Dragon fish puts Qian Hu back in black
ORNAMENTAL-FISH breeder Qian Hu returned to the black in the fourth quarter of last year as it found some stability in dragon-fish margins.
It posted a net profit attributable to shareholders of $69,000, or 0.02 cent per share, for the three months ended December. The company lost $49,000 in the year-ago period.
For the full year, Qian Hu swung back into the black with a net profit of $302,000, or 0.07 cent per share. The company had lost $9.2 million a year earlier as it incurred a one-time loss from divesting its stake in a Malaysian dragon-fish business amid intense competitive pressures.
Qian Hu is recommending a 0.1 cent per share first and final dividend. The company's shares last traded at 8.5 cents on Tuesday.
The net asset value underlying each share slipped to 11.23 cents as at end-December from 11.92 cents a year ago.
The return to profitability reflected stability in the dragon-fish market during the second half of last year, Qian Hu said. Sales of dragon fish in North-east Asia, especially China, also picked up in the fourth quarter.
"We envisage that the group should see steady growth in its ornamental-fish revenue and profitability in the coming quarter," the company stated in an announcement.
Qian Hu achieved a positive bottom line for the year despite a 1.2 per cent decline in full-year revenue, to $83.5 million. That reflected not just the stronger sales of accessories, but also a trimmer fish division after the 2012 divestment of its Malaysian dragon-fish unit, Kim Kang Aquaculture.