MIRA
INFORM REPORT
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Report Date : |
7th March, 2007 |
IDENTIFICATION
DETAILS
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Name : |
NANYANG EXPLOSION
PROTECTION GROUP CO., LTD. |
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Registered Office : |
No. 22 North Zhongjing Road, Nanyang, Henan Province, 473008 Pr China |
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Country : |
China |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
-- |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in manufacturing and selling of generators and motors |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
Company Name & Address
NANYANG EXPLOSION PROTECTION GROUP CO., LTD.
NO. 22 NORTH ZHONGJING ROAD, NANYANG, HENAN PROVINCE, 473008 PR CHINA
TEL :
86 (0) 377-63259201
FAX :
86 (0) 377-63224273
EXECUTIVE SUMMARY
INCORPORATION DATE :
REGISTRATION NO. :
REGISTERED LEGAL FORM : LIMITED LIABILITIES
COMPANY
STAFF STRENGTH :
2,190
REGISTERED CAPITAL : CNY 50,000,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 877,441,000 (AS OF DEC. 31, 2005)
EQUITIES :
CNY 191,837,000 (AS OF DEC. 31, 2005)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE :
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 7.75= US$1 AS OF 2007-3-5
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Ren Min Bi
SC was registered as a limited liabilities company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license).
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. 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 listed as follows: -manufacturing co. : CNY 500,000.00 -trading &wholesaling
co. : CNY 500,000.00 -retailing co. : CNY 300,000.00 -consultancy & service
co. : CNY 100,000.00 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 50% of the registered capital while
contribution by intangible assets must not exceed 20% 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 is mainly
engaged in manufacturing and selling induction motors.
Mr. Wei
Huajun is now working in SC as
chairman.
SC owns about
2,190 staff members at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Nanyang. Our checks
reveal that SC owns the total premise about 26,000 square meters.
http://www.cn-nf.com . The design is
professional and the content is well organized. At present it is in both
Chinese and English versions.
Nanyang Explosion Protection Group Co. Ltd. is the national high and new
tech enterprise, the largest explosion-proof motor scientific research and
production base in China. It is also the national export base of
mechanical-electrical products and the chairman unit of China Electric
Apparatus Association Ex Motor Branch. The company possesses the national
enterprise technical center and the Postdoctoral Program is established.
SC achieved the certificates of ISO9001-2000, Certificate for China Top
Brand, Certificate for OHS18000 Operator Health System, ISO10012 and
Certificate for national Free Inspection Product, UL and CC of USA, CSA of
Canada, ATEX of EU, PTB of Germany, NEMKO of Norway, SAA of Australia and other
authorities.
Recently SC
manufactured the 8800kW-20P Increase-safety Brushless Excited Synchronous
Motor, which is the largest ex motor in China.
SC has filled in
many blanks in explosion-proof motor industry in China. Ex motors with
trademark CNE were awarded China Top Brand. 1-1000kW electric motors with CNE
logo were awarded National Free Inspection Products. The Large-sized
Increased-safety Brushless Excited Synchronous Motors have been chosen to
replace the import ones by Sinopec and occupy the biggest market shares in the
same trade. Ex-blower is honorably titled National Important New Product.
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Chairman and
General Manager:
Mr. Wei Huajun (魏华均),
in his 50’s with university education. He is currently responsible for the
overall management of SC.
Working Experience(s):
At present Working
in SC as chairman and general manager.
SC is mainly
engaged in manufacturing and selling of generators and motors .
SC’s products
mainly include:
QFW SERIES STEAM
TURBINE GENERATOR
SERIES NEH NEMA D
MOTORS FOR OIL PUMP USE
Series TAW
Increase-Safety Brushless Excitation Synchronous
Series Y & YKK
& YKS HV Three Phase Induction Motors
YA80~400 Series
Increased-safety 3PH AC Induction Motors
Y2 Series High
Voltage Three Phase Induction Motors
Y80~355 Series 3PH
AC Induction Motors
NEX SERIES
EXPLOSION-PROOF HIGH EFFICIENCY THREE PHASE INDUCTION MOTOR
Series YAKK &
YAKS High-voltage Increase-safety Three-phase Induction Motors
Series YAKK &
YAKS High-voltage Increase-safety Three-phase Induction Motors
Series YAXn
High-Efficiency Increased-Safety
SeriesYB 355-450
high voltage middium-sized flameproof three phase induction motors
Series YB
(H560~710) High Voltage Flameproof There Phase Induction motors
Series YB2 63-355
Flameproof Three Phase
Series YBXn
flameproof motors
Series
YR、YRKS、YRKS-W、YRKK、YRKK-W HV Wound Rotor Three
Phase phase induction motors
Series YW
Non-sparking Three Phase (Frame size 71-355)
Yxn Series High
Efficiency Three Phase Induction Motors
YZU SERIES, YBZU
SERIES EXPLOSION-PROOF THREE PHASE INDUCTION motors
Series YB (YA)
high voltage & low speed three-phase induction motor
Y and YR series
squirrel-cage and slipping type three phase induction motors
The Ex-motors got
the first China Production License. All the products for coal mine are allowed
to bear the coalmine safety logo and all the marine duty motors obtain the
certificates issued by the Chinese Marine Agency.
SC is mainly
serving national petrochemical, oil, coal, coal-chemical, chemical, electricity
and metallurgy industries.
SC sources its
materials 80% from domestic market and 20% from the overseas markets mainly
from Europe. SC sells 70% of its products in domestic market and 30% to the
overseas markets, mainly to USA and Europe.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Clients:
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General Electric Company
CMG Group Australia
SC is
known to have 5 subsidiaries as below,
Nanyang
Explosion Protection Group Pump Industry Co., Ltd.
Chenzhou
Hua’an Motor Manufacturing Co., Ltd.
Nanyang
Explosion Protection Group Weite Motor Co., Ltd.
Nanyang
Explosion Protection Group Mingxing Motor Co., Ltd.
Nanyang
Explosion Protection Group Xinpu Motor Co., Ltd.
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 refused to release any information of its
suppliers and the trade reference was not available.
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.
Industrial and Commercial Bank of China Nanyang Branch
AC#：1714021009021002515
Relationship:
Normal.
Financial Summary
Unit: CNY’000
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As of Dec. 31, 2004 |
As of Dec. 31, 2005 |
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Accounts
receivable |
118,620 |
158,486 |
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Current assets |
314,978 |
408,526 |
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Fixed assets |
115,179 |
117,064 |
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Total assets |
585,542 |
700,377 |
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Current
liabilities |
399,150 |
508,540 |
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Total
liabilities |
399,150 |
508,540 |
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Equities |
186,392 |
191,837 |
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Total
liabilities & equities |
585,542 |
700,377 |
Income Statement
Unit: CNY’000
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As of Dec. 31, 2004 |
As of Dec. 31, 2005 |
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Turnover |
672,427 |
877,441 |
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Cost of goods
sold |
513,193 |
658,250 |
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Sales expense |
61,721 |
84,255 |
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Management expense |
42,823 |
52,430 |
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Finance expense |
7,456 |
5,399 |
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Profit before
tax |
45,264 |
68,759 |
Important Ratios
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As
of Dec. 31, 2004 |
As
of Dec. 31, 2005 |
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*Current ratio |
0.79 |
0.80 |
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*Quick ratio |
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*Liabilities
to assets |
0.68 |
0.73 |
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*Net profit
margin (%) |
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*Return on
total assets (%) |
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*Fixed
assets/Total assets |
0.20 |
0.17 |
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*Inventory
/Turnover ×365 |
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*Accounts
receivable/Turnover ×365 |
64days |
66days |
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*Turnover/Total
assets |
1.15 |
1.25 |
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* Cost of
goods sold/Turnover |
0.76 |
0.75 |
PROFITABILITY:
FAIRLY GOOD
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The turnover of SC appears fairly good in its line.
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SC’s net profit margin is fairly good.
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SC’s return on total assets is fairly good.
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SC’s cost of goods sold is average, comparing with its turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a fair level.
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The accounts receivable of SC appears average in 2005.
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SC’s turnover is in a fairly good level, comparing with the size of its
total assets.
LEVERAGE: FAIRLY
GOOD
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The debt ratio of SC is high.
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The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Stable.
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RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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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 and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)