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MSGI, man you are gullible. That is a complete BS urban legend spoof internet post.
Stop believing everything you read on the Net!
Good post Len, except Nazis wear boots, they don't have to tie shoes.
Self explanatory, only had time to watch employees video
http://theguyfromboston.com/playvideo.asp?video=/videos/2007/Apr/535_Employees.wmv
LOL
Math and Reading SAT Scores Drop
I met someone who works with creating the SAT's.. She told me to add 100 points to my score from the 1970's to today's scores to get a good representation of how bad it is now.
By ALAN FINDER
Published: August 28, 2007
Average scores on the reading and math sections of the SAT test declined slightly this year, as the number of high school students taking the standardized exam grew larger and more diverse than ever before, according to a report released this morning by the College Board on the performance of the high school class of 2007.
The average score on the critical reading portion of the SAT, which used to be known as the verbal test, was 502 out of a possible score of 800 — a decline of one point from last year. The average math score declined by 3 points, to 515. The average score on the SAT writing test, which was introduced two years ago, was 494, a drop of 3 points.
It was the second year in a row that that the College Board, the nonprofit organization that administers the SAT, reported score drops on the college entrance exam.
The declines for the class of 2007 were not caused by one single factor, the officials said. But the increase in the number of traditionally underrepresented minority and low-income students taking the test played a part, they said. So was a new requirement in Maine that all high school seniors take the exam, including those who would not in the past have viewed themselves as college-bound.
“The larger the population you get that takes the exam, it obviously knocks down the scores,” Gaston Caperton, the president of the College Board, said in a news conference this morning. College Board officials called the decline from 2006 to 2007 statistically insignificant.
In 2006, the first class to take a new three part test including a writing section, average SAT scores showed the largest decline in 31 years: 5 points in critical reading and 2 in math. Together the pattern for the expanded SAT reinforced concerns by many guidance counselors that students were getting tired out by the new three-part test, which runs for three hours and 45 minutes, rather than three hours.
But officials of the College Board attributed the declines last year to a drop in the number of students who took the exam more than once. Experience shows that students’ scores go up when they take the SAT multiple times — typically gaining 14 points a section when they take the test a second time and an additional 10 or 11 points a section on a third try.
Today, the College Board trumpeted the size of the group that took the SAT — nearly 1.5 million seniors — and the expanded diversity of the test-takers. Hispanic, African-American and Asian-American students accounted for 39 percent of the seniors who took the test, with Hispanic students representing the largest and fastest growing minority group to take the exam.
In all, 35 percent of the class taking the SAT would be the first in their family to attend college, mirroring the broad diversification of the college student population that university officials have been noting and encouraging in recent years.
Several officials of the College Board noted that, in some instances, the traditional gaps between minorities and low-income students and the overall population of test takers had narrowed this year. But much of the data released today appeared to bolster the idea that the increased numbers of minority and low-income students taking the SAT had contributed to the decline in scores.
For example, the average score for students who planned to apply for financial aid in college was 501 in critical reading and 508 in math; the average scores for students who did not intend to apply for aid was 530 in critical reading and 548 in math. The average scores for students whose parents did not graduate from high school was 421 in critical reading and 445 in math; the comparable averages for students whose parents are college graduates was 522 and 533.
Similarly, there were racial and ethnic differences. The average scores for black students were 433 in critical reading and 429 in math; the averages for Puerto Rican students was 459 and 454, and the averages for white students were 527 and 534.
The average scores among New York State students in the class of 2007 were 491 in critical reading and 505 in math.
ECSI International Named to Deloitte's Technology Fast 50 Program
Tuesday August 28, 10:52 am ET
CLIFTON, N.J., Aug. 28 /PRNewswire/ -- ECSI International, Inc., a division of Electronic Control Security (OTC Bulletin Board: EKCS.OB - News), has been named to Deloitte's prestigious Technology Fast 50 Program for New Jersey, a ranking of the 50 fastest growing technology, media, telecommunications, and life sciences companies in the area by Deloitte & Touche USA LLP, one the nation's leading professional services organizations. Rankings are based on the percentage revenue growth over five years from 2002- 2006.
ECSI's CEO, Arthur Barchenko credits employee dedication in achieving its objectives with the company's 282.9 percent revenue growth from 2002-2006. Mr. Barchenko stated that this significant growth was also attributable to "ECSI being recognized as a quality solution provider to the government and private sectors' security and anti-terrorism programs."
ECSI's increase in revenues of 282.9 percent from 2002 to 2006 resulted in a 44th ranking in the Technology Fast 50 for New Jersey. The average increase in revenues among companies who made the Technology Fast 50 for this region was 1,240 percent.
To qualify for the Technology Fast 50, companies must have had operating revenues of at least $50,000 in 2002 and $5,000,000 in 2006, be headquartered in North America, and be a company that owns proprietary technology or proprietary intellectual property that contributes to a significant portion of the company's operating revenues; or devotes a significant proportion of revenues to the research and development of technology. Using other companies' technology or intellectual property in a unique way does not qualify.
Companies from the 16 regional Technology Fast 50 programs in the United States and Canada are automatically entered in Deloitte's Technology Fast 500 program, which ranks North America's top 500 fastest growing technology, media, telecommunications and life sciences companies. For more information on Deloitte's Fast 50 Technology or Technology Fast 500 programs, visit www.fast500.com
About ECSI
ECSI is recognized as a global leader in perimeter security and an effective quality provider for both the Department of Defense and Homeland Security programs. The company designs, manufactures and markets physical electronic security systems for high-profile, high-threat environments. The employment of risk assessment and analysis allows ECSI to determine and address the security needs of government and commercial-industrial installations. The company has teaming agreements with major system integrators in both the United States and overseas to support the installation and after market. ECSI is located at 790 Bloomfield Avenue, Bldg. C-1, Clifton, NJ 07012. Tel: 973-574-8555; Fax: 973-574-8562. For more information on ECSI, visit http://www.anti-terrorism.com.
About Deloitte
Deloitte refers to one or more of Deloitte Touche Tohmatsu, a Swiss Verein, its member firms and their respective subsidiaries and affiliates. As a Swiss Verein (association) neither Deloitte Touche Tohmatsu nor any of its member firms has any liability for each other's acts or omissions. Each of the member firms is a separate and independent legal entity operating under the names "Deloitte", Deloitte & Touche", Deloitte Touche Tohmatsu" or other related names. Services are provided by the member firms or their subsidiaries or affiliates and not by the Deloitte Touche Tohmatsu Verein. Deloitte & Touche USA LLP is the US member firm of Deloitte Touche Tohmatsu. In the US, services are provided by the subsidiaries of Deloitte & Touche USA LLP (Deloitte & Touche LLP, Deloitte Consulting LLP, Deloitte Financial Advisory Services LLP, Deloitte Tax LLP and their subsidiaries) and not by Deloitte & Touche USA LLP.
Source: ECSI International, Inc.
Coltrane, gotta love it. Took me a few years to get into it, was well worth the trip.
Started with Dizzy, McCoy Tyner, Elvin Jones, Thad Jones/Mel Lewis, John Faddis, Michael Brecker, Benny Goodman, Charlie Parker and few 100 others. It is a long and great list.
Boring? No way. Elvin Jones is one of the great drummers of all time. McCoy Tyner same on Piano. I especially love the more modern combo of Tyner & Brecker (who just died recently).
Upcoming conference, some companies followed on this board are included. Some great, some good & some bad companies presenting.
ROTH 2007 New York Conference
Access Integrated Technologies Inc. (AIXD)
Actions Semiconductor Co., Ltd. (ACTS)
Actuate Corp. (ACTU)
ADA-ES Inc. (ADES)
ADAM Inc. (ADAM)
AdStar Inc. (ADST)
Advanced Photonix Inc. (API)
Aerogrow International, Inc. (AERO)
American Science & Engineering Inc. (ASEI)
Amerigon Inc. (ARGN)
Amtrust Financial Services, Inc. (AFSI)
Anadigics, Inc. (ANAD)
Applix Inc. (APLX)
Art Technology Group Inc. (ARTG)
Artes Medical, Inc. (ARTE)
AspenBio Pharma Inc. (APNB)
AtriCure, Inc. (ATRC)
Auriga Laboratories Inc. (ARGA)
Avantair Inc. (AAIR)
Aware Inc. (AWRE)
AXT Inc. (AXTI)
Bakers Footwear Group Inc. (BKRS)
Ballantyne of Omaha Inc. (BTN)
Barrett Business Services Inc. (BBSI)
Barrier Therapeutics Inc. (BTRX)
Basin Water Inc. (BWTR)
Bidz.com Inc (BIDZ)
Bio-Imaging Technologies Inc. (BITI)
BioSphere Medical Inc. (BSMD)
Birks & Mayors Inc. (BMJ)
Blue Coat Systems Inc. (BCSI)
BluePhoenix Solutions Ltd. (BPHX)
Bookham Inc. (BKHM)
BooKoo Beverages, Inc. (BOKO)
BSQUARE Corporation (BSQR)
Cadence Pharmaceuticals Inc. (CADX)
Callidus Software Inc. (CALD)
Captaris Inc. (CAPA)
Cash America International Inc. (CSH)
Catalyst Pharmaceutical Partners Inc. (CPRX)
Century Casinos Inc. (CNTY)
Chardan North China Acquisition Corp. (CNCA)
Chardan South China Acquisition Corp (CSCA)
China Agritech Inc (CAGC)
China BAK Battery, Inc. (CBAK)
China Biologic Products (CBPO)
China Biotics, Inc. (CHBT)
China Direct, Inc. (CHND)
China Fire and Security Group Inc. (CFSG)
China Housing & Land Development, Inc (CHLN)
China Medicine Corporation (CHME)
China Organic Agriculture (CNOA)
China Precision Steel, Inc. (CPSL)
China Public Security Technology, Inc. (CPBY)
China Security & Surveillance Technology (CSCT)
China Shenghuo Pharma Holdings (KUN)
China Sunergy Co. Ltd. (CSUN)
China Yingxia International, Inc. (CYXI)
Chinacast Education Corporation (CEUC)
Cirrus Logic Inc. (CRUS)
City Telecom (H.K.) Limited (CTEL)
CKE Restaurants Inc. (CKR)
ClearPoint Business Resources, Inc. (CPBR)
Cleveland Biolabs, Inc. (CBLI)
Commtouch Software Ltd. (CTCH)
Comverge, Inc. (COMV)
Conmed Healthcare Management, Inc. (CMHM)
Consumer Portfolio Services Inc. (CPSS)
Cortex Pharmaceuticals Inc. (COR)
CryoCor, Inc. (CRYO)
Cytogen Corporation (CYTO)
DATATRAK International, Inc. (DATA)
Day Software (DAYN)
DG FastChannel, Inc. (DGIT)
Diomed Holdings Inc. (DIO)
Dollar Financial Corp. (DLLR)
Duoyuan Digital Printing
DUSA Pharmaceuticals Inc. (DUSA)
Echo Healthcare Acquisition Corp. (EHHA)
EDAP TMS (EDAP)
Electro-Optical Sciences, Inc. (MELA)
Electronic Game Card Inc. (EGMI)
eMagin Corporation (EMAN)
EMCORE Corp. (EMKR)
Emrise Corp. (ERI)
Entrust Inc. (ENTU)
EZCORP Inc. (EZPW)
Far East Energy Corp. (FEEC)
First Cash Financial Services Inc. (FCFS)
FOCUS Enhancements Inc. (FCSE)
Fortress International Group, Inc. (FIGI)
Fundtech Ltd. (FNDT)
G. Willi Food-International Ltd. (WILC)
GameTech International Inc. (GMTC)
General Steel Holdings (GSHO)
Genesis Microchip Inc. (GNSS)
Genius Products, Inc. (GNPI)
Genta Inc. (GNTA)
GigaMedia Ltd. (GIGM)
Global Sources Ltd. (GSOL)
GP Strategies Corporation (GPX)
Grill Concepts Inc. (GRIL)
GSE Systems Inc. (GVP)
Gulf Resources, Inc. (GUFR)
GVI Security Solutions Inc. (GVSS)
H2Diesel Holdings, Inc. (HTWO)
Halozyme Therapeutics Inc. (HALO)
Health Benefits Direct Corporation (HBDT)
Health Fitness Corporation (HFIT)
Health Grades Inc. (HGRD)
HearUSA Inc. (EAR)
House of Taylor Jewelry, Inc. (HOTJ)
Hythiam Inc. (HYTM)
I-Flow Corp. (IFLO)
I-Many Inc. (IMNY)
iGATE Corp. (IGTE)
II-VI Inc. (IIVI)
IMAX Corporation (IMAX)
Innovative Card Technologies Inc. (INVC)
Internap Network Services Corp. (INAP)
International Fight League, Inc. (IFLI)
International Stem Cell Corporation (ISCO)
InterSearch Group Inc. (IGO)
Inventure Group Inc. (SNAK)
Ionatron, Inc. (IOTN)
Ironclad Performance Wear Corporation (ICPW)
ISTA Pharmaceuticals Inc. (ISTA)
Iteris Inc. (ITI)
Ivivi Technologies, Inc. (II)
Jingwei International Ltd (JNGW)
Joe's Jeans Inc. (INNO)
KANA Software Inc. (KANA)
Kintera, Inc. (KNTA)
Lakes Entertainment Inc. (LACO)
Landec Corp. (LNDC)
LanOptics Ltd. (LNOP)
LifeCell Corp. (LIFC)
LiveDeal Inc. (YPNT)
LivePerson Inc. (LPSN)
LJ International Inc. (JADE)
Matrixx Initiatives Inc. (MTXX)
Medical Action Industries Inc. (MDCI)
Microfield Group Inc. (MICG)
Microtune Inc. (TUNE)
Middleby Corp. (MIDD)
Modigene Inc. (MODG)
Modtech Holdings Inc. (MODT)
Monterey Gourmet Foods Inc. (PSTA)
Motorcar Parts of America Inc. (MPAA)
MRU Holdings Inc. (UNCL)
MRV Communications Inc. (MRVC)
Napco Security Systems Inc. (NSSC)
Natrol Inc. (NTOL)
Natus Medical Inc. (BABY)
Neogen Corp. (NEOG)
Nevada Gold & Casinos Inc. (UWN)
New Motion, Inc. (NWMO)
New Oriental Energy & Chemical Corp (NOEC)
NIC Inc. (EGOV)
Noble Roman's Inc. (NROM)
Obagi Medical Products, Inc. (OMPI)
Oculus Innovative Sciences, Inc. (OCLS)
Onstream Media Corp. (ONSM)
Oplink Communications Inc. (OPLK)
OSI Systems, Inc. (OSIS)
Overhill Farms Inc. (OFI)
Pacificnet Inc. (PACT)
PAR Technology Corp. (PTC)
Paradise Entertainment (1180.HK)
Pegasystems Inc. (PEGA)
Perficient Inc. (PRFT)
Pericom Semiconductor Corp. (PSEM)
Phoenix Technologies Ltd. (PTEC)
PhotoMedex, Inc. (PHMD)
Planar Systems Inc. (PLNR)
Planet Technologies Inc. (PLNT)
Points International Ltd (PTSEF)
PokerTek, Inc. (PTEK)
PowerSecure International (POWR)
Princeton Review Inc. (REVU)
Progressive Gaming International Corp. (PGIC)
Radyne Corp. (RADN)
Raser Technologies Inc. (RZ)
REEDS, Inc. (REED)
Remedent Inc. (REMI)
Rentcash Inc (RCS.TO)
ROO Group Inc. (RGRP)
Rubio's Restaurants Inc. (RUBO)
Salix Pharmaceuticals Ltd. (SLXP)
Sciele Pharma Inc. (SCRX)
SCOLR Pharma Inc. (DDD)
Secure Computing Corp. (SCUR)
Silverleaf Resorts, Inc. (SVLF)
Silverstar Holdings Ltd. (SSTR)
Sinoenergy Corporation (SNEN)
Skystar Bio Pharma (SKBI)
SM&A (WINS)
Smart Online Inc. (SOLN)
Solar Power, Inc.
Sona Mobile Holdings Corp. (SNMB)
SPSS Inc. (SPSS)
SRS Labs Inc. (SRSL)
Stockeryale Inc. (STKR)
Strategic Diagnostics Inc. (SDIX)
Sunair Services Corporation (SNR)
Supertex Inc. (SUPX)
Sutor Technology Group (SUOT)
TechTeam Global Inc. (TEAM)
Techwell, Inc. (TWLL)
Terabeam, Inc. (TRBM)
TheStreet.com, Inc. (TSCM)
Think Partnership, Inc. (THK)
TransAct Technologies Inc (TACT)
Trinity Biotech plc (TRIB)
Trintech Group (TTPA)
Tumbleweed Communications Corp. (TMWD)
Tutogen Medical Inc. (TTG)
UCN Inc. (UCNN)
Ultimate Software Group Inc. (ULTI)
Unigene Laboratories Inc. (UGNE)
Uroplasty Inc. (UPI)
Vermillion, INc. (VRML)
Vignette Corporation (VIGN)
VNUS Medical Technologies Inc. (VNUS)
Web.com, Inc. (WWWW)
WFI Industries (WFI.TO)
Whitehall Jewellers (BTVI)
Winner Medical Group (WMDG)
Workstream Inc. (WSTM)
Xcorporeal Inc.
Youbet.com Inc. (UBET)
Yucheng Technologies (YTEC)
Zagg, Inc. (ZAGG)
Zhongpin Inc. (ZHNP)
Zila, Inc. (ZILA)
Zones Inc. (ZONS)
"He ought to never work in the NFL (or anywhere else) again"
What should he do? After he serves his time he is entitled to work for whomever would hire him. Isn't this still America? I don't hold the NFL or any other sports league in such high esteem that they can't hire Vick or any other thug that wants to bang heads for the amusement of the masses.
I think part of his plea deal (if I were Judge) would require him to clean cages at the local ASPCA for a few years. That would be JUSTICE. That would send the proper message. A website showing photo's of his daily penance would do wonders for the cause.
Ultimately I blame the Vick problem and the current sub prime problem on the lack of REAL education in this country. Financial education to teach people how to earn & care for the cash. Thrust a few million bucks at some young athlete and he goes and finances some friends sick dog fighting ring instead of investing it wisely and maybe helping some friends in a legit business.
Most any breed of dog can be trained to be a fighter. Just abuse them enough and punish them for being passive, reward them for being aggressive. In fact the same can and is done with people as well... I leave it up to your vivid imagination to come up with more great idea's.
Kill the American Staffordshire Terrier & free the Parrots!
Did you ever see a Parrot peck a man to death? Ugly.
Repost from Investor Village
Motley Fool lists CFSG as a top 5 micro-cap stock
5 Top Micro-Cap Stocks
http://www.fool.com/investing/small-cap/2007/08/24/5-top-micro-cap-stocks.aspx
CFSG: After a great Q, the stock has bounced nicely off of a $6.02 intraday low. Growth of revenues and bottom line should help this see new highs this year.
Currently $7.65
Nice Ibox info for everyone to read. I like it. Even us oldtimers need to remember most of those items.
And justice for all?
Nicole Richie serves 1 hour in jail
Lohan gets 1 day in jail for DUI charges
George is still President and Dick is still dick!
and the debate about guitar players rages on!
Interesting read when you have a few minutes:
http://sharesleuth.com/2007/05/connecting_the_companies.html
Similar to stocklemon/citron site, except they disclose who they are in a more upfront manner.
Many of the names are familiar. Had the misfortune of meeting some of them.
Seems like you went through this Malmsteen bit Feb 07... What triggered the reprise of this?
He is fast, big deal.
"Three decades later, there is a legitimate debate about how we got into the Vietnam War and how we left," Bush told members of the Veterans of Foreign Wars, at their convention in Kansas City, Missouri.
"Whatever your position in that debate, one unmistakable legacy of Vietnam is that the price of America's withdrawal was paid by millions of innocent citizens, whose agonies would add to our vocabulary new terms like 'boat people,' 're-education camps' and 'killing fields,' " the president said.
What this pea brain failed to mention is just how long and how many more dead Americans would have been required to prevent what happened from our going where we did not belong. Vietnam is now convenient to use for those fools.
Anyone planning to buy a new car soon? Wait a bit, prices should drop like a rock..
Next victim of mortgage mess: Auto sales
Rising concern about home values and mortgage payments is causing more buyers to slam the brakes on new car purchases.
By Chris Isidore, CNNMoney.com senior writer
August 21 2007: 5:30 PM EDT
NEW YORK (CNNMoney.com) -- Already-battered U.S. auto sales could be the next victim of the problems with mortgages, declining home and stock prices as potential car buyers delay purchases due to uncertainty.
Industrywide U.S. auto sales in August could be off 10 percent from a year ago, according to an early read from sales tracker Edmunds.com. That follows July sales that were 19 percent below year-earlier levels.
Jesse Toprak, executive director of industry analysis for Edmunds.com, said that the downturn in home values and credit issues that were seen in the July numbers could be an even bigger factor this month.
"I think the issue is becoming more pronounced," he said.
Sales weren't just weak at domestic automakers, such as General Motors (Charts, Fortune 500), Ford Motor (Charts, Fortune 500) and Chrysler Group. Year-over-year sales fell in July at Toyota Motor (Charts) and Honda Motor (Charts) as well. Many forecasters are cutting full-year auto sales targets in the face of these weak summer sales. And some experts say the turmoil in housing could throw even more dirt in the gears.
Import auto sales top Big Three
CNW Research, which specializes in surveys of car buyers, found in its latest reading that 13.6 percent of the potential market's customers were canceling or postponing plans to make a new-vehicle acquisition any time soon, up from 10.1 percent last year.
And of those postponing or canceling plans, home-related issues jumped to the No. 1 reason, cited by 17.6 percent of those staying away from dealers' showrooms, with nearly 11 percent of that group citing a decline in their home equity and another 6 percent citing an increase in their monthly home payment.
Of those postponing purchases, 10.7 percent cited problems with credit scores, as some sources of car loans are tightening lending standards. Gas prices are a distant third, cited by less than 5 percent of those delaying purchases.
"We're probably going to see some pretty bad [auto sales] numbers for the rest of the year," said Art Spinella, president of CNW. "To put it simply, housing is now the major hurdle to new car purchases. The next three to four months are not going to be much better if it's better at all. People are not interested in buying a new vehicle."
Only two years ago, the CNW survey found just 2.3 percent citing home-related issues as a reason to postpone a car purchase, while 5 percent cited credit score problems and about 3 percent cited gas prices.
Automakers, led by GM, are upping cash-back offers and other inducements to try to breathe life into sales in the face of headlines about home foreclosures and market meltdowns.
GM spokesman John McDonald said that GM isn't seeing any sharp drop-off in sales it can trace to the current mortgage and housing slowdown.
"It is one of a number of headwinds," he said. "There's fuel prices, there's interest rates and there's housing prices. But we're not seeing anything new that we've not been talking about for more than a year."
But one auto industry executive, who spoke on condition that his name not be used, said that the higher incentive spending by automakers, particularly on GM pickups, may mask some of the bite that housing is putting on sales.
"The home was not only a source of financing for some car purchases, it contributes to a positive feeling psychologically," said the executive. "That led to a confident outlook, a view that 'I can go ahead and spend from paycheck to paycheck and buy new cars when I want to because the value of my home and portfolio have gone up.'
"It's silliness to say the credit crunch doesn't matter," said the executive. "If the final sales numbers for August have any strength, it will be because of incentives."
Experts in the field say that car purchases are one of the first items that consumers can and will put off if they are nervous about their own financial outlook, long before they'll cut back on eating out or other discretionary purchases.
Bob Schnorbus, chief economist for auto research firm J.D. Power & Associates, said that the August sales probably won't tell the full story about the drag that the housing turmoil is causing for auto sales.
"I wouldn't expect it to have that quick impact; I would expect it to be more of a drag throughout the rest of this year than a plummet in August," he said.
And Schnorbus said that while consumers may keep making other types of purchases, even as they pull back from buying new cars and trucks, the slowdown could spread to other types of spending in the future if the market does not improve.
"A new car is one of the more postponable purchases that people make," said Schnorbus. "That new vehicle purchase could be a good leading indicator if consumers are going to cut back. Over the next few months, we could be getting some very interesting signals." Top of page
Only the annual financial's are audited. They may be compiled by the CPA firm, but the cost of an audit is expensive and not required.
OT: Len, not bad, winning six months of living expenses so easily.
LOL
Food Prices Fuel China Inflation Fears
Sunday August 19, 2:05 pm ET
By Joe Mcdonald, AP Business Writer
China's Sharp Jump in Food Prices, Which Have Risen 15.4 Percent, Fuels Inflation Fears
BEIJING (AP) -- Grocery shopping has become a painful experience for Zhang Xueyi. Meat prices have risen 50 percent in the past year, and eggs and other products are not far behind, forcing the 31-year-old railway technician's family to spend a third of its $400 monthly income on food.
"If prices go up more, we have to pay. We'll cut back somewhere else," said Zhang as he hefted bags of eggs, vegetables and rice from the market down a narrow Beijing lane.
After a run that has seen sizzling growth top 10 percent for four years, analysts say China's supercharged economy is facing strains that could break out into an upsurge of inflation.
So far the worst damage has been confined to food prices, which jumped 15.4 percent in July over the same month a year ago and drove overall inflation to a decade-high 5.6 percent. But wages are rising too, as are the costs of oil and electric power. Record-setting exports and a stock market boom are sending cash flooding through the economy, stoking demand for goods.
The Chinese economy "might have entered a region where we should be on guard," said a central bank official, Zhang Tao, quoted last week by the state newspaper China Securities Times.
If the trend goes unchecked, the impact could be felt abroad as consumers who depend on China as the world's low-cost factory have to pay more for appliances, shoes and other goods. Pinched Chinese consumers might spend less on foreign goods, widening a yawning trade surplus that has strained relations with Washington and other trading partners.
Economists say the latest price spike is due mostly to temporary shortages of pork, the staple meat whose price soared 86 percent in July from a year ago.
Pressure is growing in energy, where Beijing is holding down retail prices by blocking state-owned gasoline and power companies from passing on higher costs, said Nicholas Kwan, an analyst for investment bank CLSA in Hong Kong.
Chinese oil refiners are losing $5 per barrel of oil that they process into gasoline or diesel, he said.
"I think it's just a matter of time until they have to bite the bullet and raise domestic prices," Kwan said. "Otherwise they risk an artificial shortage because oil companies will refuse to refine oil into gasoline if they are losing money."
Wages rose 21 percent in the first quarter of the year over the same period of 2006, according to the government, as companies competed for labor. Even that rise might not reflect the extent of pressure faced by employers, because those data cover only government companies, not the booming private sector.
"There's very little spare labor for manufacturing now, so we think we're seeing more wage pressure," said Stephen Green, senior economist at Standard Chartered Bank in Shanghai.
Add to rising costs the "wealth effect" produced by a stock market boom. The country's main stock index is up more than 70 percent this year, making speculators rich on paper and fueling spending.
Exporters already are struggling with the steady rise of China's currency, the yuan, which has pushed up the U.S. dollar prices of their goods by almost 10 percent over the past two years.
The price surge has alarmed Chinese leaders, who remember that 1989's Tiananmen Square pro-democracy protests were driven in part by anger at raging inflation that exceeded 18 percent a year.
Premier Wen Jiabao has ordered urgent measures to boost food production, promising farmers free vaccinations and other aid to raise more pigs. Local authorities have been ordered to subsidize the grocery bills of poor families.
Beijing has raised interest rates three times this year to cool the boom and avert a rise in inflation. After seeing the July price data, economists said they expect another rate hike shortly.
Until now, intense price competition in a Chinese market filled with low-cost goods has prevented makers of most goods from passing on rising costs to consumers. But economists say struggling companies might finally be forced to stand their ground and rise prices.
Last week, the government said an investigation into rising food costs found that makers of instant noodles illegally colluded to push up prices by up to 40 percent.
An official of a noodle trade group defended the increase as a response to rising raw material costs that have slashed profit margins to as little as 1 percent.
"If we don't lift the prices, there will be no profit," the official, Meng Hesu, was quoted as saying.
Bushes’ Daughter Jenna Engaged --
Maybe we will get treated to a big White House bash & they can use some flag draped coffins as props in the background. The guy can't accomplish anything of good, so he needs to go out with a wedding to make everyone feel good.
I want to puke whenever I think about Iraq/Bush
& did you catch the Cheney flip flop video on IRAQ. Priceless
littlefish: HSOA, consider yourself smart that you set a tight stop. I don't really think this board should encourage day trading as almost everyone I ever met failed in the end to be good at it.
Len, a special fed emergency drop is a confirmation that all is not well in USA land. Ultimately not a good sign going forward, however if you listen to Brinker he sees highs in the S&P next year. What to do ??? LOL
From Brinker yesterday, one would suspect he knows someone @ the fed...
S&P 500 Index close: 1411.27
In our view, the stock market is currently in the process of forming the area of the S&P 500 Index correction low for calendar year 2007. Correction bottoms are frequently accompanied by a high level of stock market volatility and negative financial news, and both of these factors contribute to the formation of the bottom.
One of our key sentiment gauges, the 60-day put/call ratio, closed today at its historic record high of 1.06. This reading shows extreme pessimism for this contrary indicator, which places it solidly in the positive category.
The Marketimer © stock market timing model © is currently in highly favorable territory.
Any further testing of the area of the correction lows, which we expect to be close to the current S&P 500 Index level, is regarded as an additional buying opportunity for subscribers looking to add to stock market holdings.
Marketimer © expects the S&P 500 Index to register new historic record highs as we move forward into next year.
sskillz1: I have no problems with Schwab today. Streetsmart Pro & the website both work fine.
bbotcs: Money funds, if you already did the research... How about sharing which fund you left and where you went.
TIA
Gulf Resources, Inc. Announces Second Quarter 2007 Financial Results
-- Second Quarter Revenues Increase 58% to $12.4 million
-- Second Quarter Net Income Increases 71% to $3.1 million
-- Company Completes 2 Key Bromine Asset Purchases
LOS ANGELES and SHANDONG, China, Aug. 15 -- Gulf Resources, Inc. (the "Company") (OTC Bulletin Board: GUFR - News), which operates through its wholly-owned subsidiaries Shuoguang City Haoyuan Chemical Company Limited ("SCHC") and Shouguang Yuxin Chemical Industry Company Limited ("SYCI"), today announced its results for the second quarter which ended June 30, 2007.
Revenues for the second quarter of 2007 increased 58 percent to $12.4 million compared to $7.9 million for the year ago quarter. The increase in revenues was attributable to strong growth in sales of bromine which increased from $4.2 million in the second quarter of 2006 to $7.7 million in the second quarter 2007 primarily as a result of the completion of 280 new bromine wells in December, 2006, the addition of three new customers, and the bromine asset purchase completed in April, 2007. 3,956 metric tons of bromine and 26,000 metric tons of crude salt were sold respectively during the quarter at average prices of $1,850 and $13 per metric ton. The second contributing factor to the increase in revenues was a 25 percent increase in chemical product sales, which included new product introductions. The company recorded $4.7 million in total chemical sales through its "SYCI" subsidiary for the second quarter compared to $3.7 million in the year ago period.
Cost of net revenue for the second quarter of 2007 was $7.3 million, yielding a gross profit of $5.2 million and gross margins of 41 percent. This compared to $5.1 million in cost of revenues, $2.8 million in gross profits and gross margins of 36 percent recorded during the second quarter of 2006. The favorable variation between the increase in revenues and cost associated with these revenues resulted from increased bromine production capacity, economies of scale, tighter control of direct costs and indirect costs and improved inventory control.
Operating income for the second quarter of 2007 totaled $4.8 million, representing a 77 percent increase from the $2.7 million reported in the year ago quarter and resulted from growth in both product lines. For the second quarter of 2007, income from operations in the bromine division was $3.3 million and $1.8 million from the chemical products division, representing a 109 and 53 percent increase compared to the year ago period respectively.
For the second quarter, net income was $3.1 million, an increase of 71 percent from the $1.8 million in the second Quarter 2006, while associated earnings were $0.06 per share compared to $0.04 per share based on 49.8 million and 43.2 million diluted weighted shares in each period respectively. The company incurred taxes of $1.7 million and $0.9 million for the 2007 and 2006 second quarter respectively equating to an effective tax rate of 35 percent and 33 percent.
"We are pleased with our second quarter results as we continue to execute our business plan by completing and integrating strategic bromine asset acquisitions, including the purchases during the second quarter in the areas of Shuoguang City Qinshuibo and Dong Ying City Liu Hu, while also expanding our production capabilities and improving overall capacity utilization. These initiatives have helped us improve our margin profile and we anticipate making capital expenditures to increase output during the balance of this year," commented Mr. Ming Yang, CEO of Gulf Resources. "Additionally, our wholly- owned SYCI subsidiary signed two significant contracts, including a supply agreement with Daqing Oilfield Company, a subsidiary of China National Petroleum Corporation which operates China's largest oilfield and separately an agreement to provide our proprietary, environmentally friendly biocide, to Huaneng Yimin Power Plant, thus opening up a significantly underserved market opportunity."
Six Month Results
For the six months ended June 30, 2007, net revenues increased approximately 47 percent to $22.5 million compared to the same year ago period, resulting from organic growth at both divisions coupled with additional bromine asset purchases. Cost of revenues was $13.3 million for the first six months, representing an increase of $3.5 million, or nearly 35 percent. Income from operations from the bromine division was $5.5 million, an increase of 75 percent while income from operations from the chemical products division increased 62 percent to $3.5 million, both compared to the first six months of 2006.
Net income was $5.7 million for six months ended June 30, 2007, an increase of $2.1 million, or approximately 61% from net income of $3.5 million compared with the same period of 2006. This equated to earnings of $0.12 per share compared to $0.08 per share for the first six months of 2006 based on 46.8 million and 43.2 million diluted weighted shares outstanding.
Balance Sheet and Cash Flow discussion
From a balance sheet perspective, the Company reported $7.2 million in cash and equivalents and $5.9 million in notes payable on June 30, 2007 while maintaining a current ratio of 1.25 to 1. For the first six months of 2007, the company generated $4.9 million in cash flow from operations, the main variance from net income relating to a decrease in accounts payable and accrued expenses. For the first six months, the Company recorded approximately $5.8 million in total capital expenditures.
"SCHC ended the second quarter with 19,100 metric tons of annual bromine production capacity and its facility was operating at approximately 70 percent capacity utilization. In addition, it currently maintains 50-year leaseholds for approximately 14,300 acres of property in total, which contains approximately 1,234,000 metric tons of proven and probably reserves. We anticipate completing further acquisitions while making prudent capital investments to increase overall output while consolidating both production and distribution," Mr. Yang concluded.
Guidance
Taking into account the recently completed asset purchases, the Company is updating its guidance. Management now expects to report 2007 revenues of $48 million, representing an increase of 170 percent from the $17.8 million reported during calendar 2006. Specifically, management expects that its core bromine business "SCHC" and specialty chemical business "SYCI" will contribute approximately $32 million and $16 million in revenues respectively. Net income is expected to increase approximately 867 percent to $11.6 million from the $1.2 million reported in 2006, which included a $5.3 million non-cash equity compensation charge. Previous issued 2007 revenue and net income guidance was $45 million and $11 million respectively.
These estimates do not include any potential future acquisitions or non-cash charges related to the amortization of goodwill from previously completed acquisitions.
About Gulf Resources, Inc.
Gulf Resources, Inc. operates through two wholly-owned subsidiaries: SCHC which is engaged in manufacturing and trading Bromine and Crude Salt in China. Bromine is used to manufacture a wide variety of compounds utilized in industry and agriculture, and SYCI which manufactures chemical products utilized in oil & gas field explorations and as papermaking chemical agents. For more information, please visit http://www.gulfresourcesco.com .
Safe Harbor Statement:
Certain statements in this news release may contain forward-looking information about Gulf Resources and its subsidiaries business and products within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. The actual results may differ materially depending on a number of risk factors including, but not limited to, this specific supply agreement with Huaneng Yimin Coal & Electricity Co. Ltd., the general economic and business conditions in the PRC, future product development and production capabilities, shipments to end customers, market acceptance of new and existing products, additional competition from existing and new competitors for bromine and other oilfield and power production chemicals, changes in technology, and various other factors beyond its control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks factors detailed in the Company's reports filed with the Securities and Exchange Commission. Gulf Resources undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
GULF RESOURCES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS JUNE 30, 2007 AND DECEMBER 31, 2006
June 30, December 31,
2007 2006
(Unaudited) (Audited)
ASSETS
CURRENT ASSETS
Cash $7,203,247 $5,692,608
Accounts receivable 1,570,650 1,403,564
Inventories 479,264 470,615
Prepaid expenses 623,753 --
Due from related party -- 555,464
Prepaid land lease 49,198 12,436
Income tax receivable 723,639 1,111,154
10,649,751 9,245,841
PROPERTY, PLANT AND EQUIPMENT, Net 14,473,405 4,462,407
DUE FROM RELATED PARTY -- 641,000
PREPAID LAND LEASE, Net of current portion 2,211,783 605,820
TOTAL ASSETS $27,334,939 $14,955,068
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable and accrued expenses 1,626,922 6,225,818
Loan payable 5,917,500 --
Due to related party 32,230 15,384
Taxes payable 954,528 481,405
TOTAL LIABILITIES 8,531,180 6,722,607
STOCKHOLDERS' EQUITY
COMMON STOCK; $0.001 par value; 70,000,000
shares authorized; 49,834,421 and
43,205,440 shares issued and outstanding 49,834 43,205
ADDITIONAL PAID-IN CAPITAL 11,827,562 2,668,817
RETAINED EARNINGS - UNAPPROPRIATED 4,453,346 3,535,252
RETAINED EARNINGS - APPROPRIATED
Statutory Common Reserve Fund 1,616,796 1,077,864
Statutory Public Welfare Fund 538,932
CUMULATIVE TRANSLATION ADJUSTMENT 856,221 368,391
TOTAL STOCKHOLDERS' EQUITY 18,803,759 8,232,461
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $27,334,939 $14,955,068
GULF RESOURCES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS
OPERATIONS (UNAUDITED)
Three Months Ended Six Months Ended
June 30, June 30,
2007 2006 2007 2006
REVENUE
Net sales $12,259,799 $7,861,178 $22,194,000 $15,319,631
Maintenance service income 130,152 259,278 --
12,389,951 7,861,178 22,453,278 15,319,631
OPERATING EXPENSES
Cost of net revenue 7,270,962 5,050,023 13,295,664 9,831,670
General and administrative
expenses 347,017 109,351 529,197 212,083
7,617,979 5,159,374 13,824,861 10,043,753
INCOME FROM OPERATIONS 4,771,972 2,701,804 8,628,417 5,275,878
OTHER INCOME
Interest expense (24,082) -- (24,082) --
Interest income 8,368 121 15,210 541
INCOME BEFORE INCOME TAXES 4,756,258 2,701,925 8,619,545 5,276,419
INCOME TAXES - current 1,655,377 888,859 2,961,851 1,763,780
NET INCOME $3,100,881 $1,813,066 $5,657,694 $3,512,639
BASIC AND DILUTED EARNINGS
PER SHARE $0.06 $0.04 $0.12 $0.08
BASIC AND DILUTED WEIGHTED
AVERAGE NUMBER OF SHARES 49,476,819 43,205,440 46,829,384 43,205,440
For more information, please contact:
Ethan Chuang, Gulf Resources
Tel: +1-714-858-1147
Email: Ethan@gulfresourcesco.com
Matthew Hayden, HC International
Tel: +1-858-704-5065
Email: matt@haydenir.com
CFSG: Found this post on other Investor Village. A very good summation on the company going forward.
ummmm at $7 and change a share, we are still looking at a P/E of approx 12, and they are growing earnings at a 25%+ clip. In my experience, its been both rare and difficult to find a stock whose eps growth exceeds its p/e ratio. And thankfully, only a couple of analysts currently follow it.
I agree. Here's my sales pitch...
It's hard to find a company with such a low PEG ratio. 0.40 PEG
(Analyst forecasted revenue growth of 25% and EPS growth of 30% through 2010) According to Maxim Research.
Factor in that the company has gross margings of 54.6%.
Zero debt.
Great, experienced Management.
A new, wide market opportunity in front of it.
(Quote from Mr. Lin- "We believe that approximately 80 percent of the over 1,000 iron and steel manufacturers in China are not compliant with these new regulations and we estimate that each plant would require on average $1 million in fire protection systems to adhere to the published codes, creating an $800 million market opportunity in the Iron and Steel industry." -Numbers revised to 1 Billion plus opportunity of which it has dominant market share.)
Bid success rates north of of 50%.
A large competitive advantage.
(Given the moat it created for itself, raising Chinese fire saftey standards higher than internationaly accepted standards so that their products are the only certified products. Now, no other multinational company currently has certified products!)
Cheap labor, giving the company significanlty higher margins than any other multinational comany.(Also double the margins of it's Chinese competitors.
Many patents on their lead product-Linear Heat Detectors.
In-House R&D team. Close ties with Beijing University.
Management contributes significantly to Chinese fire safety legislation.
Moltey Fool's endorsement after visiting with managment in Beijing.
A couple negatives in my opinion...
Only around 9 million in Cash (Not enought to support large acquistions)
Thinly traded
Currency Fluctations
Unpredictable Chinese Economy and Government
bbotcs: Whatever floats your boat. If it makes you happy to think I am defending Ann Coulter, rather than the right of people to do with their bodies what they want... Then you are seriously in error.
I try to refrain from insulting others and degrading them based upon personal traits, etc. You might try it for a bit.
Good to see you are a person of your word. Finished with the board. Ha, your a trouble seeking gossip junkie.
I have enough reasons to dislike Coulter because of her politics and brusque style. Her gender whether it is natural or not is of no concern to me. Nor should it be to you or anyone else. Nobody is forcing you to go on a date with her, I assume.
China Fire Reports Record Second Quarter 2007 Results
Tuesday August 14, 7:30 am ET
BEIJING, Aug. 14 /Xinhua-PRNewswire-FirstCall/ -- China Fire & Security Group, Inc. (Nasdaq: CFSG - News), a leading industrial fire protection products and solutions provider in China announced its financial results for the quarter ended June 30, 2007. The Company will host a conference call to discuss these results after the market closes.
Q2 Highlights
-- Revenues increase 37.9 % compared to Q2 last year to a record $11.5
million
-- Company reports proforma net income of $3.9 million and EPS of $0.14
-- In June, Company signs total solutions contract with Anshan Iron &
Steel for $7.6 million
-- Approved to list on Nasdaq Capital Market
Revenue increased for the second consecutive quarter to a record $11.5 million, up 37.9 percent from $8.4 million for the second quarter 2006. This increase was a result of further penetration of the Company's customer base across various industries and improved sales execution. Total solutions accounted for 85.6 percent of revenue with product sales representing 13.3 percent and maintenance services comprising the balance of revenue. Gross profit for the quarter increased 31.9 percent to $6.3 million from $4.8 million for the comparable period last year with gross margins slightly lower than the same quarter a year ago at 54.6 percent in 2007. Gross margins decreased from last year as the Company utilized a higher percentage of third party products, which tend to carry lower margins.
"We are pleased to report another consecutive quarter of record revenues despite a challenging second quarter 2006 comparison as we continue to see strong demand from new and existing clients," commented Mr. Brian Lin, Chief Executive Officer of China Fire & Security Group, Inc. "During the second quarter we made further progress in product development and market expansion while positioning the Company for future growth. The successful win of total solution contract from Anshan Iron and Steel Group demonstrates China Fire's capacity to further penetrate the sector, as the China Fire Protection Bureau is increasingly becoming more stringent on compliance."
Operating expenses increased 128.8 percent to $2.8 million during the second quarter as the Company increased sales and marketing initiatives to further establish the Company's products in the market while also incurring higher public company expenses compared to the same quarter last year. Income from operations was $3.5 million, which was relatively unchanged from the second quarter last year. GAAP net income increased 16.8 percent to $4.2 million for the second quarter of 2007 with earnings per weighted average diluted share increasing to $0.16. Excluding a non-cash gain of $0.4 million related to Change in fair value of derivative instruments during the quarter, pro forma net income increased to $3.9 million with earnings per weighted average diluted share of $0.14.
"During the second quarter we significantly ramped up our sales and marketing efforts as we targeted new customers, introduced new products and sought industry verticals to penetrate," Mr. Lin continued. "We continue to believe that our core industrial market represents at least a $1 billion opportunity and we are confident given our industry leading product suite, value added proposition for manufacturers and increasing government regulations that we will capture a significant portion of the business in the future."
Six Month Financial Results
Revenue for the first six months of 2007 was $21.0 million, up 40.1 percent from $15.0 million in revenue for the first six months of 2006. Gross profit for the period increased 36.4 percent to $11.3 million. Income from operations increased 19.6 percent to $6.8 million as the Company benefited from increased revenue, which was offset by higher operating expenses. GAAP net income increased 43.9 percent to $8.4 million with earnings per weighted average diluted share increasing to $0.31. Excluding non-cash charges related to Change in fair value of derivative instruments and expenses, proforma net income increased 23.2 percent to $7.2 million or $0.26 per weighted average diluted share.
The Company continues to maintain a strong financial position. As of June 30, 2007, China Fire had $8.5 million in cash and cash equivalents, working capital of $28.9 million and no long-term debt. For the second quarter 2007, day sales outstanding or DSOs, were 127, down from DSOs of 145 in the first quarter 2007. Shareholders' equity stood at $35.8 million, up from $25.0 million at the end of 2006.
"We have been working diligently on improving our operational efficiencies and expect both further revenue growth and margin improvement to contribute to a record 2007. Given our strong results thus far through 2007, we are confident that we are going to deliver full year results above our stated "make good" comprehensive income target of $13.0 million and $0.46 in earnings per share associated with our October 2006 private placement. We expect this momentum to continue in 2008 as we look to maintain our number one industry position and report another record year," concluded Mr. Lin.
Teleconference Information
The conference call will take place at 4:15 p.m. EDT on Tuesday, August 14, 2007. Interested participants should call 1-866-328-4270 when calling within the United States or 1-480-629-9563 when calling internationally. There will be a playback available until 11:59 p.m. eastern time August 21, 2007. To listen to the playback, please call 1-800-406-7325 when calling within the United States or 1-303-590-3030 when calling internationally. Please use pass code 3769237 for the replay.
This call is being webcast by ViaVid Broadcasting and can be accessed by clicking on this link http://viavid.net/dce.aspx?sid=0000435A or at ViaVid's website at http://www.viavid.net . The webcast can be accessed through September 14, 2007.
About China Fire & Security Group, Inc.
China Fire & Security Group, Inc., through its wholly owned subsidiaries, Sureland Industrial Fire Safety Limited ("Sureland") and Sureland Industrial Fire Equipment (Beijing) Limited ("Sureland Equipment"), is engaged primarily in the design, development, manufacture and sale in China of a variety of fire safety products for the industrial fire safety market and the design and installation of industrial fire safety systems in which it uses its own fire safety products. It also provides maintenance services for customers of its industrial fire safety systems.
Headquartered in Beijing with over 30 sales and project offices throughout China, Sureland markets its industrial fire safety products and systems primarily to major companies in the iron and steel, power and petrochemical industries in China. It is developing and expanding its business in other industrial sectors including transportation, wine and tobacco, vessels, nuclear energy, and public space markets.
Cautionary Statement Regarding Forward Looking Information
This presentation may contain forward-looking information about China Fire & Security Group, Inc. and its wholly owned subsidiary Sureland which are intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward- looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, and statements about industry trends and China Fire & Security Groups' future performance, operations and products. This and other "Risk Factors" contained in China Fire & Security Groups' public filings with the SEC.
CHINA FIRE & SECURITY GROUP, INC. AND SUBSIDIARIES
(FORMERLY KNOWN AS UNIPRO FINANCIAL SERVICES, INC.)
CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME
FOR THE THREE MONTHS AND SIX MONTHS ENDED JUNE 30, 2007 AND 2006
(Unaudited)
Three months Six months
ended June 30, ended June 30,
2007 2006 2007 2006
REVENUES
System contracting
projects $9,887,878 $4,100,476 $17,164,386 $8,322,758
Products 1,538,049 4,138,369 3,639,805 6,507,601
Maintenance Services 121,258 132,888 242,456 195,724
Total revenues 11,547,185 8,371,733 21,046,647 15,026,083
COST OF REVENUES
System contracting
projects 4,379,902 2,092,985 8,024,570 4,748,617
Products 811,081 1,474,627 1,639,783 1,940,888
Maintenance Services 46,689 19,014 56,874 35,495
Total cost of
revenues 5,237,672 3,586,626 9,721,227 6,725,000
GROSS PROFIT 6,309,513 4,785,107 11,325,420 8,301,083
OPERATING EXPENSE
Selling and marketing 1,210,100 267,180 1,761,509 849,080
General and
administrative 1,174,309 590,685 2,185,353 1,092,414
Depreciation and
amortization 133,056 132,889 259,539 269,778
Research and
development 267,626 226,548 317,921 403,520
Total operating
expense 2,785,091 1,217,302 4,524,322 2,614,792
INCOME FROM OPERATIONS 3,524,422 3,567,805 6,801,098 5,686,291
OTHER INCOME
(EXPENSE)
Other income 323,702 128,091 327,998 225,484
Other expense (2,146) -- (6,417) --
Interest income 24,915 4,372 44,170 6,080
Interest expense -- (43,019) -- (43,019)
Change in fair value
of derivative
instruments 371,628 1,205,791
Total other income
(expense) 718,099 89,444 1,571,542 188,545
INCOME BEFORE PROVISION
FOR INCOME TAXES
AND MINORITY
INTEREST 4,242,521 3,657,249 8,372,640 5,874,836
PROVISION FOR INCOME
TAXES -- 43,144 -- 56,800
NET INCOME BEFORE
MINORITY INTEREST 4,242,521 3,614,105 8,372,640 5,818,036
MINORITY INTEREST -- (18,890) -- --
NET INCOME 4,242,521 3,632,995 8,372,640 5,818,036
OTHER COMPREHENSIVE
INCOME
Foreign currency
Translation
adjustment 514,775 32,993 810,334 120,677
COMPREHENSIVE
INCOME $4,757,296 $3,665,988 $9,182,974 $5,938,713
WEIGHTED AVERAGE
NUMBER OF SHARES ¨C
BASIC 26,461,678 24,000,000 26,461,678 24,000,000
WEIGHTED AVERAGE
NUMBER OF SHARES ¨C
DILUTED 27,164,207 24,000,000 27,085,807 24,000,000
EARNING PER SHARE ¨C
BASIC $0.16 $0.15 $0.32 $0.24
EARNING PER SHARE
- DILUTED $0.16 $0.15 $0.31 $0.24
CHINA FIRE & SECURITY GROUP, INC. AND SUBSIDIARIES
(FORMERLY KNOWN AS UNIPRO FINANCIAL SERVICES, INC.)
CONSOLIDATED BALANCE SHEETS
AS OF JUNE 30, 2007 AND DECEMBER 31, 2006
A S S E T S
June 30, December 31,
2007 2006
Unaudited
CURRENT ASSETS:
Cash $8,487,318 $9,426,091
Restricted cash 894,494 1,622,833
Accounts receivable, net of
allowance for doubtful
accounts of $1,496,398 and
$1,252,947 as of June 30,
2007 and December 31,
2006, respectively 14,377,790 12,878,665
Accounts receivable -
related party -- 333,056
Notes receivable 1,550,911 903,425
Other receivables 1,993,014 785,111
Other receivables - related
party -- 90,008
Inventories 4,741,890 4,190,830
Costs and estimated
earnings in excess of
billings 12,258,012 9,020,122
Employee advances 2,186,930 1,648,560
Prepayments and deferred
expenses 2,557,245 2,396,571
Total current
assets 49,047,604 43,295,272
PLANT AND EQUIPMENT, net 3,929,627 3,529,808
OTHER ASSETS:
Accounts receivable -
retentions 667,103 383,375
Deferred expenses - non
current -- 40,830
Advances on building
purchases 896,865 --
Investment in joint venture 149,910 501,288
Land use rights, net of
accumulated amortization 565,797 558,255
Technology rights, net of
accumulated amortization 598,599 --
Total other assets 2,878,274 1,483,748
Total
assets $55,855,505 $48,308,828
L I A B I L I T I E S A N D S H A R E H O L D E R S' E Q U I T Y
CURRENT LIABILITIES:
Accounts payable $5,553,119 $5,796,979
Accounts payable - related
party -- 320,754
Customer deposits 8,335,538 2,713,451
Billings in excess of costs
and estimated earnings 2,331,174 8,867,624
Other payables 826,569 388,434
Other payables - related
party -- 50,523
Accrued liabilities 2,898,232 1,891,628
Taxes payable 162,204 619,949
Total current
liabilities 20,106,836 20,649,342
DERIVATIVE INSTRUMENT LIABILITIES -- 2,680,811
COMMITMENTS AND CONTINGENCIES -- --
SHAREHOLDERS' EQUITY:
Common stock, $0.001 par
value, 65,000,000 shares
authorized,
26,461,678 shares
issued and
outstanding 26,462 26,462
Additional paid-in-capital 14,980,191 13,393,171
Statutory reserves 3,123,127 3,728,127
Retained earnings 15,743,033 6,765,393
Accumulated other
comprehensive income 1,875,856 1,065,522
Total
shareholders'
equity 35,748,669 24,978,675
Total
Liabilities and
shareholders'
equity $55,855,505 $48,308,828
For more information, please contact:
China Fire & Security Group, Inc.
Brian Lin
CEO
Tel: +86-10-8589-7509
Email: ir@chinafiresecurity.com
China Fire Reports Record Second Quarter 2007 Results
Tuesday August 14, 7:30 am ET
BEIJING, Aug. 14 /Xinhua-PRNewswire-FirstCall/ -- China Fire & Security Group, Inc. (Nasdaq: CFSG - News), a leading industrial fire protection products and solutions provider in China announced its financial results for the quarter ended June 30, 2007. The Company will host a conference call to discuss these results after the market closes.
Q2 Highlights
-- Revenues increase 37.9 % compared to Q2 last year to a record $11.5
million
-- Company reports proforma net income of $3.9 million and EPS of $0.14
-- In June, Company signs total solutions contract with Anshan Iron &
Steel for $7.6 million
-- Approved to list on Nasdaq Capital Market
Revenue increased for the second consecutive quarter to a record $11.5 million, up 37.9 percent from $8.4 million for the second quarter 2006. This increase was a result of further penetration of the Company's customer base across various industries and improved sales execution. Total solutions accounted for 85.6 percent of revenue with product sales representing 13.3 percent and maintenance services comprising the balance of revenue. Gross profit for the quarter increased 31.9 percent to $6.3 million from $4.8 million for the comparable period last year with gross margins slightly lower than the same quarter a year ago at 54.6 percent in 2007. Gross margins decreased from last year as the Company utilized a higher percentage of third party products, which tend to carry lower margins.
"We are pleased to report another consecutive quarter of record revenues despite a challenging second quarter 2006 comparison as we continue to see strong demand from new and existing clients," commented Mr. Brian Lin, Chief Executive Officer of China Fire & Security Group, Inc. "During the second quarter we made further progress in product development and market expansion while positioning the Company for future growth. The successful win of total solution contract from Anshan Iron and Steel Group demonstrates China Fire's capacity to further penetrate the sector, as the China Fire Protection Bureau is increasingly becoming more stringent on compliance."
Operating expenses increased 128.8 percent to $2.8 million during the second quarter as the Company increased sales and marketing initiatives to further establish the Company's products in the market while also incurring higher public company expenses compared to the same quarter last year. Income from operations was $3.5 million, which was relatively unchanged from the second quarter last year. GAAP net income increased 16.8 percent to $4.2 million for the second quarter of 2007 with earnings per weighted average diluted share increasing to $0.16. Excluding a non-cash gain of $0.4 million related to Change in fair value of derivative instruments during the quarter, pro forma net income increased to $3.9 million with earnings per weighted average diluted share of $0.14.
"During the second quarter we significantly ramped up our sales and marketing efforts as we targeted new customers, introduced new products and sought industry verticals to penetrate," Mr. Lin continued. "We continue to believe that our core industrial market represents at least a $1 billion opportunity and we are confident given our industry leading product suite, value added proposition for manufacturers and increasing government regulations that we will capture a significant portion of the business in the future."
Six Month Financial Results
Revenue for the first six months of 2007 was $21.0 million, up 40.1 percent from $15.0 million in revenue for the first six months of 2006. Gross profit for the period increased 36.4 percent to $11.3 million. Income from operations increased 19.6 percent to $6.8 million as the Company benefited from increased revenue, which was offset by higher operating expenses. GAAP net income increased 43.9 percent to $8.4 million with earnings per weighted average diluted share increasing to $0.31. Excluding non-cash charges related to Change in fair value of derivative instruments and expenses, proforma net income increased 23.2 percent to $7.2 million or $0.26 per weighted average diluted share.
The Company continues to maintain a strong financial position. As of June 30, 2007, China Fire had $8.5 million in cash and cash equivalents, working capital of $28.9 million and no long-term debt. For the second quarter 2007, day sales outstanding or DSOs, were 127, down from DSOs of 145 in the first quarter 2007. Shareholders' equity stood at $35.8 million, up from $25.0 million at the end of 2006.
"We have been working diligently on improving our operational efficiencies and expect both further revenue growth and margin improvement to contribute to a record 2007. Given our strong results thus far through 2007, we are confident that we are going to deliver full year results above our stated "make good" comprehensive income target of $13.0 million and $0.46 in earnings per share associated with our October 2006 private placement. We expect this momentum to continue in 2008 as we look to maintain our number one industry position and report another record year," concluded Mr. Lin.
Teleconference Information
The conference call will take place at 4:15 p.m. EDT on Tuesday, August 14, 2007. Interested participants should call 1-866-328-4270 when calling within the United States or 1-480-629-9563 when calling internationally. There will be a playback available until 11:59 p.m. eastern time August 21, 2007. To listen to the playback, please call 1-800-406-7325 when calling within the United States or 1-303-590-3030 when calling internationally. Please use pass code 3769237 for the replay.
This call is being webcast by ViaVid Broadcasting and can be accessed by clicking on this link http://viavid.net/dce.aspx?sid=0000435A or at ViaVid's website at http://www.viavid.net . The webcast can be accessed through September 14, 2007.
About China Fire & Security Group, Inc.
China Fire & Security Group, Inc., through its wholly owned subsidiaries, Sureland Industrial Fire Safety Limited ("Sureland") and Sureland Industrial Fire Equipment (Beijing) Limited ("Sureland Equipment"), is engaged primarily in the design, development, manufacture and sale in China of a variety of fire safety products for the industrial fire safety market and the design and installation of industrial fire safety systems in which it uses its own fire safety products. It also provides maintenance services for customers of its industrial fire safety systems.
Headquartered in Beijing with over 30 sales and project offices throughout China, Sureland markets its industrial fire safety products and systems primarily to major companies in the iron and steel, power and petrochemical industries in China. It is developing and expanding its business in other industrial sectors including transportation, wine and tobacco, vessels, nuclear energy, and public space markets.
Cautionary Statement Regarding Forward Looking Information
This presentation may contain forward-looking information about China Fire & Security Group, Inc. and its wholly owned subsidiary Sureland which are intended to be covered by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward- looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, and statements about industry trends and China Fire & Security Groups' future performance, operations and products. This and other "Risk Factors" contained in China Fire & Security Groups' public filings with the SEC.
CHINA FIRE & SECURITY GROUP, INC. AND SUBSIDIARIES
(FORMERLY KNOWN AS UNIPRO FINANCIAL SERVICES, INC.)
CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME
FOR THE THREE MONTHS AND SIX MONTHS ENDED JUNE 30, 2007 AND 2006
(Unaudited)
Three months Six months
ended June 30, ended June 30,
2007 2006 2007 2006
REVENUES
System contracting
projects $9,887,878 $4,100,476 $17,164,386 $8,322,758
Products 1,538,049 4,138,369 3,639,805 6,507,601
Maintenance Services 121,258 132,888 242,456 195,724
Total revenues 11,547,185 8,371,733 21,046,647 15,026,083
COST OF REVENUES
System contracting
projects 4,379,902 2,092,985 8,024,570 4,748,617
Products 811,081 1,474,627 1,639,783 1,940,888
Maintenance Services 46,689 19,014 56,874 35,495
Total cost of
revenues 5,237,672 3,586,626 9,721,227 6,725,000
GROSS PROFIT 6,309,513 4,785,107 11,325,420 8,301,083
OPERATING EXPENSE
Selling and marketing 1,210,100 267,180 1,761,509 849,080
General and
administrative 1,174,309 590,685 2,185,353 1,092,414
Depreciation and
amortization 133,056 132,889 259,539 269,778
Research and
development 267,626 226,548 317,921 403,520
Total operating
expense 2,785,091 1,217,302 4,524,322 2,614,792
INCOME FROM OPERATIONS 3,524,422 3,567,805 6,801,098 5,686,291
OTHER INCOME
(EXPENSE)
Other income 323,702 128,091 327,998 225,484
Other expense (2,146) -- (6,417) --
Interest income 24,915 4,372 44,170 6,080
Interest expense -- (43,019) -- (43,019)
Change in fair value
of derivative
instruments 371,628 1,205,791
Total other income
(expense) 718,099 89,444 1,571,542 188,545
INCOME BEFORE PROVISION
FOR INCOME TAXES
AND MINORITY
INTEREST 4,242,521 3,657,249 8,372,640 5,874,836
PROVISION FOR INCOME
TAXES -- 43,144 -- 56,800
NET INCOME BEFORE
MINORITY INTEREST 4,242,521 3,614,105 8,372,640 5,818,036
MINORITY INTEREST -- (18,890) -- --
NET INCOME 4,242,521 3,632,995 8,372,640 5,818,036
OTHER COMPREHENSIVE
INCOME
Foreign currency
Translation
adjustment 514,775 32,993 810,334 120,677
COMPREHENSIVE
INCOME $4,757,296 $3,665,988 $9,182,974 $5,938,713
WEIGHTED AVERAGE
NUMBER OF SHARES ¨C
BASIC 26,461,678 24,000,000 26,461,678 24,000,000
WEIGHTED AVERAGE
NUMBER OF SHARES ¨C
DILUTED 27,164,207 24,000,000 27,085,807 24,000,000
EARNING PER SHARE ¨C
BASIC $0.16 $0.15 $0.32 $0.24
EARNING PER SHARE
- DILUTED $0.16 $0.15 $0.31 $0.24
CHINA FIRE & SECURITY GROUP, INC. AND SUBSIDIARIES
(FORMERLY KNOWN AS UNIPRO FINANCIAL SERVICES, INC.)
CONSOLIDATED BALANCE SHEETS
AS OF JUNE 30, 2007 AND DECEMBER 31, 2006
A S S E T S
June 30, December 31,
2007 2006
Unaudited
CURRENT ASSETS:
Cash $8,487,318 $9,426,091
Restricted cash 894,494 1,622,833
Accounts receivable, net of
allowance for doubtful
accounts of $1,496,398 and
$1,252,947 as of June 30,
2007 and December 31,
2006, respectively 14,377,790 12,878,665
Accounts receivable -
related party -- 333,056
Notes receivable 1,550,911 903,425
Other receivables 1,993,014 785,111
Other receivables - related
party -- 90,008
Inventories 4,741,890 4,190,830
Costs and estimated
earnings in excess of
billings 12,258,012 9,020,122
Employee advances 2,186,930 1,648,560
Prepayments and deferred
expenses 2,557,245 2,396,571
Total current
assets 49,047,604 43,295,272
PLANT AND EQUIPMENT, net 3,929,627 3,529,808
OTHER ASSETS:
Accounts receivable -
retentions 667,103 383,375
Deferred expenses - non
current -- 40,830
Advances on building
purchases 896,865 --
Investment in joint venture 149,910 501,288
Land use rights, net of
accumulated amortization 565,797 558,255
Technology rights, net of
accumulated amortization 598,599 --
Total other assets 2,878,274 1,483,748
Total
assets $55,855,505 $48,308,828
L I A B I L I T I E S A N D S H A R E H O L D E R S' E Q U I T Y
CURRENT LIABILITIES:
Accounts payable $5,553,119 $5,796,979
Accounts payable - related
party -- 320,754
Customer deposits 8,335,538 2,713,451
Billings in excess of costs
and estimated earnings 2,331,174 8,867,624
Other payables 826,569 388,434
Other payables - related
party -- 50,523
Accrued liabilities 2,898,232 1,891,628
Taxes payable 162,204 619,949
Total current
liabilities 20,106,836 20,649,342
DERIVATIVE INSTRUMENT LIABILITIES -- 2,680,811
COMMITMENTS AND CONTINGENCIES -- --
SHAREHOLDERS' EQUITY:
Common stock, $0.001 par
value, 65,000,000 shares
authorized,
26,461,678 shares
issued and
outstanding 26,462 26,462
Additional paid-in-capital 14,980,191 13,393,171
Statutory reserves 3,123,127 3,728,127
Retained earnings 15,743,033 6,765,393
Accumulated other
comprehensive income 1,875,856 1,065,522
Total
shareholders'
equity 35,748,669 24,978,675
Total
Liabilities and
shareholders'
equity $55,855,505 $48,308,828
For more information, please contact:
China Fire & Security Group, Inc.
Brian Lin
CEO
Tel: +86-10-8589-7509
Email: ir@chinafiresecurity.com
Len:
"I'm not claiming that it would solve ALL the differential between ranking 43rd in the world for life span and ranking #1 in the world for life span, but to say that if everyone had health insurance it wouldn't have any effect on life span would be uncharacteristically simple-minded."
I never said that it would not effect life span. Obviously a certain percentage of the population who is uninsured dies a premature death due to lack of proper care. My point is that for the most part doctors are not equipped to deal with preventative care and teach patients how to eat correctly.
Every doctor on earth is going to try to tell people what to eat and how much to exercise in addition to giving them pills.
Talk about a grossly exaggerated statement!
I have yet to meet the doctor who disproves my thoughts. Maybe you know a few. Send them out to Portland for me.
We seem to be arguing about the benefits of health insurance, when we both agree it is needed for everyone. It is not the issue. What would create a healthier society is correct lifestyle, i.e., Food, more exercise, less stress, better living conditions.
Tastes like Chicken!
Len, NO i completely disagree. Everyone should be covered by insurance, but that has nothing to do with the fact that the medical community does not know how to treat the cause. They only know how to prescribe the DRUG company products that treat the symptoms.
The 45 million uninsured would just be 45 million more frequent pill poppers.
I have seen it for years on a first hand basis. From coast to coast NY/California/Florida/Oregon, doctors just push pills!
Wall, we don't argue, we disagree...LOL
I just have a low opinion of the traditional medical profession.
"Researchers said several factors have contributed to the United States falling behind other industrialized nations. A major one is that 45 million Americans lack health insurance, while Canada and many European countries have universal health care, they say."
Talk about misleading!
Could not disagree more with that statement. The main problem is the crap people eat, the lack of exercise and the overuse of drugs that mask the underlying cause of disease, rather than treating whats wrong. Diabetes is a major killer, because people eat too much sugar and fried crap.
Doctors don't know anything about nutrition and proper healthy living. They just know how to dispense pills that they found out about at the previous days lunch with the drug companies cutie saleswoman.
Len: They told you how much they are spending, what makes it misleading?
Since I believe that Big Oil already has all the alternative energy info under lock and key, they don't even need to spend the $500 million. The $500 million is most likely just for the commercials to let you know that the day that we run out of oil, they will be supplying us with Alternatives #1-10. Amazing coincidence it will be.
Rove could have taken a lesson from China,
"China Toy Boss Kills Self After Recall"
"America's imminent victory in Iraq and safety from terrorist attacks at home is driving them all crazy"
What is this weeks definition of victory in Iraq?
It sure does change frequently.
Nothing being done in Iraq has anything to do with anti-terrorist activity in America. To think it does is plain folly! If terrorists have the means to attack America why would they stop off in IRAQ to fight US Soldiers first? Is it some kind of Islamic Macho test to see who is worthy of self immolation on American soil?
When the Iraqi political leaders come back from summer vacation we should ask them to give you an answer.