China green energy play. Net Profit rose ~100% yoy from 06 to 07, projected > 50% rise in '08. Net cash position, no long term debt. Core business (distributed power generation) growing rapidly, also entering China wind market with new assembly plant built this year.
Low P/E (trailing P/E of ~4 @ current price of $3.42), current price near lowest price ever.
A-Power Energy Generation Systems, Ltd. (A-Power) is engaged in designing, constructing, installing and testing distributed power generation and micro power grids for various customers.
Current backlog of $700 million for this work. Part of China's rural electrification drive - distributed power generation is much cheaper for rural power delivery. Stimulus package should help improve this. Current net margins ~8-10%
Wind assembly plant opened Jan '09, licensing wind technology from Furlander and Norwin - this should reduce startup issues some new entrants wind turbine builders have encountered (eg. Clipper Windpower). Also signed JV with GE Wind for turbine assembly in China. GE Transportation has agreed to supply gearboxes (currently there is a shortage of the gearboxes required for wind turbines).