, Hong Kong
2 views

Hong Wei (Asia) loss dips 2.3% to $6.2m in Q1

The improved (but still negative) result was driven by its particleboards segment.

Hong Wei (Asia) Holdings Company Limited reported its loss declined 2.3% to $6.2m in the first quarter, down from $6.4m in the same period last year.

The decrease in loss was linked to the revenue generated from its particleboards segment which rose 131.7% increase to $67.9m. This is in comparison to the $29.3m revenue generated by the segment in the same quarter in 2020.

The revenue increase was due to the 124.5% increase in the volume of particleboards sold. This is despite the impact of the pandemic as well as the tension between the US and China.

“The Chinese economy continued to face uncertainties under the pressure of the ongoing Sino-United States conflicts and the volatility of worldwide capital markets,” the Group said.

“The negative impacts on the export market have indirectly affected the domestic consumer demand for particleboards.”

Meanwhile, no income generating activity was derived from its forestry segment.

During the period, Hong Wei (Asia) recorded a gross profit of $9.6m, up from $6.6m previously. It was however offset by increases in selling and distribution expenses as well as administration expenses.

Selling and distribution expenses rose 89.5% to $5.7m whilst administration expenses likewise amounted to $5.7m, 27.4% higher year-on-year.

Moreover, finance costs dropped slightly by 5.1% to $6.4m from $6,7m, attributed to the repayment of long-term bank borrowings and other borrowings.
 

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Get Hongkong Business in your inbox
The manufacturing firm will issue 250 million shares in its global offering.
The Group recorded a $26.7m loss last year.
A new government rule plans to tighten public access to company director’s personal info.
But full employment is still a long way ahead.
The tighter border restrictions will take effect on 18 June.
The company will be offering $10m worth of incentives to promote vaccination.
Total exports for outward processing amounted to $134.6b during the quarter.
The airline earned an overall score of 4.6 out of 5 in the Air Cargo Excellence Survey.
It will increase the rate to 0.13% starting 1 August.
The new threshold applies to Hong Kong Electric and CLP Power Hong Kong.
The Singapore-Hong Kong air travel bubble has been pushed back again.
Changes in consumer behaviour as an impact of the pandemic may be here to stay.
The list includes policymakers, visionaries and entrepreneurs from all over the world.
Mortgages and credit card demand rose, whilst unsecured credit hit a historical low.
But it flagged points of exposure to macro-financial risks.