Replies to post #47471 on China Growth Stocks

[lostmyballs]

GFRE looks like a 16 dollar stock...Nice

[NF]

GFRE Great results.
I was hoping to see the stock to pop, but the market simply ignored it...

[lostmyballs]

GFRE ,this is one of the downstream products referred to in your post that the company is talkin about....Raw bromine is nice but margins are much better with a specific end product...

NEW YORK and SHANDONG, China, June 21 /PRNewswire-Asia-FirstCall/ -- Gulf Resources, Inc. (Nasdaq:GFRE - News) ("Gulf Resources" or the "Company"), a leading manufacturer of bromine, crude salt and specialty chemical products in China, today announced that that the Company has completed the construction of its new chemical additives production line for wastewater treatment and started trial production.

The Company reaffirms the revenue contribution of approximately $9 to $10 million in the first year of operation with an estimated gross profit margin of approximately 40%. This reflects approximately $3.2 million in incremental revenue for fiscal year 2010, which was included in the revenue guidance of $146 million to $150 million announced on April 14, 2010 and reaffirmed on May 14, 2010. The new production line is expected to have an annual production capacity of 3,000 metric tons of chemical additives and will start formal production approximately two months from the start of the trial production.

"We commenced the construction of the wastewater treatment production line in January 2010 and completed the construction two weeks earlier than originally planned. We are also trying to start formal production early in order to maximize revenue contribution from the production line this year. We believe in the growth potential of this product segment as water quality is an area of concern for the Chinese government, which prompts continued investment in domestic wastewater treatment systems and supports the quickly increasing demand for wastewater treatment chemicals," said Mr. Xiaobin Liu, Chief Executive Officer of Gulf Resources. "The in-house development and commercialization of bromine-based chemicals shows our ability to move operations downstream in the bromine production industry and further leverage our technology and bromine resources."