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Since dropping as much as 20% in morning trading on Friday after releasing its 2010 financial results, Sino Clean Energy's (OTC:SCEI) share price has recovered some ground in the afternoon, but is still down by a double-digit percentage. As of 11:49 am EST on Friday, the Chinese clean fuel producer's shares were down roughly 10% to trade at $5.14.

Despite the drop in stock price, the company's 2010 unaudited results showed massive growth from the prior year, turning a profit during the period.

The decrease could be a result of Sino's after-market statement yesterday that it has filed a 15-day extension with the SEC for filing its 10-k annual report, which was originally supposed to be filed on Thursday.

The company, which produces coal-water slurry fuel, a type of clean fuel that consists of coal particles suspended in water, reported 2010 earnings of $48 million, or $2.70 per diluted share. This compares to a loss of 34.8 million, or $3.56 per diluted share, in 2009.

Adjusted earnings, which exclude the company's derivative gains and other special items, were $27.9 million, or $1.46 per diluted share. Meanwhile, revenue more than doubled to $106.3 million from $46.0 million a year earlier. Analyst estimates were unavailable for the company.

During 2010, the company sold about 0.98 million metric tons of coal-water slurry fuel, more than double the 0.46 million metric tons sold in 2009. Sino also increased its annual production capacity by 30.7% to 0.85 million metric tons.

Looking forward, Sino said it expects 2011 revenues to be at least $170 million, on net income of $38 million. The profits outlook for this year represents a 20% drop when compared to 2010 reported earnings, which could also account for the company's fall in share price. The guidance assumes sales of 1.4 million metric tons of coal-water slurry fuel during 2011.

Source: Sino Clean's 131% Revenue Growth Viewed Skeptically by Some