28 February 2013 04:10 [Source: ICIS news]
SINGAPORE (ICIS)--Chinese fertilizer producer Guizhou Chitianhua said on Thursday that its net profit for 2012 fell by 62% year on year to yuan (CNY) 35.3m ($5.7m) as margins were squeezed on the back of rising production costs.
The company attributed the decline in its full-year net profit to rising production costs, because of a short supply of feedstock natural gas.
Its fertilizer subsidiaries have had to cut operating rates or shut their plants down to keep costs low as a result, Guizhou Chitianhua said in a statement to the Shanghai Stock Exchange (SSE).
This was despite sales revenue having increased by 78.7% year on year to CNY3.5bn in 2012, the company said.
The sales of its other major product, methanol, fell as prices were low because of the global economic slowdown, Guizhou Chitianhua added.
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