Changfeng Announces Results for the Year Ended December 31, 2018
TORONTO, April 01, 2019 -- Changfeng Energy Inc. (TSXV: CFY) (“Changfeng” or the “Company”, together with its subsidiaries, the “Group”), an energy provider in the People's Republic of China (the “PRC”), announces today its results for the year ended December 31, 2018 (the “2018 Year”).
For the 2018 Year, the Group recorded revenue of RMB400.5 million or CAD78.5 million (2017: RMB382.0 million or CAD73.4 million), up 5% year-on-year (“YoY”). Gross profit recorded was RMB165.0 million or CAD32.3 million (2017: RMB163.4 million or CAD31.4 million). Profit from continuing operations was RMB35.7 million or CAD7.0 million (2017: RMB35.0 million or CAD6.7 million), increased by 2% YoY. Basic earnings per share from continuing operations was RMB0.57 or CAD0.11 (2017: RMB0.52 or CAD0.10).
This is the second year of Changfeng's three-year plan to strategically shift its corporate focus to sustainable energy in combination with natural gas to realize its aspiration of becoming an integrated energy provider in the PRC.
Projects in Operation and Under Development
Currently, the Group has seven projects in operation: two pipeline natural gas distribution projects, three liquefied natural gas (LNG) supply distribution projects, and two compressed natural gas (CNG) vehicle refueling stations and three major projects under development. Changfeng has a 30-year exclusive concession right to distribute natural gas in Sanya City, Hainan Province and the supply of natural gas to factories and industrial parks in the Xingtai City, Hebei Province, under their respective natural gas supply contracts, signed by Hebei Riheng Clean Energy Ltd.
Major projects under development include the integrated smart energy project (the Haitang Bay Integrated Smart Energy Project) which combines the use of multiple clean energy sources, including solar, hydro, electricity, and natural gas (CCHP/Co-Gen), to supply cooling, heating, as well as hot water to the hotels, shopping centres, and households in the Haitang Bay area of Sanya City, the Hainan Province, the jointly invest, construct and operate of an integrated district energy distribution project (the Meishan Project) in the New Economic Development Zone of Meishan City, Sichuan Province, and the transportation of natural gas project via the Group's 2.0 kilometres (1.4 miles) of pipeline connecting the provincial natural gas trunk lines to the Gaoyao Combined Heat, Power and Cold Natural Gas Power Plant owned by Guangdong Datang International Zhaoqing Heat & Power Co., Ltd (the Guangdong Gaoyao Project).
About Changfeng Energy Inc.
Changfeng Energy Inc. is a Canadian public company currently traded on the Toronto Venture Exchange (“TSX-V”) under the stock symbol “CFY”. It is an integrated energy provider and natural gas distribution company (or natural gas utility) in the PRC. Changfeng strives to combine leading clean energy technology with natural gas usage to provide sustainable energy to its customer base in the PRC. In 2009, Changfeng was recognized as being one of China's the Top Ten Most Influential Brands in the Natural Gas Industry and in 2019, ranked amongst the 2019 TSX Venture 50 top performers on the TSX Venture Exchange for the 2018 year.
A tele-conference will be held following the release of this press release and the results of the Group, details of which will be provided by way of a separate press release in due course.
Corporate Investment Relations
Executive Assistant to CEO & Chair of the Board
Director of the Board
Certain statements contained in this news release constitute forward-looking statements and forward-looking information (collectively, “Forward-Looking Statements”). All statements, other than statements of historical fact, included or incorporated by reference in this document are Forward-Looking Statements, including statements regarding activities, events or developments that the Company expects or anticipates may occur in the future, including with respect to the timing and payment of dividends. These Forward-Looking statements can be identified by the use of forward-looking words such as “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “believe” or “continue” or similar words or the negative thereof. No assurance can be given that the plans, intentions or expectations or assumptions upon which these Forward-Looking Statements are based will prove to be correct and such Forward-Looking Statements included in this news release should not be unduly relied upon.
Although management believes that the expectations represented in such Forward-Looking Statements are reasonable, there can be no assurance that such expectations will prove to be correct. Such Forward-Looking Statements are not a guarantee of performance and involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements to differ materially from the anticipated results, performance or achievements or developments expressed or implied by such Forward-Looking Statements. These factors include, without limitation, no significant and continuing adverse changes in general economic conditions or conditions in the financial markets. Readers are cautioned that all Forward-Looking Statements involve risks and uncertainties, including those risks and uncertainties detailed in the Corporation's filings with applicable Canadian securities regulatory authorities, copies of which are available at www.sedar.com. The Company urges readers to carefully consider those factors.
The Forward-Looking Statements included in this news release are made as of the date of this document and the Company disclaims any intention or obligation to update or revise any Forward-Looking Statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such.
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.
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