Asia Cement issues 9M15 profit warning, China

Asia Cement said it is expecting to record a net loss for the nine months ending 30 September 2015 compared to a net profit in the year-ago period.

The expected loss is mainly attributable to the decrease in average selling price of the company's products and the foreign exchange loss from US dollar-denominated bank borrowings as a result of the devaluation of RMB.

As a substantial portion of the Group's borrowings were US-dollar denominated which, in the past few years, had allowed the Group to enjoy lower interest rate and exchange gain on the back of a strong Renminbi.