CDC Corporation Increases Guidance for Second Half of 2008
CDC Corporation (NASDAQ:CHINA - News), a leading global enterprise software and new media company, today announced that, based upon preliminary financial projections and estimates, it has again increased its Adjusted EBITDA guidance for the second half of 2008 and now expects Adjusted EBITDA from continuing operations to be in the range of approximately (U.S.) $16.0 million to (U.S.) $18.0 million, an 88 percent increase based on the midpoint range from the guidance previously-issued back in August 26, 2008, where Adjusted EBITDA from continuing operations estimates were in the range of (U.S.)$8.0 million to (U.S.)$10.0 million.
“Despite the global economic slowdown and uncertain outlook, we are very pleased to substantially increase our previously-issued second half 2008 guidance for the second time in less than three months,” said Peter Yip, CEO of CDC Corporation. “Our confidence stems from the highly recurring revenue stream from our installed customer base, including maintenance revenues, the popularity of our existing and new online games and our successful cost-cutting initiatives launched earlier this year. We also believe that CDC is in a fortunate position to have significant cash and cash equivalent reserves to assist us during this difficult economic environment. In fact, as of September 30, 2008, we had in excess of (U.S.) $212.6 million in Non-GAAP Cash and Cash Equivalents. We remain cautiously optimistic with regard to our near-term prospects.” About CDC Corporation The CDC family of companies includes CDC Software focused on enterprise software applications and services, CDC Games focused on online games, and China.com focused on portals for the greater China markets. For more information about CDC Corporation (NASDAQ:CHINA - News), please visit www.cdccorporation.net.
