SmartHeat (HEAT) which makes products to increase energy efficiency is on fire today after reporting another quarter of big growth.  Earnings doubled over the year ago quarter to .36/share on revenues of $37.8 million which is an 83% increase over the year ago quarter.  Both are records for the company. 

The CEO commented on the strong quarter..

“Our third quarter financial results are the result of a favorable market environment for our industry and our management team diligently executing on our growth strategies. China’s energy savings industry is supported by the Chinese government as a sector that is receiving significant funding through government initiatives and the Chinese stimulus package. Because of this support, China’s heat energy savings industry has not been as negatively impacted by the current global economic slowdown.  The weakened economy has increased customer awareness of utilizing energy saving equipment from which we are a primary beneficiary. SmartHeat is well positioned to potentially reap significant benefits from the world’s transition to cleaner technologies and energy saving equipment.”

The company is sticking to its full year 2009 earnings guidance of  $15.5 million in net income and $80 million in revenues. Looking ahead to next year, the company believes the earnings growth momentum will continue well into 2010 as they anticipate a broader economic expansion in China.

Shares of HEAT are currently up about 25% as the stock works on the right side of a new base.