Cathay warns of flight disruptions

Cathay Pacific said flights continue to be disrupted as a result of strong and gusty wind conditions at the Hong Kong International Airport, it said in an e-mailed statement.

The company asked passengers that booked on flights departing July 24 and 25 to postpone non-essential travel.

CKI plans $307m share placement

Hong Kong billionaire Li Ka-shing's Cheung Kong Infrastructure Holdings Ltd (CKI) plans a share placement to raise up to $307 million, according to a term sheet for the deal seen by Reuters on Tuesday.

The company is offering 50 million shares in a price range of HK$46.15 to $47.62 each, putting the total deal at up to HK$2.38 billion ($307 million), the term sheet showed. The indicative range is equivalent to a discount of 3.3 to 6.3 percent to Tuesday's closing price of HK$49.25.

Cheung Kong Infrastructure would use proceeds from the offering for general working capital, the terms said.

GOME issues H1 losses warning

GOME Electrical Appliances Holding Ltd said on Tuesday it expected to post a net loss for the first half of 2012 due to drop in sales revenue.

In a filing to the Hong Kong stock exchange, the Chinese home appliances retailer said the loss attributable to the group's e-commerce business also hurt its results.

Shares of GOME, which competes with Suning Appliance Co Ltd, have fallen nearly 58 percent so far this year.

Huawei profit slumps 22%

Huawei Technologies Co, China's biggest maker of phone-equipment, posted a 22 percent drop in first-half operating profit, as competition intensifies in the telecommunications industry.

Operating profit in the first six months was 8.79 billion yuan ($1.4 billion), Huawei said in an e-mailed statement on Tuesday, without providing a year earlier figure. Revenue rose 5.1 percent to 102.7 billion yuan, the Shenzhen-based company said.

Huawei joins smaller cross-town rival ZTE Corp in reporting a decline in profits as the mainland companies compete with overseas firms including Ericsson AB, Cisco Systems Inc and Nokia Oyj to sell mobile-phone networks, office communication systems, and handsets in China and overseas. The market for telecommunications equipment "remains a significant challenge," Huawei said, without elaborating.

Lee's Pharma to post 50% profit

Lee's Pharmaceutical Holdings Limited said its first-half net profit may increase by over 50 percent compared with the same period of last year.

The growth in profit was mainly due to increase in pharmaceutical product sales, the drug maker said in a statement to the Hong Kong stock exchange on Tuesday.

Shipyard warns of H1 profit fall

Guangzhou Shipyard International Co Ltd expects its net profit to fall compared with the same period last year on decline in the shipbuilding market, the ship maker said in a statement to the Hong Kong stock exchange on Tuesday.

It also cited "sharp" fall in ship prices and a possible impairment loss on a batch of six vessels acquired in the first half for the drop in profit.

The company reported a net profit of 263 million yuan in the first half of 2011, based on mainland accounting standards.

Bloomberg - Reuters

(HK Edition 07/25/2012 page2)