China Ming Yang Wind Power Group Ltd. said Thursday that rising expenses pushed its third-quarter profit down 42 percent, even though its revenue rose 28 percent.
The company earned $16.1 million (RMB102.7 million), or 13 cents (RMB 0.82) per American Depository share. That's compared with RMB177.4 million, or RMB1.70 per ADS, a year earlier.
Revenue rose to $298.7 million (RMB1.9 billion) from RMB1.49 billion in the third quarter of 2010. The company attributed the gain to higher wind power project output as it commissioned more turbines.
Rising costs included an income tax expense that more than tripled and a higher fee related to leases.
For the full year, the company expects wind power projects to produce a total output of between 1.8 and 2 gigawatts. It expects the market for wind power to remain challenging and it expects weather and other circumstances to continue affecting the installation and use of turbines.
Ming Yang's shares fell 16 cents, or 6 percent, to $2.51 in afternoon trading, after earlier falling as low as $2.40. The stock has traded as low as $2.30 and as high as $12.16 the past 52 weeks.
