China Hongcheng Holdings, a cotton textile products manufacturer, has posted net losses of RMB11.3 million ($2.5 million), an 82% decline from the $62.6 million in 2QFY2015.
Revenue declined 18.2% to RMB72.8 million for the quarter to December due to price competition and a decline in sales volumes on the back of poor market demand. The group recorded an increase in profit margin, however, with the use of newly purchased lower-priced cotton in its manufacturing process.
The group also recognized a RMB0.5 million increase in other income to RMB0.8 million from an increase in bank deposits.
China Hongcheng’s management says the weak market demand and the excess domestic production capacity had affected the domestic textile industry in the last quarter, and expects the situation to continue in 2016.
The group did not declare any dividends for the current financial period.
China Hongcheng’s shares remain suspended from trading.
Click Here To Register For Free Trial Services OR Give A Missed Call : +6531581402 Follow Us On Twitter : www.twitter.com/epicresearchsg Like Us On Facebook : www.facebook.com/EpicResearchSingapore Need Any Assistance Feel Free To Mail Us at : info@epicresearch.sg
Revenue declined 18.2% to RMB72.8 million for the quarter to December due to price competition and a decline in sales volumes on the back of poor market demand. The group recorded an increase in profit margin, however, with the use of newly purchased lower-priced cotton in its manufacturing process.
The group also recognized a RMB0.5 million increase in other income to RMB0.8 million from an increase in bank deposits.
China Hongcheng’s management says the weak market demand and the excess domestic production capacity had affected the domestic textile industry in the last quarter, and expects the situation to continue in 2016.
The group did not declare any dividends for the current financial period.
China Hongcheng’s shares remain suspended from trading.
Click Here To Register For Free Trial Services OR Give A Missed Call : +6531581402 Follow Us On Twitter : www.twitter.com/epicresearchsg Like Us On Facebook : www.facebook.com/EpicResearchSingapore Need Any Assistance Feel Free To Mail Us at : info@epicresearch.sg
0 comments:
Post a Comment