Hong Kong, China – Sinomax revenue for H1 2016 was HK$ 1.53bn ($197m), up 11.3% on the HK$ 1.38bn reported in H1 2015, according to the firm’s half year report.
However profit for H1 2016 decreased by 57.5 % to HK$ 41.8m compared to HK$ 98.5m in H1 2015.
As UTECH-polyurethane.com reported previously, Sinomax said the losses were associated with its purchase of Dormeo and operations at the company, factors it recognised and warned of earlier in 2016.
The costs incurred in opening and trialling the new $28 foam plant the firm is building in La Vergne Tennessee, as well as the recruitment of a sales force in the US hit profitability in the half.
The Chinese market brought in revenue of HK$ 778.6m, which was down 8% on H1 2015 however, the North American market was up 20% at HK$ 687.2m, the report said.
The report added that European and other overseas markets’ revenues reached HK$ 68m, a 200%-plus increase on HK$ 22m in H1 2015.
XE Currency conversion: 31 August, 2016
