Delong expects net loss for 1Q

Delong Holdings says it expects to record a net loss for the first quarter ended 31 March 2011 (1QFY2011).

Delong says the weaker than expected performance was due to the significant increase in raw material prices (e.g., iron ore and coke) in 1Q as well as lower production output during the maintenance period of the group’s blast furnaces in Feb which resulted in the increase in average cost of sales per tonne.

The group will release its 1QFY2011 financial results by May 12.