BVI-registered A-Power Energy Generation Systems, Ltd. announced that it had signed sales contract with China National Automation Control System Corp. (CACS) for the sale of five 2.7 MW wind turbines.
Delivery of the five units, which will be the first ones produced at BVI company’s recently completed wind turbine production facility in Shenyang, is planned to occur in Q4 2008. This facility consists of two production lines with a designed annual capacity of 300 units of 2.7MW wind turbines and 420 units of 750kW wind turbines, totaling over 1.1GW in annual output.
CACS is a subsidiary of China National Machinery & Equipment Group, and a leading provider of power generation solutions to both China and the international markets since 1981. The BVI company will supply wind turbines to CACS’ wind farm projects in the Gansu province and the Inner Mongolia Autonomous Region.
Currently, the BVI company is in late-stage discussion to sign additional contracts with CACS and the other parties that had signed letters of intent with A-Power in Q1 2008, and which in aggregate provide for additional 375 wind turbines.
UTi Worldwide Inc. (UTIW), British Virgin Islands company engaged in the supply chain services, logistics and freight forwarding, reported its quarterly data for the period ended July 31, 2008. The BVI company reported total revenue in the amount of US$1,251,390 thousands, compared to US$1,188,147 thousands in the previous period ended April 30, 2008.
Gross profit for the period ended July 31, 2008 was US$192,068 thousands, compared to US$173,993 thousands in the previous period ended April 30, 2008. The reported operating income is US$43,3 million – almost double increase from US$23,9 million.
In the reported period, earnings before interest and taxes were US$46,752 thousands, while earnings for the previous period were US$27,563 thousands. Interest expense was US$7,264 thousands (as compared to US$7,735 thousands). Net income was more than US$33,7 million, compared to US$13,5 million in the previous period.
China Gengsheng Minerals, Inc., a materials technology company based in China and conducting its business through the BVI-domiciled subsidiary Gengsheng International Corporation, announced the establishment of US$1.19 mln credit line with Gongyi Chengzhong Agriculture Credit Cooperative in Henan province of China.
The new credit line is available through August 14, 2009, and secured by certain assets of Henan Gengsheng Refractories Co., Ltd., which is the wholly-owned subsidiary of the BVI-registered Gengsheng International Corporation. The proceeds from the new credit line are expected to expand the facilities of China Gengsheng Minerals, and for other working capital needs.
In the first half of 2008, China Gengsheng Minerals generated a positive net operating cash flow of $4.3 mln., capital expenditures in the first six months of 2008 made $2.5 mln. The secured short-term bank loans of the company were US$5.1 mln as of June 30.
A-Power Energy Generation Systems Ltd., power systems company registered in the British Virgin Islands and operating through its Chinese subsidiary Liaoning GaoKe Energy Group Co., Ltd., announced its financial results for the second quarter of 2008. The company reported a 4% rise of profit in this period, due to the developing distributed power generation projects and wind turbine production.
The reported net income of the BVI company made US$ 6.2 million in 2Q 2008, compared with US$6 million in the same period of the previous year. Excluding a stock option charge of US$280,000, total amount of net income made US$6.5 million, or 20 cents per share.
The BVI corporation announced a 22% increase of revenue, from US$54 million in 2Q 2007 to US$65.7 million. The analysts expected earnings of 20 cents per share on revenue of US$62.1 million.
A-Power also reaffirmed its earnings guidance for 2008, from US$35 million to US$45 million. In 2007, the company posted net income of US$16.5 million.
During the second quarter of the year, the BVI corporation received several big contracts, including a US$150 million contract to build 300-megawatt power generation system in Thailand. Last month, A-Power (BVI) also signed memorandum of understanding for a $300 million agreement with Thai corporation, to build 600-megawatt power generation system.