Jetion’s pre-tax profits quadruple

By David Blackwell
Published: April 25 2009 04:51

Jetion Holdings, the solar cell manufacturer based in China’s Jiangsu province, quadrupled pre-tax profits last year after doubling its production lines to four. Profits rose to $20.1m on sales up from $104m to $250m.
Gabriel Kow, chairman, said the first nine months of the year had proved strong, but described the fourth quarter as “turbulent”. Because of the credit crunch customers had cancelled orders, and there had been some destocking. At the same time the company had to write-off more than $1m on silicon stocks after a fall in prices.
But Jetion had improved its product and reduced its scrap rate, and also ended the year with $4m cash. It was expecting to come out of the downturn stronger than its competitors.
Most of its sales are made in Europe, particularly Germany. However last month its products were certified for the US and Canadian markets, and it is expecting 10 per cent of sales this year to go to North America.
The shares, priced at 151p when it joined Aim in July 2007, have recovered from a low of 25p at the turn of the year. They closed Friday up 22 per cent at 68p.
Copyright The Financial Times Limited 2009