Sales Revenue and Profit
Attributable to owners of the Company reached US$204.0 million and
US$25.9 million respectively
Establish Green Brand and
Expand in Energy-saving market
HONG KONG, Aug. 25 /PRNewswire-Asia/
--
NVC Lighting Holding
Limited ("NVC" or the "Company", together with its
subsidiaries, the "Group", HKEx stock code: 2222), the leading
supplier of lighting products in China, today announced its interim
results for the six months ended 30 Jun 2010 ("the Period under
Review").
During the Period under Review,
benefiting from the favorable environment with the recovery of the
economy and the implementation of efficient business strategies,
the Group recorded outstanding business performance. Sales revenue
increased by 85.9%, reaching US$204 million (approx. HK$1.59
billion). Gross profit rose to US$55.38 million (approx. HK$430
million) with an increase rate of 98.7%. Operating profit is up by
132.3% to US$31.80 million (approx. HK$247 million). Profit
attributable to owners of the Company surged to US$25.93 million
(approx. HK$202 million). The Board recommended the payment of an
interim dividend of 2 HK cents per share for the six months ended
30 June 2010.
Concerning the Group's outstanding
business performance, Mr. Wu Changjiang, Chairman, CEO
and Executive Director of NVC said, "During the
Period under Review, the Chinese economy maintained its rapid
growth momentum. The lighting industry showed certain signs of
growth along with the recovery of the macro-economy. The Group
fully grasped the market opportunities with effective business
strategies such as promoting the brand profile of NVC and
furthering its sales, production and product R&D efforts, with
a view to maintain the Group's leading position in the lighting
industry and deliver outstanding results. The Group was
successfully listed on the Main Board of the Stock Exchange of Hong
Kong Limited on 20 May 2010, symbolizing a new milestone for the
Group's further development, and the proceeds from which allowed us
to accelerate the pace of corporate development, enhance our core
competitiveness and profile and consolidate our leading position in
the industry."
During the Period under Review,
rapid growth was recorded for the Group's three product segments.
Revenue from luminaire products increased by 88.1% to US$99.07
million (approx. HK$770 million). For the lamp products, revenue
increased 77.3% to US$78.03 million (approx. HK$607 million) as
compared to the corresponding period in 2009. And the revenue of
lighting electronic products segments was US$26.93 million (HK$209
million), with an increase of 105.7%. With our efforts in improving
our manufacturing efficiency and enhancing the vertical integration
of products and the scale of the economies, the Group's gross
profit margin increased from 25.4% in the first half of 2009 to
27.1% this year.
During the Period under Review, the
Group's s retail network further expanded. 405 NVC outlets were
newly established. After taking out 216 NVC outlets which were
closed down or re-organized, the number of net increase for NVC
outlets was 189, among which 51 were in the provincial capital
cities, 20 were in the municipal cities and 118 were in the
counties. As at 30 June 2010, the Group had a total of 2,650 NVC
outlets. The Group furthered its effort in strengthening its
control over its exclusive regional distributors and NVC outlets
during the period. In the first half of 2010, during the first half
of 2010, the Group maintained the original 36 exclusive regional
distributors and has strengthened its control and guidance over
their implementation of the Company's policy, so as to perfect the
price management system and optimize the product portfolio. During
the Period under Review, the Group has newly developed 18 large
Professional engineering customers with transaction value exceeding
RMB1 million and 46 key accounts, revenue grew by 120.4% as
compared with the corresponding period of 2009.
In terms of NVC brands sales in
international market, the Group continued to develop new customers
and strengthen the development of its sales channels. With respect
to emerging market such as Asian and African countries, the Group
has adopted strategy with reference to its China model to develop
new distributors. With respect to the markets with well-established
channels such as Europe and the USA, the Group has expedited its
pace in brand building and cooperated with experienced channel
operators. For example, UK NVC has gradually switched to the
wholesales of NVC brand products from the sole OEM sales model and
had successful cooperation with a number of well-known local
electrical appliances chain stores, thereby NVC brand products
gained access to the mainstream channels.
The Group has been placing strong
emphasis in raising the brand profile, marketing and promoting the
NVC brand, which included active participation in different
industry seminars and forum in China, and participated in various
overseas promotional activities, in order to strengthen and promote
NVC's professional brand image.
Concerning the Group's development
in the second half year, Mr. Wu said, "In the later half of 2010,
China will be hosting two international events, namely, the
Shanghai World Expo and the Guangzhou Asian Games. The resultant
economic benefits for domestic enterprises from these two major
events will be immeasurable. They will also bring large amount of
orders and offer a showcase platform for China's lighting industry.
In order to grasp the business opportunities ahead, we will
continue to secure our leading position in the industry through
technological transformation and introduction of advanced
production facilities. On the other hand, the global's concern on
energy saving and emission reduction has directly driven market
demand to energy-saving products. We will keep increasing our
production capacity on energy-saving lamp products and focus on the
production of energy-saving products, further consolidate the NVC's
green brand image. We will also make our best efforts to further
brand building, increase investment in the research and development
of products, improve production efficiency and product quality and
introduce the most advanced technologies in the world, so as to
maintain our leading position in technologies of the lighting
industry."
"We will also further expand the
coverage of our distribution network, penetrate deeper into
existing markets and explore new distribution models. We will also
keep an eye on potential enterprises, continue to perfect our
product structure and market system through merger and acquisition
activities. We strive to achieve the goal of 'Becoming a world
famous brand and the best player in the industry, bring the best
return to our shareholders," Mr. Wu concluded.
About NVC
NVC is a leading lighting products
supplier in China, and was listed on the Stock Exchange of Hong
Kong Limited on 20 May 2010. According to the Report from China
Association of Lighting Industry (CALI), the Company is the largest
domestic lighting brand supplier and ranked the second amongst all
lighting brand suppliers in China based on 2009 sales revenue. The
Company designs, develops, produces, markets and sells a variety of
lighting products, including luminaire products, lamp products and
lighting electronics products. NVC products were sold through a
nationwide sales network of 36 exclusive regional distributors and
2,650 NVC outlets covering 31 provinces, municipalities and
autonomous regions in China.
For further information, please
contact:
Porda International
(Finance) PR Company Limited
Mr. Terence Wong
Tel: +852-3150-6773
Email: [email protected]
Ms. Kelly Fung
Tel: +852-3150-6763
Email: [email protected]
Ms. Fiona Ko
Tel: +852-3150-6750
Email: [email protected]
Ms. Irene Chan
Tel: +852-3150-6739
Email: [email protected]
Fax: +852-3150-6728
SOURCE NVC Lighting Holding
Limited