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MIRA INFORM REPORT
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Report No. : |
500609 |
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Report Date : |
27.03.2018 |
IDENTIFICATION DETAILS
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Name : |
DANDONG SHENGXING PAPER MACHINERY CO., LTD. |
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Registered Office : |
Team 8 Qianyang Village, Qianyang Town,
Donggang, Liaoning Province |
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Country : |
China |
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Financials (as on) : |
30.06.2017 |
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Date of Incorporation : |
18.04.2007 |
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Unified Social
Credit Code : |
91210681661205193N |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject registered business scope includes manufacturing and selling
paper machinery and equipment. |
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No. of Employees : |
125 |
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 allowed resumption of a gradual liberalization. In 2015, the People’s
Bank of China announced it would continue to carefully push for full
convertibility of the renminbi (RMB) after the currency was accepted as part of
the IMF’s special drawing rights basket. After engaging in one-way, large-scale
intervention to resist appreciation of the RMB for a decade, China’s 2016 intervention
in foreign exchange markets has sought to prevent a rapid RMB depreciation that
would have negative consequences for the United States, China, and the global
economy.
China’s economic growth has slowed since 2011. The Chinese Government
faces numerous economic challenges including: (a) reducing its high domestic
savings rate and correspondingly low domestic household consumption; (b)
servicing its high corporate debt burdens to maintain financial stability; (c)
facilitating higher-wage job opportunities for the aspiring middle class,
including rural migrants and college graduates, while maintaining
competitiveness; (d) dampening speculative investment in the real estate
sector; (e) reducing industrial overcapacity; and (f) raising productivity growth
rates through the more efficient allocation of capital. 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 only marginal progress toward these rebalancing goals.
Under President XI Jinping, Beijing has signaled its understanding that China's
long-term economic health depends on giving the market a more decisive role in
allocating resources, but has moved slowly on market-oriented reforms because
of potential negative consequences for stability and short-term economic
growth. He has also increased state-control over key sectors and Party control
over state-owned enterprises. 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.
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Source
: CIA |
Company
name & address
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COMPANY NAME |
DANDONG SHENGXING PAPER MACHINERY CO., LTD. |
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CURRENT ADDRESS |
QIANYANG DEVELOPMENT AREA, DONGGANG,
DANDONG, LIAONING PROVINCE 118301 PR CHINA |
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REGISTERED
ADDRESS |
TEAM 8 QIANYANG VILLAGE, QIANYANG TOWN,
DONGGANG, LIAONING PROVINCE |
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TEL. NO. |
86 (0) 415-7817666/7817177 |
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FAX NO. |
86 (0) 415-7817177 |
EXECUTIVE
SUMMARY
Date of Registration : april 18, 2007
UNIFIED SOCIAL CREDIT CODE : 91210681661205193N
LEGAL FORM : LIMITED
LIABILITIES COMPANY
CHIEF EXECUTIVE :
shi hanyun (LEGAL REPRESENTATIVE)
REGISTERED CAPITAL : CNY 43,600,000
staff :
125
BUSINESS CATEGORY : manufacturing & trading
REVENUE :
CNY 32,590,000 (FROM JAN. 1, 2017 TO JUN. 30, 2017)
EQUITIES :
CNY 35,330,000 (AS OF JUN. 30, 2017)
WEBSITE : www.shengxing-dryer.com
E-MAIL : shengxing-dryer@hotmail.com
PAYMENT :
slow but correct
MARKET CONDITION : average
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : ordinary
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 a limited liabilities company of PRC with State
Administration of Industry & Commerce (SAIC) under Unified Social Credit
Code: 91210681661205193N.
SC’s Import and Export Enterprise Code:
2100661205193
SC’s registered capital: CNY 43,600,000
SC’s paid-in capital: CNY 43,600,000
Registration Change Record:-
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Date |
Change of Contents |
Before the change |
After the change |
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2007-04-26 |
Registered Capital |
CNY 5,000,000 |
CNY 10,000,000 |
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2008 |
Registration No. |
2106812800427 |
210681004017683 |
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2008-06-20 |
Legal Representative |
Shi Yuanwen |
Shi Hanyun |
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Shareholder |
Shi Yuanwen 60% Zhang Xifeng 40% |
Shi Hanyun 60% Zhang Xifeng 40% |
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2009-01-07 |
Registered Capital |
CNY 10,000,000 |
CNY 43,600,000 |
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Shareholder (s) (% of Shareholding) |
Shi Hanyun 60% Zhang Xifeng 40% |
Shi Hanyun 28.33% Zhang Xifeng 9.17% Shi Yuanwen 62.50% |
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Shareholder (s) (% of Shareholding) |
Shi Hanyun 28.33% Zhang Xifeng 9.17% Shi Yuanwen 62.50% |
Shi Hanyun 70% Shi Yuanwen 30% |
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2016-4-20 |
Registration No./ Unified Social Credit Code |
210681004017683 |
91210681661205193N |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
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Name of Shareholder (s) |
% of Shareholding |
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Shi Hanyun |
70 |
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Shi Yuanwen |
30 |
SC’s Chief Executives:-
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Position |
Name |
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Legal Representative and Chairman |
Shi Hanyun |
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Supervisor |
Shi Yuanwen |
RECENT
DEVELOPMENT
SC has passed the authorization of ISO9001-2000 Quality management
System and CE European Union Products. Besides, the internationally SC accepted
authority SGS.
SHAREHOLDER
CHART & BACKGROUND
Name %
of Shareholding
Shi Hanyun 70
Shi Yuanwen 30
MANAGEMENT
Shi Hanyun, Legal
Representative and Chairman
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Gender: M
Qualification: University
Working experience (s):
From 2008 to present, working in SC as legal representative and chairman
Supervisor
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Shi Yuanwen
BUSINESS
OPERATION
SC’s registered business scope includes manufacturing and selling paper
machinery and equipment.
SC is mainly engaged in manufacturing and selling paper machinery and
equipment.
SC’s products mainly include: drying cylinder.
The dominant products of SC are dryers for paper machines, press rolls
and the like. The diameters for different dryers could be ranged from
SC sources its materials 100% from domestic market, mainly Liaoning. SC
sells 40% of its products in domestic market, and 60% to the overseas market,
mainly France and India.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
*Major Customer:
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Pramukh Paper Products Pvt Ltd.
Staff &
Office:
--------------------------
SC is known to have approx. 125 staff at present.
SC owns an area as its operating office & factory of approx. 7,000
sq. meters at the heading address.
RELATED
COMPANY
SC is not known to have any subsidiary at present.
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:
Bank of Dandong Qianyang Sub-branch
AC#: 201010004693
FINANCIALS
Financial Summary
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Unit: CNY’000 |
As of Jun. 30,
2017 |
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Total assets |
109,550 |
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Total liabilities |
74,220 |
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Equities |
35,330 |
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Unit: CNY’000 |
From Jan. 1,
2017 to Jun. 30, 2017 |
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Revenue |
32,590 |
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Profits |
-560 |
Important Ratios
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As of Jun. 30,
2017 |
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*Liabilities to assets |
0.68 |
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*Net profit margin (%) |
-1.72 |
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*Return on total assets (%) |
-0.51 |
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*Revenue/Total assets |
0.30 |
FINANCIAL
COMMENTS
PROFITABILITY:
FAIR
The revenue of SC appears average in its line.
SC’s net profit margin is fair.
SC’s return on total assets is fair.
LIQUIDITY: FAIR
SC’s revenue is in a fair level, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
The debt ratio of SC is average.
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fair.
CONCLUSIONS
SC is considered medium-sized in its line with fair financial conditions.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 64.91 |
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1 |
INR 91.87 |
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Euro |
1 |
INR 80.26 |
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CNY |
1 |
INR 10.35 |
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 : |
NIT |
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.