Analysis report on the listing of Weichai short-te

Analysis report on the listing of Weichai short-term financing bonds in 2007

analysis report on the listing of Weichai short-term financing bonds in 2007

cro milltm method net China Construction machinery information

Guide: many famous foreign engine manufacturers have entered the Chinese market, and the market competition has become more intense, leading to the shrinkage of market share. But quote; The Eleventh Five Year Plan quot; The plan proposes to strengthen the guiding policy of independent innovation, which provides a good development contract for the Shandong Branch of the domestic auto parts manufacturing enterprise materials Institute, which is the first branch of the aluminum materials utilization research institute in cooperation with enterprises to develop products with independent intellectual property rights

many famous foreign engine manufacturers have entered the Chinese market, and the market competition has become more intense, resulting in a shrinking market share. However, the "Eleventh Five Year Plan" proposes to strengthen the guiding policy of independent innovation, which provides a good opportunity for domestic auto parts manufacturers to develop products with independent intellectual property rights. The warming of heavy truck and construction machinery industry has provided a better development environment for the company

financial condition

the company has sufficient monetary capital, reasonable debt patent production level and debt structure, good profitability of main business, normal overall cash flow, stable cash flow from operating activities, excellent profitability, and smooth direct and indirect financing channels. To sum up, the company as a whole has strong solvency, and the risk of failure to repay the principal and interest of the current short-term financing bonds is low

status of financing bills

the 900million short-term financing bills issued by Weichai Power in this period, and the funds raised by the financing bills in this period will be used for the turnover of working capital of the company's production and operation, so as to meet the demand for working capital due to the expansion of production scale; Improve the capital structure, reduce the cost of capital and improve the competitiveness of the company

conclusion

due to the warming of heavy truck and construction machinery industry and the support of the state for diesel engines, the company has encountered good development opportunities; The company has a sound internal control system to control the decline of raw materials from the source, with good asset quality and sufficient monetary funds; The debt level and debt structure are reasonable, and the profitability is strong; The cash flow is normal, the direct and indirect financing channels are unblocked, and the development trend is stable. Based on the above analysis, we believe that the company has strong operating ability and excellent cash acquisition ability, so it will maintain a high level of credit during the duration of the bonds, with strong guarantee ability for the repayment of principal and interest of this short-term financing bonds and low default risk