Following its initial loss in 2005, Chinese mobile phone manufacturer Bird has once again been trapped in a big loss.
Bird's latest financial report shows that in the first six months of this year, the company suffered a total loss of CNY237 million, dragging it down 859% less than the same period of last year. Bird estimates that its net profit for the period from January to September of this year will also see big losses.
In order to reduce costs and change the current capital crisis, Bird has announced plans to sell the stake of three of its affiliates, including Ningbo Sagem Bird Development and Research Co., Ltd, a joint venture company between French Sagem and Bird, in exchange for CNY25 million.
At the same time, local media reports Bird will transfer 24% of its stake at Chongqing Bird Technology to Chongqing Runsida Technology for CNY441,300 and transfer 73% of the stake of Chongqing Bird Information Technology to Zhou Guangzhi from Ningbo Bird Holding Co., Ltd. for CNY3 million.