SINGAPORE (Feb 28): China Jinjiang Environment reported a 10.5% rise in 4Q earnings to RMB204.7 million ($43 million) from a year ago as the country's clean energy sector goes through a phase of high growth and development.
Revenue in 4Q17 increased 10.4% to RMB858.6 million due mainly to a 131.5% increase in revenue from its EMC business to RMB199 million. Revenue from waste-to-energy (WTE) business decreased by 5.1% to RMB24.4 million and revenue from construction services provided under build-operate-transfer (BTO) concessions decreased 3.8% to RMB203.1 million.
Cost of sales increased 3.8% to RMB505.7 million resulting in a 21.4% rise in gross profit to $352.9 million.
Other income and other gains and losses decreased 51.5% to RMB33.7 million due to one-time government subsidiary which is recognised as other income, increase in forex gains, reduction in impairment of trade receivables and disposal of 42% stake in PLT Energy WTE Facility in 3Q17 for RMB68.5 million.
For FY17, earnings increased 0.6% to RMB601.2 million from a year ago. Total revenue increased 3.2% to RMB2.72 billion.
As at Dec 31, China Jinjiang operated 20 WTE facilities with a total waste treatment capacity of 28,280 tons/day and an electricity generating capacity of 521 MW/d. The group also has three overseas projects in the preparatory stage. These are based in Lucknow, Gwalior and Gurgaon in India.
The board has recommended a final dividend of 5.1 cents per share.
Shares in China Jinjiang closed 3 cents higher at 50 cents.
