Welcome!

Microsoft Cloud Authors: Liz McMillan, John Basso, Pat Romanski, Glenn Rossman, Elizabeth White

News Feed Item

Fuwei Films Announces Its Unaudited Financial Results for the Third Quarter of 2012

- Teleconference to be Held on Wednesday, November 28, 2012 at 8:00 am EST -

BEIJING, Nov. 27, 2012 /PRNewswire-FirstCall/ -- Fuwei Films (Holdings) Co., Ltd. (Nasdaq: FFHL) ("Fuwei Films" or the "Company"), a manufacturer and distributor of high-quality BOPET plastic films in China, today announced its unaudited financial results for the third quarter of 2012 ended September 30, 2012.

Highlights

  • Net sales for the third quarter were RMB88.8 million (US$14.1 million), compared with RMB117.0 million in the same period of 2011.
  • Net loss attributable to the Company for the third quarter was RMB14.9 million (US$2.4 million), compared with net loss attributable to the Company of RMB4.9 million in the same period of 2011.
  • Net cash provided by operating activities during the first nine months was RMB104.7 million (US$16.7 million), compared with net cash provided by operating activities RMB17.1 million in the same period of 2011.
  • Basic and diluted net loss per share for the third quarter was RMB1.14 (US$0.18), compared with basic and diluted net loss per share of RMB0.38 in the same period of 2011.

Mr. Xiaoan He, Chairman and CEO of the Company, said, "We have made significant progress in the construction of our third production line for thick films despite the current market condition. If all goes as planned, we expect to start trial operations of the line by the end of the year or early next year. We have started the R&D for our thick films to be manufactured by this production line including high performance electric insulation film, base film for solar backsheet and TFT-LCD optical films. In addition, we have started marketing these products and contacting target clients."

Third quarter of 2012 Results

Revenues for the third quarter ended September 30, 2012 were RMB88.8 million (US$14.1 million), compared with RMB117.0 million in the same period of 2011, which was a decrease of RMB28.2 million, or 24.1% compared with the third quarter of 2011. The decrease in sales was mainly due to the significant decrease in sales prices compared to the same period in 2011 arising from stronger competition attributing to increased capacity in China and overseas.

Overseas sales during the third quarter ended September 30, 2012 were RMB19.5 million (US$3.1 million,) or 22.0% of total revenues, compared with RMB22.4 million or 19.2% of total revenues in the same period of 2011. The decrease in overseas sales was mainly due to the decrease in sales prices compared with the same period last year. With respect to the percentage of total sales, overseas sales increased due to increased marketing efforts.

The following is a breakdown of domestic versus overseas sales for the three-month periods ended September 30, 2012 and 2011 (amounts in thousands):



Three-Month Period Ended



September 30, 2012

% of Total

September 30, 2011

% of Total



RMB

US$

RMB

Sales in China


69,240

11,017

78.0%

94,533

80.8%

Sales in other countries


19,521

3,106

22.0%

22,430

19.2%








Total


88,761

14,123

100.0%

116,963

100.0%

Gross profit was RMB0.9 million (US$0.1 million) for the third quarter of 2012, compared with RMB10.4 million in the same period of 2011. Gross margin was 1.0%, compared with 8.9% in the third quarter of 2011. This was mainly due to the decrease in sales price exceeding those in raw material during the third quarter ended September 30, 2012 compared with the same period in 2011.

Operating expenses for the three months ended September 30, 2012 was RMB13.4 million (US$2.1 million), compared with RMB14.0 million in the third quarter of 2011, which was RMB0.6 million, or 4.3% lower than the same period in 2011.

Operating loss for the third quarter of 2012 was RMB12.5 million (US$2.0 million), compared with operating loss of RMB3.7 million in the same period of 2011.

Net loss attributable to the Company for the third quarter of 2012 was RMB14.9 million (US$2.4 million), compared with net loss attributable to the Company of RMB4.9 million in the third quarter of 2011.

Basic and diluted net loss per share was RMB1.14 (US$0.18), compared with basic and diluted net loss per share of RMB0.38 in the third quarter of 2011.

Total shareholders' equity was RMB531.8 million (US$84.6 million) as of September 30, 2012, compared with RMB573.7 million as of December 31, 2011.

As of September 30, 2012, the Company had 13,062,500 basic and diluted total ordinary shares outstanding.

Conference Call Information

The Company will host a teleconference on Wednesday, November 28, 2012, at 8:00 a.m. EST / 9:00 p.m. Beijing time to discuss the financial results. To participate in the call, please dial +1-877-407-9205 in North America, or +1-201-689-8054 internationally, approximately 10 minutes prior to the scheduled start time.

A replay of the call can also be accessed via telephone by calling +1-877-660-6853 in North America, or +1-201-612-7415 internationally, and entering the following Conference ID: 404179. The replay will be available until December 28, 2012, at 11:59 p.m. EST.

About Fuwei Films

Fuwei Films conducts its business through its wholly owned subsidiary, Fuwei Films (Shandong) Co., Ltd. ("Shandong Fuwei"). Shandong Fuwei develops, manufactures and distributes high-quality plastic films using the biaxial oriented stretch technique, otherwise known as BOPET film (biaxially oriented polyethylene terephthalate). Fuwei Films' BOPET film is widely used to package food, medicine, cosmetics, tobacco, and alcohol, as well as in the imaging, electronics, and magnetic products industries.

Safe Harbor

This press release contains information that constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and are subject to risks. Risk factors that could contribute to such differences include those matters more fully disclosed in the Company's reports filed with the U.S. Securities and Exchange Commission which, among other things, include competition in the BOPET film industry; growth of, and risks inherent in, the BOPET film industry in China; uncertainty as to future profitability and our ability to obtain adequate financing for our planned capital expenditure requirements; uncertainty as to our ability to continuously develop new BOPET film products and keep up with changes in BOPET film technology; risks associated with possible defects and errors in our products including complaints and claims from clients; uncertainty as to our ability to protect and enforce our intellectual property rights; uncertainty as to our ability to attract and retain qualified executives and personnel; and uncertainty in acquiring raw materials on time and on acceptable terms, particularly in view of the volatility in the prices of petroleum products in recent years. The forward-looking information provided herein represents the Company's estimates as of the date of the press release, and subsequent events and developments may cause the Company's estimates to change. The Company specifically disclaims any obligation to update the forward-looking information in the future. Therefore, this forward-looking information should not be relied upon as representing the Company's estimates of its future financial performance as of any date subsequent to the date of this press release. Actual results of our operations may differ materially from information contained in the forward-looking statements as a result of the risk factors.

For more information, please contact:

In China:

Miss Lysander Lee
Investor Relations Officer
Phone: +86 133 615 59266
Email: [email protected]

In the U.S.:

Ms Leslie Wolf-Creutzfeldt
Investor Relations
Grayling
Phone: +1-646-284-9472
Email: [email protected]

 

Financial Tables to Follow

FUWEI FILMS (HOLDINGS) CO., LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

AS OF SEPTEMBER 30, 2012 AND DECEMBER 31, 2011

(amounts in thousands except share and per share value)

(Unaudited)




September 30, 2012


December 31, 2011


RMB

US$


RMB

ASSETS






Current assets






Cash and cash equivalents


15,767

2,509


44,172

Restricted cash


49,168

7,823


102,212

Accounts and bills receivable, net


17,859

2,842


52,457

Inventories


39,911

6,350


41,774

Advance to suppliers


17,994

2,863


8,808

Prepayments and other receivables


22,423

3,568


31,172

Deferred tax assets - current


1,274

203


1,309

Total current assets


164,396

26,158


281,904







Plant, properties and equipment, net


245,772

39,106


277,119

Construction in progress


277,320

44,126


119,647

Lease prepayments, net


19,654

3,127


20,047

Advance to suppliers - long term


37,542

5,973


62,799

Goodwill


10,276

1,635


10,276

Long-term deposit


16,760

2,667


16,760

Deferred tax assets - non current


1,516

241


1,622







Total assets


773,236

123,033


790,174







LIABILITIES AND EQUITY






Current liabilities






Short-term borrowings


120,000

19,094


168,501

Accounts payables


22,427

3,568


19,317

Notes payable


62,459

9,938


-

Advance from customers


18,884

3,005


11,876

Accrued expenses and other payables


6,717

1,069


5,798

Total current liabilities


230,487

36,674


205,492







Long-term loan


10,000

1,591


10,000

Deferred tax liabilities


1,803

287


1,811







Total liabilities


242,290

38,552


217,303







Commitments and contingencies












Equity






Shareholders' equity






Registered capital (of US$0.129752 par value; 20,000,000 shares authorized; 13,062,500 issued and outstanding)


13,323

2,120


13,323

Additional paid-in capital


311,907

49,629


311,907

Statutory reserve


37,441

5,957


37,441

Retained earnings


167,868

26,710


209,768

Cumulative translation adjustment


1,213

193


1,230

Total shareholders' equity


531,752

84,609


573,669

Non-controlling interest


(806)

(128)


(798)

Total equity


530,946

84,481


572,871

Total liabilities and equity


773,236

123,033


790,174

 

FUWEI FILMS (HOLDINGS) CO., LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

FOR THE THREE- AND NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2012 AND 2011

(amounts in thousands except share and per share value)

(Unaudited)




The Three-Month Period Ended September 30,


The Nine-Month Period Ended September 30, 



2012


2011


2012


2011


RMB

US$


RMB


RMB

US$


RMB

Net sales


88,761

14,123


116,963


272,196

43,310


428,433

Cost of sales


87,895

13,985


106,596


272,475

43,355


350,403












Gross margin


866

138


10,367


(279)

(45)


78,030












Operating expenses











Selling expenses


4,561

726


5,097


13,325

2,120


14,136

Administrative expenses


8,801

1,400


8,946


22,618

3,599


27,824

Total operating expenses


13,362

2,126


14,043


35,943

5,719


41,960












Operating (loss) income


(12,496)

(1,988)


(3,676)


(36,222)

(5,764)


36,070












Other income (expense)











- Interest income


83

13


358


2,592

412


1,435

- Interest (expense)


(2,564)

(408)


(2,736)


(8,621)

(1,372)


(7,462)

- Other income (expense), net


126

20


543


475

76


307












Total other income (expense)


(2,355)

(375)


(1,835)


(5,554)

(884)


(5,720)












(Loss)/income before provision for income taxes


(14,851)

(2,363)


(5,511)


(41,776)

(6,648)


30,350












Provision for income tax (expense)/benefit


(12)

(2)


597


(133)

(21)


(5,507)












Net (loss) income


(14,863)

(2,365)


(4,914)


(41,909)

(6,669)


24,843












Net (loss) income attributable to
non-controlling interests


(7)

(1)


(12)


(9)

(1)


(21)

Net income (loss) attributable to
the Company


(14,856)

(2,364)


(4,902)


(41,900)

(6,668)


24,864












Other comprehensive income











- Foreign currency translation adjustments attributable to non-controlling interest


9

1


27


1

0


44

- Foreign currency translation adjustments attributable to the Company


9

1


30


(17)

(3)


35












Comprehensive income (loss) attributable to non-controlling interest


2

0


15


(8)

(1)


23

Comprehensive (loss) income attribute to the Company


(14,847)

(2,363)


(4,872)


(41,917)

(6,671)


24,899












Earnings (loss) per share, Basic and diluted


(1.14)

(0.18)


(0.38)


(3.21)

(0.51)


1.90

Weighted average number ordinary shares, Basic and diluted


13,062,500

13,062,500


13,062,500


13,062,500

13,062,500


13,062,500


 

FUWEI FILMS (HOLDINGS) CO., LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2012 AND 2011

(amounts in thousands except share and per share value)

(Unaudited)




The Nine-Month Period Ended September 30,



2012


2011



RMB

US$


RMB

Cash flow from operating activities






Net (loss) income


(41,909)

(6,668)


24,843

Adjustments to reconcile net income to net cash






(used in)provided by operating activities






- Loss/(gain) on disposal of property, plant and equipment


(35)

(6)


-

- Depreciation of property, plant and equipment


36,537

5,814


31,013

- Amortization of intangible assets


340

54


340

- Deferred income taxes


133

21


726

- Bad debt (recovery) expense


(236)

(38)


(5,690)

Changes in operating assets and liabilities






- Accounts and bills receivable


35,040

5,575


(16,983)

- Inventories


1,863

296


4,853

- Advance to suppliers


(9,186)

(1,462)


4,161

- Prepaid expenses and other current assets


28,216

4,490


5,372

- Accounts payable


3,210

511


525

- Accrued expenses and other payables


653

115


(7,348)

- Note payable


62,459

9,938



- Advance from customers


7,009

1,115


(18,816)

- Tax payable


(19,399)

(3,087)


(5,911)







Net cash provided by operating activities


104,695

16,668


17,085







Cash flow from investing activities






Purchases of property, plant and equipment


(5,452)

(867)


(33,629)

Restricted cash related to trade finance


53,043

8,440


(98,134)

Advanced to suppliers - non current


25,257

4,019


(1,993)

Amount change in construction in progress


(157,673)

(25,088)


20,470

Proceeds from sale of property, plant and equipment


250

40


-







Net cash used in investing activities


(84,575)

(13,456)


(113,286)







Cash flow from financing activities






Principal payments of short-term bank loans


(168,501)

(26,811)


(7,000)

Proceeds from short-term bank loans


120,000

19,094


18,501







Net cash (used in) provided by financing activities


(48,501)

(7,717)


11,501







Effect of foreign exchange rate changes


(24)

(4)


(173)







Net decrease in cash and cash equivalent


(28,405)

(4,509)


(84,873)







Cash and cash equivalent






At beginning of period/year


44,172

7,018


171,227

At end of period/year


15,767

2,509


86,354







SUPPLEMENTARY DISCLOSURE:






Interest paid


8,621

1,372


7,462

Income tax paid


-

-


9,654







SUPPLEMENTARY SCHEDULE OF NONCASH INVESTING AND FINANCIAL ACTIVITIES:

During the period ended September 30, 2012, the Company acquired equipment by incurring accounts payable in the
amount of:


3,834

610


-

SOURCE Fuwei Films (Holdings) Co., Ltd.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
"We've discovered that after shows 80% if leads that people get, 80% of the conversations end up on the show floor, meaning people forget about it, people forget who they talk to, people forget that there are actual business opportunities to be had here so we try to help out and keep the conversations going," explained Jeff Mesnik, Founder and President of ContentMX, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with the 19th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world and ThingsExpo Silicon Valley Call for Papers is now open.
The IoT is changing the way enterprises conduct business. In his session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, discussed how businesses can gain an edge over competitors by empowering consumers to take control through IoT. He cited examples such as a Washington, D.C.-based sports club that leveraged IoT and the cloud to develop a comprehensive booking system. He also highlighted how IoT can revitalize and restore outdated business models, making them profitable ...
"delaPlex is a software development company. We do team-based outsourcing development," explained Mark Rivers, COO and Co-founder of delaPlex Software, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
We all know the latest numbers: Gartner, Inc. forecasts that 6.4 billion connected things will be in use worldwide in 2016, up 30 percent from last year, and will reach 20.8 billion by 2020. We're rapidly approaching a data production of 40 zettabytes a day – more than we can every physically store, and exabytes and yottabytes are just around the corner. For many that’s a good sign, as data has been proven to equal money – IF it’s ingested, integrated, and analyzed fast enough. Without real-ti...
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
I wanted to gather all of my Internet of Things (IOT) blogs into a single blog (that I could later use with my University of San Francisco (USF) Big Data “MBA” course). However as I started to pull these blogs together, I realized that my IOT discussion lacked a vision; it lacked an end point towards which an organization could drive their IOT envisioning, proof of value, app dev, data engineering and data science efforts. And I think that the IOT end point is really quite simple…
A critical component of any IoT project is what to do with all the data being generated. This data needs to be captured, processed, structured, and stored in a way to facilitate different kinds of queries. Traditional data warehouse and analytical systems are mature technologies that can be used to handle certain kinds of queries, but they are not always well suited to many problems, particularly when there is a need for real-time insights.
Big Data, cloud, analytics, contextual information, wearable tech, sensors, mobility, and WebRTC: together, these advances have created a perfect storm of technologies that are disrupting and transforming classic communications models and ecosystems. In his session at @ThingsExpo, Erik Perotti, Senior Manager of New Ventures on Plantronics’ Innovation team, provided an overview of this technological shift, including associated business and consumer communications impacts, and opportunities it ...
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
Is your aging software platform suffering from technical debt while the market changes and demands new solutions at a faster clip? It’s a bold move, but you might consider walking away from your core platform and starting fresh. ReadyTalk did exactly that. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, will discuss why and how ReadyTalk diverted from healthy revenue and over a decade of audio conferencing product development to start an innovati...
WebRTC is bringing significant change to the communications landscape that will bridge the worlds of web and telephony, making the Internet the new standard for communications. Cloud9 took the road less traveled and used WebRTC to create a downloadable enterprise-grade communications platform that is changing the communication dynamic in the financial sector. In his session at @ThingsExpo, Leo Papadopoulos, CTO of Cloud9, discussed the importance of WebRTC and how it enables companies to focus...
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
SYS-CON Events announced today that LeaseWeb USA, a cloud Infrastructure-as-a-Service (IaaS) provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LeaseWeb is one of the world's largest hosting brands. The company helps customers define, develop and deploy IT infrastructure tailored to their exact business needs, by combining various kinds cloud solutions.
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, discussed how leveraging the Industrial Internet a...
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
SYS-CON Events announced today that Venafi, the Immune System for the Internet™ and the leading provider of Next Generation Trust Protection, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Venafi is the Immune System for the Internet™ that protects the foundation of all cybersecurity – cryptographic keys and digital certificates – so they can’t be misused by bad guys in attacks...
The best-practices for building IoT applications with Go Code that attendees can use to build their own IoT applications. In his session at @ThingsExpo, Indraneel Mitra, Senior Solutions Architect & Technology Evangelist at Cognizant, provided valuable information and resources for both novice and experienced developers on how to get started with IoT and Golang in a day. He also provided information on how to use Intel Arduino Kit, Go Robotics API and AWS IoT stack to build an application tha...
Amazon has gradually rolled out parts of its IoT offerings in the last year, but these are just the tip of the iceberg. In addition to optimizing their back-end AWS offerings, Amazon is laying the ground work to be a major force in IoT – especially in the connected home and office. Amazon is extending its reach by building on its dominant Cloud IoT platform, its Dash Button strategy, recently announced Replenishment Services, the Echo/Alexa voice recognition control platform, the 6-7 strategic...