Ganzhao Optoelectronics estimates that net profit in 2012 will fall by 35%-45% year-on-year.

Ganzhao Optoelectronics released its 2012 annual results forecast. The company expects net profit attributable to shareholders of listed companies to be RMB 9781.25 million – RMB 115.5166 million, which will be 35% - 45% lower than the same period of the previous year of RMB 177.8809 million.

As for the reason for the decline in performance, Ganzhao Optoelectronics said that due to the intensification of market competition, the sales price of chips has a large decline compared with the price in the same period of 2011. The gross profit margin of the chip has dropped sharply, and the company's net profit has decreased.

According to the company, this performance forecast is the result of preliminary calculations by the financial department of the company and has not been audited by the auditing organization. Specific information on the 2012 annual results will be disclosed in detail in the company's 2012 annual report.

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