GC China has manufactured and delivered 6 units to Daqing Longjiang Wind Power Co., Ltd. and 10 units each to Wuhan Kaidi Electric Engineering Co., Ltd., and to Shenzhen Guohan Investment Group’s Baicheng City resource area. Several of these units have been fully tested and are already producing to the local electrical grids in their regions.
Company Management places the preliminary sales figures for these units at an unaudited revenue figure of 134,000,000RMB with an estimated net profit of 10,210,000RMB. While the audit of GC China’s results will not be complete until the Company files its annual report, the Company expects revenue and net income for the full year ended December 31, 2009 to be approximately US$19.6 million and US$1.5 million, respectively, below the previously provided estimates of US$28.7 million and US$4.1 million, as a result of a delay in raising the necessary capital to meet certain existing customer obligations. Current production capacity is on-track and scheduled to fulfill its initial orders of 160 wind turbines, worth in excess of US$135 million.
Company Chairman, Mr. Hou Tie Xin comments, "We are very pleased by our recent growth and the outlook for 2010. While the revenue shortfall was unfortunate, we succeeded in raising approximately US$19 million prior to the end of 2009 in a very challenging environment. As a result, we have seen increasing throughput at our manufacturing facilities and we expect to meet our revenue target for 2010 of US$87.2 million. As we progress, we constantly develop new areas of efficiency and productivity which will translate into ever greater output capacity and profitability. Our sales and marketing efforts are also on the increase and we anticipate additional results from these efforts. We expect great news as we head into the New Year, especially as we move towards the anticipated launch of the newer and more powerful 2.5 and 3.0MW turbines."
GC China expects to report year end results on its annual report due to be filed before March 31, 2010.
Additional details regarding the Company and its business, financial condition and management of GC China and related parties are filed as part of the Company’s continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission’s ("SEC") EDGAR database.
GC China Turbine Corp. (OTCBB: GCHT) is a wind energy leading manufacturer of state-of-the-art 2-bladed wind turbines based in Wuhan City of Hubei Province, China. The Company holds a license to manufacture a groundbreaking technology which meets rigorous requirements for low-cost and high reliability.
The technology was developed through a 10 year European research project costing over US$75 million. GC China’s launch product is a 1.0 megawatt ("MW") utility scale turbine with designs for a 2.5MW and 3.0MW utility scale turbine in development. The Company’s initial efforts have been rewarded with contracts of approximately US$135 million to-date.