THT Heat Transfer Technology Inc., a leading provider of heat exchangers and heat exchange solutions in China’s clean technology industry, posted its unaudited financial results for the fiscal year ended December 31, 2009, beating economic downturn abroad with sold numbers across the board.
“I am pleased to report that we achieved healthy results for fiscal year 2009 despite the residual impact of slower economic growth in the first half of 2009. During the year, we continued to enhance our nationwide sales network and increase our market share, at the same time as optimizing our product mix. These achievements allowed us to deliver solid results and further enhance profitability,” chairman and CEO Guohong Zhao stated in the press release.
Revenue for fiscal year 2009 was US$34.89 million, a 7.47 percent increase from US$32.47 million in 2008. The company attributes the increase to China’s broad economic recovery, the government’s continued focus on environmental protection initiatives, as well as the company’s aggressive sales tactics.
Cost of sales for fiscal year 2009 was US$19.97 million, a decreased of 10.22 percent from US$22.24 million in 2008.
The company reported a 45.93 percent increase in gross profit, reported at US$14.92 million in 2009, up from US$10.23 million in 2008.
Gross margin increased to 42.77 percent in 2009 from 31.50% in 2008, an expansion of 11.27 percentage points.
THTI posted net income attributable to shareholders at US$4.14 million in 2009, up 38.82 percent compared to US$2.98 million in 2008; basic and fully diluted net income per share was US$0.27 in 2009, compared with US$0.20 in 2008.
The company also gave first-quarter guidance for 2010, in which it said it expects net revenues in the range of US$9.00 million to US$11.00 million in first quarter fiscal 2010, compared with US$4.36 million in the same period of 2009. This represents THTI’s current and preliminary view, and is subject to change.
“This favorable market environment and the trend towards improving energy efficiency and reducing businesses’ emission footprints create enormous potential for THT. Our leading market position, diversified product mix and applications, and superior R&D achievements make THT well positioned to capitalize on growth in the clean technology sector,” Zhao stated.