China Gerui Advanced Materials Group Ltd. announced unaudited consolidated earnings results for the second quarter and six months ended June 30, 2012. For the quarter, the company reported revenue of $76,783,963 against $86,091,053 a year ago. Operating income was $16,790,257 against $20,845,386 a year ago. Income before income taxes was $15,411,287 against $19,594,313 a year ago. Net income was $10,275,277 or $0.18 per basic and diluted share against $14,043,130 or $0.24 per basic and diluted share a year ago. The decrease in revenue was primarily due to an, 18.2% decrease in the company's average selling price of $821 per ton for the second quarter of 2012 as compared to an average selling price of $1,004 for the same period of 2011 partially offset by a 9.2% increase in sales volume to approximately 93,500 tons for the second quarter of 2012 as compared to approximately 85,600 tons for the same period of 2011. The decrease in operating income in the second quarter 2012 as compared to operating income in the comparable year-ago period is primarily due to the corresponding decrease in gross profit and relatively higher operating expenses as a % of revenue in the second quarter of 2012 compared to the same period of 2011.

For the six months, the company reported revenue of $145,473,530 against $148,767,412 a year ago. Operating income was $35,806,632 against $30,884,959 a year ago. Income before income taxes was $34,181,733 against $27,062,334 a year ago. Net income was $24,285,885 or $0.42 per basic and diluted share against $18,038,354 or $0.33 per basic and diluted share a year ago. Net cash provided by operating activities was $24,974,641 against $40,621,891 a year ago. Cash paid for property, plant and equipment was $1,646,177 against $32,919,079 a year ago. Payment of purchases intangible asset was $16,435.