Shengkai Innovations, Inc. Reports Consolidated Unaudited Earnings Results for the First Quarter Ended September 30, 2012; Provides Revenue Guidance for the Second Quarter Ended December 31, 2012
November 14, 2012 at 04:12 pm EST
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Shengkai Innovations, Inc. reported consolidated unaudited earnings results for the first quarter ended September 30, 2012. For the quarter, the company reported revenues of $4,674,285 compared with $11,011,127 for the same period last year. Income from operations was $128,268 compared with $356,961 for the same period last year. Income before income taxes was $236,382 compared with $1,463,013 for the same period last year. Net income was $52,777 or $0.003 diluted per share compared with $944,338 or $0.052 diluted per share for the same period last year. Net cash provided by operating activities was $2,220,450 compared with $1,962,346 for the same period last year. Purchase of property, plant and equipment was $808 compared with $403,440 for the same period last year. Non-GAAP operating income was approximately $0.3 million compared with non-GAAP operating income of approximately $2.5 million for the comparable period in fiscal year of 2012. The decrease was primarily due to the decline in revenues resulting from slowdown in PRC economy and operational transition, coupled with higher raw material costs. Non-GAAP earnings were $0.015 per diluted share compared with $0.12 per diluted share in the first quarter of fiscal year of 2012.
The company expects that in the immediately following quarter ended December 31, 2012, total revenues would remain flat, and major contribution to its sales would be from the petrochemical and chemical industry.
Shengkai Innovations, Inc. (SKII), through its subsidiaries and affiliates, is in the business of manufacturing and sale of industrial ceramic valves and components in the Peopleâs Republic of China (PRC). The Company is a holding company of Shen Kun International Limited (Shen Kun). Shen Kun holds 100% of the equity interests in Shengkai (Tianjin) Limited (SK WFOE), a wholly foreign owned enterprise organized under the laws of the PRC, which, in turn, through contractual relationships, controls the business of Tianjin Shengkai Industrial Technology Development Co., Ltd. (Tianjin Shengkai), a PRC company that designs, manufactures and sells ceramic valves. Shengkai (Tianjin) Trading Ltd. is primarily engaged in the international trading of non-valve products to serve the Companyâs international customers.
Shengkai Innovations, Inc. Reports Consolidated Unaudited Earnings Results for the First Quarter Ended September 30, 2012; Provides Revenue Guidance for the Second Quarter Ended December 31, 2012