Explosives maker Fabchem China posts 3 straight years of losses

Fabchem China, which makes commercial explosive products, on Wednesday said it has posted three consecutive years of pre-tax losses, a trend that is likely to put it on a watchlist.

Under Singapore Exchange's listing rules, a company is put on a watchlist if it posts three straight years of pre-tax losses, and has an average daily market value of less than S$40 million over the last six months.

Fabchem China said its latest six-month average daily market value stood at S$8.54 million.

It separately announced that its net loss for the audited fiscal 2018 for the 12 months ended March 31, 2018 stood at 19.8 million yuan (S$4.08 million), which is 4.72 million yuan higher than its unaudited figure. This discrepancy arose from a fair-value adjustment to account for interest income from a related party's interest-free loan that went towards buying leasehold properties from the same related party. 

Shares of Fabchem China last traded at S$0.165.