Singapore, 14 November 2007 – SGX Mainboard-listed China Sun Bio-Chem Technology Group Co. Ltd, the top modified starch producer and one of the leading corn starch manufacturers in China, today announced steady growth on record revenue for the quarter ended 30 September 2007.
Highlights of 3Q07 results:-
Sales grew 15.6% to RMB440m
Buoyant demand for corn starch and by-products drove higher sales volume and average selling prices.
New non-fuel ethanol plant contributed RMB8m in revenue.
Gross profit rose 3.8% to RMB124m
Group achieved GP margin of 28% (3Q06: 31%) despite higher raw material prices mitigated by greater economies of scale and higher selling prices.
Adjusted total profit rose 6.6% to RMB84m
Adjusted basic EPS would have also risen 4.8% to RMB10.37 cents had the non-cash impact of the Interpretation of FRS 32 on the accounting treatment of convertible bonds been excluded.
Further expansion well-supported by strong balance sheet
Cash balance of RMB1.1bn. Working capital of RMB1.6bn. Current ratio of 4.8 times. Net cash of RMB331m. Gross gearing of 0.5 times.
Expanding capacity and new product to capitalize on robust demand
New non-fuel ethanol product segment to drive sales from 2008.
New Suzhou 120,000-tonne corn sweetener plant set for completion by 1Q2008.
Recently acquired Tieling 300,000-tonne corn starch production plant to start contributing in 2008.