China New Energy posted a profit of £400,000 last year, reversing the previous year’s net loss of £2.7 million.
The group’s total revenue was £9.2 million, up from £6.4 million in 2015.
The company’s chairman Yu Weijun said: “We are very pleased to report that CNE has returned to profitability. We attribute this to the implementation of our strategy to diversify our product range and sales geographies and to the change of biofuel policy in China to favour domestic ethanol production.
“CNE has a strong order book and we look forward to continued and sustained growth.”
The company’s diversification strategy included an investment in new markets such as North America.
The company added that it was entering the year with £26.6 million in its order book, attributed to a strategy to focus on international markets, and diversification of products.
In his statement, the chairman added that he was optimistic about the company’s prospects this year.
He said: “In general, I am optimistic about the Group’s prospects in 2017 and beyond. The change of ethanol policy in China and our focus on international markets and new products has resulted in our strongest order book and sales pipeline for several years.
“Consequently, I believe the outlook is sustained growth and continued profitability.”
