Hang Zhou Dawn Air Conditioning Co .,Ltd.

Chairman and Chief Executive Officer Guohong Zhao commented, "We ongoing to construct concerning the good momentum produced in latest quarters and ended 2010 using a exceptionally stable performance. Top-line growth, which exceeded our guidance using the fourth quarter, contributed to even more than 44% improve in revenues for that complete year. At a comparable time, our concentrate on optimizing the two our product combine and cost framework permitted us to practically double our net income in 2010.
"Our different product lines allow us to cater to some broad assortment of possible customers and carry out consumers as we capitalize on many essential trends which could be producing the cleanse solutions movements in China. As China faces difficulties from quick urbanization, our heat exchanger products provide effective and effective options to provide heating methods to increasing populations in metropolitan areas through China. In addition, our air-cooled exchangers allow water-deficient spots in Northern China to conserve and much better take advantage of a exceptionally limited resource. As companies recognize the cost usefulness of altering to cleanse solutions options and therefore are even more incentivized by federal government stimulus plans, our plate heat swap ("PHE") products and options are swiftly gaining traction throughout a assortment of commercial sectors, which consists of the metallurgy, petrochemical and shipbuilding industries.
"As quick urbanization and federal government stimulus ideas made to help carbon decline initiatives hold on to generate needs for energy effective platforms, our broad product portfolio, integrated options and exceptional observe report of exceptional programs have nicely ready us to capitalize on these favorable dynamics in 2011. Additionally, our seem equilibrium sheet and money position, which have been even more strengthened by our latest fund raising, afford us with monetary versatility to invest within our long-term and pursue advancement opportunities."
Sales income for fiscal twelve weeks 2010 was US$50.25 million, a 44.01% improve from US$34.89 million in 2009. The improve was largely attributable toward powerful advancement in marketplace need driven by ongoing federal government stimulus for energy-saving initiatives, powerful financial advancement in China, along using the Company's productive marketplace expansion. income advancement was also attributable to THT's extensive income network, exceptional options and exceptional products.
Sales amount of heat swap products and options rose substantially to 3,998 products in 2010, up 66.93% from 2,395 products in 2009. The improve in income arrived largely from three product lines – heat exchanger unit, PHE and air-cooled heat exchanger.
Sales income of heat exchanger products was $14.30 million, up 147.23%, or $8.52 million, in comparison with 2009 on account of continuing quick urbanization in China. income revenue of PHEs in 2010 was $27.02 million, an improve of $5.09 million, or 23.23%, from 2009 largely many thanks toward multiplied income toward metallurgy, petrochemical and shipbuilding industries. income revenue from air-cooled heat exchangers multiplied by $3.34 million, or 495.69%, to $4.02 million in 2010 from $0.67 million in 2009. The advancement was largely driven by powerful marketplace need in water-deficient spots of China.
Gross revenue in 2010 was US$21.70 million, representing a 45.38% improve from US$14.92 million in 2009, largely attributable toward considerable improve in income in 2010.
Gross margin in 2010 was 43.18%, in comparison 42.77% in 2009, with an expansion of 0.41 percentage point. This improvement was largely on account of THT's endeavours to optimize its product combine and maximize profitability. In response toward marketplace need and through intensive income efforts, the institution drastically multiplied income of higher gross margin products, which consist of air-cooled heat exchangers, plate heat exchanger and plate heat exchangers units, toward petrochemical, shipbuilding and heat and energy industries.