DGAP-News: ZhongDe Waste Technology AG: Challenging circumstances adversely affect results 2012
(firmenpresse) - DGAP-News: ZhongDe Waste Technology AG / Key word(s): Final Results
ZhongDe Waste Technology AG: Challenging circumstances adversely
affect results 2012
29.04.2013 / 16:12
---------------------------------------------------------------------
Annual results 2012
ZhongDe Waste Technology AG: Challenging circumstances adversely affect
results 2012
* Revenues decreased by 24.0 per cent to 24.8 million Euros
* EBIT amounted to -12.6 million Euros
* Order intake strongly increased to 140.6 million Euros
* Order backlog grew significantly to 257.4 million Euros
* Solid cash position
Frankfurt, 29 April 2013 - 2012 was a very challenging transition period
for ZhongDe Waste Technology AG in regards to the completion of its running
BOT and EPC projects. While revenues decreased to 24.8 million Euros, gross
profit went down by 62.0 per cent to 1.6 million Euros. The company expects
to benefit from the favorable economic environment in China for
eco-friendly waste disposal in the future.
In the fiscal year 2012 revenues of ZhongDe Waste Technology decreased by
24.0 per cent to 24.8 million Euros (2011: 32.4 million Euros). This
decrease was mainly influenced by the fact that the construction progress
of the current EPC (Engineering, Procurement and Construction) projects
Dingzhou and Zhucheng was suspended according to the requirements of the
owners and the fact that the construction progress of BOT (Build, Operate
and Transfer) projects was slower than planned, mainly due to delays in
obtaining required government approvals. With 24.5 million Euros or 99.0
per cent most of the revenues were generated from BOT projects and only 0.3
million Euros from EPC projects (2011: 8.9 million Euros). The demand for
small- and mid-sized incinerators came to a halt in 2012, thus there were
no recorded revenues in 2012 in this business segment.
Gross profit amounted to 1.6 million Euros in 2012, which corresponds to a
decrease of 62.0 per cent compared to the previous year (2011: 4.1 million
Euros). Accordingly gross profit margin went down from 12.7 per cent in
2011 to 6.4 per cent in 2012. The main reason for this development was the
adjustment of costs estimated for the construction of EPC and BOT projects.
As a consequence of the aforementioned circumstances, EBIT went down by
62.4 per cent to -12.6 million Euros (2011: -7.7 million Euros). EBIT
margin amounted to -51.0 per cent (2011: -24.0 per cent). Furthermore,
ZhongDe realised a net loss of 12.2 million Euros (2011: net loss of 10,7
million Euros).
Positive effects of cost controlling and strong order backlog
ZhongDe's strict cost control measures showed positive results within the
financial year 2012. While selling and distribution costs explicitly
decreased by 49.0 per cent to 1.9 million Euros (2011: 3.7 million Euros),
administrative expenses could be reduced by 13.0 per cent to 3.7 million
Euros (2011: 4.3 million Euros).
Despite the negative results in 2012, ZhongDe has a solid base regarding
its high order intake and backlog. Order intake strongly increased in 2012
to 140.6 million Euros (2011: 6.5 million Euros). Order backlog also grew
significantly by 78.0 per cent from 144.2 million Euros in 2011 to 257.4
million Euros in 2012. This was mainly due to the new BOT project in
Lanzhou, which ZhongDe won in October 2012.
Solid cash position
Furthermore, ZhongDe still disposes of a strong cash position. Cash and
cash equivalents amounted to 100.3 million Euros (2011: 117.3 million
Euros). This gives the company a favorable position for further
investments. First of all ZhongDe plans to invest the funds in its budgeted
EPC and BOT projects and further business activities.
Equity slightly decreased by 10.3 per cent to 112.8 million Euros (2011:
125.7 million Euros), while the equity ratio went down from 63.0 per cent
in 2011 to 58.0 per cent in 2012.
Modest outlook
Looking ahead to 2013 and 2014, ZhongDe expects to further benefit from the
favorable political and economic environment for eco-friendly waste
disposal as well as from the growing demand for waste-to-energy plants in
China, but also throughout Asia. Currently ZhongDe is negotiating on two
new projects with an expected volume of 1.000 tons per day each and is
confident to close the contracts in 2013. This year, ZhongDe will enter two
new projects into the approval procedure. Moreover, ZhongDe's current three
BOT projects will be completed and begin their operations in 2013. These
BOT projects will generate revenues as soon as they generate cash-inflows
from by-products such as electricity. ZhongDe's biggest project - Lanzhou -
will finish the preparation state and start its construction in 2013 as
well.
All in all, ZhongDe expects the next year to maintain a transition period
in which the company will finalise its existing projects and start its
operations as well as the project in Lanzhou. This will result in
comparably more cash-inflows from guaranteed payments from the operations,
but at the same time in decreased revenues for that transition period. For
2013, although an improvement of the operating result is to be expected, a
loss before taxes is to be expected, however, with the Group's cash
position being stabilized. ZhongDe anticipates, that its financial
performance will improve and create value for its shareholders in the
mid-term.
Please find the complete annual report 2012 of ZhongDe Waste Technology AG
on the company's website under the following link:
http://www.zhongde-ag.com/investor_relations/publikationen.html
About ZhongDe Group
ZhongDe Group designs, invests, constructs, finances and operates
waste-to-energy incineration plants generating electricity from the
disposal of solid municipal and industrial waste. ZhongDe realises either
EPC (Engineering, Procurement and Construction) or BOT (Build, Operate and
Transfer) projects, focusing on large-scale plants with waste disposal
capacities of around 1,000 tons per day. Since 1996, ZhongDe Group has
installed approximately 200 waste incinerators in 13 provinces throughout
China. ZhongDe is one of the leading players in the project development and
operation of waste-to-energy plants in China.
Contact
ZhongDe Waste Technology AG
William Jiuhua Wang
Executive Director and CFO
E-Mail: william.jw(at)zhongdetech.com
Ying Sun
Investor Relations
Messeturm 25th floor
Friedrich-Ebert-Anlage 49
60308 Frankfurt am Main
T: +49 69 50956 5655
F: +49 69 50956 5520
E-Mail: ying.sun(at)zhongde-ag.de
Kirchhoff Consult AG
Nicole Schüttforth
Investor Relations Consultant
T: +49 40 60 91 86 64
F: +49 40 60 91 86 60
E-Mail: nicole.schuettforth(at)kirchhoff.de
End of Corporate News
---------------------------------------------------------------------
29.04.2013 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: ZhongDe Waste Technology AG
Messeturm 25th floor
60308 Frankfurt
GermanyPhone: + 49 69 50956 5655
Fax: + 49 69 50956 5520
E-mail: ying.sun(at)zhongde-ag.de
Internet: www.zhongde-ag.de
ISIN: DE000ZDWT018
WKN: ZDWT01
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
208980 29.04.2013
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 29.04.2013 - 16:12 Uhr
Sprache: Deutsch
News-ID 253891
Anzahl Zeichen: 10153
contact information:
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 275 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"DGAP-News: ZhongDe Waste Technology AG: Challenging circumstances adversely affect results 2012"
steht unter der journalistisch-redaktionellen Verantwortung von
ZhongDe Waste Technology AG (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
