The Board of Directors of the British Virgin Islands-registered company Euro Tech Holdings Company Limited approved a reverse stock split of the Company’s ordinary shares, which is effective from January 13, 2012.
After the Reverse Split, every eleven ordinary shares outstanding prior to the Reverse Split will be converted to two ordinary shares. Any owner of less that one full share of the new shares will receive cash in lieu of the fractional shares.
The company’s transfer agent, American Stock Transfer & Trust Company, LLC, will process the corporate action. BVI company’s shareholders are required to exchange their current stock certificates for new ones representing new shares.
In the first press release, the BVI company announced that “D” would be added on the ticker symbol for 30 days once the Reverse Split is effective. However, on January 17 the company corrected the previous announcement, saying that no change would be made to the trading symbol upon effectiveness of the Reverse Split.
British Virgin Islands-registered Pansoft Company Limited reported unaudited financial results for the fiscal 2011 business year ended June 30, 2011. In the reported year, company’s revenues were US$19.2 mln – 59% increase as compared to the previous fiscal year. Approximately 72.2% of this amount was contributed by Pansoft China and 27.8% by newly acquired businesses. Gross profit was US$6.4 mln – this is 10% increase versus the previous year. Operating profit was US$1.4 mln, compared to US$3.6 mln in the year 2010. Operating expenses were US$5 mln, this is 129.2% increase from US$2.2 mln in the fiscal year ended June 30, 2010.
Other highlights of the report for the year 2011: net income attributable to Pansoft shareholders was US$1.4 mln, compared to US$3.2 mln in the prior fiscal year, net income per diluted share attributable to Pansoft shareholders was US$0.25 (US$0.59 in 2010). Comprehensive income attributable to common shareholders of the BVI company was US$2.2 mln (US$3.3mln in the previous year). In the year 2011, cost of sales was US$12.8 mln, this is a 104.4% increase from US$6.3 mln in the prior fiscal year.
Pansoft’s Chairman of the Board Hugh Wang has commented on the results, saying that the company is mostly satisfied with their business results for fiscal 2011. This year, the company also completed the acquisition of Hefei Langji Technology Co., Ltd., a leading HR solution provider to China’s coal-mining industry, and its wholly-owned sales and marketing arm Shanghai Zhongrui for a total amount of approximately $1.7 million.