Dentons Biochemistry: Last year's earnings of HK$9.3 billion gross margin jumped 48%

On the evening of March 29,, Dentons Biochemicals announced its 2010 full-year results, and it was learned from the relevant data that Dentons Biochemical Technology Group Co., Ltdearned HK$9.315 billion as of December 31, 2010, an increase of 18.84 percent over the same period in 2009, and a sales cost of 7.748 billion yuan, an increase of 14.24 percent over the same period in 2009However, we see a gross margin of HK$157 million, a significant increase of 48.35 per cent over 2009dentons' board plans to resume dividend payoutsthe group's performance is back on trackThe Board proposes to pay a dividend of HK$1 cent per share for the year ended 31 December 2010 (none in 2009)The Group's gross margin rose and returned to profitability, mainly due to the performance of its downstream product division, particularly amino acids with significantly higher pricesThe group's upstream product gross margin was weighed down by a 14 per cent increase in the average price of corn pelletsdownstream products, including amino acids, corn sweeteners, degenerative starch and biochemical alcohol products, gross margin selling in 2010 was HK$6.372 billion and HK$1,316 million, respectively, up 19% and 71% from 2009the group's main business, amino acids, remained the group's main source of total annual revenue and gross margin, which accounted for 43% and 63% of total revenue and gross marginDuring the year, amino acid earnings and gross margin of HK$4,01 million and HK$981 million increased by 11% and 51% year-on-year, respectively, mainly due to a 25% increase in the average selling price of products, while the pace of customer inventory accumulation slowed in 2010 and sales of amino acids decreased by about 11% compared with the same period in 2009The Group uses fermentation to produce new high value-added amino acid products such as arginine and methionine to further expand its amino acid product rangeDue to the sharp rise in crude oil prices, the rapid rise in the price of fine chemical products in the market resulted in the Group's revenue and gross profit of about HK$824 million and HK$0.89 million during the year, with a loss of HK$0.75 million in 2009In addition, the Group did not make additional closing stock sales of biochemical alcohol products during the year (HK$097 million in 2009)The Group's corn sweetener business, operated through a listed subsidiary, has an objective track recordThanks to the historicalhigh of sugar prices, sales and earnings of the division increased by about 15% and 45% over 2009, with gross margins of nearly HK$214 million for the year, up 27% year-on-year year, the group's profit margin on its denatured starch business was HK$0.32 billion, up 36% from 2009 2010, due to the Increase in the Volume of Upstream Products and the average selling price of the Group, especially corn starch, the revenue of its division increased by 18% year-on-year to HK$2,777 million, except that the cost of corn pellets increased from RMB1,550/tonne in 2000 to RMB1880/tonne in 2010, a decrease of HK$243 million in 2010, a decrease of 159 per cent from 2009 Dentons' growing overseas demand in 2010 as the global economy recovers, with Dentons' exports up 16% from 2009 and accounting for 23% of the Group's total revenue look ahead to 2011, Dacheng Biochemical Co-Chairman Liu Xiaoming said: We believe that the global economy will grow at a relatively stable rate in 2010, the Group is committed to maintaining market share and continuous diversification of products, and through research and development to enhance the development of high value-added downstream products capacity In addition to its internal growth strategy, the Group will also look for business partners to capture business opportunities and build integrated value chains the group is now building a second phase of the biochemical alcohol facility following the start-up of the group's corn refining facility, which is located in Xinglongshan with an annual capacity of 600,000 tons "In the long run, due to the shortage of crude oil and the increasing environmental awareness, we believe that the use of agricultural products as an alternative raw material for the production of chemical alcohols is feasible, " said Xu Zhouwen, co-chairman of dating for In order to grasp the huge market potential, the Group's second phase of the annual production capacity of 500,000 ends of biochemical alcohol facilities are expected to be completed in 2012, with the biochemical alcohol facilities put into operation, the adjacent Xinglongshan corn processing facilities can provide stable raw materials We believe that expanding its production capacity to accelerate the biochemical alcohol business has become a major driver of the Group's growth July 2010, the Group completed its share offering with a net fund raising of HK$779 million to repay existing bank loans and as general working capital On the evening of March 29, , Dentons Biochemicals announced its full-year results for 2010, and it was learned from the relevant data that Dentons Biochemical Technology Group Co., Ltd earned HK$9.315 billion as of December 31, 2010, an increase of 18.84 percent over the same period in 2009, and a sales cost of 7.748 billion yuan, an increase of 14.24 percent over the same period in 2009 However, we see a gross margin of HK$157 million, a significant increase of 48.35 per cent over 2009 dentons' board plans to resume dividend payouts the group's performance is back on track The Board proposes to pay a dividend of HK$1 cent per share for the year ended 31 December 2010 (none in 2009) The Group's gross margin rose and returned to profitability, mainly due to the performance of its downstream product division, particularly amino acids with significantly higher prices The group's upstream product gross margin was weighed down by a 14 per cent increase in the average price of corn pellets downstream products, including amino acids, corn sweeteners, degenerative starch and biochemical alcohol products, gross margin selling in 2010 was HK$6.372 billion and HK$1,316 million, respectively, up 19% and 71% from 2009 the group's main business, amino acids, remained the group's main source of total annual revenue and gross margin, which accounted for 43% and 63% of total revenue and gross margin During the year, amino acid earnings and gross margin of HK$4,01 million and HK$981 million increased by 11% and 51% year-on-year, respectively, mainly due to a 25% increase in the average selling price of products, while the pace of customer inventory accumulation slowed in 2010 and sales of amino acids decreased by about 11% compared with the same period in 2009 The Group uses fermentation to produce new high value-added amino acid products such as arginine and methionine to further expand its amino acid product range Due to the sharp rise in crude oil prices, the rapid rise in the price of fine chemical products in the market resulted in the Group's revenue and gross profit of about HK$824 million and HK$0.89 million during the year, with a loss of HK$0.75 million in 2009 In addition, the Group did not make additional closing stock sales of biochemical alcohol products during the year (HK$097 million in 2009) The Group's corn sweetener business, operated through a listed subsidiary, has an objective track record Thanks to the historicalhigh of sugar prices, sales and earnings of the division increased by about 15% and 45% over 2009, with gross margins of nearly HK$214 million for the year, up 27% year-on-year year, the group's profit margin on its denatured starch business was HK$0.32 billion, up 36% from 2009 2010, due to the Increase in the Volume of Upstream Products and the average selling price of the Group, especially corn starch, the revenue of its division increased by 18% year-on-year to HK$2,777 million, except that the cost of corn pellets increased from RMB1,550/tonne in 2000 to RMB1880/tonne in 2010, a decrease of HK$243 million in 2010, a decrease of 159 per cent from 2009 Dentons' growing overseas demand in 2010 as the global economy recovers, with Dentons' exports up 16% from 2009 and accounting for 23% of the Group's total revenue look ahead to 2011, Dacheng Biochemical Co-Chairman Liu Xiaoming said: We believe that the global economy will grow at a relatively stable rate in 2010, the Group is committed to maintaining market share and continuous diversification of products, and through research and development to enhance the development of high value-added downstream products capacity In addition to its internal growth strategy, the Group will also look for business partners to capture business opportunities and build integrated value chains the group is now building a second phase of the biochemical alcohol facility following the start-up of the group's corn refining facility, which is located in Xinglongshan with an annual capacity of 600,000 tons "In the long run, due to the shortage of crude oil and the increasing environmental awareness, we believe that the use of agricultural products as an alternative raw material for the production of chemical alcohols is feasible, " said Xu Zhouwen, co-chairman of dating for In order to grasp the huge market potential, the Group's second phase of the annual production capacity of 500,000 ends of biochemical alcohol facilities are expected to be completed in 2012, with the biochemical alcohol facilities put into operation, the adjacent Xinglongshan corn processing facilities can provide stable raw materials We believe that expanding its production capacity to accelerate the biochemical alcohol business has become a major driver of the Group's growth July 2010, the Group completed its share offering with a net fund raising of HK$779 million to repay existing bank loans and as general working capital (name)