|
|
|
MIRA
INFORM REPORT
|
Report No. : |
498365 |
|
Report Date : |
19.03.2018 |
IDENTIFICATION DETAILS
|
Name : |
ZHEJIANG DILONG CULTURE DEVELOPMENT CO., LTD. |
|
|
|
|
Formerly Known As : |
ZHEJIANG DILONG NEW MATERIAL CO., LTD. |
|
|
|
|
Registered Office : |
No. 1958 Huan Nan Road, Linglong
Industrial Zone, Linglong Street, Lin’An City, Zhejiang Province 311301 PR |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
30.09.2017 |
|
|
|
|
Date of Incorporation : |
18.01.2000 |
|
|
|
|
Com. Reg. No.: |
91330000729092173R |
|
|
|
|
Legal Form : |
Shares Limited Company |
|
|
|
|
Line of Business : |
Subject registered business scope includes cultural
entertainment industry investment, industry investment, investment management,
manufacturing and selling printing decorative paper, plastic film impregnated
decorative paper, edge banding strip, metal decorative panel, decorative
aluminum plate, anodic alumina coil, melamine board, decorative material
printing, selling decorating materials; and import & export business. |
|
|
|
|
No. of Employees : |
1,674 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A+ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
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) |
|
China |
A2 |
A2 |
|
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 |
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.
|
Source
: CIA |
COMPANY NAME and ADDRESS
|
COMPANY NAME |
Zhejiang Dilong Culture Development Co., Ltd. (Former Name: Zhejiang Dilong New Material Co., Ltd.) |
|
CURRENT ADDRESS/ REGISTERED ADDRESS |
No. 1958 Huan Nan Road, Linglong
Industrial Zone, Linglong Street, Lin’An City, Zhejiang Province 311301 PR
China |
|
TEL. NO. |
86 (0) 571-63717320 |
|
FAX NO. |
86 (0) 571-63721526 |
EXECUTIVE SUMMARY
Date of Registration : JAnuary 18, 2000
Unified social credit code : 91330000729092173R
LEGAL FORM : SHARES LIMITED COMPANY
REGISTERED CAPITAL : CNY 851,196,049
staff : 1,674
BUSINESS CATEGORY : manufacturing & trading
REVENUE : CNY 1,970,962,000 (CONSOLIDATED, JAN. 1, 2017 TO SEP. 30,
2017)
EQUITIES :
CNY 4,834,218,000 (CONSOLIDATED, AS OF SEP. 30, 2017)
WEBSITE : www.dilong.cc
E-MAIL : welcome@wanlishiye.com
PAYMENT : REGULAR
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRly good
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
Adopted abbreviations (as follows)
SC -
Subject Company (the company inquired by you)
N/A – Not
available
CNY –
China Yuan Ren Min Bi
OPERATIONAL TREND & GENERAL REPUTATION
This section aims at indicating the relative positions of SC
in respect of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not yet be
determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established as shares
limited company of PRC with State Administration of Industry &
Commerce (SAIC) under Unified Social Credit Code: 91330000729092173R.
SC’s Import and Export Enterprise
Code: 3300729092173
SC’s registered capital: CNY
851,196,049
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2010 |
Registered Capital |
CNY 66,800,000 |
CNY 100,200,000 |
|
2013 |
Registered Capital |
CNY 100,200,000 |
CNY 128,800,000 |
|
2014 |
Registered Capital |
CNY 128,800,000 |
CNY 264,407,000 |
|
2015-3-12 |
Registered Capital |
CNY 264,407,000 |
CNY 264,607,000 |
|
2015-11-12 |
Registration No./ Unified Social Credit Code |
330100000030251 |
91330000729092173R |
|
Registered Capital |
CNY 264,607,000 |
cny 264,484,500 |
|
|
2016-5-19 |
Registered Capital |
cny 264,484,500 |
cny 528,969,000 |
|
2016-6-3 |
Registered Capital |
cny 528,969,000 |
CNY 525,505,500 |
|
2016-7-28 |
Registered Capital |
CNY 525,505,500 |
cny 851,811,049 |
|
2016-9-13 |
Registered Capital |
cny 851,811,049 |
cny 851,611,049 |
|
Company Name |
Zhejiang Dilong New Material Co., Ltd. |
Zhejiang Dilong Culture Development Co., Ltd. |
|
|
2017-10-26 |
Registered Capital |
cny 851,611,049 |
CNY 851,196,049 |
|
2018-1-2 |
Legal Representative |
Jiang Feixiong |
Yu Haifeng |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) (As of December 18, 2017) |
% of Shareholding |
|
Yu Haifeng |
15.32 |
|
Ningbo Lanzhong Tiandao
Investment Management Co., Ltd. |
9.4 |
|
Aixinjueluo Zhao Shan |
6.24 |
|
Jiang Feixiong |
4.34 |
|
Tianjin Zitian Enterprise Management
Consulting Partnership Enterprise (Limited Partnership) |
4.26 |
|
Hangzhou Zhexin Information
Technology Co., Ltd. |
3.47 |
|
Suzhou Juli Huying Investment
Management Center (Limited Partnership) |
3.31 |
|
Zhejiang Dilong Holding Co.,
Ltd. |
3.28 |
|
Jiang Xiaowen |
3.05 |
|
Jiang Chaoyang |
3.05 |
|
Jiang Zugong |
2.28 |
|
Other Shareholders |
42 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and
Chairman |
Yu
Haifeng |
|
General Manager |
Bo Bin |
|
Director |
Xiong Xiaoping |
|
Liu Mengtao |
|
|
Xu Guobao |
|
|
Jiang Feixiong |
|
|
Lin Huichun |
|
|
Supervisor |
Chen Min |
|
Xu Min |
|
|
Du Xuefang |
RECENT DEVELOPMENT
SC is a listed company in Shenzhen Stock Exchange Market
with the code of 002247.
SHAREHOLDER CHART & BACKGROUND
Name (As of December 18, 2017)
%
of Shareholding
Yu Haifeng 15.32
Ningbo Lanzhong Tiandao Investment Management Co., Ltd. 9.4
Aixinjueluo Zhao Shan 6.24
Jiang Feixiong 4.34
Tianjin Zitian Enterprise Management Consulting Partnership
Enterprise (Limited Partnership) 4.26
Hangzhou Zhexin Information Technology Co., Ltd. 3.47
Suzhou Juli Huying Investment Management Center (Limited
Partnership) 3.31
Zhejiang Dilong Holding Co., Ltd. 3.28
Jiang Xiaowen 3.05
Jiang Chaoyang 3.05
Jiang Zugong 2.28
Other Shareholders 42
Zhejiang Dilong Holding Co., Ltd.
-----------------------------------------
Unified Social Credit Code: 913301857996744353
Legal Form: Limited Liabilities Company
Registered Capital: CNY 20,000,000
Legal Representative: Jiang Feixiong
MANAGEMENT
Yu
Haifeng, Legal Representative and Chairman
----------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 46
Ø Qualification:
University
Ø Working
experience (s):
At present, working in SC as
legal representative and chairman
Bo Bin,
General Manager
------------------------------------------
Ø
Gender: M
Ø Working
experience (s):
At present, working in SC as general manager
Director
-----------
Xiong Xiaoping
Liu Mengtao
Xu Guobao
Jiang Feixiong
Lin Huichun
Supervisor
---------------
Chen Min
Xu Min
Du Xuefang
BUSINESS OPERATION
SC’s
registered business scope includes cultural entertainment industry investment,
industry investment, investment management, manufacturing and selling printing
decorative paper, plastic film impregnated decorative paper, edge banding
strip, metal decorative panel, decorative aluminum plate, anodic alumina coil,
melamine board, decorative material printing, selling decorating materials; and
import & export business.
SC is
mainly engaged in manufacturing and selling decorating materials.
Brand:
Dilong
SC’s
products mainly include:
Decorative
paper
Impregnated
paper
Decorative
panels
Alumina
SC sources its materials 70% from domestic market, and 30% from overseas market. SC sells 80% of its products in domestic market, and 20% to overseas market, mainly U.S.A., etc.
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.
*Major Customers*
------------------------
Coveright
Surfaces Canada Inc.
Intrade
Consultants Inc.
China
Jiangsutex Ny Inc.
Arihant
Enterprise
Manufacturas
Terminadas S A Mantesa
Spacewood
Furnishers Pltd
Staff & Office:
--------------------------
SC is
known to have approx. 1,674
staff at present.
SC
owns an area as its operating office & factory of approx. 160,000 sq.
meters at the heading address.
RELATED COMPANY
Chengdu Dilong New Material Co., Ltd.
---------------------------------
Unified Social Credit Code: 9151018468902065X1
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 74,100,000
Legal Representative: Zhao Jinlong
Langfang Dilong New Material Co., Ltd.
---------------------------------
Unified Social Credit Code: 91131001563210482B
Date of Registration: October 13, 2010
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 90,520,000
Legal Representative: Chen Zhijian
Etc.
SC is known
to have the following subsidiaries:
Suzhou Meishengyuan Information Technology Co., Ltd.
---------------------------------------
Unified Social Credit Code: 913205070831522798
Date of Registration: November 15, 2013
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 22,000,000
Legal Representative: Yu Haifeng
Zhejiang Dilong Equity Investment & Fund Management Co., Ltd.
Unified Social Credit Code: 91330185MA27YM
Date of Registration: September 21, 2016
Legal Form: One-person Limited Liabilities Company
Registered Capital: CNY 100,000,000
Legal Representative: Jiang Feixiong
Etc.
PAYMENT
Overall payment appraisal:
( ) Excellent ( )
Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
Basic Bank:
Shanghai Pudong Development Bank Hangzhou Lin’an Sub-branch
AC#: 95080158000000071
FINANCIALS
Consolidated Balance Sheet
|
Unit:
CNY’000 |
As of Dec. 31, 2015 |
As of Dec. 31, 2016 |
As of Sep. 30, 2017 |
|
87,898 |
296,285 |
145,091 |
|
|
Notes receivable |
48,312 |
43,320 |
11,309 |
|
Accounts
receivable |
123,033 |
537,062 |
1,191,596 |
|
Advances
to suppliers |
12,561 |
27,764 |
153,401 |
|
Interest
receivable |
0 |
0 |
0 |
|
Other
receivable |
1,616 |
1,569 |
2,847 |
|
Inventory |
112,158 |
105,354 |
131,279 |
|
Other
current assets |
491,230 |
404,332 |
326,036 |
|
|
------------------ |
------------------ |
------------------ |
|
Current
assets |
876,808 |
1,415,686 |
1,961,559 |
|
Long-term
receivables |
0 |
0 |
0 |
|
Investment
real estate |
45,258 |
5,995 |
5,848 |
|
Long-term
equity investment |
0 |
1,953 |
8,805 |
|
Fixed
assets |
309,580 |
309,461 |
337,386 |
|
Construction
in progress |
14,528 |
34,576 |
17,305 |
|
Intangible
assets |
74,358 |
142,067 |
147,398 |
|
Goodwill |
0 |
3,042,527 |
3,042,527 |
|
Long-term
prepaid expenses |
1,171 |
810 |
727 |
|
Deferred
income tax assets |
12,096 |
26,422 |
14,846 |
|
Other
non-current assets |
0 |
0 |
8,000 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
assets |
1,333,799 |
4,987,497 |
5,544,401 |
|
|
============= |
============= |
============= |
|
Short-term
loans |
0 |
0 |
40,000 |
|
Notes
payable |
48,467 |
83,029 |
114,744 |
|
Accounts
payable |
110,414 |
209,635 |
432,104 |
|
Advances
from clients |
7,584 |
20,311 |
33,465 |
|
Payroll
payable |
29,419 |
39,138 |
33,497 |
|
Tax
payable |
16,161 |
23,234 |
35,092 |
|
Interest
payable |
0 |
0 |
0 |
|
Dividends
payable |
0 |
1,039 |
857 |
|
Other
payable |
2,384 |
5,388 |
5,072 |
|
Other
current liabilities |
3,303 |
10,135 |
4,898 |
|
|
------------------ |
------------------ |
------------------ |
|
Current
liabilities |
217,732 |
391,909 |
699,729 |
|
Non-current
liabilities |
36,144 |
10,955 |
10,454 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities |
253,876 |
402,864 |
710,183 |
|
Equities |
1,079,923 |
4,584,633 |
4,834,218 |
|
|
------------------ |
------------------ |
------------------ |
|
Total
liabilities & equities |
1,333,799 |
4,987,497 |
5,544,401 |
|
|
============= |
============= |
============= |
Consolidated Income Statement
|
Unit:
CNY’000 |
As
of Dec. 31, 2015 |
As
of Dec. 31, 2016 |
Jan. 1, 2017 to Sep. 30, 2017 |
|
Revenue |
895,181 |
1,650,071 |
1,970,962 |
|
Cost of sales |
681,040 |
1,134,354 |
1,431,180 |
|
Sales expense |
39,577 |
63,108 |
56,184 |
|
Management expense |
93,919 |
109,388 |
80,604 |
|
Finance expense |
-2,145 |
-1,419 |
499 |
|
Investment
income |
17,895 |
11,105 |
19,933 |
|
Non-operating
income |
15,710 |
72,225 |
11,926 |
|
Non-operating expense |
3,777 |
6,291 |
3,033 |
|
Profit
before tax |
98,716 |
394,255 |
388,025 |
|
Less:
profit tax |
12,305 |
14,389 |
49,587 |
|
Profits |
86,411 |
379,866 |
338,438 |
Important
Ratios
=============
|
|
As of Dec. 31, 2015 |
As of Dec. 31, 2016 |
As of Sep. 30, 2017 |
|
*Current
ratio |
4.03 |
3.61 |
2.80 |
|
*Quick
ratio |
3.51 |
3.34 |
2.62 |
|
*Liabilities
to assets |
0.19 |
0.08 |
0.13 |
|
*Net
profit margin (%) |
9.65 |
23.02 |
17.17 |
|
*Return
on total assets (%) |
6.48 |
7.62 |
6.10 |
|
*Inventory
/ Revenue ×365/270 |
46
days |
24
days |
18
days |
|
*Accounts
receivable / Revenue ×365/270 |
51
days |
119
days |
164
days |
|
*Revenue
/ Total assets |
0.67 |
0.33 |
0.36 |
|
*Cost
of sales / Revenue |
0.76 |
0.69 |
0.73 |
FINANCIAL COMMENTS
PROFITABILITY:
FAIRLY GOOD
l The
revenue of SC appears fairly good in its line.
l SC’s
net profit margin is fairly good.
l SC’s return
on total assets is average.
l
SC’s cost of sales is average,
comparing with its revenue.
LIQUIDITY:
FAIRLY GOOD
l
The current ratio of SC is maintained
in a fairly good level.
l
SC’s quick ratio is maintained in a
fairly good level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears
large.
l
The short-term loans of SC appear
small.
l
SC’s revenue is in a fair level,
comparing with the size of its total assets.
LEVERAGE:
FAIRLY GOOD
l
The debt ratio of SC is low.
l
The risk for SC to go bankrupt is low.
Overall
financial condition of the SC: Fairly Good.
CONCLUSIONS
SC is considered large-sized in its line with fairly good
financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 64.87 |
|
|
1 |
INR 90.49 |
|
Euro |
1 |
INR 79.91 |
|
CNY |
1 |
INR 10.30 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
-PRA |
|
|
|
|
Report Prepared
by : |
TRU |
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)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.