBJECT COMPANY AS A DEFENDANT


* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

 

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

N/A

Overseas

:

N/A


The Subject is a service provider.

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

]

Average 61-90 Days

[

X

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

N/A

Overseas

:

N/A


The staff from the Subject's registered office refused to disclose the Subject's clientele.

OPERATIONS

 

Services

:

INVESTMENT HOLDING

 

Branch

:

NO

Other Information:


The Subject is principally engaged in the (as a / as an) investment holding.

The staff from the Subject's registered office refused to disclose the Subject's operation.

 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-68846338

Match

:

N/A

Address Provided by Client

:

8 TEMASEK BOULEVARD #14-03A SUNTEC TOWER THREE SINGAPORE 038988

Current Address

:

8 TEMASEK BOULEVARD #08-05 SUNTEC TOWER THREE,, 038988, SINGAPORE.

Match

:

NO


We have contacted the Subject's Accountant and its Company Secretary for the latest financial accounts. However they have rejected our request in view of the confidentiality of the documents.

 

Other Investigations

 

we contacted one of the staff from the Subject's registered office and she only provided limited information.

The address provided is the Subject's former registered address.

She refused to disclose the Subject's number of employees and bankers.

 

FINANCIAL ANALYSIS

 

Profitability

Turnover

:

Erratic

[

2013 - 2016

]

Profit/(Loss) Before Tax

:

Increased

[

2013 - 2016

]

Return on Shareholder Funds

:

Favourable

[

63.73%

]

Return on Net Assets

:

Favourable

[

63.73%

]

The fluctuating turnover reflects the fierce competition among the existing and new market players.The management had succeeded in turning the Subject into a profit making company. The profit could be due to better control of its operating costs and efficiency in utilising its resources. Generally the Subject was profitable. The favourable return on shareholders' funds and return on net assets indicate that the Subject's management was efficient in utilising the assets to generate returns.

Working Capital Control

Debtor Ratio

:

Favourable

[

46 Days

]

Creditors Ratio

:

Favourable

[

0 Days

]

The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

Liquidity

Liquid Ratio

:

Unfavourable

[

0.80 Times

]

Current Ratio

:

Unfavourable

[

0.80 Times

]

A low liquid ratio means that the Subject may be facing working capital deficiency. If the Subject cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.

Solvency

Interest Cover

:

Nil

[

0.00 Times

]

Gearing Ratio

:

Favourable

[

0.00 Times

]

The Subject's interest cover was nil as it did not pay any interest during the year. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.

Overall Assessment :

The Subject's turnover showed a volatile trend but its losses were lower when compared to the previous corresponding period. This could suggest that the Subject was more efficient in its operating cost control and was more competitive. Due to its weak liquidity position, the Subject will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the Subject. The Subject did not make any interest payment during the year. The Subject was dependent on its shareholders' funds to finance its business needs. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.

Overall financial condition of the Subject : STABLE

 

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators :

2013

2014

2015

2016

2017*

 

Population (Million)

5.40

5.47

5.54

5.61

5.61

Gross Domestic Products ( % )

5.1

3.9

2.2

2.4

3.6

Consumer Price Index

2.4

1.0

(0.5)

(0.5)

0.6

Total Imports (Million)

466,762.0

463,779.1

407,767.9

398,372.0

403,300.0

Total Exports (Million)

513,391.0

518,922.7

476,285.4

468,552.0

466,900.0

 

Unemployment Rate (%)

1.9

1.9

1.9

2.1

-

Tourist Arrival (Million)

15.46

15.01

15.23

16.28

-

Hotel Occupancy Rate (%)

86.3

85.5

84.0

83.1

84.7

Cellular Phone Subscriber (Million)

1.97

1.98

1.99

-

-

 

Registration of New Companies (No.)

37,288

41,589

34,243

35,227

37,395

Registration of New Companies (%)

9.8

11.5

(17.7)

2.9

6.2

Liquidation of Companies (No.)

17,369

18,767

21,384

23,218

22,379

Liquidation of Companies (%)

(5.3)

8.0

13.9

8.6

(3.6)

 

Registration of New Businesses (No.)

22,893

35,773

28,480

27,120

22,148

Registration of New Businesses (%)

1.70

56.30

(20.39)

(4.78)

(18.33)

Liquidation of Businesses (No.)

22,598

22,098

26,116

35,866

24,344

Liquidation of Businesses (%)

0.5

(2.2)

18.2

37.3

(32.1)

 

Bankruptcy Orders (No.)

1,992

1,757

1,776

1,797

1,638

Bankruptcy Orders (%)

14.0

(11.8)

1.0

1.2

(8.9)

Bankruptcy Discharges (No.)

2,584

3,546

3,499

4,359

2,030

Bankruptcy Discharges (%)

37.4

37.2

(1.3)

24.6

(53.4)

 

INDUSTRIES ( % of Growth ) :

Agriculture

Production of Principal Crops

1.78

4.29

3.04

-

-

Fish Supply & Wholesale

(3.8)

(8.6)

(8.5)

(9.9)

-

 

Manufacturing #

Food, Beverages & Tobacco

97.9

99.4

100.0

103.7

110.3

Textiles

119.5

102.7

100.0

92.4

84.4

Wearing Apparel

334.1

212.6

100.0

83.4

88.2

Leather Products & Footwear

122.0

106.5

100.0

88.8

79.0

Wood & Wood Products

103.0

107.2

100.0

95.0

92.9

Paper & Paper Products

104.4

104.5

100.0

97.3

96.1

Printing & Media

113.8

105.968

100.0

85.1

73.1

Crude Oil Refineries

100.7

92.2

100.0

104.2

113.5

Chemical & Chemical Products

88.4

96.7

100.0

98.9

105.3

Pharmaceutical Products

101.421

109.4

100.0

113.8

96.0

Rubber & Plastic Products

109.497

109.2

100.0

91.4

93.7

Non-metallic Mineral

107.4

90.759

100.0

89.8

72.9

Basic Metals

77.2

99.3

100.0

106.2

108.3

Fabricated Metal Products

107.5

107.757

100.0

93.8

91.3

Machinery & Equipment

109.1

118.2

100.0

80.8

86.1

Electrical Machinery

87.4

97.871

100.0

101.5

111.7

Electronic Components

105.0

105.6

100.0

114.1

151.4

Transport Equipment

111.1

106.68

100.0

101.0

99.5

 

Construction

25.40

22.00

-

-

-

Real Estate

88.5

145.1

-

-

-

 

Services

Electricity, Gas & Water

6.70

6.50

-

-

-

Transport, Storage & Communication

9.80

14.20

-

-

-

Finance & Insurance

3.30

6.00

-

7.40

-

Government Services

6.50

6.30

-

-

-

Education Services

3.10

5.98

-

2.40

-

 

* Estimate / Preliminary

# Based on Index of Industrial Production (2015 = 100)



INDUSTRY ANALYSIS

 

INDUSTRY :

ECONOMY

In the fourth quarter of 2017, the economy grew by 3.6% on a year-on-year basis, moderating from the 5.5% growth in the previous quarter. The sectors which contributed the most to growth in the quarter were the manufacturing and finance & insurance sectors. For the whole of 2017, the economy expanded by 3.6%, higher than the 2.4% growth in 2016. All major sectors grew in 2017, with the exception of the construction sector. The manufacturing and finance & insurance sectors were the key contributors to overall GDP growth.

The manufacturing sector expanded by 4.8% in the fourth quarter 2017, slowing from the 19% surge in the third quarter. Growth was led by robust output expansions in the electronics and precision engineering clusters, which more than offset declines in the biomedical manufacturing and transport engineering clusters. For full year 2017, the manufacturing sector grew by 10%, higher than the 3.7% growth in 2016. Growth was primarily driven by the electronics and precision engineering clusters, while output declines in the biomedical manufacturing, transport engineering and general manufacturing clusters weighed on growth.

The services producing industries collectively expanded to 3.5% in the fourth quarter 2017, the same pace of growth as the previous quarter. Among the services sectors, the finance & insurance sector registered the strongest growth at 6.3%, followed by the information & communications (6.0%) and the transportation & storage (5.3%) sectors. Services producing industries as a whole expanded to 2.8% in full year 2017, faster than the 1.4% growth in 2016. All services sectors saw positive growth.

Among the services sectors, the transportation & storage and finance & insurance sectors registered the fastest pace of growth in 2017. Growth of the transportation & storage sector came in at 4.8%, a pickup from the 1.3% in 2016, largely due to stronger growth in the water transport and air transport segments. Similarly, the finance & insurance sector expanded by 4.8%, improving from the 1.6% growth in 2016. The robust performance of the sector was largely because of strong growth in the fund management segment, even as growth in the financial intermediation and insurance segments remained firm.

Besides, the construction sector contracted to 5.0%, extending the 9.3% decline in the third quarter 2017. The output of the sector was weighed down primarily by the weakness in private sector construction activities, as certified payments across all private construction segments declined. Meanwhile, the construction sector contracted to 8.4% in 2017, a reversal from the 1.9% growth in 2016. Output in the sector was primarily weighed down by the weakness in private sector construction works.

In the fourth quarter 2017, total demand rose by 4.9%, lower than the 5.5% growth in the preceding quarter. For the whole of 2017, growth in total demand came in at 4.4%, an improvement from the 1.6% in 2016. External demand was the key contributor to total demand growth (3.0 percentage-points), while the contribution from domestic demand was also positive (1.4 percentage-points).

Total domestic demand rose by 6.6 % in the fourth quarter 2017, following the 8.5% growth in the previous quarter. Growth was supported primarily by the build-up in inventories and also higher consumption expenditure. Gross fixed capital formation also contributed positively to total domestic demand growth in the quarter. For 2017 as a whole, total domestic demand increased by 5.4%, higher than the 3.1% expansion in 2016. Meanwhile, external demand rose by 4.2% in the fourth quarter 2017, similar to the 4.4% growth in the preceding quarter. The increase in external demand was primarily due to higher real merchandise exports. For the full year 2017, external demand grew at a faster pace of 4.1%, compared to the 1.1% growth in 2016.

Total consumption expenditure rose at a slower pace of 4.4% in the fourth quarter 2017, compared to the 5.7% expansion in the previous quarter. For the full year 2017, total consumption expenditure grew by 3.3%, an improvement from the 2.1% growth in 2016, on the back of faster growth in both public and private consumption. Public consumption expanded by 4.1%, compared to 3.5% in 2016, while private consumption grew by 3.1%, compared to 1.7% in the previous year. Expenditure on miscellaneous goods & services, recreation & culture and housing & utilities were the main contributors to private consumption growth.

Since November 2017, the outlook for global growth has improved slightly with the IMF upgrading its global growth forecast for 2018 to 3.9%, partly on the back of higher growth expected in the US due to the recently approved tax reforms. However, as compared to 2017, growth in most of Singapore’s key final demand markets such as the Eurozone, Japan, NIEs and ASEAN-5 is projected to moderate or remain unchanged in 2018. In the US, GDP growth is projected to improve further in 2018, supported by domestic demand and fiscal stimulus arising from the recently approved tax reforms, although there are uncertainties around the extent to which investments would respond to the tax reforms. On the other hand, growth in the Eurozone economy is projected to moderate in 2018, following the rebound seen in 2017. Growth will be underpinned by continued improvements in labour market conditions and largely accommodative monetary policies.

In Asia, China’s growth is also expected to ease in 2018 on the back of a slowdown in investment, even as consumption is likely to remain stable and provide support to growth. Meanwhile, growth in the key ASEAN economies is expected to remain firm in 2018, supported by sustained improvements in domestic demand as well as merchandise exports. On balance, the external demand outlook for Singapore is expected to be slightly weaker in 2018 as compared to 2017. Taking into account the global and domestic economic environments, Ministry of Trade and Industry (MTI) has maintained the 2018 GDP growth forecast at “1.5 to 3.5%”. MTI’s central view is that growth will likely come in slightly above the middle of the forecast range, barring the materialisation of downside risks.

OVERALL INDUSTRY OUTLOOK : MARGINAL GROWTH



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 2012, the Subject is a Private Limited company, focusing on investment holding. Having been in business for more than 5 years, the Subject has established a remarkable clientele base for itself which has contributed to its business growth. Presently, the issued and paid up capital of the Subject stands at USD 1,000,000. The Subject have a strong support from its holding company.

Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

Despite the lower turnover, the Subject's pre-tax profit have increased compared to the previous year. The higher profit could be due to better control of its operating costs and efficiency in utilising its resources. Based on the higher profitability, the Subject has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. Being a zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business.

The Subject's payment habit is average. With its adequate working capital, the Subject should be able to pay its short term debts.

The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities. Thus, the Subject's future performance is very much depend on its marketing strategies in order to retain its position in the market.

In view of the above, we recommend credit be granted to the Subject with close monitoring.



Financials

 

PROFIT AND LOSS ACCOUNT

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD.

 

Financial Year End

2016-12-31

2015-12-31

2013-12-31

Months

12

12

3

Consolidated Account

Company

Company

Company

Audited Account

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

Financial Type

FULL

FULL

FULL

Currency

USD

USD

USD

TURNOVER

4,366,168

4,975,259

209,212

Other Income

62,500

-

-

----------------

----------------

----------------

Total Turnover

4,428,668

4,975,259

209,212

Costs of Goods Sold

-

-

(205,028)

----------------

----------------

----------------

Gross Profit

-

-

4,184

----------------

----------------

----------------

PROFIT/(LOSS) FROM OPERATIONS

100,564

(665,150)

(8,605)

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

100,564

(665,150)

(8,605)

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

100,564

(665,150)

(8,605)

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

(942,762)

(277,612)

-

----------------

----------------

----------------

As restated

(942,762)

(277,612)

-

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

(842,198)

(942,762)

(8,605)

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

(842,198)

(942,762)

(8,605)

=============

=============

=============

DEPRECIATION (as per notes to P&L)

2,176

15,248

-

----------------

----------------

----------------

Total Amortization And Depreciation

2,176

15,248

-

=============

=============

 

BALANCE SHEET

 

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD.

 

ASSETS EMPLOYED:

FIXED ASSETS

-

57,409

-

LONG TERM INVESTMENTS/OTHER ASSETS

Subsidiary companies

1,020,929

820,929

780,124

Others

62,133

61,629

78,750

----------------

----------------

----------------

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

1,083,062

882,558

858,874

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

1,083,062

939,967

858,874

CURRENT ASSETS

Stocks

-

514,168

-

Trade debtors

548,273

89,352

6,535

Other debtors, deposits & prepayments

5,902

42,138

-

Amount due from related companies

1,868,686

1,285,711

-

Cash & bank balances

1,216,300

580,932

333,651

----------------

----------------

----------------

TOTAL CURRENT ASSETS

3,639,161

2,512,301

340,186

----------------

----------------

----------------

TOTAL ASSET

4,722,223

3,452,268

1,199,060

=============

=============

=============

CURRENT LIABILITIES

Trade creditors

839

3,588

-

Other creditors & accruals

141,508

112,218

2,637

Amounts owing to holding company

4,422,074

3,279,224

205,028

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

4,564,421

3,395,030

207,665

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

(925,260)

(882,729)

132,521

----------------

----------------

----------------

TOTAL NET ASSETS

157,802

57,238

991,395

=============

=============

=============

FINANCED BY:

SHARE CAPITAL

Ordinary share capital

1,000,000

1,000,000

1,000,000

----------------

----------------

----------------

TOTAL SHARE CAPITAL

1,000,000

1,000,000

1,000,000

RESERVES

Retained profit/(loss) carried forward

(842,198)

(942,762)

(8,605)

----------------

----------------

----------------

TOTAL RESERVES

(842,198)

(942,762)

(8,605)

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

157,802

57,238

991,395

=============

=============

=============

 

FINANCIAL RATIO

 

ZOOMLION SINGAPORE INVESTMENT HOLDINGS PTE. LTD.

 

TYPES OF FUNDS

Cash

1,216,300

580,932

333,651

Net Liquid Funds

1,216,300

580,932

333,651

Net Liquid Assets

(925,260)

(1,396,897)

132,521

Net Current Assets/(Liabilities)

(925,260)

(882,729)

132,521

Net Tangible Assets

157,802

57,238

991,395

Net Monetary Assets

(925,260)

(1,396,897)

132,521

PROFIT & LOSS ITEMS

Earnings Before Interest & Tax (EBIT)

100,564

(665,150)

(8,605)

Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)

102,740

(649,902)

(8,605)

BALANCE SHEET ITEMS

Total Borrowings

0

0

0

Total Liabilities

4,564,421

3,395,030

207,665

Total Assets

4,722,223

3,452,268

1,199,060

Net Assets

157,802

57,238

991,395

Net Assets Backing

157,802

57,238

991,395

Shareholders' Funds

157,802

57,238

991,395

Total Share Capital

1,000,000

1,000,000

1,000,000

Total Reserves

(842,198)

(942,762)

(8,605)

GROWTH RATIOS (Year on Year) (%)

Revenue

(12.24)

(59.08)

-

Proft/(Loss) Before Tax

115.12

(95.39)

-

Proft/(Loss) After Tax

115.12

(95.39)

-

Total Assets

36.79

(52.77)

-

Total Liabilities

34.44

(46.91)

-

LIQUIDITY (Times)

Cash Ratio

0.27

0.17

1.61

Liquid Ratio

0.80

0.59

1.64

Current Ratio

0.80

0.74

1.64

WORKING CAPITAL CONTROL (Days)

Stock Ratio

0

38

0

Debtors Ratio

46

7

11

Creditors Ratio

0

0

0

SOLVENCY RATIOS (Times)

Gearing Ratio

0

0

0

Liabilities Ratio

28.92

59.31

0.21

Times Interest Earned Ratio

0

0

0

Assets Backing Ratio

0.16

0.06

0.99

PERFORMANCE RATIO (%)

Operating Profit Margin

2.30

(13.37)

(4.11)

Net Profit Margin

2.30

(13.37)

(4.11)

Return On Net Assets

63.73

(1,162.08)

(0.87)

Return On Capital Employed

63.73

(1,162.08)

(0.87)

Return On Shareholders' Funds/Equity

63.73

(1,162.08)

(0.87)

Dividend Pay Out Ratio (Times)

0

0

0

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

0




 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

INR 65.22

UK Pound

1

INR 92.77

Euro

1

INR 80.34

SGD

1

INR  49.70

 

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

PRA

 

 

Report Prepared by :

KET

                                                


 

RATING EXPLANATIONS

 

Credit Rating

Explanation

Rating Comments

A++

Minimum Risk

Business dealings permissible with minimum risk of default

A+

Low Risk

Business dealings permissible with low risk of default

A

Acceptable Risk

Business dealings permissible with moderate risk of default

B

Medium Risk

Business dealings permissible on a regular monitoring basis

C

Medium High Risk

Business dealings permissible preferably on secured basis

D

High Risk

Business dealing not recommended or on secured terms only

NB

New Business

No recommendation can be done due to business in infancy stage

NT

No Trace

No recommendation can be done as the business is not traceable

 

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

 

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 are as follows:

 

·         Financial condition covering various ratios

·         Company background and operations size

·         Promoters / Management background

·         Payment record

·         Litigation against the subject

·         Industry scenario / competitor analysis

·         Supplier / Customer / Banker review (wherever available)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.