Sinovel First-Quarter Net Loss Narrows as Orders Improve
Sinovel Wind Group Co. (601558), once China’s biggest maker of wind turbines, posted a narrower quarterly net loss as orders increased.
Net loss was 171.2 million yuan ($27 million) in the first quarter, compared with a 248.5 million yuan loss a year earlier, Beijing-based Sinovel said yesterday in a statement. Sales more than doubled to 1.44 billion yuan.
The company also reported a net loss of 3.45 billion yuan for 2013, widening from 582.7 million yuan in 2012.
The second consecutive annual loss may lead to Sinovel’s 2.8 billion yuan of bonds to be halted from trading, the company said on April 18. The Shanghai Stock Exchange will decide whether to invoke a suspension on the bonds within seven trading days of the earnings report, Sinovel said then.
The company said in January the exchange may also place the stock on a watchlist for possible delisting after the loss.
Shares of Sinovel rose 0.9 percent to close at 3.34 yuan in Shanghai trading yesterday, before earnings were released. The stock has slumped 19 percent this year.
Sinovel’s ranking in China by installed capacity fell to seventh last year from third in 2012, according to the China Wind Energy Association. It was the nation’s biggest turbine maker in 2010.
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