Xinyi Glass Holdings Limited (HKG:0868) announced that the unaudited consolidated net profit of the group for the six months ended 30 June 2012 is expected to decrease by around 40%, as compared with the amount of the net profit for the six months ended 30 June 2011. The board considered that the decrease was primarily due to the global market conditions.

The board pointed out that the level of demand and the selling prices of float glass and solar glass in China and globally in the first six months of 2011 remained at high levels. However, from the beginning of the third quarter of 2011 to the first quarter of 2012, the selling prices of float glass and solar glass in China and globally continued to decrease. The selling prices for these glass products decreased because of the slow-down in the economic development in China and the global economic uncertainty associated with the debt crisis amongst certain European countries. All of these factors continued to affect the performance of the group in the first six months of 2012.

The group's directors remain optimistic on the continuous business growth of the group. The amount of the net profit of the group for the first six months of 2012 is expected to be higher than the same for the second six-month period of 2011. The directors believe that this growth reflects the improving market conditions and the industry outlook.

The group's result will be announced on 30 July 2012.

Source:chinesestock.org