Gosun Communications Limited Inc. Reports Record Third Quarter Revenue of
US$25,000,000
LOS ANGELES, Nov 20, 2001 (BUSINESS WIRE) -- Gosun Communications Limited Inc.
(OTCBB:GOSN) (www.gosuncommunications.com) today announced the filing of its
Form 10-QSB with the Securities and Exchange Commission on Nov. 19, 2001, for
the three-month period ended Sept. 30, 2001.
Total revenue for the three-month period ended Sept. 30, 2001, increased by
US$21.4 million or 588.2% to US$25 million, compared with US$3.6 million for the
three-month period ended Sept. 30, 2000. The increase in total revenue was
primarily the result of the company's continuous effort on promoting the
corporate image in its respective industry as well as strategies to the opening
of larger retail stores for attracting customers. For the three-month period
ended Sept. 30, 2001, the company has three major sources of revenue, namely
from selling cellular phones and pagers, selling smart cards and acting as a
licensed primary agent for cellular communication providers in the People's
Republic of China. Of the total revenue of US$25.0 million for the three-month
period ended Sept. 30, 2001, 25.0% was generated from the sales of cellular
phones and pagers; 73.0% from the sales of smart cards and 2.0% from agency
service. Compared with the total revenue of US$3.6 million for the three-month
period ended Sept. 30, 2000, 87.1% was generated from the sales of cellular
phones and pagers; none from the sales of smart cards; and 12.9% from agency
service.
As of Sept. 30, 2001, there were 17 stores in the Guangdong Province that
generated a total of US$24.5 million in total revenue and three stores in
Shanghai that generated a total of US$517,000 in total revenue. During the
three-month period ended Sept. 30, 2001, the company has closed down several
underperforming stores and opened stores in better location and bigger in size
in the Guangdong Province. There was one additional store opened during the
three-month period ended Sept. 30, 2001. The management believes that the
company's strategy to open relatively larger stores will continue. The
management further believes that this strategy can capture the economy of scale
and can provide a variety of choices for consumers to choose from.
Yi-Biao Chen, chairman of Gosun Communications Limited Inc., commented, "We
anticipate continued growth and positive earnings in the coming year".
About the Company
The principal activities of the company and its subsidiaries are the retail sale
and distribution of telecommunication equipment including cellular phones,
pagers, cellular phone smart cards and value-refill smart cards, and acting as
an agent of cellular and paging services providers.
The company is a primary agent of an affiliate, Guangdong Gosun Communication
Development Company Limited ("GGCD"), a paging service provider in the PRC and a
licensed primary agent of China Mobile Communications Corp., one of two
exclusive cellular communications providers in the PRC. As of Sept. 30, 2001,
the company has 20 directly owned chain stores operating in the PRC.
Additional information about the company can be found at its Web site
www.gosuncommunications.com.
Statements made in this news release concerning predictions of performance and
the company's plans and objectives are not historic facts and constitute
forward-looking statements made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Such statements involve
important risks and uncertainties that may cause results to differ materially
from those set forth in this news release. All forward-looking statements are
subject to the successful completion of actions described in the news release.
Readers should carefully review the company and publicly available filings
thoroughly with their registered investment advisor or registered broker.
CONTACT: de Jong & Associates (for Gosun Communications)
Ron de Jong, 877/943-9065
www.dejong.org
