China Ceramics Co., Ltd., the BVI-based manufacturer of ceramic tiles for residential and commercial buildings, announced the unaudited financial results for its BVI-registered subsidiary Success Winner Limited for the third quarter ended September 30, 2009. Thus, the reported period is prior to the business combination completed at the end of November, as a result of which China Holdings Acquisition Corp. merged into its subsidiary and changed the name to China Ceramics.
For the third quarter of 2009, the BVI company reported 15.8% increase of revenue compared to the third quarter ended September 30, 2008, – caused by a 16.4% increase in the sales of ceramic tiles in the reported period compared to the third quarter of 2008. Company’s profit for the period ended September 30, 2009 increased by 19.0%, compared to the same period of 2008. The profit increase was due to the 15.8% growth in revenue . Earnings Before Interest increased by 36.4% in the third quarter 2009 compared to the same period of 2008.
Other key operating highlights of Success Winner Limited for the third quarter of 2009 included the increase of gross margin to 35.5% of revenue, compared with 32.3% in the second quarter of 2009. Selling and distribution expenses of the company increased to RMB15 million, compared with RMB 12.8 million in the previous quarter of 2009, and RMB 12.1 million for Q3 2008; administrative expenses were RMB2.6 million, compared with RMB2.3million for the second quarter of 2009 and RMB2.2 million for Q3 2008. At the end of the reported period, cash and cash equivalents for the BVI company made RMB 162.3 million, compared with RMB93.2 million as of June 30, 2009.
According to the outlook for the fourth quarter ended December 31, 2009, the company expects a 20.8% year over year growth in sales volume.