Perfectenergy International Reports First Quarter Fiscal 2009 Financial Results

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SHANGHAI, China, March 17, 2009 (GLOBE NEWSWIRE) -- Perfectenergy International Ltd. (OTC BB:PFGY.OB - News), a rapidly growing solar energy company, today announced financial results for the first fiscal quarter ended January 31, 2009.

Revenues decreased 48% to $5.4 million, from $10.4 million for the first fiscal quarter of 2008. This decrease is attributable to a decrease in the sales price for module products as well as significant declines in the shipment of our products to the European market due to shrinking demands as a result of the worldwide economic and financial downturns and unfavorable weather conditions in Europe, which limits the installation of PV modules and defers purchasing of our products until a later date. The decreased revenue also resulted from a currency devaluation of the Euro vs. Renminbi (``RMB'') during the quarter ended January 31, 2009, compared to the quarter ended January 31, 2008.

Gross loss for the three months ended January 31, 2009 totaled $1.8 million, compared with gross profit of $0.4 million for the same fiscal quarter in 2008. The decrease in gross profits was mainly due to a decrease in the sales price for module products in our key markets and selling such modules using high priced wafers purchased during prior periods.

Selling, general and administrative expenses decreased 46% from $1.3 million for the three months ended January 31, 2009, compared with $2.1 million for the same period last year. Research and development costs (R&D) were approximately $45,351 for the three months ended January 31, 2009, compared with $31,572 in the first fiscal quarter of 2008.

Net loss for the first quarter ended January 31, 2009 was $2.5 million, or $.09 per share, compared with a net gain of $1.2 million, or $.04 per share, for the same period in 2008. The decrease in net income is attributable to a decrease in gross profits as a result of a decrease in the sales price for module products in our key markets and selling such modules using high priced wafers purchased during prior periods.

Perfectenergy's President and CEO, Jack Li, stated: ``In these challenging times, we were happy to be able to perform as we did in this last quarter. We remain cognizant and prepared for the potential problems that exist in the current economic environment, but we believe we are continuing to move in the right direction as a company. We are very pleased with the progress we continue to make with Tianjin HuanOu Semiconductor Material Technology Co., Ltd. to buy silicon wafers, ensuring sufficient and high quality raw materials to meet our needs. With the declines in polysilicon wafer prices and our continuous efforts in controlling other operational costs, we believe that we will have margin improvements in coming quarters. Overall, we are confident in our ability realize top and bottom line expansion due to continued execution of our business plan.''

As of January 31, 2009, Perfectenergy had cash and equivalents totaling $1.3 million, compared to $5.9 million at January 31, 2008.

ABOUT PERFECTENERGY

Perfectenergy International Limited designs, manufactures, and markets customized and standard photovoltaic (PV) solar cells, modules and systems for the worldwide solar market. Perfectenergy sells its products in Europe, China, and other parts of Asia. The Company is headquartered in Shanghai, China.

About Perfectenergy International Limited

Perfectenergy specializes in designing, developing, and manufacturing solar cells, solar modules and PV systems for the global solar market. Perfectenergy implements a proprietary manufacturing process that enables the production of photovoltaic solutions at a substantially lower cost than the industry norm and is quickly establishing itself as a leading source of high-quality photovoltaic (PV) systems and solar modules. The Company began producing its solar products in 2005 from its state-of-the-art 67,000-square-foot production facility located in Shanghai, China, and currently sells its products throughout Europe and Asia.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 involving known and unknown risks, delays, and uncertainties that may cause our actual results or performance to differ materially from those expressed or implied by these forward-looking statements. These risks, delays, and uncertainties include, but are not limited to: risks associated with the uncertainty of future financial results, our reliance on our sole supplier, the limited diversification of our product offerings, additional financing requirements, development of new products, government approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties detailed in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to update any forward-looking statements.

          Perfectenergy International Ltd.
          Jack Li, Chief Executive Officer
          008621 5488 0958
   
          RedChip Companies, Inc.
          Investor Relations:
          Jon Cunningham
          1-800-733-2447, Ext. 107
          info@redchip.com