Origin Agritech posts lower loss for FY'09

Beijing-based biotech firm, Origin Agritech Limited reported on Thursday (Jan 14) a narrower loss for fiscal 2009, reflecting an increase in revenues and improvement in gross margins.

For fiscal 2009, the company's net loss was RMB40.82 million (US$5.98 million) compared with a loss of RMB43.29 million (US$6.37 million) in 2008.

On an adjusted basis, net earnings were US$1.91 million compared to a loss of US$7.72 million a year earlier. Adjusted results exclude repurchase-related special items, amortisation of discount of convertible notes and gains from write-downs of fair value of embedded derivatives.

Revenues for the year increased 15.39% to RMB592.49 million (US$86.76 million) from RMB 513.49 million (US$75.63 million) in fiscal 2008.

Looking ahead to fiscal 2010, Origin expects its revenues to be in a range of RMB630-660 million (US$92.3-96.7 million), with hybrid rice and corn seed supply levels at normal levels. In 2010, the company expects to further develop its GM product pipeline as well as complementary product lines.