China Rare Earth Holdings Limited (HKG:0769) announced that the financial performance of the group for the six months ended 30 June 2012 will show a significant decrease as compared to that for the six months ended 30 June 2011, and will record a loss as compared to a profit for the six months ended 30 June 2011.
The group pointed that the overall market selling price of rare earth products in the first half of 2012 had continuously been decreasing, which is contradicting to the sharply increase in such price during the same period in 2011. The selling price of the group's rare earth products inevitably has also been impacted. As a result of the aforesaid reason, the group's financial performance for the six months ended 30 June 2012 has been adversely affected despite there was no significant reduction in the actual level of rare earth products business transacted by the group during the period when compared with corresponding period in 2011.
