(Hong Kong, 31 August 2011), Beijing Enterprises Water Group Limited and its subsidiaries (stock code: 371, hereinafter referred to as "BEWG" or the "Company" or the "Group") has officially announced its interim results for the year of 2011 today. Under the leadership of the Board and the dedication of the employees, the Group developed rapidly for the first half of 2011 and again made great achievements.
The Group's major financial data for the six months ended 30 June 2011 are as follows:
Revenue amounted to HK$900.5 million, representing a decrease of 59% over the previous period; profit from operating activities amounted to HK$502.5 million, representing an increase of 75% over the previous period; profit before tax amounted to HK$400.4 million, representing an increase of 111% over the previous period; profit for the period amounted to HK$334.1 million, representing an increase of 99% over the previous period. Total assets amounted to HK$21,855.1 million, representing an increase of 27% over the previous period; total equity amounted to HK$9,347.2 million, representing an increase of 84% over the previous period; total liabilities amounted to HK$12,507.9 million, representing an increase of 3% over the previous period.
Furthermore, profit attributable to shareholders grew strongly to HK$309.7 million, with basic earnings per share amounted to HK4.73 cents; EBITDA amounted to HK$551.6 million.
With respect of project investments, for the first half of 2011, the Group obtained an additional water processing capacity of 1,423,700 tons/day including an additional water supply capacity of 1,005,000 tons/day, additional sewage treatment capacity of 339,500 tons/day and an additional industrial water processing capacity of 79,200 tons/day. Apart from this, an additional waste treatment capacity of 225 tons/day is obtained. As of today, the Group has processing capacity of 7,333,200 tons/day and operation capacity of 3,513,000 tons/day from 57 project companies and 93 water plants with the coverage of 41 cities in 17 provinces across the PRC.
In 2011, the "Instructions Opinions" on "No. 1 Document" issued by the Central Committee of the Chinese Communist Party have provided solid measures to boost the whole water industry. However, the issue of water price was again highlighted and the problem with water price has become an urgent matter to be solved in respect of the development of water industry in the PRC. At the same time, as the monetary policy tightened, the era of "Capital is the king" has resurfaced. In the second half of 2011, the Group will persevere on the principles of "Strategic co-ordination, consolidation of resources, upper and lower linkage and keeping abreast of market development" to attain business potentials. By fully utilizing the ability of management in coordinating government resources, the professional strength of the headquarter investment department and our advantages of local resources through business regions and platform companies, we are able to construct and develop a multi-dimensional market. Our main strategy is to acquire large-scale water and sewage projects and other small and middle scaled water investment companies and other packing projects, and to continue to develop single operation projects, in order to enlarge our market share. By leveraging on our capital advantages, the Group will participate in the development of new business market in an active and prudent manner. The Group will promote the seawater desalination business and strive to achieve substantial breakthroughs in its business in Beijing. Whilst strengthening the management of overseas platform companies, the Group will rapidly accumulate extensive experience in operation of overseas projects and steadily promote the development of overseas markets. The Group continues to seek breakthroughs in the high-end of industry chain through capital injection.
Simultaneously, the Group will fully integrate its resources in all respects and enhance its financing arrangements and capital management. The Group will strengthen the management on project construction, accelerate its development and secure the construction of major projects. The Group will consolidate the foundation of its intrinsic growth by further strengthening the operation management of inventory assets and improving the operational efficiency and benefits of assets. Furthermore, the Group will strategically reinforce the development of corporate public relation and maintenance of management by exploring, developing in a comprehensive manner and utilizing all kinds of social resources efficiently. By delegation to the new executive committee, we continue to reinforce and optimize the construction of its management control system, intensify the system of construction of ancillary process and complete the mechanism in respect of decision-making and communication of information. The Group will establish a comprehensive security system for the integration of human resources and focus on strengthening team building and construction of corporate culture, thereby laying a solid foundation for the sustainable, steady and rapid development of the Group.
About Beijing Enterprises Water Group Limited (0371HK)
The Company was incorporated in Bermuda as an exempted company with limited liability, the shares of which are listed on The Stock Exchange of Hong Kong Limited. The ultimate holding company of the Company is Beijing Enterprises Holdings Limited (Stock code: 392). Beijing Enterprises Water Group Limited strategically positions itself as a "leading integrated water system solution provider", and specializes in the water service and environmental protection businesses, with waste water treatment as its core business segment.
For more information and the interim results announcement for the six months ended 30 June 2011, please visit the Group's website at http://www.bewg.com.hk.