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MIRA INFORM REPORT
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Report No. : |
503910 |
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Report Date : |
18.04.2018 |
IDENTIFICATION DETAILS
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Name : |
DALIAN FUTURE INTERNATIONAL CO., LTD. |
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Registered Office : |
Room 1601, 16f, E-Gang
Building, No. 137 Guangxian Road, High-Tech District, Dalian, Liaoning
Province, 116000 |
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Country : |
China |
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Financials (as on) : |
31.12.216 |
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Date of Incorporation : |
18.08.2010 |
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Credibility
Code: |
9121020455980929X8 |
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Legal Form : |
limited liabilities company |
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Line of Business : |
Subject
registered business scope includes import and export of goods and technology,
domestic general trade (excluding the items prohibited or limited by the laws
and regulations, with permit if needed); import and export agent; economic
information consultation; conference services; exhibition services (with
permit if needed). |
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No. of Employees : |
12 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
C |
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Credit Rating |
Explanation |
Rating Comments |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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
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Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
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. China has implemented reforms in a gradualist fashion, resulting in efficiency gains that have contributed to a more than tenfold increase in GDP since 1978. Reforms began with the phaseout 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 continues to pursue an industrial policy, state support of key sectors, and a restrictive investment regime. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2016 stood as the largest economy in the world, surpassing the US in 2014 for the first time in modern history. China became the world's largest exporter in 2010, and the largest trading nation in 2013. Still, China's per capita income is below the world average.
After keeping its currency tightly linked to the US dollar for years, China in July 2005 moved to an exchange rate system that references a basket of currencies. From mid-2005 to late 2008, the renminbi appreciated more than 20% against the US dollar, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing announced it would allow a resumption of gradual liberalization. From 2013 until early 2015, the renminbi (RMB) appreciated roughly 2% against the dollar, but the exchange rate fell 13% from mid-2015 until end-2016 amid strong capital outflows in part stemming from the August 2015 official devaluation; in 2017 the RMB resumed appreciating against the dollar – roughly 7% from end-of-2016 to end-of-2017. From 2013 to 2017, China had one of the fastest growing economies in the world, averaging slightly more than 7% real growth per year. In 2015, the People’s Bank of China announced it would continue to carefully push for full convertibility of the renminbi, after the currency was accepted as part of the IMF’s special drawing rights basket. However, since late 2015 the Chinese Government has strengthened capital controls and oversight of overseas investments to better manage the exchange rate and maintain financial stability.
The Chinese Government faces numerous economic challenges including: (a) reducing its high domestic savings rate and correspondingly low domestic household consumption; (b) managing its high corporate debt burden to maintain financial stability; (c) controlling off-balance sheet local government debt used to finance infrastructure stimulus; (d) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and college graduates, while maintaining competitiveness; (e) dampening speculative investment in the real estate sector without sharply slowing the economy; (f) reducing industrial overcapacity; and (g) raising productivity growth rates through the more efficient allocation of capital and state-support for innovation. Economic development has progressed further in coastal provinces than in the interior, and by 2016 more than 169.3 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of China’s population control policy known as the “one-child policy” - which was relaxed in 2016 to permit all families to have two children - 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 urbanization. The Chinese Government is seeking to add energy production capacity from sources other than coal and oil, focusing on natural gas, nuclear, and clean energy development. In 2016, China ratified the Paris Agreement, a multilateral agreement to combat climate change, and committed to peak its carbon dioxide emissions between 2025 and 2030.
The government's 13th Five-Year Plan, unveiled in March 2016, emphasizes the need to increase innovation and boost domestic consumption to make the economy less dependent on government investment, exports, and heavy industry. However, China has made more progress on subsidizing innovation than rebalancing the economy. Beijing has committed to giving the market a more decisive role in allocating resources, but the Chinese Government’s policies continue to favor state-owned enterprises and emphasize stability. Chinese leaders in 2010 pledged to double China’s GDP by 2020, and the 13th Five Year Plan includes annual economic growth targets of at least 6.5% through 2020 to achieve that goal. 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. Chinese leaders also have undermined some market-oriented reforms by reaffirming the “dominant” role of the state in the economy, a stance that threatens to discourage private initiative and make the economy less efficient over time. The slight acceleration in economic growth in 2017—the first such uptick since 2010—gives Beijing more latitude to pursue its economic reforms, focusing on financial sector deleveraging and its Supply-Side Structural Reform agenda, first announced in late 2015.
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Source
: CIA |
Company
Name And Address
Dalian Future International CO., LTD.
Room
1601, 16f, E-Gang Building, No. 137 Guangxian Road, High-Tech District, Dalian,
liaoning province, 116000 PR CHINA
TEL: 86
(0) 411-82880202 / 82870033/39577168/ 39577169 FAX: n/a
EXECUTIVE
SUMMARY
INCORPORATION DATE : aug.
18, 2010
Credibility code : 9121020455980929X8
REGISTERED LEGAL FORM : Limited
liabilities company
STAFF STRENGTH : 12
REGISTERED CAPITAL : CNY 3,000,000
BUSINESS LINE : TRADING
TURNOVER : CNY
44,420,000 (AS OF DEC. 31, 2016)
EQUITIES : CNY -380,000 (AS OF DEC. 31, 2016)
PAYMENT : SLOW
MARKET CONDITION : average
FINANCIAL CONDITION : Fair (AS OF YEAR 2016)
OPERATIONAL TREND : fair
GENERAL REPUTATION : average
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 co. at local
Administration for Industry & Commerce (AIC - The official body of issuing and
renewing business license) on Aug. 18, 2010.
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 import and export of goods and technology,
domestic general trade (excluding the items prohibited or limited by the laws
and regulations, with permit if needed); import and export agent; economic
information consultation; conference services; exhibition services (with permit
if needed).
SC is
mainly engaged in trading different kinds of products.
Liu
Xu has been legal representative,
executive director and general manager of SC since 2016.
SC is
known to have approx. 12 employees at present.
SC is currently operating at the above stated address, and this
address houses its operating office in the High-Tech District of Dalian. SC’s employee refused to release the detailed
information of the premise.
http://www.ficfutureinter.com/ The design is professional and the content is
well organized. At present it is in English version.
Email: sales@ficfutureinter.com
Changes of its registered information:
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Date of change |
Item |
Before the change |
After the change |
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2016-08-06 |
Registered capital |
CNY 500,000 |
Present amount |
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Legal representative |
Liu Zuojin |
Present one |
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Shareholders |
Wu Xiaoqian Liu Zuojin |
Present ones |
Import/ Export License Number: 210255980929X
HS
Code: 2102361765
2102966650
As of
the end of 2016, SC’s paid-up capital was CNY 500,000.
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Liu Xu 60
Wu
Xiaoqian 40
l
Legal representative, executive
director and general manager:
Liu Xu is currently responsible for the overall
management of SC.
Working Experience(s):
From 2016 to present Working in SC as legal representative,
executive director and general manager.
l
Supervisor:
Wu Xiaoqian
SC is
mainly engaged in trading different kinds of products.
SC’s products mainly include:
Food Additives
Feed and Fertilizer
Industrial Chemicals
Pharmaceutical Chemicals
Etc.
SC sources its materials 99%
from domestic market, and 1% from overseas market. SC sells 10% of its products
in domestic market, and 90% to overseas 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.
Note: SC refused to release its
main suppliers and clients.
Industry
code: 5100
Industry
name: Wholesale Industry
The
gross domestic product of China in 2016 which is 74,412.72 billion that is
increased 6.7% than previous year.
According to National Bureau of Statistics data released, at
the end of 2015, there are 91,819 wholesale enterprises in China. In 2015,
total assets of wholesale industry was 18119.854 billion Yuan, and increased by
2.81% compared with 2014; total liabilities was 13201.39 billion Yuan, and
increased by 1.42% compared with 2014; main business income was 35848.13
billion Yuan, and declined by 7.45% compared with 2014; main business profit
was 2237.612 billion Yuan, and declined by 1.49% compared with 2014.
SC is not known to have any subsidiary at present.
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.
Shanghai
Pudong Development Bank Dalian Branch
AC# 75010154740008026
Relationship: Normal
Balance
Sheet
Unit:
CNY’000
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As of Dec. 31, 2016 |
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Cash
& bank |
280 |
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Inventory |
1,280 |
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Accounts
receivable |
3,050 |
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Bills
receivable |
0 |
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Other
Accounts receivable |
-1,630 |
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Advances
to suppliers |
0 |
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Subsidy
receivable |
500 |
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Other
current assets |
0 |
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------------------ |
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Current
assets |
3,480 |
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Fixed
assets net value |
280 |
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Long-term
investment |
0 |
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Long-term
deferred expense |
130 |
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Intangible
and other assets |
0 |
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------------------ |
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Total
assets |
3,890 |
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============= |
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Short
loans |
0 |
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Accounts
payable |
-1,310 |
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Advance
from customers |
0 |
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Other
Accounts payable |
5,970 |
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Notes
payable |
0 |
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Taxes
payable |
-390 |
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Other
current liabilities |
0 |
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------------------ |
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4,270 |
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Long
term liabilities |
0 |
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Other
liabilities |
0 |
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------------------ |
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Total
liabilities |
4,270 |
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Equities |
-380 |
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------------------ |
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3,890 |
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Income
Statement
Unit:
CNY’000
Note: We did not find SC’s detailed
financial reports.
Important
Ratios
=============
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As of Dec. 31, 2016 |
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*Current
ratio |
0.81 |
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*Quick
ratio |
0.52 |
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*Liabilities
to assets |
1.10 |
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*Net
profit margin (%) |
-0.77 |
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*Return
on total assets (%) |
-8.84 |
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*Inventory
/Turnover ×365 |
11 days |
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*Accounts
receivable/Turnover ×365 |
26 days |
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*Turnover/Total
assets |
11.42 |
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*
Cost of goods sold/Turnover |
0.89 |
PROFITABILITY:
FAIR
l The
turnover of SC appears average in its line.
l SC’s
net profit margin is fair.
l SC’s
return on total assets is fair.
l SC’s
cost of goods sold is average, comparing with its turnover.
LIQUIDITY:
FAIR
l
The current ratio of SC is maintained
in a fair level.
l
SC’s quick ratio is maintained in a
fair level.
l
The inventory of SC is maintained in an
average level.
l
The accounts receivable of SC is fairly
large.
l
SC has no short-term loan in 2016.
l
SC’s turnover is in a good level,
comparing with the size of its total assets.
LEVERAGE:
POOR
l
The debt ratio of SC is too high.
l
The risk for SC to go bankrupt is above
average.
Overall
financial condition of the SC: Fair. (AS OF YEAR 2016)
SC is
considered small-sized in its line with fair financial conditions. Caution
is required in providing credit to SC & C.O.D. is recommended.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
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US Dollar |
1 |
INR 65.45 |
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|
1 |
INR 93.28 |
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Euro |
1 |
INR 80.74 |
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CNY |
1 |
INR 10.45 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
KET |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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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)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.