DGAP-News: ZhongDe Waste Technology AG: Q1 results show positive trend
(firmenpresse) - DGAP-News: ZhongDe Waste Technology AG / Key word(s): Quarter Results
ZhongDe Waste Technology AG: Q1 results show positive trend
31.05.2011 / 16:45
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Frankfurt, May 31, 2011 - In the first quarter of 2011, ZhongDe Waste
Technology AG ('ZhongDe', 'the Company', Ticker symbol 'ZEF'), a well-known
player in the project development and operation of large-scale
energy-from-waste plants in China, realized gross profits of EUR 0.5
million, keeping the same results as in last year's first quarter, due to
the gross profit margin increasing from 13 % to 23 %, while revenues fell
from EUR 3.7 million to EUR 2.2 million. The net profit improved by 30%
from EUR -2.0 million to EUR -1.4 million on a year-on-year basis, mainly
due to a reduction in income taxes. The earnings per share were up 30% from
EUR -0.16 to EUR -0.11 due to the net profit improvement and the 400,000
shares buyback.
The negative net income and decreased revenues in the first quarter of 2011
were mainly caused by the delay in the construction progress of ZhongDe's
energy-from-waste projects due to the retard of local government approvals,
and by construction interruption because of extremely cold weather
conditions in Northern China.
Strong cash and order positions indicate potential revenue increase
Although more cash was invested in the construction of ongoing projects,
ZhongDe's cash position kept strong and amounted to EUR 94.6 million by the
end of the first quarter. The order backlog amounted to EUR 149.8 million,
a slightly decrease of 5.1 % compared to Q1 2010. Three new project
contracts are under the approval procedure of ZhongDe. All three projects
are large-size plants with a minimum waste disposal capacity of 1000
ton/day, each.
The strong order backlog and cash position indicate the Company's potential
in the coming quarters, especially after the announcement of the new
stimulating policy of central government of China for the energy-from-waste
industry in Q2 2011. This new policy will accelerate approval processes,
ensure land supply, establish a new charge system for waste disposal,
improve innovation ability and announce the implementation of a talents
plan. It will also encourage public and private investments into the waste
disposal industry through preferential taxation.
The emission tests of Feicheng Plant show technical ability of ZhongDe
The emission tests for ZhongDe's Feicheng project, which was executed by an
authorized Chinese testing institution with a European partner, shows, that
all emission indexes are far below the Chinese national standards. The
dioxin index even falls significantly short of the European Standard for
Pollution Control for waste incineration. The dioxin test had been executed
by a cooperation partner of United Testing Services, the Eurofins GfA GmbH.
The tests were part of the trial operating period of the Feicheng plant.
The report is an example for the technical ability of ZhongDe.
Zefeng Chen, founder and CEO of ZhongDe Waste Technology AG, comments:
'Thanks to the strong stimulation policy of the Chinese central government,
we are confident to complete two projects by the end of 2011 and three
further projects in 2012. It will bring more revenues and profits in 2011
than those in 2010 for the shareholders, per the Percentage of Completion
method. '
About ZhongDe Group
ZhongDe Group designs, constructs, finances and operates energy-from-waste
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 and more than 80 waste
incinerators in the last three financial years alone. ZhongDe is one of the
well-known players in the project development and operation of large-size
energy-from-waste plants in China.
Contact
William Jiuhua Wang
Executive Director and CFO
E-Mail: william.jw(at)zhongdetech.com
Ying Sun
Investor Relations Herriotstr. 1
60528 Frankfurt am Main
Germany
T: +49 69 67733 172
F: +49 69 67733 200
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
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31.05.2011 Dissemination of a Corporate News, transmitted by DGAP - a
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Language: English
Company: ZhongDe Waste Technology AG
Stadthausbrücke 1-3
20355 Hamburg
Deutschland
Phone: + 49 69 67733 172
Fax: + 49 69 67733 200
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
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127029 31.05.2011
Datum: 31.05.2011 - 16:45 Uhr
Sprache: Deutsch
News-ID 34284
Anzahl Zeichen: 0
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Kategorie:
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