C&G Environmental Protection Holdings Limited Provides Earnings Guidance for the Second Quarter Ending June 30, 2012
July 17, 2012 at 02:02 pm
C&G Environmental Protection Holdings Limited provided earnings guidance for the second quarter ending June 30, 2012. For the quarter, the company expects to record a loss as compared with a profit for the corresponding period in 2011. Based on the information currently available, the expected decline was primarily attributable to the following reasons: overall operation of the four new plants, namely Huian, Huangshi, Anxi and Fuqing,
which are still undergoing the ramp-up period, have not yet achieved their efficient levels of capacity utilisation and power generation; construction profit decrease as reflected by the completion of construction for the plants; one-time write-off of the Yingkou Project's intangible asset as a result of the Project's cessation; fair value loss of the issue of the unlisted warrant to International Finance Corporation (IFC) during the period; and VAT refund for the new plants has yet to be entitled pending completion of all the acceptance assessments, which are undergoing examination by their respective local
governments.