LONDON (Alliance News) - Auhua Clean Energy PLC Monday declared a maiden dividend after reporting an increase in profit and revenue in 2013, boosted by strong product sales.
The AIM-quoted environmental technology group posted pretax profit of GBP6.8 million for 2013, up from GBP6.2 million in 2012, as revenue grew 15% to GBP26.1 million from GBP21.8 million.
Auhua, which is engaged in the production and sale of solar-powered and sale of water heater system, attributed the improvement in profit and revenue to an increase in product sales during the year. It said 77,000 units of its heater system was sold, compared with 73,000 units a year earlier.
On the back of its strong performance the company declared a maiden dividend of 0.18 pence per share.
The company, which has operations in China, said it is close to completing the acquisition of Taiwan Ziolar Technology Co. Ltd and Ziolar Ptd Ltd in a deal worth GBP2.7 million.
Auhua said the Ziolar acquisition will significantly broaden its technical capability with the integration of its state-of-the-art thermal panel technology, a vital component in solar powered water heater systems.
The acquisition also will mark the start of its international expansion strategy outside of China, Auhua said. The deal is expected to be completed in the second quarter 2014, it said.
At the period-end cash and cash equivalents rose to GBP5.1 million from GBP4 million.
"Auhua has delivered a solid set of results in a transformational year; this dividend reflects our accomplishments and is a thank you to our committed shareholders," Non-Executive Chairman David Sumner said in a statement.
"Our results were underpinned by continuous progress in ensuring our products and technologies remain at the forefront of innovation, thereby affirming our market leadership in split-unit solar water heaters in Shandong, China," he added.
Auhua shares were quoted up 3.5% at 39.85 pence Monday morning.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
Copyright 2014 Alliance News Limited. All Rights Reserved.
