China-based producer Fujian Cement said that 2009 revenue declined 6.74 per cent YoY to CNY1.15bn, reports 21st Century Business Herald, citing a company filing. It recorded a net loss of CNY96.15m in 2009.
According to data from TX Investment, Fujian Cement recorded a drop in gross margin from more than 20 per cent in 2008 to less than 10 per cent in 2009. Gross margin in 2007 was 29 per cent.
Sales-related costs and administration expenses hit CNY126m and CNY144m respectively in 2009, accounting for 23 per cent of its total revenue.
The company sold 4.23 million shares in Industrial Bank (601166) in 2009, earning investment returns of CNY112m.
Fujian Cement recorded a net profit of CNY5.02m in 2008. Upon the deduction of non-recurring gains, the company recorded a loss of CNY37.3m.
Fujian Cement announced that it plans to subscribe to 415,800 shares allotted by Industrial Bank for CNY115m.