HAITIAN
Injection moulding machine manufacturer posts positive result despite sales slump / Faint signs of recovery
Although there were a few signs that business was picking up again, especially in the domestic Chinese market, the situation was still very difficult, said Zhang Jianming, CEO of the leading Asian injection moulding machine manufacturer, Haitian International (Hong Kong / China; www.haitian.com), when he presented the company's half-year figures on 20 August 2009 in Hong Kong. Like all other global companies in the industry, Haitian suffered a major slump in sales in the first six months of this year, he said. Net sales were down 33% at RMB 1.4 bn (equivalent to around EUR 142m) compared with the corresponding record half-year of 2008. Despite this, continued Zhang, the company still managed to record a profit of RMB 110m (EUR 11m).
Nearly 74% of sales were recorded on Haitian's home market of China. The government's stimulus package in particular had injected considerable life into the market after a fairly catastrophic first quarter, said the CEO. In the end, sales in the first six months in continental China amounted to RMB 1.01 bn (EUR 104m), which was 25% down on the corresponding figure last year. International sales suffered more, plunging 53% compared with both the first and second half-year of 2008. Here, Haitian's sales amounted to RMB 314m (EUR 32m).
Of the half-year sales figure, Q1 accounted for RMB 533m and Q2 for RMB 842m. In the first quarter, business suffered from a particularly low capacity utilisation rate and from the high cost of raw materials and components purchased before the financial crisis, said Zhang, explaining once again the challenges that had faced the company. Fairly recently, however, there had been definite signs of a recovery of the international markets. He expects exports to begin picking up again in the second half of the year – a tendency that should strengthen next year. It was, however, too early, he said, to conclude that the crisis would then be over. The situation was simply too uncertain. Nevertheless, added Zhang optimistically, sales in July had been only 0.5% down on the same month of last year.
e-Service:
Interim report from Haitian International for the six months ending 30 June as a PDF document (528 KB)
Nearly 74% of sales were recorded on Haitian's home market of China. The government's stimulus package in particular had injected considerable life into the market after a fairly catastrophic first quarter, said the CEO. In the end, sales in the first six months in continental China amounted to RMB 1.01 bn (EUR 104m), which was 25% down on the corresponding figure last year. International sales suffered more, plunging 53% compared with both the first and second half-year of 2008. Here, Haitian's sales amounted to RMB 314m (EUR 32m).
Of the half-year sales figure, Q1 accounted for RMB 533m and Q2 for RMB 842m. In the first quarter, business suffered from a particularly low capacity utilisation rate and from the high cost of raw materials and components purchased before the financial crisis, said Zhang, explaining once again the challenges that had faced the company. Fairly recently, however, there had been definite signs of a recovery of the international markets. He expects exports to begin picking up again in the second half of the year – a tendency that should strengthen next year. It was, however, too early, he said, to conclude that the crisis would then be over. The situation was simply too uncertain. Nevertheless, added Zhang optimistically, sales in July had been only 0.5% down on the same month of last year.
e-Service:
Interim report from Haitian International for the six months ending 30 June as a PDF document (528 KB)
26.08.2009 Plasteurope.com [214211]
Published on 26.08.2009
German version of this article...