Gengsheng Minerals
China Gengsheng Minerals Inc (OTC:CHGS), a manufacturer of industrial materials capable of withstanding high temperatures, and energy saving materials,
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Gengsheng sales up, but profits down on higher material costs
Gengsheng Minerals announced an 16 percent increase in Q4 sales to US$12.9m but a drop in profits by 33 percent to US$2.9mdue to an increase in raw material prices.
Bauxite prices were particularly affected by the 2008 Olympics, as Beijing restricted mine output in the area of the capital. While these restrictions were lifted after the games, prices still remained relatively high.
The company hopes this year to benefit from the consolidation of China's steel industry.
President and CEO of Gengsheng, Mr Zhang Shunqing, said, "In addition, the near-term, mandated consolidation of the steel factories in China is gathering speed and potentially presents opportunities for our high-quality, high-end refractory products."
In the last year, the company has also expanded annual production capacity for proppants from 30,000 tonnes to 60,000 tonnes per year to cater for its export market.
Other Gengsheng Minerals news
- China GengSheng Minerals' shares drop as Q4 results disappoint
2011-04-01 - Gengsheng wins RMB2.3m subsidy from Henan government to support new solar line
2009-09-15 - Gengsheng starts production of fine precision abrasives
2009-07-31
