Dajin Dongfang Lighting (00515.HK) issued a profit warning. It is expected that the loss for the year of 2013 will increase significantly compared to 2012. This is due to the decline in the turnover and gross profit margin of the printed circuit board "PCB" business.
Dajin said that the main reasons for the decline in gross profit include: weak global PCB demand; lower average selling price of PCB; and rising labor costs in China. The Group has made impairment losses on the intangible assets of the property, plant and equipment, inventory and LED business of the PCB business.
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