China Auto Logistics Inc. Reports Unaudited Consolidated Earnings Results for the Second Quarter and First Half Ended June 30, 2015
For the six months ended June 30, 2015, net revenue was $181,038,575, down 17.96% from $220,661,817 for the same period a year earlier. Loss from operations was $1,067,362 compared with $307,998 last year. Loss before income tax benefit was $5,269,047 against $3,640,428 last year. Net loss attributable to shareholders for the first six months of 2015 was $4,911,804 or $1.22 per basic and diluted share, compared with $3,192,422 or $0.79 per basic and diluted share in the first half of 2014. The major additional expense contributing to the net loss in the first six months of 2015 was interest expense of $3,813,020, primarily relating to the Zhonghe acquisition and short term borrowings. Net cash used in operating activities was $1,728,443 against $26,123,417 last year. LBITDA was $344,507 which reflected the interest expense and depreciation and amortization expense in the 2015 first half of $1,225,974. EBITDA for the six months of 2014 was $490,018. The company noted that key components of the loss in the second quarter and six months ended June 30, 2015 in addition to lower auto sales revenue, were high interest expenses, and depreciation and amortization expenses relating to its acquisition of the Airport International Auto Mall in Tianjin, which the company continues to envision as a major element in its future growth plans.