TORONTO, ONTARIO, Nov 28, 2011 (MARKETWIRE) --
China Wind Power International Corp.
CA:CNW
-53.97%
("China Wind
Power" or the "Company"), an independent wind power producer in
China, today reported its financial results for the three month
period ended September 30, 2011, and provided an update on its wind
farm development projects in Du Mon County. All amounts are in
Canadian dollars unless otherwise indicated.
"While our results for the quarter were down due to a major
maintenance completed at Phase 1 in August, our year-to-date results
remain well ahead of those from a year earlier," said Mr. Jun Liu,
Chief Executive Officer of China Wind Power. "Subsequent to the end
of the quarter, Phase 1 generated 11.2 million KWh of electricity
during the month of October compared to 10.7 million KWh in October
of last year. Importantly, we are now at the time of year when wind
speeds in northern China are at their highest and the potential for
power generation is at its peak."
Selected Financial Highlights
(In thousands except per share or percentage data)
Three months ended Six months ended
Sept. 30, Sept. 30, Sept. 30, Sept. 30,
2011 2010 2011 2010
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Revenue 1,175 1,217 3,352 2,423
Adjusted EBITDA(1) 521 1,292 2,146 1,890
Net loss 1,437 569 1,565 1,974
Net loss per share - diluted 0.02 0.01 0.02 0.03
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Sept. 30, 2011 Mar. 31, 2011
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Cash 12,585 635
Total assets 173,505 139,401
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(1) Earnings before interest, taxes, depreciation and amortization (EBITDA)
is often used as a measure of financial performance. However, EBITDA is not
a term that has specific meaning in accordance with IFRS accounting
principles and may be calculated differently by other companies. China Wind
Power reconciles EBITDA to its net earnings (loss). Adjusted EBITDA
excludes stock-based compensation.
China Wind Power's financial results for the second quarter were
impacted by the Company completing a major maintenance of its Phase 1
wind farm in August. As a result of the downtime during the
maintenance period, Phase 1 generated approximately 14.5 million KWh
of electricity during the quarter, down from more than 15.2 million
KWh in the second quarter of last year. The lower output resulted in
a 3.5% decrease in revenue for the quarter.
Adjusted EBITDA for the quarter decreased nearly $0.8 million to $0.5
million. The decrease was largely the result of the lower revenue for
the quarter and a $0.7 million decrease in other income. The increase
in net loss for the quarter was also due to a $0.1 million increase
in stock-based compensation resulting from newly issued stock
options.
Update on Wind Farm Development Projects in Du Mon County
Phase Capacity Status
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1 49 MW Aggregate production to date of 187 million KWh as of
October 31, 2011.
2 49.5 MW Construction to be substantially completed by the end of
December 2011.
3 198 MW Foundations laid for all 132 turbines; construction to be
completed by the end of June 2012.
4 approx. Plans submitted for formal government approval.
300 MW
5 approx. Feasibility study underway.
200 MW
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About China Wind Power International Corp.
China Wind Power International Corp. is an Ontario company that is
uniquely positioned to capitalize on the growing demand for wind
power in China. The Company indirectly holds the exclusive rights for
wind energy development in Du Mon County, Heilongjiang Province,
which has a demonstrated potential installed capacity of 1,150 MW of
wind energy developable over an area of 612 square km. While 1,150 MW
represents the Company's long-term potential for wind power in the
area, its current plans are for building out approximately 800 MW
over five development phases. The Company's common shares are listed
on the TSX Venture Exchange under the symbol "CNW". The Company has
approximately 63.9 million shares outstanding.
For more information and the latest updates on China Wind Power
International Corp., visit our investor relations blog at
http://chinawindpower.posterous.com or follow our updates on Twitter
at
http://twitter.com/ChinaWindPower .
Caution Regarding Forward-Looking Statements
Certain statements that are not historical facts made in this press
release may be forward looking statements subject to risks and
uncertainties. Statements containing words such as "will", "could",
"expect", "may", "anticipate", "believe", "intend", "estimate",
"plan" and other similar expressions are forward-looking statements
that represent management's beliefs at the time the statements are
made and are based on certain factors and assumptions including wind
farm construction and commercial production schedule, output and
capacity, revenue and earnings expectations and market potential.
These forward-looking statements are subject to a variety of risks
and uncertainties and other factors that could cause actual events to
differ materially from those projected in forward-looking statements.
Important factors that could cause actual results to differ
materially from the Company's expectations include uncertainties
involving the availability of financing; fluctuations in currency
exchange rates; uncertainties relating to economic and market
conditions; uncertainty of estimates of capital and operating costs;
the need to obtain additional financing to develop the projects and
uncertainty as to the availability and terms of future financing; the
possibility of delay in construction projects and uncertainty of
meeting anticipated program milestones; uncertainty as to timely
availability of permits and other governmental approvals; and other
risks and uncertainties disclosed in the information circular dated
November 2, 2011, which is available at
www.sedar.com under the
Company's profile. Except as required by applicable securities laws,
the Company undertakes no obligation to update any forward looking
statement to reflect events or circumstances after the date on which
such statement is made.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Contacts:
China Wind Power International Corp.
Wendell Zhang
Chief Financial Officer
416-916-4205
wzhang@chinawindpowerinternational.com
Cinaport Financial Services Inc.
Trevor Heisler
Director, Investor Relations
(416) 500-8061
theisler@cinaport.com