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MIRA INFORM REPORT
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Report No. : |
495319 |
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Report Date : |
06.03.2018 |
IDENTIFICATION DETAILS
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Name : |
XIAMEN WISDOM SUPPLY CHAIN CO., LTD. |
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Registered Office : |
Rm. 1101, Hualun International Building, No. 1, Guyan Road, Xiang’an District, Xiamen, Fujian
Province, 361100 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2017 |
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Date of Incorporation : |
07.05.2015 |
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Credibility Code : |
913502063030476749 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Registered business scope includes international freight forwarding;
domestic freight forwarding; other not specified transport agency business (with
permit if needed); wholesaling wine, beverage and tea, dairy products
(including infant formula), other bulk food, pastries, sweets and sugar;
import and export of various goods and technologies (not attached to the
import and export directory), but excluding the goods forbidden by the
government; other warehousing (with permit if needed); handling; wholesaling
cereal, beans and potatoes; wholesaling forestry products; wholesaling
farming products; wholesaling textiles, knitting textiles and raw materials;
wholesaling garments, shoes and caps; wholesaling cosmetics and hygiene
products; wholesaling kitchen, bathroom appliances and groceries; wholesaling
lighting and decorative items; wholesaling home appliances; wholesaling other
household items; wholesaling jewelry, handicrafts and collectibles wholesale
(excluding artifacts); wholesaling other stationery; wholesaling medical
machinery; wholesaling metal and metal mines (excluding the dangerous
chemicals and the controlled chemicals); wholesaling building materials;
wholesaling other chemicals (excluding
the dangerous chemicals and the controlled chemicals); wholesaling
agricultural machinery; wholesaling hardware products; wholesaling electrical
equipment; wholesaling other mechanical equipment and electronic products;
trade agency; other trade brokers and agents; other not specified wholesale
business(with permit if needed); wholesaling food additives; wholesaling
sporting goods and equipment (excluding crossbow). |
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No. of Employees : |
10 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
B |
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Credit Rating |
Explanation |
Rating Comments |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but Correct |
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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 early2015, 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
XIAMEN WISDOM SUPPLY CHAIN Co., Ltd.
RM. 1101, HUALUN INTERNATIONAL BUILDING, NO. 1,
GUYAN ROAD,
XIANG’AN DISTRICT, XIAMEN, FUJIAN PROVINCE,
361100 PR CHINA
TEL: 86 (0) 592-7680597/86 (0) 13459568809 FAX:
n/a
EXECUTIVE
SUMMARY
INCORPORATION DATE :
MAY 7, 2015
CREDIBILITY CODE :
913502063030476749
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
10
REGISTERED CAPITAL : CNY 5,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 2,230,000 (AS OF DEC. 31, 2017)
EQUITIES :
CNY 103,000 (AS OF DEC. 31, 2017)
PAYMENT :
SLOW BUT CORRECT
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : FAIRLY STEADY
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
Note: the given fax no. was SC’s former one, while SC is no longer using
fax.
According to SC’s employee, SC’s correct company name should be the
heading one, while the given name is SC’s trademark name.
SC was registered as a One-person Limited Liability Company at local
Administration for industry & commerce (AIC - the official body of issuing
and renewing business license) on May 7, 2015 and has been under present
ownership since 2017.
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 international freight
forwarding; domestic freight forwarding; other not specified transport agency
business (with permit if needed); wholesaling wine, beverage and tea, dairy
products (including infant formula), other bulk food, pastries, sweets and
sugar; import and export of various goods and technologies (not attached to the
import and export directory), but excluding the goods forbidden by the
government; other warehousing (with permit if needed); handling; wholesaling
cereal, beans and potatoes; wholesaling forestry products; wholesaling farming
products; wholesaling textiles, knitting textiles and raw materials;
wholesaling garments, shoes and caps; wholesaling cosmetics and hygiene
products; wholesaling kitchen, bathroom appliances and groceries; wholesaling lighting
and decorative items; wholesaling home appliances; wholesaling other household
items; wholesaling jewelry, handicrafts and collectibles wholesale (excluding
artifacts); wholesaling other stationery; wholesaling medical machinery;
wholesaling metal and metal mines (excluding the dangerous chemicals and the
controlled chemicals); wholesaling building materials; wholesaling other
chemicals (excluding the dangerous
chemicals and the controlled chemicals); wholesaling agricultural machinery;
wholesaling hardware products; wholesaling electrical equipment; wholesaling
other mechanical equipment and electronic products; trade agency; other trade
brokers and agents; other not specified wholesale business(with permit if
needed); wholesaling food additives; wholesaling sporting goods and equipment
(excluding crossbow).
SC is mainly
engaged in selling stone cutting machinery.
Mr. Zhang Zhihua
is legal representative, executive director and general manager of SC at
present.
SC is known
to have approx. 10 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Xiamen. The detailed information of
the premise is unspecified.
http://www.wicoli.com
The design is professional and the content is well organized. At present it is
in English version.
Email: wicoli@wicoli.com
Changes
of its registered information are as follows:
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Date of change |
Item |
Before the change |
After the change |
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2017-09-25 |
Legal form |
One-person Limited Liability Company |
Present one |
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Shareholders |
Zhang Zhihua 100% |
Present ones |
Import/ Export License No: 3502303047674
HS Code: 3502160AVP
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Chen Hui 40
Zhang Zhihua 60
l Legal
representative, Executive director and General manager:
Mr. Zhang Zhihua 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
l
Supervisor:
Chen Hui
SC is mainly
engaged in selling stone cutting machinery.
SC’s products
mainly include: stone cutting machinery, quarry cutting machine, stone
polishing machine, blades, etc.
Trademarks & patents
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Registration No. |
21543768 |
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Registration Date |
2017-11-28 |
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Trademark Design |
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SC
sources its materials from both domestic market and overseas market. SC sells
its products in both domestic market and 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’s management declined to release its customer and supplier
details.
Industry code:
5100
Industry name:
Wholesale Industry
The gross domestic product of China in 2016 which is 74412.72 billion
that is increased 6.7% than previous year.
According to National Bureau of Statistics data released, at the end of
2016, there are 95,066 wholesale enterprises in China. In 2016, total assets of
wholesale industry was 20,132.292 billion Yuan, and increased by 11.11%
compared with 2015; total liabilities was 14,504.431 billion Yuan, and
increased by 9.87% compared with 2015; main business income was 38,458.098
billion Yuan, and increased by 7.28% compared with 2015; main business profit
was 2,484.514 billion Yuan, and increased by 11.03% compared with 2015.
Wisdom Cooperation Limited (Hong Kong)
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CR No.: 2027360
Company Type: Private Company
limited by shares
Date of Incorporation: 16-JAN.-2014
Active Status: Live
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 records 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.
Bank of China Xiamen Huli Sub-branch
AC#: 422170080301
Relationship:
Normal
Balance Sheet
Unit: CNY’000
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as
of Dec. 31, 2016 |
as
of Dec. 31, 2017 |
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Cash & bank |
13 |
269 |
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Inventory |
0 |
0 |
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Accounts
receivable |
0 |
52 |
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Advances to
suppliers |
6 |
84 |
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Other
receivables |
0 |
49 |
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Other current
assets |
0 |
0 |
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------------------ |
------------------ |
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Current assets |
19 |
454 |
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Fixed assets net
value |
0 |
0 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
0 |
0 |
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------------------ |
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Total assets |
19 |
454 |
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============= |
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Short loans |
0 |
0 |
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Accounts payable |
0 |
18 |
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Other payable |
25 |
294 |
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Taxes payable |
0 |
0 |
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Advances from
clients |
0 |
39 |
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Other current
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Current
liabilities |
25 |
351 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
25 |
351 |
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Equities |
-6 |
103 |
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------------------ |
------------------ |
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Total
liabilities & equities |
19 |
454 |
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Income Statement
Unit: CNY’000
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as of Dec. 31,
2017 |
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Turnover |
2,230 |
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Cost of goods
sold |
973 |
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Taxes and
additional of main operation |
6 |
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Sales expense |
207 |
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Management expense |
923 |
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Finance expense |
1 |
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Profit before
tax |
120 |
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Less: profit tax |
10 |
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Profits |
110 |
Important Ratios
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as
of Dec. 31, 2016 |
as
of Dec. 31, 2017 |
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*Current ratio |
0.76 |
1.29 |
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*Quick ratio |
0.76 |
1.29 |
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*Liabilities
to assets |
1.32 |
0.77 |
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*Net profit
margin (%) |
/ |
4.93 |
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*Return on total
assets (%) |
/ |
24.23 |
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*Inventory
/Turnover ×365 |
/ |
/ |
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*Accounts
receivable/Turnover ×365 |
/ |
9 days |
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*Turnover/Total
assets |
/ |
4.91 |
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* Cost of
goods sold/Turnover |
/ |
0.44 |
PROFITABILITY: AVERAGE
l
The turnover of SC appears average in its line in
2017.
l
SC’s net profit margin is average in 2017.
l
SC’s return on total assets is good in 2017.
l
SC’s cost of goods sold is average in 2017,
comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a fair
level in 2016, but normal in 2017.
l
SC’s quick ratio is maintained in a fair level in
2016, but normal in 2017.
l
SC has no inventory in both years.
l
The accounts receivable of SC is maintained in an
average level in 2017.
l
SC has no short-term loan in both years.
l
SC’s turnover is in a fairly good level in 2017,
comparing with the size of its total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is too high in 2016, but
fairly high in 2017.
l
The risk for SC to go bankrupt is average.
Overall financial condition of the SC:
Fairly stable.
SC is considered small-sized in its line with fairly stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 65.05 |
|
|
1 |
INR 89.70 |
|
Euro |
1 |
INR 80.03 |
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CNY |
1 |
INR 10.26 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
SYL |
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.