November 14, 2011 / 12:06 PM / 7 years ago

UPDATE 2-GLG Life slides on Q3 loss as stevia demand dries up

* Q3 loss/shr C$0.74 vs Q3 EPS C$0.06 last year

* Shares down 26 pct (Adds details, rewrites throughout)

Nov 14 (Reuters) - Sweetener maker GLG Life Tech Corp said quarterly sales plunged 92 percent as customers complained of aftertaste problems with its sweetener, sending its shares down as much as 26 percent on Monday morning.

GLG — which supplies stevia, a natural sweetener, to global markets — said it is trying to rectify the problem that has also delayed product launches.

Revenue from stevia and consumer beverage products fell to C$1.7 million from C$20.9 million.

Last month, the Vancouver-based company, which sells food and beverage products in China through a subsidiary company, had issued its second revenue warning in the year.

It had said revenue would be hit in the year by product launch delays and problems with packaging and product appearance at two bottling plants in China would hurt third-quarter sales.

Shares of the company, which have lost more than two-thirds of their value so far this year, were one of the top percentage loser on the Toronto Stock Exchange . They touched a low of C$1.66 earlier in the day .

The company posted a third-quarter loss of C$24.6 million, or 74 Canadian cents a share, compared with a net profit of C$1.8 million, or 6 Canadian cents per share, a year ago.

It recorded an impairment charge of C$12.2 million in the quarter, the company said in a statement.

On an adjusted basis, the company posted a loss of 41 Canadian cents a share, while analysts were expecting a loss of 17 Canadian cents a share, according to Thomson Reuters I/B/E/S. (Reporting by Maneesha Tiwari in Bangalore; Editing by Maju Samuel and Joyjeet Das)

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