Monthly Archives: August 2010

China Gengsheng reported financial results for the second quarter 2010

China GengSheng Minerals, Inc., a leading China-based industrial materials manufacturer conducting its business through the BVI-registered Gengsheng International Corporation, reported financial results for the second quarter ended June 30, 2010. In this period, company’s sales revenue was approximately US$15.0 million – 4.3% increase, compared with US$14.4 million in the same period of the previous year.

Gross profit for the second quarter, 2010, was approximately US$4.9 million, or 32.8% of revenue, compared with gross profit of approximately US$4.4 million in the second quarter of 2009. The reason for the increase in gross profit in the second quarter was the growth of sales prices of the company’s products, decrease in cost of raw materials, and increased revenues from full-service programs.

Total operating expenses of the company were approximately US$3.5 million, compared with US$2.5 million in the second quarter of 2009. Company’s selling expenses were US$1.8 million, an increase of $0.4 million, compared with selling expenses in the second quarter of 2009. The increase in selling expenses was related to increase in export sales of company’s fracture proppant products and activities associated with the launch of Gengsheng’s fine precision abrasives.

In the reported period, Company’s general and administrative expenses were US$1.4 million, compared with US$1.0 million in the second quarter of 2009. Research and development expenses made US$0.3 million – a US$0.1 million increase from the second quarter of 2009.

For the second quarter of 2010, the company reported decrease of income tax expense to approximately US$121,000, from US$282,000 million in the second quarter of 2009. Net income attributable to China Gengsheng’s common stockholders was approximately US$1.0 million, or US$0.04 per share, compared with net income of approximately US$2.0 million, or US$0.09 per share, in the second quarter of 2009.

Nam Tai Electronics announced financial results for the second quarter of 2010

British Virgin Islands-registered corporation Nam Tai Electronics, Inc. reported its unaudited financial results for the second quarter of 2010. For the period ended June 30, 2010, net sales of the company were US$113.9 million. This is 11.9% more than the results of the second quarter of 2009. According to Nam Tai’s statement, the improvement is due to varying degrees in each of business segments of the BVI company, over results of the second quarter of 2009.

The company reported gross profit of US$12.7 million, this is a 21.9% increase as compared to US$10.4 million in the second quarter of 2009. This is primarily the result of increase of sales and the effects of costs savings. Gross profit margin of the company was 11.2% in the reported period, compared to 10.2% in the same quarter of 2009.

In the period ended June 30, 2010, net income attributable to Nam Tai shareholders was US$3.2 million (2.8% of sales), as compared to net income of US$0.6 million (0.6% of sales) in the same period of 2009. Company’s operating income was US$3,8 million (compared to US$1,4 million in the second quarter of 2009). Company’s profit in Q2 2010 was primarily the result of the overall increase of sales.

In the reported period, company’s earnings per share (basic and diluted) were $0.07, as compared to $0.01 in the second quarter of 2009. 

According to the operations review of Nam Tai Electronics, the growth and improvement of company’s performance in the second quarter of 2010 was attributable to the simplification of corporate and organization structures, and strengthening of management controls and enterprise efficiencies. However, the overall instability of the global economy affected the demand for and sales of company’s consumer products.

Talon Metals announced financial results for the second quarter of 2010

BVI-registered mineral exploration company Talon Metals Corp. reported financial results for the second quarter of 2010. For the three month period ended June 30, 2010, the BVI company reported net loss of US5,079,819, or US$0.08 per share (basic or diluted) – compared to net loss of $668,968 or $0.03 per share (basic or diluted), reported  in the second quarter of 2009, and net loss of $89,264 or $0.01 per share (basic and diluted), for the first six months of 2009.
Capitalized exploration of Talon Metals for the three and six month periods ended June 30, 2010, amounted to US$697,833 and US$999,734, respectively. This compares to US$507,579 and US$632,404 for the three and six month periods of last year. The amounts reported in the second quarter of 2010 related mainly to work on the Sergipe Potash Project and smaller projects of the company, and on the São Jorge Gold Project.

Subsequent to the end of the second quarter, Talon Metals Corporation concluded an agreement with a private company Lago Dourado Minerals Ltd regarding the Juruena Gold Project in Brazil. Under the terms of this agreement, the BVI company sold 100% of its indirect interest in Juruena to Lago, for a consideration including cash payment of approximately US$1 million. The payment, which was received by the company in July 2010, increased Talon’s treasury to approximately US$4 million.

BVI-registered corporation receives NASDAQ Staff Deficiency Letter

Tongxin International Ltd., a British Virgin Islands-registered company supplying engineered vehicle body structures (EVBS) in China, received a NASDAQ Staff Deficiency Letter indicating that TXIC no longer complies with NASDAQ listing rules for continued listing. The reason was failure of the company to file by the due date its audited consolidated financial statements for the year ended December 31, 2009. The due date, as extended, was July 15, 2010.

According to NASDAQ listing rules, now Tongxin International has 60 days to submit a plan to comply with the rules. The company informed in the press release about its intention to provide the plan and timetable to achieve compliance in the near term.