Hanfeng Evergreen Inc. reported earnings results for the third quarter and nine months ended March 31, 2013. For the quarter, the company reported sales of CAD 55.8 million versus CAD 98.8 million a year ago. The decrease in sales is due primarily to reduced sales in China as a result of a lack of a large order from the company's larger customer, coupled with production issues relating to excessive snowfall during the 2012/2013 winter season, offset by a small increase in sales in Indonesia (after taking into account sales returns of non-compliant product as reported in the second quarter fiscal 2013 results). Sales were also negatively impacted during third quarter of fiscal year 2013 at Hanampi due to lower market prices for crude palm oil in Indonesia, resulting in a deferral of purchases by palm oil producers. Adjusted EBITDA was CAD 3.7 million versus CAD 12.3 million in the same period last year. Net income was CAD 7.6 million compared to CAD 8.4 million during third quarter of fiscal year 2012. Basic and diluted income per share was CAD 0.13 versus CAD 0.14 in the same period in fiscal 2012. On a non-IFRS basis, basic and diluted income per share was CAD 0.20 versus CAD 0.14 in third quarter of fiscal year 2012.

For the nine month, the company reported revenue of CAD 106.7 million versus CAD 156.3 million during the same period last year. The decrease in sales is due primarily to reduced sales in China as noted above, as well as reduced sales from the previously disposed Shandong and Shanxi joint ventures, offset by a small increase in sales in Indonesia. Net loss was CAD 113.9 million or CAD 1.89 per basic and diluted share compared to a profit of CAD 9.3 million or CAD 0.15 per basic and diluted share during the comparative period last year. The main reasons for the decreased net income resulted from impairment charges recorded in the second quarter of fiscal 2013 in property and equipment and the impairment of inventory and advances to suppliers. Adjusted EBITDA was CAD 5.5 million versus to CAD 17.3 million in the same period last year. On a non-IFRS basis, basic and diluted was CAD 0.01 versus CAD 0.16 in the comparative period last year.