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        Business / Companies

        Gome Jan-Sept loss may hit $96m to $112m

        (chinadaily.com.cn) Updated: 2012-10-23 16:32

        GOME Electrical Appliances Holding Limited, the Chinese electrical appliances retail giant, warned on Monday it expected to post a net loss of between 600 million yuan ($96 million) and 700 million yuan ($112 million) for the first nine months of 2012.

        The estimated net loss for the three months ended 30 September 2012 was between 100 million yuan and 200 million yuan, while the actual net loss for the first half of 2012 was 501 billion yuan, according to a filing with the Hong Kong Stock Exchange

        GOME attributed the loss to a drop in sales revenue, an increase in staff and rental expenses, and losses incurred by the company's e-commerce business.

        GOME believes that it was negatively affected by weakening consumer confidence brought by China's macro economic growth slowdown and stimulus policies termination.

        But the announcement also said there had been an improvement to the company's profitability in the third quarter of 2012 compared with Q2.

        Officials said they plan to publish an unaudited result for the first nine months no later than 30 November.

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