A/R seems to be the main concern on Yahoo board as well. As the matter of fact, bigal4123 just posted some thoughts on the issue:
"High accts rec in relation to sales seems typical of chinese companies. Also, their reserves for doubtful accts is miniscule compared to US reserves. And you hardly ever see any losses on collecting accts receivables. The two largest customers that owe huge amts are both trading companies. The US auditors are obligated to show receivables that are past due for extended periods so that is where you should look if you are worried about the high amount of receivables.
The amount owed from Bothven is not a part of Accts Rec. It is shown as Consideration Receivables in the amount of $8.7M. Incidentally, 30% of that was due in July and it would be interesting to find out if it was paid."
I personally will wait for two weeks to see if they remain high, or if the company managed to bring the ratio down. The fact that the money are owed by large companies only adds to my confidence.
This should be an indicative quarter. I would like to see 3 things - A/R down, the same OS, and a decent profit (historically, it has been CNOA's weakest quater profit wise). If all those things come true, I might add another 100K to my position.