Datang books 719m yuan loss on restructuring

Datang Telecom Technology, a Shanghai-listed telecommunications equipment vendor and service provider, said net loss widened 3.3 per cent last year due to restructuring costs.

Net loss rose to 719 million yuan in 2006 from 696 million yuan, Datang said. Revenue jumped 36.71 per cent to 2.13 billion yuan from 1.56 billion yuan in 2005. Taking out the exceptional item, profit from recurring business surged 141 per cent to 496 million yuan from 205 million yuan.

Datang issued a profit warning on April 5, saying it would not achieve earnings as it had forecast for last year because of the restructuring expense. The expense mainly arose from the impairment charge for the unsold inventory, it said.