DGAP-Adhoc: ZhongDe Waste Technology AG: Preliminary Q2 2011 results better than Q1 2011 but worse than Q2 2010

ZhongDe Waste Technology AG  / Key word(s): Preliminary Results

22.08.2011 13:36

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

---------------------------------------------------------------------------

Frankfurt, August 22, 2011 - According to its unaudited preliminary results
for the second quarter of 2011, ZhongDe Waste Technology AG ('ZhongDe',
'the Company', Ticker symbol 'ZEF') increased its revenues by 92%  from EUR
2.4 million in Q1 2011 to EUR 4.6 million in Q2.

However, ZhongDe's revenues in Q2 2011 decreased by 59.0% compared to the
EUR 11.3 million in Q2 2010. This decline in revenues compared to previous
year's Q2 period is the main reason for the EUR -1.8 million net profit in
Q2 2011.

The major reason for the decrease in revenues in Q2 and H1 2011 is the
delay of the construction progress of current large-scale energy-from-waste
projects, which are still caused by the delay of local government
approvals. The approval delay shows that the stimulating policy needs some
time to achieve real effects in China.


---------------------------------------------------------------------------

Information and Explaination of the Issuer to this News:

Strong cash and order positions indicate potential revenue increase

Although more cash was invested in the construction of ongoing projects,
ZhongDe's cash position kept strong and amounted to EUR 99.3 million at the
end of the second quarter. The order backlog decreased by 23.0% to EUR
144.6 million year on year. The main reasons were the percentage of
construction of BOT and EPC projects completed, booked according to the
IFRS PoC (Percentage-of-Completion) method and foreign exchange
differences.

Although there was no order intake in Q2 2011, three new project contracts
are under the approval procedure of ZhongDe. All three projects are
large-size plants with a minimum waste disposal capacity of 1000 ton/day,
each of them will bring more order intake and order backlog in 2011.

The strong order backlog and cash position indicate the Company's potential
in the coming quarters. Hence, ZhongDe's management team is still confident
to catch up with the annual plan of completing one or two projects by the
end of 2011, which will bring more annual revenues and profits in 2011 than
those in 2010.

Contact

William Jiuhua Wang

Executive Director and CFO
E-Mail: william.jw@zhongdetech.com

Ying Sun

Investor Relations
Herriotstr. 1 
60528 Frankfurt am Main
Germany

T: +49 69 67733 172
F: +49 69 67733 200
E-Mail: ying.sun@zhongde-ag.de

Kirchhoff Consult AG

Nicole Schüttforth
Investor Relations Consultant

T: +49 40 60 91 86 64
F: +49 40 60 91 86 60
E-Mail: nicole.schuettforth@kirchhoff.de



22.08.2011 DGAP's Distribution Services include Regulatory Announcements, 
Financial/Corporate News and Press Releases. 
Media archive at www.dgap-medientreff.de and www.dgap.de

---------------------------------------------------------------------------
 
Language:     English
Company:      ZhongDe Waste Technology AG
              Stadthausbrücke 1-3
              20355 Hamburg
              Germany
Phone:        + 49 69 67733 172
Fax:          + 49 69 67733 200
E-mail:       ying.sun@zhongde-ag.de
Internet:     www.zhongde-ag.de
ISIN:         DE000ZDWT018
WKN:          ZDWT01
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Düsseldorf, Hamburg, München, Stuttgart
 
End of Announcement                             DGAP News-Service
 
---------------------------------------------------------------------------