Yingde Gases Group Company Limited Displays Impetuous Growth According to BAC Company Report27 Feb 2012 • by Natalie Aster
LONDON - Yingde Gases Group Company Limited is a young Chinese gas supply company founded in 2001, yet it’s already #1 among its China-based competitors and #2 player on China market after German Linde Group. With average capacity expansion growth of 56% Yingde Gases is a story of staggering success and one of the most prospective gas supply companies in Asia.
Annual report for 2010 reveals revenue increase of 283.4% to CNY 3 B, gross profit of CNY 1.2 B (up 264.2%), operating income rise by 212% to CNY 786 M, net income growth to CNY 577.3 M (up 226.2%) – and it is in four years. Such strong results weren’t brought by correct managerial decisions only, they are also a result of Chinese economy growth (GDP growth ~10% annually) and China industrial gas market growth (ranging from 10% to 20% annually since 2003). Till 2015 market growth is expected to account 10% to 13%.
Latest interim results for Yingde Gases refer to H1 2011. Upon those, comparing to H1 2010, revenue added 56.5% to its value to amount CNY 2 B, gross profit increased by 43.7% and equaled CNY 759 M, operating income rose by 36% and reached CNY 611.5 M, net income amounted to CNY 492 M which is 51.1% gain. Company’s profit margin in H1 2011 equaled 23.9% which is a high index for the industry.
Most of its revenues Yingde Gases generated from on-site gas supply – over 80%. The industries served by the Group include:
- Iron & Steel Industry
- Chemical & Petrochemical Industry
- Energy Industry
- Non-Ferrous Metal Industry
- Electronic Industry
- Environmental industry
Increasing demand for gas from these industries pushes the prices up, further improving Yingde Gases margins. In H1 2011 comparing to H1 2010 price for oxygen, nitrogen and argon grew by 10%, 6.8% and 25%, respectively. As Chinese economy continues its stable growth, and demand for natural gases gains popularity, the Group will further use all opportunities to expand its operations and commence new projects.
Founded in 2001 and headquartered in Hong Kong, Yingde Gases Group Company Limited is a major gas supply player in China with over 2000 employees and installed capacity of 783,400 Nm3/hr. With 31 operating facility and 23 new plants under development the company is expected to have 1,482,900 Nm3/hr installed capacity in 2013. Since 2009 Yingde Gases trades on Hong Kong Stock Exchange under the ticker 02168.
Access full disclosure of the company’s operations, financials, SWOT and competitor analysis with the report "Yingde Gases Group Co Ltd. Fundamental Company Report Including Financial, SWOT, Competitors and Industry Analysis" recently published by Market Publishers Ltd.
Title: Yingde Gases Group Co Ltd. Fundamental Company Report Including Financial, SWOT, Competitors and Industry Analysis
Date: Feb, 2012
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