Here's why Midas' 1Q13 losses were worse than expected

Loss attributable to shareholders was CNY4.9m.

According to OCBC, in line with its profit guidance issued on 10 May, Midas Holdings reported a net loss attributable to shareholders of CNY4.9m in 1Q13, versus PATMI of CNY15.3m in 1Q12. 

Revenue fell 12.1% YoY to CNY202.4m.

Here's more from OCBC:

While we had expected Midas to report a loss-making quarter, the magnitude was larger than our forecast for a net loss of CNY3.2m.

However, revenue was within our CNY199.8m estimate. The below-expectations bottomline performance was due partially to weaker-than-estimated gross margin and largely attributed to a share of loss of CNY4.0m from its associated company, Nanjing SR Puzhen Rail Transport (NPRT), versus our projection for a share of loss of CNY0.8m.

On an operational basis, Midas was actually profitable, although profit from operations dipped 50.4% YoY to CNY18.9m.