Advanced Holdings, the global supplier of proprietary process equipment and technologies, clean energy solutions and environmental technologies, says it has secured three petrochemical and oil & gas contracts worth $8.5 million in China, bringing the group’s order book to $41 million.

Two of these projects are for petrochemicals plants in Daqing (Heilongjiang province) and Dushanzi (Xinjiang province) both owned by PetroChina, the largest oil producing group in China, to supply process equipment in their ethylene plants. These projects will start in 2Q 2010 and are expected to be completed in mid-2011.

The third project is to supply process equipments for coal-gasification process in a plant owned by Jinjiang Chemical Industry Company. This project started in 1Q 2010 and is expected to be completed by August 2010.

Meanwhile, Advanced Holdings also reported a 27.5% rise in earnings to $9.5 million for the 12 months ended 31 December 2009 (FY2009) from $7.5 million a year ago.

The group’s improved earnings was achieved in spite of a 4.8% dip in revenue to $80.6 million arising from slower demand for its equipment from the Oil and Gas sector. However, demand from the Petrochemicals and Chemicals industry continued to be buoyant, growing 9.1% to contribute $54.8 million of the group’s revenue.

For the three months ended 31 December 2009 (4QFY2009), Advanced achieved a 194.9% rise in earnings to $2.6 million on the back of revenue totalling $24.1 million. This compared favourably with earnings and revenue of $0.9 million and $14.2 million respectively in 4QFY2008.

Although gross profit margin dipped in 4Q2009, overall gross profit margin rose to 29.6% in FY2009 from 26.1% a year ago as a result of continual project cost management and a more favourable revenue mix.

The group’s financial position remained strong as at Dec 31 2009 and it continues to enjoy healthy operating cashflows with net cash of $14.2 million generated from operating activities in FY2009.