Written by The Edge
Mainboard-listed Sunpower Group, the China-based heat transfer technology specialist, says it recorded a 12.4% increase in net profit after tax to RMB21.8 million ($4.4 million) for the three months ended 30 June 2010 (2Q2010) from RMB19.4 million in 2Q2009. This comes on the back of a 5.7% in revenue to RMB172.7 million from RMB163.5 million.
Sunpower says growth was due to higher contract deliveries primarily driven by the group’s Pipes Support segment during the quarter in review.
Gross profit increased more than revenue in 2Q2010 as a result of higher margin from the Pipes Support segment. Gross profit margin for the Group increased to 29.9% in 2Q2010 from 27.5% in 2Q2009.
The group’s financial position remained healthy, generating RMB58.8 million operating cash flow in 2Q2010, up 171.4% from RMB21.7 million in 2Q2009. Cash and cash equivalents together with pledged bank deposits stood at RMB213.9 million at end 30 June 2010, down 11.2% from RMB240.8 million at end 30 December 2009 as funds were mainly used for working capital purposes.
For the half year in 2010, the group recorded a 24.3% increase in 1H2010 revenue to RMB334.2 million and 21.7% increase in 1H2010 net profit after tax to RMB32.5 million.
Dividend : None
