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Sorry I don't George...I went ahead and took a small gain on it LLEN and CIGX today having to be away the last few hours of the day...LLEN would have been the really goodie to hold. I was just looking for a short hold on CNAM and the others but may well re-enter them again very soon possibly. All the best George!! tuna
CIGX $2.00 +.16 a penny off HOD on strong volume...check the chart as this stock can really fly!!!
Just saw this PR on CIGX $2.00 +.16 bb:
Star Scientific Statement on Tobacco Product Ingestion Study
Press Release Source: Star Scientific, Inc. On Monday April 26, 2010, 11:32 am
GLEN ALLEN, Va., April 26 /PRNewswire-FirstCall/ -- Star Scientific, Inc. (Nasdaq:CIGX - News) issued the following statement today by Paul L. Perito, the company's Chairman, President and COO:
"We observed the publication of a study on accidental ingestion of tobacco products by children on Monday, April 19, and the subsequent media campaign, with mounting disbelief. The study, published in the online edition of the journal Pediatrics, purports to "assess the potential toxicity of novel smokeless tobacco products." Data from the 2006-2008 annual reports of the American Association of Poison Control Centers were selectively examined and reported by the authors. The study included, for example, the statement that "smokeless tobacco products were the second most common tobacco product ingested by children, after cigarettes." While technically correct, it also is true that among 13,705 reports of accidental ingestion of tobacco products among children under six years of age, 13% (1768), were for smokeless tobacco, while 87% (10,740), reported ingestion of cigarettes, cigars and tips. There were no reports of accidental ingestion of dissolvable smokeless tobacco products in the period 2006-2008. During the same three-year period, reports of accidental exposure to nicotine replacement pharmaceutical products totaled 3,046, and 1,574, or 52% of those reports were for babies and children under the age of six. On the other hand, in 2008 alone, there were 97,192 reports of accidental ingestion of cough and cold preparations, 47,108 of those, or 64%, were among babies and children under six years of age. It is important to look at a range of data on "unintentional child poisonings" before forming conclusions.
Our company manufactured and marketed the first dissolvable smokeless tobacco products, Ariva® and Stonewall®, beginning in late 2001. These products have been on the market for almost nine years – which hardly makes them "novel" - and in that time, we have not encountered one case of nicotine "poisoning" of a child. Ariva® and Stonewall® are blister-packaged for exactly this reason – to prevent to the extent possible access to our products by toddlers and children. Here are some additional facts to consider:
Our products are labeled for use only by adult tobacco users- we wrote it that way.
Our products are stocked only with other tobacco products in stores - it's the law.
Our products do not look like any candy - we designed it that way.
Our product packaging does not look like a candy package - we chose it carefully.
Our products do not taste like candy – no nicotine-containing product can.
Our products do not appeal to non-smokers - we checked.
Our product has never been associated with child poisoning - we asked.
Please keep these facts in mind when you see headlines warning that "Tobacco Products to Blame for Thousands of Child Fatalities"; or that "Flavored Tobacco Pellets are Denounced as A Lure to Young Users." And remember that the average Ariva® purchaser is middle-aged, has been smoking for more than ten years, and is concerned about the health effects of continued cigarette smoking. Over 40% of American smokers are looking for an alternative to lighting up. These are facts worth remembering."
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Star Scientific, Inc. and its consolidated subsidiaries (collectively, the "Company") has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates", "believes", "estimates", "expects", "plans", "intends" and similar expressions. These statements reflect the Company's current beliefs and are based upon information currently available to it. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in, or implied by, such statements. These risks, uncertainties and contingencies include, without limitation, the challenges inherent in new product development initiatives, the uncertainties inherent in the progress of scientific research, the Company's ability to raise additional capital in the future necessary to maintain its business, potential disputes concerning the Company's intellectual property, risks associated with litigation regarding such intellectual property, potential delays in obtaining any necessary government approvals of the Company's low-TSNA tobacco products, market acceptance of the Company's new smokeless tobacco products, competition from companies with greater resources than the Company, the Company's decision not to join the Master Settlement Agreement ("MSA"), and the Company's dependence on key employees and on its strategic relationships with Brown & Williamson Tobacco Corporation in light of its combination with RJ Reynolds Tobacco Company, Inc.
Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. See additional discussion under "Risk Factors" in the Company's Annual Report on Form 10-K as filed with the SEC on March 16, 2010, and other factors detailed from time to time in the Company's other filings with the SEC, available at http://www.sec.gov/. All information in this release is current as of this date, and the Company undertakes no obligation to update or advise upon any such forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
About Star Scientific
Star Scientific is a technology-oriented company with a mission to reduce the harm associated with tobacco at every level. It is engaged in the development of dissolvable smokeless tobacco products that deliver fewer carcinogenic toxins, principally through the utilization of the innovative StarCured® tobacco curing technology. Through its Rock Creek Pharmaceuticals subsidiary it is also involved in the development of nutraceuticals as well as products to address neurological and mood disorders. Star Scientific has a Corporate and Sales Office in Glen Allen, VA, an Executive, Scientific & Regulatory Affairs office in Bethesda, MD, and a manufacturing facility in Chase City, VA. Rock Creek has scientific and research offices in Gloucester, MA. and a regulatory office in Washington, D.C.
See Star's website at: http://www.starscientific.com
(Logo: http://www.newscom.com/cgi-bin/prnh/20090317/STARSCIENTIFICLOGO )
Contact:
Sara Troy Machir
Vice President, Communications & Investor Relations
smachir@starscientific.com
(301) 654-8300
Thankyou ico...interesting PR out on CIGX a few minutes ago:
Star Scientific Statement on Tobacco Product Ingestion Study
Press Release Source: Star Scientific, Inc. On Monday April 26, 2010, 11:32 am
GLEN ALLEN, Va., April 26 /PRNewswire-FirstCall/ -- Star Scientific, Inc. (Nasdaq:CIGX - News) issued the following statement today by Paul L. Perito, the company's Chairman, President and COO:
"We observed the publication of a study on accidental ingestion of tobacco products by children on Monday, April 19, and the subsequent media campaign, with mounting disbelief. The study, published in the online edition of the journal Pediatrics, purports to "assess the potential toxicity of novel smokeless tobacco products." Data from the 2006-2008 annual reports of the American Association of Poison Control Centers were selectively examined and reported by the authors. The study included, for example, the statement that "smokeless tobacco products were the second most common tobacco product ingested by children, after cigarettes." While technically correct, it also is true that among 13,705 reports of accidental ingestion of tobacco products among children under six years of age, 13% (1768), were for smokeless tobacco, while 87% (10,740), reported ingestion of cigarettes, cigars and tips. There were no reports of accidental ingestion of dissolvable smokeless tobacco products in the period 2006-2008. During the same three-year period, reports of accidental exposure to nicotine replacement pharmaceutical products totaled 3,046, and 1,574, or 52% of those reports were for babies and children under the age of six. On the other hand, in 2008 alone, there were 97,192 reports of accidental ingestion of cough and cold preparations, 47,108 of those, or 64%, were among babies and children under six years of age. It is important to look at a range of data on "unintentional child poisonings" before forming conclusions.
Our company manufactured and marketed the first dissolvable smokeless tobacco products, Ariva® and Stonewall®, beginning in late 2001. These products have been on the market for almost nine years – which hardly makes them "novel" - and in that time, we have not encountered one case of nicotine "poisoning" of a child. Ariva® and Stonewall® are blister-packaged for exactly this reason – to prevent to the extent possible access to our products by toddlers and children. Here are some additional facts to consider:
Our products are labeled for use only by adult tobacco users- we wrote it that way.
Our products are stocked only with other tobacco products in stores - it's the law.
Our products do not look like any candy - we designed it that way.
Our product packaging does not look like a candy package - we chose it carefully.
Our products do not taste like candy – no nicotine-containing product can.
Our products do not appeal to non-smokers - we checked.
Our product has never been associated with child poisoning - we asked.
Please keep these facts in mind when you see headlines warning that "Tobacco Products to Blame for Thousands of Child Fatalities"; or that "Flavored Tobacco Pellets are Denounced as A Lure to Young Users." And remember that the average Ariva® purchaser is middle-aged, has been smoking for more than ten years, and is concerned about the health effects of continued cigarette smoking. Over 40% of American smokers are looking for an alternative to lighting up. These are facts worth remembering."
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Star Scientific, Inc. and its consolidated subsidiaries (collectively, the "Company") has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates", "believes", "estimates", "expects", "plans", "intends" and similar expressions. These statements reflect the Company's current beliefs and are based upon information currently available to it. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in, or implied by, such statements. These risks, uncertainties and contingencies include, without limitation, the challenges inherent in new product development initiatives, the uncertainties inherent in the progress of scientific research, the Company's ability to raise additional capital in the future necessary to maintain its business, potential disputes concerning the Company's intellectual property, risks associated with litigation regarding such intellectual property, potential delays in obtaining any necessary government approvals of the Company's low-TSNA tobacco products, market acceptance of the Company's new smokeless tobacco products, competition from companies with greater resources than the Company, the Company's decision not to join the Master Settlement Agreement ("MSA"), and the Company's dependence on key employees and on its strategic relationships with Brown & Williamson Tobacco Corporation in light of its combination with RJ Reynolds Tobacco Company, Inc.
Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. See additional discussion under "Risk Factors" in the Company's Annual Report on Form 10-K as filed with the SEC on March 16, 2010, and other factors detailed from time to time in the Company's other filings with the SEC, available at http://www.sec.gov/. All information in this release is current as of this date, and the Company undertakes no obligation to update or advise upon any such forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
About Star Scientific
Star Scientific is a technology-oriented company with a mission to reduce the harm associated with tobacco at every level. It is engaged in the development of dissolvable smokeless tobacco products that deliver fewer carcinogenic toxins, principally through the utilization of the innovative StarCured® tobacco curing technology. Through its Rock Creek Pharmaceuticals subsidiary it is also involved in the development of nutraceuticals as well as products to address neurological and mood disorders. Star Scientific has a Corporate and Sales Office in Glen Allen, VA, an Executive, Scientific & Regulatory Affairs office in Bethesda, MD, and a manufacturing facility in Chase City, VA. Rock Creek has scientific and research offices in Gloucester, MA. and a regulatory office in Washington, D.C.
See Star's website at: http://www.starscientific.com
(Logo: http://www.newscom.com/cgi-bin/prnh/20090317/STARSCIENTIFICLOGO )
Contact:
Sara Troy Machir
Vice President, Communications & Investor Relations
smachir@starscientific.com
(301) 654-8300
All the best to you and the rest of the board also!! tuna
Hahaha!!! Good analogy salen...thanks! tuna
I don't have a rumor box, but mostly gut feeling salen...but my gut didn't serve too well with the quick sale on LLEN...haha!! Could have made over $1k more of profit already...darn! GL..tuna
Thanks...best of luck to both of us bb!! tuna
Added Chinese CNAM 6.20's that is also looking better after a massive run to double digits followed by a dive to near 6 recently....tuna
True salen...in CNAM CIGX this morning also that are doing well and sold LLEN way too soon...but got a gain! All the best!! tuna
Cool bb...CNAM 6.44 +.23 new HOD!!
In CNAM bb 6.26 near HOD + CIGX 1.98 +.14 near HOD also as is LLEN too!! tuna
Also Chinese SNBP .24 earned .03 vs a loss of .02 for '09 vs same 9mos period in '08 and deserves a much higher pps imho...here's an excerpt from their recent earnings report:
"Net income increased $3,874,632 from a net loss of $1,622,692 for the nine months ended February 28, 2009 to net income of $2,251,940 for the nine months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.03 compared to $(0.02) for the same period 2009.
Financial Position
As of February 28, 2010, the Company had $790,142 in cash. Operating activities have generated $986,716 cash during the nine-month period that ended February 28, 2010. Working capital became positive in the period ended February 28, 2010 for the first time since the reverse take over in 2008. During this quarter, the Company raised $1,500,000 capital through a private placement. The Company has partially repaid the bank loan using funds from the placement, reducing an outstanding bank loan balance to $220,050. Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets have increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Business Outlook
Dr. Huang expressed the Company's satisfaction with its third quarter results. "The numbers show the growing strength of our financial performance and position," he said. "They also show the soundness of our strategy as we prepare to take the Company to the next level."
About Sinobiopharma
Sinobiopharma Inc. is a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, manufacture and marketing of biopharmaceutical products in China, one of the world's fastest growing pharmaceutical markets. Known as Dong Ying (Jiangsu) Pharmaceutical Co. Ltd. in China, the Company's current therapeutic focus is on anesthesia-assisted agents and cardiovascular drugs."
I'm bullish on the company personally...suggest reading the entire report...tuna
Yes, Chinese LLEN has been very good and a strong earner bb!! tuna
Yes bb...scalped LLEN, added CIGX 1.89 also worth a good look after the run and dump it's had recently and maybe about ready for the next run higher again...like LLEN!! tuna
Also added CIGX 1.89 this morning...this stock has been wild lately if you check the chart!!! Guessing the hard sell-off may be over possibly...tuna
Gapper CIGX in at 1.89 and though this shot up huge earlier, it has recently fallen back rather hard and looking slightly "green" today...tuna
ALN $3.36 presents at a RedChip conference tomorrow. This Chinese company earned .55 per share in '09 which was down slightly from '08, however, in the '09 report they're very bullish on '10 as this excerpt shows:
"2010 Guidance
American Lorain has provided 2010 guidance of $182.0 to $190.0 million in revenues or 24.1% - 29.5% organic growth for the year. The Company also provided net income guidance of $17.8 - $19.0 million in net income which will represent 23.6% - 31.9% growth year over year."
Suggest reading the entire report...tuna
Chinese ALN $3.36 earned .55 in '09 on $14.4mil. in net income and check guidance for '10...also they present at RedChip conference tomorrow. The following guidance for '10 is from their last earnings report:
"2010 Guidance
American Lorain has provided 2010 guidance of $182.0 to $190.0 million in revenues or 24.1% - 29.5% organic growth for the year. The Company also provided net income guidance of $17.8 - $19.0 million in net income which will represent 23.6% - 31.9% growth year over year."
Suggest reading the entire report....tuna
Thanks Jitterbug and best of luck on all of those too!! tuna
Thx wick, also ALN 3.35 presents tomorrow RedChip conference and this Chinese company gave strong earnings guidance recently...might be worth a look too...tuna
It may Threeflight, though I got burned on that one a few weeks ago...APT I mean...best of luck!! tuna
Yes Tanaka!! Deserves a much higher Price per share imho also!! Eventually we'll get there I believe...tuna
Yeah salen and all...will continue to hold SNBP but I have to say I'm puzzled it hasn't responded much more positively to the super earnings!!! I'll show patience though...all the best to everyone on all their holdings and trades! tuna
Nice on PRAN million...family has left now after a nice visit! Hope you and all here are doing fine! I'm disappointed ALN $3.35 and SNBP .24 aren't both doing much better given earnings guidance for ALN (they present tomorrow)and earnings out recently on SNBP!! But I'll show patience...tuna
It may wick! ELN 3.33 presents tomorrow, another profitable Chinese company growing earnings nicely per their last PR on guidance:
RedChip Announces Its April 2010 Small-Cap Equities Virtual Conference
Small-Cap Company Executives Will Offer Industry Specifics and Inside Views of Their Businesses During Live Webcast Presentations Starting 7:50 a.m. EDT, April 27th and 28th, 2010
Press Release Source: RedChip Companies Inc. On Friday April 23, 2010, 2:59 pm EDT
ORLANDO, Fla., April 23, 2010 (GLOBE NEWSWIRE) -- RedChip Companies Inc., today announced that company executives from over 20 emerging small-cap companies will offer inside views on their industries and businesses during a virtual conference on April 27th and 28th, from 7:50 a.m. to 2:00 p.m. EDT. The second of the 2010 RedChip Small-Cap Equities Virtual Conference Series: Undiscovered Growth & Value Opportunities offers a conduit for investors to discover companies who are in the shadows of Wall Street. Investors can view the CEOs in real-time and participate in a live Q&A chat session following each presentation.
To register to view the webcast presentations at their scheduled times or to access the archived events, please visit: http://www.redchipvirtualconference.com/ or http://www.globenewswire.com/newsroom/ctr?d=189630&l=2&a=www.RedChip.com&u=http%3A%2F%2Fwww.redchip.com%2F. Start times are subject to change; please visit RedChip.com the day of the event for a final show schedule.
The 25-minute presentations by company executives will be webcast live via http://www.redchipvirtualconference.com/ and will be archived for 30 days.
Presentation times are available at http://www.redchipvirtualconference.com/expo_pgrmguide.php
The webcast conference will include live presentations from the following companies:
April 27, 2010:
-- China Natural Gas, Inc. (Nasdaq:CHNG - News)
-- China Gengsheng Minerals, Inc. (NYSE Amex:CHGS)
-- American Lorain Corporation (NYSE Amex:ALN)
-- Longwei Petroleum Investment Holding Ltd. (OTCBB:LPIH - News)
-- China Education Alliance, Inc. (NYSE:CEU - News)
-- China Environmental Protection Inc. (OTCBB:CNVP - News)
-- Seanergy Maritime Holdings Corp. (Nasdaq:SHIP - News)
-- WPCS International Inc. (Nasdaq:WPCS - News)
-- NetSol Technologies, Inc. (Nasdaq:NTWK - News); (Nasdaq Dubai:NTWK)
-- G. Willi-Food International Ltd. (Nasdaq:WILC - News)
April 28, 2010:
-- NIVS IntelliMedia Technology Group Inc (NYSE Amex:NIV)
-- China New Media Group Corporation (OTCBB:CMDI - News)
-- China Linen Textile Industry, Ltd. (OTCBB:CTXIF - News)
-- China Executive Education Corp. (OTCBB:CECX - News)
-- L & L Energy, Inc. (Nasdaq:LLEN - News)
-- Dolphin Digital Media (OTCBB:DPDM - News)
-- Worldwide Energy and Manufacturing USA, Inc. (OTCBB:WEMU - News)
-- NovaGold Resources, Inc. (NYSE Amex:NG) (TSX:NG - News)
-- RXi Pharmaceuticals Corporation (Nasdaq:RXII - News)
RedChip's virtual investor conferences are offered throughout the year and feature emerging growth companies from a wide range of industries including oil & gas, alternative energy, biotechnology, manufacturing, industrial mining, basic materials, business software, Internet services, consumer goods, manufacturing, and more.
For more information, please contact Patrick McClanahan at 1-800-733-2447, Ext. 128, or email info@redchip.com.
About RedChip Companies, Inc.
RedChip Companies is an international, small-cap research and financial public relations firm headquartered in Orlando, Florida; with affiliate offices in Qingdao and Beijing, China; Paris, France; and Seoul, Korea. RedChip delivers concrete, measurable results for its clients through its extensive national and international network of small-cap institutional and retail investors. RedChip has developed the most comprehensive platform of products and services for small-cap companies, including: RedChip Research(TM), Traditional Investor Relations, Digital Investor Relations, Institutional and Retail Conferences, RedChip Small-Cap TV(TM), Shareholder Intelligence, Social Media and Blogging Services, Webcasts, and RedChip Radio(TM). To learn more about RedChip's products and services please visit: http://www.redchip.com/visibility/productsandservices.asp.
"Discovering Tomorrow's Blue Chips Today"(TM)
The RedChip Companies, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=2761
Contact:
RedChip Companies, Inc.Patrick McClanahan1-800-RedChip (733-2447), Ext. 128info@redchip.comhttp://www.redchip.com
tuna
We have company from out of state til Wednesday so I won't be around much at all...tuna
Couldn't find BDSM either??
That's okay...I'll take a look...tuna
Nice wick! tuna
Nice list wick...GL on them all!
Nice wick...check today's news on SNPB w/.03 earnings for the first 9mos vs a loss!!! This is a multi-bagger imho with a PE of maybe about 8 or so for the full year if they earn a penny for Q4. And with these accelerating earnings it's a good bet they'll earn substantially more next year imho....tuna
Didn't find BSPN when I put it on Yahoo Finance Tarantula...tuna
Hi Tanaka...liking the .03 earnings on SNBP for the first 9 months:
Sinobiopharma Announces Third Quarter 2010 Net Income of $0.9 Million
Press Release Source: Sinobiopharma, Inc. On Monday April 19, 2010, 8:30 am EDT
NANTONG CITY, China, April 19 /PRNewswire-Asia-FirstCall/ -- Sinobiopharma, Inc. (OTC Bulletin Board:SNBP.ob - News) ("Sinobiopharma" or "the Company), a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, and the manufacture and marketing of biopharmaceutical products in China, has announced its financial results for the third quarter ended February 28, 2010.
Q3 2010 Highlights -- Total revenue increased 145% year-over-year to approximately $2.0 million from $0.8 million in the comparable period of 2009. -- Gross margin increased 172% year-over-year to approximately $1.6 million, or 81% of sales from $0.6 million, or 73% of sales for the same period of 2009. -- Operating income increased $1.8 million to approximately $1.0 million from a loss of $0.8 million for the same period of 2009. -- Income before income tax expense increased $1.8 million to approximately $1.0 million from a loss of $0.7 million for the same period of 2009. -- Industry leading operating margins of 52%. Net income increased $1.7 million to approximately $0.9 million from a net loss of approximately $0.7 million in the third quarter of 2009. -- EPS of $0.01 compare to $(0.01) for the same period 2009. The EPS for the nine month period ended February 28, 2010 is $0.03 compare to $($0.02) for the same period 2009 -- Revenue from Cisatracurium Besylate (marketed as "KuTai" in China) increased 164% to approximately $2.0 million, or 98.5% of sales from $0.7 million, or 91.5% of sales in the same period of 2009. -- First quarter of positive working capital and $8.7 million in Shareholder's equity. -- Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Dr. Lequn Lee Huang, Sinobiopharma's Chairman and CEO commented on the third quarter results: "Despite slower sales during the Chinese New Year holiday in February, we continued to achieve excellent revenue and net income growth. The steady performance demonstrated that the market has a proven need for our products and that our marketing efforts have started to yield positive results."
Third Quarter 2010 Results
Sales increased 145% to $1,993,412 for the three months ended February 28, 2010, from $813,326 for the three months ended February 28, 2009.
Gross margin increased 172% to $1,612,613 (81% of sales) for the three months ended February 28, 2010, from $592,311 (73% of sales) for the three months ended February 28, 2009.
The increase in sales was due to the continuing growth in sales of Cisatracurium Besylate. Sales of this product increased to $1,964,287 for the three months ended February 28, 2010, from $744,338 for the three months ended February 28, 2009, representing 98.5% of sales and 91.5% of sales for the three months that ended February 28, 2010, and February 28, 2009, respectively.
Operating expenses for the three months ended February 28, 2010 were $593,045, representing a 57% decrease as compared to $1,365,359 for the three months ended February 28, 2009. The decrease is primarily attributable to the stock option expense of $972,375 charged in the third quarter of 2009. There was no stock-based compensation expense for the three months ended February 28, 2010.
Income before income tax increased by $1,763,635 from a loss of $725,316 for the third quarter 2009 to $1,038,319 for the third quarter of 2010.
Income tax expense was $97,096 for the third quarter 2010; there was no income tax expense for the same period last year. The Company started to be subject to income tax with half tax rate beginning January 1, 2010. The applicable tax rate for this year is 11%.
Net income increased $1,666,539 from a net loss of $725,316 for the three months ended February 28, 2009 to a net income of $941,223 for the three months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.01 compared to $(0.01) for the same period 2009.
Results for the nine months that ended February 28, 2010
Sales increased 100% to $5,424,647 for the nine months ended February 28, 2010, from $2,715,702 for the nine months ended February 28, 2009.
Gross margin increased 137% to $4,295,844 (79% of sales) for the nine months ended February 28, 2010, from $1,815,491 (67% of sales) for the nine months that ended February 28, 2009.
The increase in sales was due to the continuing growth in sales of Cisatracurium Besylate. Sales of this product increased to $5,261,860 for the nine months ended February 28, 2010, from $2,529,517 for the nine months ended February 28, 2009, representing 96% of sales and 93% of sales for the nine months that ended February 28, 2010, and February 28, 2009, respectively.
Operating expenses for the nine months ended February 28, 2010 were $1,859,986, a decrease of 45% as compared to $3,354,149 for the nine months ended February 28, 2009. The decrease is primarily attributable to the decrease of $1,620,625 in the stock-based compensation of $324,125 for the nine months ended February 28, 2010, compared to $1,944,750 for the nine months ended February 28, 2009. The stock options have been fully vested and expensed as of August 31, 2009.
Net income increased $3,874,632 from a net loss of $1,622,692 for the nine months ended February 28, 2009 to net income of $2,251,940 for the nine months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.03 compared to $(0.02) for the same period 2009.
Financial Position
As of February 28, 2010, the Company had $790,142 in cash. Operating activities have generated $986,716 cash during the nine-month period that ended February 28, 2010. Working capital became positive in the period ended February 28, 2010 for the first time since the reverse take over in 2008. During this quarter, the Company raised $1,500,000 capital through a private placement. The Company has partially repaid the bank loan using funds from the placement, reducing an outstanding bank loan balance to $220,050. Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets have increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Business Outlook
Dr. Huang expressed the Company's satisfaction with its third quarter results. "The numbers show the growing strength of our financial performance and position," he said. "They also show the soundness of our strategy as we prepare to take the Company to the next level."
About Sinobiopharma
Sinobiopharma Inc. is a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, manufacture and marketing of biopharmaceutical products in China, one of the world's fastest growing pharmaceutical markets. Known as Dong Ying (Jiangsu) Pharmaceutical Co. Ltd. in China, the Company's current therapeutic focus is on anesthesia-assisted agents and cardiovascular drugs.
FORWARD LOOKING STATEMENTS This news release may include "forward-looking statements" regarding Sinobiopharma, Inc., and its subsidiaries, business and project plans. Such forward looking statements are within the meaning of Section 27A of the Securities Act of 1933, as amended, and section 21E of the United States Securities and Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor created by such sections. Where Sinobiopharma, Inc. expresses or implies an expectation or belief as to future events or results, such expectation or belief is believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Sinobiopharma, Inc. does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
-- FINANCIAL TABLES FOLLOW - SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS February 28, May 31, 2010 2009 (Unaudited) ASSETS CURRENT ASSETS Cash and cash equivalents $790,142 $891,132 Accounts receivable, net 1,131,625 208,673 Notes receivable -- 5,505 Inventories 835,901 547,317 Advance payments 210,730 39,825 Other receivables 298,904 -- Total Current Assets 3,267,302 1,692,452 Advance payment for intangible assets to a shareholder 987,780 253,760 Property, plant and equipment, net 2,772,304 2,691,258 Intangible assets, net 4,387,849 1,318,973 $11,415,235 $5,956,443 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $369,391 $655,064 Short-term bank loans 220,050 732,000 Loans from government 1,420,569 1,844,193 Amounts due to shareholder 256,725 1,169,032 Advances from customers 102,946 136,755 Amounts due to Related party -- 256,200 Income taxes payable 97,136 -- Other payables 290,297 386,368 Total Current Liabilities 2,757,114 5,179,612 Commitments and Contingencies STOCKHOLDERS' EQUITY Common stock; $0.0001 par value; 2,500,000,000 shares authorized; 117,587,608 shares issued and outstanding at February 28, 2010 and 79,920,000 shares at May 31, 2009 11,759 7,992 Additional paid-in capital 13,853,827 8,254,991 Accumulated deficit (5,459,339) (7,711,278) Accumulated other comprehensive income 251,874 225,126 Total Stockholders' Equity 8,658,121 776,831 $11,415,235 $5,956,443 SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended Nine Months Ended February 28, February 28, 2010 2009 2010 2009 SALES $1,993,412 $813,326 $5,424,647 $2,715,702 COST OF GOODS SOLD 380,799 221,015 1,128,803 900,211 GROSS MARGIN 1,612,613 592,311 4,295,844 1,815,491 OPERATING EXPENSES Selling expenses 144,956 116,148 394,309 283,483 Research and development 30,683 27,352 317,396 157,771 Depreciation and amortization 59,241 22,591 209,798 126,564 General and administrative expenses 358,165 1,199,268 938,483 2,786,331 593,045 1,365,359 1,859,986 3,354,149 INCOME/(LOSS) FROM OPERATIONS 1,019,568 (773,048) 2,435,858 (1,538,658) OTHER INCOME/(EXPENSES) Interest income 1,896 363 7,070 1,059 Interest expense (38,193) (53,544) (148,278) (181,017) Other expenses 55,048 100,913 54,386 95,924 18,751 47,732 (86,822) (84,034) INCOME/(LOSS) BEFORE INCOME TAX EXPENSE 1,038,319 (725,316) 2,349,036 (1,622,692) INCOME TAX EXPENSE (97,096) -- (97,096) -- NET INCOME/(LOSS) 941,223 (725,316) 2,251,940 (1,622,692) OTHER COMPREHENSIVE INCOME/(LOSS) Foreign Currency Translation Adjustment 5,209 4,438 26,748 12,279 COMPREHENSIVE INCOME /(LOSS) $946,432 $(720,878) $2,278,688 (1,610,413) Earnings/ (loss) per share: Basic and diluted $0.01 $(0.01) $0.03 $(0.02) Weighted average shares Used in computation: Basic and diluted 104,117,920 79,900,000 87,950,083 79,900,000 SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended Feb 28, 2010 2009 CASH FLOWS FROM OPERATING ACTIVITIES Net income/(loss) $2,251,940 $(1,622,692) Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operation activities Depreciation and amortization 318,412 226,739 Loss on disposition of property and equipment -- 426 Stock-based compensation 324,125 1,944,750 Imputed interest expense on shareholders' loans 15,864 56,722 Amortization of discount in interest expenses 68,235 105,311 Common shares issued for consulting services 33,000 -- Gain from discount of no-interest loans (55,694) (96,364) Changes in assets and liabilities: Notes receivable 5,600 -- Accounts receivable, net (920,879) (135,538) Inventories (264,843) 12,992 Advance payments (170,993) -- Other receivables (297,856) (194,091) Accounts payable (286,315) (206,796) Advance from customers (34,120) (206,828) Income taxes payable 97,096 -- Other payables (96,856) 146,138 Net Cash Provided by Operating Activities 986,716 30,769 CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property and equipment (323,472) (138,320) Advance payments for purchase of intangible assets (731,317) -- Net Cash Used in Investing Activities (1,054,789) (138,320) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from bank loans 2,194,608 731,000 Subscription received for issuing stock -- 20,000 (Repayment) proceeds from shareholder loans (651,694) 162,694 Repayment of bank loans (3,148,381) (576,800) Repayments of loans by related parties -- 5,712 Proceeds from common stock issued 1,600,000 -- Payment for common stock issuance costs (15,000) -- Net Cash (Used in)/Provided by Financing Activities (20,467) 342,606 EFFECT OF FOREIGN CURRENCY FLUCTUATION ON CASH (12,450) (1,171) NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS (100,990) 233,884 CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD 891,132 267,327 CASH AND CASH EQUIVALENTS - ENDING OF PERIOD $790,142 $501,211 Supplemental cash flow information: Cash paid for interest expense $54,896 $-- Non-cash investing and financing Activities 100,000 common shares issued in exchange of consulting service received $33,000 $-- 17,500,000 common shares issued in exchange of intangible assets $3,136,500 $-- 4,234,275 common shares issued to settle debts $508,113
tuna
My favorite Chinese play, SNBP .26 w/earnings of .03 vs a loss for the first 9mos:
Sinobiopharma Announces Third Quarter 2010 Net Income of $0.9 Million
Press Release Source: Sinobiopharma, Inc. On Monday April 19, 2010, 8:30 am EDT
NANTONG CITY, China, April 19 /PRNewswire-Asia-FirstCall/ -- Sinobiopharma, Inc. (OTC Bulletin Board:SNBP.ob - News) ("Sinobiopharma" or "the Company), a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, and the manufacture and marketing of biopharmaceutical products in China, has announced its financial results for the third quarter ended February 28, 2010.
Q3 2010 Highlights -- Total revenue increased 145% year-over-year to approximately $2.0 million from $0.8 million in the comparable period of 2009. -- Gross margin increased 172% year-over-year to approximately $1.6 million, or 81% of sales from $0.6 million, or 73% of sales for the same period of 2009. -- Operating income increased $1.8 million to approximately $1.0 million from a loss of $0.8 million for the same period of 2009. -- Income before income tax expense increased $1.8 million to approximately $1.0 million from a loss of $0.7 million for the same period of 2009. -- Industry leading operating margins of 52%. Net income increased $1.7 million to approximately $0.9 million from a net loss of approximately $0.7 million in the third quarter of 2009. -- EPS of $0.01 compare to $(0.01) for the same period 2009. The EPS for the nine month period ended February 28, 2010 is $0.03 compare to $($0.02) for the same period 2009 -- Revenue from Cisatracurium Besylate (marketed as "KuTai" in China) increased 164% to approximately $2.0 million, or 98.5% of sales from $0.7 million, or 91.5% of sales in the same period of 2009. -- First quarter of positive working capital and $8.7 million in Shareholder's equity. -- Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Dr. Lequn Lee Huang, Sinobiopharma's Chairman and CEO commented on the third quarter results: "Despite slower sales during the Chinese New Year holiday in February, we continued to achieve excellent revenue and net income growth. The steady performance demonstrated that the market has a proven need for our products and that our marketing efforts have started to yield positive results."
Third Quarter 2010 Results
Sales increased 145% to $1,993,412 for the three months ended February 28, 2010, from $813,326 for the three months ended February 28, 2009.
Gross margin increased 172% to $1,612,613 (81% of sales) for the three months ended February 28, 2010, from $592,311 (73% of sales) for the three months ended February 28, 2009.
The increase in sales was due to the continuing growth in sales of Cisatracurium Besylate. Sales of this product increased to $1,964,287 for the three months ended February 28, 2010, from $744,338 for the three months ended February 28, 2009, representing 98.5% of sales and 91.5% of sales for the three months that ended February 28, 2010, and February 28, 2009, respectively.
Operating expenses for the three months ended February 28, 2010 were $593,045, representing a 57% decrease as compared to $1,365,359 for the three months ended February 28, 2009. The decrease is primarily attributable to the stock option expense of $972,375 charged in the third quarter of 2009. There was no stock-based compensation expense for the three months ended February 28, 2010.
Income before income tax increased by $1,763,635 from a loss of $725,316 for the third quarter 2009 to $1,038,319 for the third quarter of 2010.
Income tax expense was $97,096 for the third quarter 2010; there was no income tax expense for the same period last year. The Company started to be subject to income tax with half tax rate beginning January 1, 2010. The applicable tax rate for this year is 11%.
Net income increased $1,666,539 from a net loss of $725,316 for the three months ended February 28, 2009 to a net income of $941,223 for the three months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.01 compared to $(0.01) for the same period 2009.
Results for the nine months that ended February 28, 2010
Sales increased 100% to $5,424,647 for the nine months ended February 28, 2010, from $2,715,702 for the nine months ended February 28, 2009.
Gross margin increased 137% to $4,295,844 (79% of sales) for the nine months ended February 28, 2010, from $1,815,491 (67% of sales) for the nine months that ended February 28, 2009.
The increase in sales was due to the continuing growth in sales of Cisatracurium Besylate. Sales of this product increased to $5,261,860 for the nine months ended February 28, 2010, from $2,529,517 for the nine months ended February 28, 2009, representing 96% of sales and 93% of sales for the nine months that ended February 28, 2010, and February 28, 2009, respectively.
Operating expenses for the nine months ended February 28, 2010 were $1,859,986, a decrease of 45% as compared to $3,354,149 for the nine months ended February 28, 2009. The decrease is primarily attributable to the decrease of $1,620,625 in the stock-based compensation of $324,125 for the nine months ended February 28, 2010, compared to $1,944,750 for the nine months ended February 28, 2009. The stock options have been fully vested and expensed as of August 31, 2009.
Net income increased $3,874,632 from a net loss of $1,622,692 for the nine months ended February 28, 2009 to net income of $2,251,940 for the nine months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.03 compared to $(0.02) for the same period 2009.
Financial Position
As of February 28, 2010, the Company had $790,142 in cash. Operating activities have generated $986,716 cash during the nine-month period that ended February 28, 2010. Working capital became positive in the period ended February 28, 2010 for the first time since the reverse take over in 2008. During this quarter, the Company raised $1,500,000 capital through a private placement. The Company has partially repaid the bank loan using funds from the placement, reducing an outstanding bank loan balance to $220,050. Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets have increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Business Outlook
Dr. Huang expressed the Company's satisfaction with its third quarter results. "The numbers show the growing strength of our financial performance and position," he said. "They also show the soundness of our strategy as we prepare to take the Company to the next level."
About Sinobiopharma
Sinobiopharma Inc. is a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, manufacture and marketing of biopharmaceutical products in China, one of the world's fastest growing pharmaceutical markets. Known as Dong Ying (Jiangsu) Pharmaceutical Co. Ltd. in China, the Company's current therapeutic focus is on anesthesia-assisted agents and cardiovascular drugs.
FORWARD LOOKING STATEMENTS This news release may include "forward-looking statements" regarding Sinobiopharma, Inc., and its subsidiaries, business and project plans. Such forward looking statements are within the meaning of Section 27A of the Securities Act of 1933, as amended, and section 21E of the United States Securities and Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor created by such sections. Where Sinobiopharma, Inc. expresses or implies an expectation or belief as to future events or results, such expectation or belief is believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Sinobiopharma, Inc. does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
-- FINANCIAL TABLES FOLLOW - SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS February 28, May 31, 2010 2009 (Unaudited) ASSETS CURRENT ASSETS Cash and cash equivalents $790,142 $891,132 Accounts receivable, net 1,131,625 208,673 Notes receivable -- 5,505 Inventories 835,901 547,317 Advance payments 210,730 39,825 Other receivables 298,904 -- Total Current Assets 3,267,302 1,692,452 Advance payment for intangible assets to a shareholder 987,780 253,760 Property, plant and equipment, net 2,772,304 2,691,258 Intangible assets, net 4,387,849 1,318,973 $11,415,235 $5,956,443 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $369,391 $655,064 Short-term bank loans 220,050 732,000 Loans from government 1,420,569 1,844,193 Amounts due to shareholder 256,725 1,169,032 Advances from customers 102,946 136,755 Amounts due to Related party -- 256,200 Income taxes payable 97,136 -- Other payables 290,297 386,368 Total Current Liabilities 2,757,114 5,179,612 Commitments and Contingencies STOCKHOLDERS' EQUITY Common stock; $0.0001 par value; 2,500,000,000 shares authorized; 117,587,608 shares issued and outstanding at February 28, 2010 and 79,920,000 shares at May 31, 2009 11,759 7,992 Additional paid-in capital 13,853,827 8,254,991 Accumulated deficit (5,459,339) (7,711,278) Accumulated other comprehensive income 251,874 225,126 Total Stockholders' Equity 8,658,121 776,831 $11,415,235 $5,956,443 SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended Nine Months Ended February 28, February 28, 2010 2009 2010 2009 SALES $1,993,412 $813,326 $5,424,647 $2,715,702 COST OF GOODS SOLD 380,799 221,015 1,128,803 900,211 GROSS MARGIN 1,612,613 592,311 4,295,844 1,815,491 OPERATING EXPENSES Selling expenses 144,956 116,148 394,309 283,483 Research and development 30,683 27,352 317,396 157,771 Depreciation and amortization 59,241 22,591 209,798 126,564 General and administrative expenses 358,165 1,199,268 938,483 2,786,331 593,045 1,365,359 1,859,986 3,354,149 INCOME/(LOSS) FROM OPERATIONS 1,019,568 (773,048) 2,435,858 (1,538,658) OTHER INCOME/(EXPENSES) Interest income 1,896 363 7,070 1,059 Interest expense (38,193) (53,544) (148,278) (181,017) Other expenses 55,048 100,913 54,386 95,924 18,751 47,732 (86,822) (84,034) INCOME/(LOSS) BEFORE INCOME TAX EXPENSE 1,038,319 (725,316) 2,349,036 (1,622,692) INCOME TAX EXPENSE (97,096) -- (97,096) -- NET INCOME/(LOSS) 941,223 (725,316) 2,251,940 (1,622,692) OTHER COMPREHENSIVE INCOME/(LOSS) Foreign Currency Translation Adjustment 5,209 4,438 26,748 12,279 COMPREHENSIVE INCOME /(LOSS) $946,432 $(720,878) $2,278,688 (1,610,413) Earnings/ (loss) per share: Basic and diluted $0.01 $(0.01) $0.03 $(0.02) Weighted average shares Used in computation: Basic and diluted 104,117,920 79,900,000 87,950,083 79,900,000 SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended Feb 28, 2010 2009 CASH FLOWS FROM OPERATING ACTIVITIES Net income/(loss) $2,251,940 $(1,622,692) Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operation activities Depreciation and amortization 318,412 226,739 Loss on disposition of property and equipment -- 426 Stock-based compensation 324,125 1,944,750 Imputed interest expense on shareholders' loans 15,864 56,722 Amortization of discount in interest expenses 68,235 105,311 Common shares issued for consulting services 33,000 -- Gain from discount of no-interest loans (55,694) (96,364) Changes in assets and liabilities: Notes receivable 5,600 -- Accounts receivable, net (920,879) (135,538) Inventories (264,843) 12,992 Advance payments (170,993) -- Other receivables (297,856) (194,091) Accounts payable (286,315) (206,796) Advance from customers (34,120) (206,828) Income taxes payable 97,096 -- Other payables (96,856) 146,138 Net Cash Provided by Operating Activities 986,716 30,769 CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property and equipment (323,472) (138,320) Advance payments for purchase of intangible assets (731,317) -- Net Cash Used in Investing Activities (1,054,789) (138,320) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from bank loans 2,194,608 731,000 Subscription received for issuing stock -- 20,000 (Repayment) proceeds from shareholder loans (651,694) 162,694 Repayment of bank loans (3,148,381) (576,800) Repayments of loans by related parties -- 5,712 Proceeds from common stock issued 1,600,000 -- Payment for common stock issuance costs (15,000) -- Net Cash (Used in)/Provided by Financing Activities (20,467) 342,606 EFFECT OF FOREIGN CURRENCY FLUCTUATION ON CASH (12,450) (1,171) NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS (100,990) 233,884 CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD 891,132 267,327 CASH AND CASH EQUIVALENTS - ENDING OF PERIOD $790,142 $501,211 Supplemental cash flow information: Cash paid for interest expense $54,896 $-- Non-cash investing and financing Activities 100,000 common shares issued in exchange of consulting service received $33,000 $-- 17,500,000 common shares issued in exchange of intangible assets $3,136,500 $-- 4,234,275 common shares issued to settle debts $508,113 $--
SNBP .26 earned .03 for 9mos vs loss!!!
Sinobiopharma Announces Third Quarter 2010 Net Income of $0.9 Million
Press Release Source: Sinobiopharma, Inc. On Monday April 19, 2010, 8:30 am EDT
NANTONG CITY, China, April 19 /PRNewswire-Asia-FirstCall/ -- Sinobiopharma, Inc. (OTC Bulletin Board:SNBP.ob - News) ("Sinobiopharma" or "the Company), a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, and the manufacture and marketing of biopharmaceutical products in China, has announced its financial results for the third quarter ended February 28, 2010.
Q3 2010 Highlights -- Total revenue increased 145% year-over-year to approximately $2.0 million from $0.8 million in the comparable period of 2009. -- Gross margin increased 172% year-over-year to approximately $1.6 million, or 81% of sales from $0.6 million, or 73% of sales for the same period of 2009. -- Operating income increased $1.8 million to approximately $1.0 million from a loss of $0.8 million for the same period of 2009. -- Income before income tax expense increased $1.8 million to approximately $1.0 million from a loss of $0.7 million for the same period of 2009. -- Industry leading operating margins of 52%. Net income increased $1.7 million to approximately $0.9 million from a net loss of approximately $0.7 million in the third quarter of 2009. -- EPS of $0.01 compare to $(0.01) for the same period 2009. The EPS for the nine month period ended February 28, 2010 is $0.03 compare to $($0.02) for the same period 2009 -- Revenue from Cisatracurium Besylate (marketed as "KuTai" in China) increased 164% to approximately $2.0 million, or 98.5% of sales from $0.7 million, or 91.5% of sales in the same period of 2009. -- First quarter of positive working capital and $8.7 million in Shareholder's equity. -- Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Dr. Lequn Lee Huang, Sinobiopharma's Chairman and CEO commented on the third quarter results: "Despite slower sales during the Chinese New Year holiday in February, we continued to achieve excellent revenue and net income growth. The steady performance demonstrated that the market has a proven need for our products and that our marketing efforts have started to yield positive results."
Third Quarter 2010 Results
Sales increased 145% to $1,993,412 for the three months ended February 28, 2010, from $813,326 for the three months ended February 28, 2009.
Gross margin increased 172% to $1,612,613 (81% of sales) for the three months ended February 28, 2010, from $592,311 (73% of sales) for the three months ended February 28, 2009.
The increase in sales was due to the continuing growth in sales of Cisatracurium Besylate. Sales of this product increased to $1,964,287 for the three months ended February 28, 2010, from $744,338 for the three months ended February 28, 2009, representing 98.5% of sales and 91.5% of sales for the three months that ended February 28, 2010, and February 28, 2009, respectively.
Operating expenses for the three months ended February 28, 2010 were $593,045, representing a 57% decrease as compared to $1,365,359 for the three months ended February 28, 2009. The decrease is primarily attributable to the stock option expense of $972,375 charged in the third quarter of 2009. There was no stock-based compensation expense for the three months ended February 28, 2010.
Income before income tax increased by $1,763,635 from a loss of $725,316 for the third quarter 2009 to $1,038,319 for the third quarter of 2010.
Income tax expense was $97,096 for the third quarter 2010; there was no income tax expense for the same period last year. The Company started to be subject to income tax with half tax rate beginning January 1, 2010. The applicable tax rate for this year is 11%.
Net income increased $1,666,539 from a net loss of $725,316 for the three months ended February 28, 2009 to a net income of $941,223 for the three months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.01 compared to $(0.01) for the same period 2009.
Results for the nine months that ended February 28, 2010
Sales increased 100% to $5,424,647 for the nine months ended February 28, 2010, from $2,715,702 for the nine months ended February 28, 2009.
Gross margin increased 137% to $4,295,844 (79% of sales) for the nine months ended February 28, 2010, from $1,815,491 (67% of sales) for the nine months that ended February 28, 2009.
The increase in sales was due to the continuing growth in sales of Cisatracurium Besylate. Sales of this product increased to $5,261,860 for the nine months ended February 28, 2010, from $2,529,517 for the nine months ended February 28, 2009, representing 96% of sales and 93% of sales for the nine months that ended February 28, 2010, and February 28, 2009, respectively.
Operating expenses for the nine months ended February 28, 2010 were $1,859,986, a decrease of 45% as compared to $3,354,149 for the nine months ended February 28, 2009. The decrease is primarily attributable to the decrease of $1,620,625 in the stock-based compensation of $324,125 for the nine months ended February 28, 2010, compared to $1,944,750 for the nine months ended February 28, 2009. The stock options have been fully vested and expensed as of August 31, 2009.
Net income increased $3,874,632 from a net loss of $1,622,692 for the nine months ended February 28, 2009 to net income of $2,251,940 for the nine months ended February 28, 2010. The increase in net income was due to the increase in sales and decrease of the stock-based compensation expense.
Earning Per Share was $0.03 compared to $(0.02) for the same period 2009.
Financial Position
As of February 28, 2010, the Company had $790,142 in cash. Operating activities have generated $986,716 cash during the nine-month period that ended February 28, 2010. Working capital became positive in the period ended February 28, 2010 for the first time since the reverse take over in 2008. During this quarter, the Company raised $1,500,000 capital through a private placement. The Company has partially repaid the bank loan using funds from the placement, reducing an outstanding bank loan balance to $220,050. Net worth increased dramatically from $776,831 at May 31, 2009 to $8,998,121 at February 28, 2010. Total assets have increased by $5,458,792, from $5,956,443 at May 31, 2009 to $11,415,235 at February 28, 2010.
Business Outlook
Dr. Huang expressed the Company's satisfaction with its third quarter results. "The numbers show the growing strength of our financial performance and position," he said. "They also show the soundness of our strategy as we prepare to take the Company to the next level."
About Sinobiopharma
Sinobiopharma Inc. is a fully integrated and highly innovative specialty pharmaceutical company engaged in the research and development, manufacture and marketing of biopharmaceutical products in China, one of the world's fastest growing pharmaceutical markets. Known as Dong Ying (Jiangsu) Pharmaceutical Co. Ltd. in China, the Company's current therapeutic focus is on anesthesia-assisted agents and cardiovascular drugs.
FORWARD LOOKING STATEMENTS This news release may include "forward-looking statements" regarding Sinobiopharma, Inc., and its subsidiaries, business and project plans. Such forward looking statements are within the meaning of Section 27A of the Securities Act of 1933, as amended, and section 21E of the United States Securities and Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor created by such sections. Where Sinobiopharma, Inc. expresses or implies an expectation or belief as to future events or results, such expectation or belief is believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Sinobiopharma, Inc. does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
-- FINANCIAL TABLES FOLLOW - SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS February 28, May 31, 2010 2009 (Unaudited) ASSETS CURRENT ASSETS Cash and cash equivalents $790,142 $891,132 Accounts receivable, net 1,131,625 208,673 Notes receivable -- 5,505 Inventories 835,901 547,317 Advance payments 210,730 39,825 Other receivables 298,904 -- Total Current Assets 3,267,302 1,692,452 Advance payment for intangible assets to a shareholder 987,780 253,760 Property, plant and equipment, net 2,772,304 2,691,258 Intangible assets, net 4,387,849 1,318,973 $11,415,235 $5,956,443 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $369,391 $655,064 Short-term bank loans 220,050 732,000 Loans from government 1,420,569 1,844,193 Amounts due to shareholder 256,725 1,169,032 Advances from customers 102,946 136,755 Amounts due to Related party -- 256,200 Income taxes payable 97,136 -- Other payables 290,297 386,368 Total Current Liabilities 2,757,114 5,179,612 Commitments and Contingencies STOCKHOLDERS' EQUITY Common stock; $0.0001 par value; 2,500,000,000 shares authorized; 117,587,608 shares issued and outstanding at February 28, 2010 and 79,920,000 shares at May 31, 2009 11,759 7,992 Additional paid-in capital 13,853,827 8,254,991 Accumulated deficit (5,459,339) (7,711,278) Accumulated other comprehensive income 251,874 225,126 Total Stockholders' Equity 8,658,121 776,831 $11,415,235 $5,956,443 SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended Nine Months Ended February 28, February 28, 2010 2009 2010 2009 SALES $1,993,412 $813,326 $5,424,647 $2,715,702 COST OF GOODS SOLD 380,799 221,015 1,128,803 900,211 GROSS MARGIN 1,612,613 592,311 4,295,844 1,815,491 OPERATING EXPENSES Selling expenses 144,956 116,148 394,309 283,483 Research and development 30,683 27,352 317,396 157,771 Depreciation and amortization 59,241 22,591 209,798 126,564 General and administrative expenses 358,165 1,199,268 938,483 2,786,331 593,045 1,365,359 1,859,986 3,354,149 INCOME/(LOSS) FROM OPERATIONS 1,019,568 (773,048) 2,435,858 (1,538,658) OTHER INCOME/(EXPENSES) Interest income 1,896 363 7,070 1,059 Interest expense (38,193) (53,544) (148,278) (181,017) Other expenses 55,048 100,913 54,386 95,924 18,751 47,732 (86,822) (84,034) INCOME/(LOSS) BEFORE INCOME TAX EXPENSE 1,038,319 (725,316) 2,349,036 (1,622,692) INCOME TAX EXPENSE (97,096) -- (97,096) -- NET INCOME/(LOSS) 941,223 (725,316) 2,251,940 (1,622,692) OTHER COMPREHENSIVE INCOME/(LOSS) Foreign Currency Translation Adjustment 5,209 4,438 26,748 12,279 COMPREHENSIVE INCOME /(LOSS) $946,432 $(720,878) $2,278,688 (1,610,413) Earnings/ (loss) per share: Basic and diluted $0.01 $(0.01) $0.03 $(0.02) Weighted average shares Used in computation: Basic and diluted 104,117,920 79,900,000 87,950,083 79,900,000 SINOBIOPHARMA, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Nine Months Ended Feb 28, 2010 2009 CASH FLOWS FROM OPERATING ACTIVITIES Net income/(loss) $2,251,940 $(1,622,692) Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operation activities Depreciation and amortization 318,412 226,739 Loss on disposition of property and equipment -- 426 Stock-based compensation 324,125 1,944,750 Imputed interest expense on shareholders' loans 15,864 56,722 Amortization of discount in interest expenses 68,235 105,311 Common shares issued for consulting services 33,000 -- Gain from discount of no-interest loans (55,694) (96,364) Changes in assets and liabilities: Notes receivable 5,600 -- Accounts receivable, net (920,879) (135,538) Inventories (264,843) 12,992 Advance payments (170,993) -- Other receivables (297,856) (194,091) Accounts payable (286,315) (206,796) Advance from customers (34,120) (206,828) Income taxes payable 97,096 -- Other payables (96,856) 146,138 Net Cash Provided by Operating Activities 986,716 30,769 CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property and equipment (323,472) (138,320) Advance payments for purchase of intangible assets (731,317) -- Net Cash Used in Investing Activities (1,054,789) (138,320) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from bank loans 2,194,608 731,000 Subscription received for issuing stock -- 20,000 (Repayment) proceeds from shareholder loans (651,694) 162,694 Repayment of bank loans (3,148,381) (576,800) Repayments of loans by related parties -- 5,712 Proceeds from common stock issued 1,600,000 -- Payment for common stock issuance costs (15,000) -- Net Cash (Used in)/Provided by Financing Activities (20,467) 342,606 EFFECT OF FOREIGN CURRENCY FLUCTUATION ON CASH (12,450) (1,171) NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS (100,990) 233,884 CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD 891,132 267,327 CASH AND CASH EQUIVALENTS - ENDING OF PERIOD $790,142 $501,211 Supplemental cash flow information: Cash paid for interest expense $54,896 $-- Non-cash investing and financing Activities 100,000 common shares issued in exchange of consulting service received $33,000 $-- 17,500,000 common shares issued in exchange of intangible assets $3,136,500 $-- 4,234,275 common shares issued to settle debts $508,113
Very nice on IDRA million...appreciate it! tuna
I'll give it a look KOKnEEE!!! Thanks...tuna
Yeah zone072...and NPSP broke $6!! I should have added it yesterday in the 5.80 area when I looked at it...darn! tuna
Yes Jitterbug...I like it though this is a very long term play for me as their future seems excellent imho...tuna
Thanks...I'll look at BSPN Tarantula...tuna