LJ International Inc., a company manufacturing and distributing jewelry products, announced its financial results for the first six months ended June 30, 2007. The company reported revenues of $67.16 million – that is 34% higher than in the first six months of 2006, when company’s revenues were $50.10 million. Net income for the first half of 2007 was $1.83 million, or $0.08 per fully diluted share – that is up 60% from $0.95 million in the same period of 2006.
As reported by the company, the rise of revenues in the first half of 2007 was mainly due to the growth of LJ’s ENZO retail division, which has 93 retail stores across China. Also, primarily as a result of BVI compny’s higher-margin ENZO revenue mix, LJ’s overall gross profit in the first six months of 2007 rose to $19.32 million, or 29% of revenues, from $13.10 million, or 26% of revenues, in 2006.
BVI incorporated LJ International reported general, selling and administrative expenses for the first six months of 2007 in the amount of $15.06 million, up from $10.90 million in the first six months of 2006. The reason for this growth of expenses were increased advertising, rental, staffing and other costs on ENZO’s store chain, and higher corporate-level expenses, including legal and professional advisory services.