Fengfan Co., Ltd. Business Report FY2009
|(in million yuan)||FY2009||FY2008||Rate of change(%)||Factors|
|Sales||2,683.34||3,149.71||(14.8%)||-Lower raw material prices were passed on to customers in the form of lower selling prices of batteries.|
|Operating profit||49.09||(291.26)||-||The company rid itself of deficits and posted gains due to the following factors:
- Developing new products and reinforcing its marketing activities.
-Increasing revenue and reducing costs.
-Strengthening the quality of its management structure.
ContractIn 2009, the Company sold a total of 7.91million automotive starting batteries, and for the first time, won program business from a US auto manufacturer to supply its products. By increasing the volume it supplies to Japanese auto transplants in China, the Company was able to begin mass-producing and supplying its products to Dongfeng Nissan.
R&D activities- The Company conducts its development activities at Fengfan Technical Center.
Capital investment projects using raised funds (as of Dec. 2009)
|(in million yuan)|
|Capital investment projects||Planned investment amount||Funds||Progress (%)||Status report as of Dec. 2009|
|Construction project for lithium-ion battery production facilities||200.00||Funds raised||72.7%||The Company completed the first phase and already launched production.
*It, however, has been unable to meet its earnings target due to the changing market environment.
|Construction project for production facilities to make sealed maintenance-free lead- acid batteries||270.00||Funds raised||3.43%||This facility is now under construction.|
|Construction project for production facilities to manufacture both thin-film amorphous silicon solar cells and photovoltaic (PV) power generation systems||100.0||Own funds||2.37%||The company established a joint-venture company|