American Lorain Corporation Reports 2012 First Quarter Financial Results
JUNAN COUNTY, China, May 15, 2012 /PRNewswire-Asia-FirstCall/ -- American Lorain Corporation (NYSE Amex: ALN) ("American Lorain" or the "Company"), an international processed snack foods, convenience foods, and frozen foods company based in the Shandong Province, China, today announced financial results for its first quarter ended March 31, 2012.
Q1 2012 Operational Highlights
- Strong sales in convenience and frozen food product lines with growth of 28.4% and 53.7%, respectively, over same period of last year
- Convenience food segment continued to grow as a percent of total revenue
- Domestic sales accounted for 78.9%, as compared to 74.5% over same period of last year
Q1 2012 Financial Highlights
- Total revenues of $37.1 million, an increase of 22.0% year over year
- Net income attributable to common stockholders of $3.6 million, up 47.6% year-over-year
- Diluted earnings per share of $0.10
2012 First Quarter Financial Review
| American Lorain Corporation |
|||||
| Selected Financial Statements in USD ($ in 000s) |
|||||
| 3 months ended |
3 months ended |
% Increase / Decrease |
|||
| 3/31/2012 |
3/31/2011 |
||||
| Sales |
$37,141,031 |
$30,449,805 |
21.97% |
||
| Cost of Revenues |
($29,683,226) |
($23,674,895) |
25.38% |
||
| Gross Profit |
$7,457,805 |
$6,774,910 |
10.08% |
||
| Gross Profit Ratio |
20.08% |
22.20% |
|||
| Income from operations |
$4,784,376 |
$3,936,277 |
21.55% |
||
| Earnings before tax |
$4,946,137 |
$3,463,759 |
42.80% |
||
| Net income attributable to common stockholders |
$3,582,365 |
$2,426,288 |
47.65% |
||
| Diluted earnings per share |
$0.10 |
$0.07 |
48.30% |
||
| Weighted average diluted shares outstanding |
34,507,874 |
35,155,958 |
-1.84% |
||
- The Company reported sales for the 2012 first quarter of $37.1 million, an increase of 22.0% compared to $30.4 million in the first quarter of 2011.
- Gross profit increased 10.1% to $7.5 million from $6.8 million in the prior-year period. Gross margin declined to 20.1% for the three months ended March 31, 2012, from 22.2% for the prior-year period. The decrease is primarily due to increase inflation pressure for raw materials as well as increase labor cost.
- Income from operations during the period was $4.8 million, an increase of 21.5% from $3.9 million reported in the prior year period. Operating margin for the 2011 first quarter remained the same at 12.9% compared with prior year.
- The Company had net income attributable to common shareholders for the first quarter of 2012 of $3.6 million, or $0.10 per diluted share based on 34.5 million diluted shares outstanding, compared to $2.4 million, or $0.07 per diluted share based on 35.2 million diluted shares outstanding in the prior-year period.
Balance Sheet Highlights and Financial Position
| (in millions) |
3/31/2012 |
3/31/2011 |
% Increase |
||
| Cash and Cash Equivalents |
$ |
19.5 |
$ |
18.6 |
4.84% |
| Restricted Cash |
15.1 |
4.9 |
208.16% |
||
| Working Capital |
87.1 |
70.8 |
23.02% |
||
| Total Debt |
55.8 |
47.3 |
17.97% |
||
| Stockholders' Equity |
161.4 |
133.4 |
20.99% |
American Lorain Corporation products include chestnut products, convenience food products and frozen food products. The Company currently sells over 240 products to 26 provinces and administrative regions in China as well as to 42 foreign countries. The Company operates through its five direct and indirect subsidiaries and one leased factory located in China. For further information about American Lorain Corporation, please visit the Company's website at http://www.americanlorain.com.
Forward-Looking Statements
This press release contains certain "forward-looking statements" that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and the actual results and future events could differ materially from management's current expectations. Such factors include, but are not limited to, the Company's ability to obtain the necessary financing to continue and expand operations, to market its products in new markets and to offer products at competitive pricing, to attract and retain management, and to integrate and maintain technical information and management information systems, political and economic factors in the PRC, compliance requirement of laws and regulations of the PRC, the effects of currency policies and fluctuations, general economic conditions and other factors detailed from time to time in the Company's filings with the United States Securities and Exchange Commission and other regulatory authorities. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
| AMERICAN LORAIN corporation |
|||||||
| CONSOLIDATED STATEMENTS OF INCOME |
|||||||
| FOR THE THREE MONTHS ENDED MARCH 31, 2012 and 2011 |
|||||||
| (Stated in US Dollars) |
|||||||
| March 31, |
March 31, |
||||||
| 2012 |
2011 |
||||||
| Net revenues |
$ |
37,141,031 |
$ |
30,449,805 |
|||
| Cost of revenues |
(29,683,226) |
(23,674,895) |
|||||
| Gross profit |
$ |
7,457,805 |
$ |
6,774,910 |
|||
| Operating expenses |
|||||||
| Selling and marketing expenses |
(1,371,275) |
(1,362,686) |
|||||
| General and administrative expenses |
(1,302,154) |
(1,475,947) |
|||||
| (2,673,429) |
(2,838,633) |
||||||
| Operating income |
$ |
4,784,377 |
$ |
3,936,277 |
|||
| Government subsidy income |
635,163 |
293,093 |
|||||
| Interest income |
58,132 |
2,475 |
|||||
| Other income |
396,668 |
44,609 |
|||||
| Other expenses |
(18,734) |
(159,572) |
|||||
| Interest expense |
(909,468) |
(653,123) |
|||||
| 161,761 |
(472,518) |
||||||
| Earnings before tax |
$ |
4,946,137 |
$ |
3,463,759 |
|||
| Income tax |
(1,187,209) |
(895,868) |
|||||
| Net income |
$ |
3,758,928 |
$ |
2,567,891 |
|||
| Other comprehensive income: |
|||||||
| Foreign currency translation gain |
(80,463) |
1,232,883 |
|||||
| Comprehensive Income |
3,678,465 |
3,800,774 |
|||||
| Net income attributable to: |
|||||||
| -Common stockholders |
$ |
3,582,365 |
$ |
2,426,288 |
|||
| -Non-controlling interest |
176,563 |
141,603 |
|||||
| $ |
3,758,928 |
$ |
2,567,891 |
||||
| Earnings per share |
|||||||
| - Basic |
$ |
0.10 |
$ |
0.07 |
|||
| - Diluted |
$ |
0.10 |
$ |
0.07 |
|||
| Weighted average shares outstanding |
|||||||
| - Basic |
34,507,874 |
34,419,709 |
|||||
| - Diluted |
34,507,874 |
35,155,958 |
|||||
| AMERICAN LORAIN corporation |
|||||
| CONSOLIDATED BALANCE SHEETS |
|||||
| AT MARCH 31, 2012 AND DECEMBER 31, 2011 |
|||||
| (Audited) |
|||||
| At March 31, |
At December 31, |
||||
| ASSETS |
2012 |
2011 |
|||
| Current assets |
|||||
| Cash and cash equivalents |
$ |
19,497,808 |
$ |
17,353,494 |
|
| Restricted cash |
15,070,555 |
13,017,371 |
|||
| Trade accounts receivable |
32,102,641 |
41,469,880 |
|||
| Other receivables |
6,514,104 |
6,147,550 |
|||
| Inventory |
35,900,495 |
34,348,997 |
|||
| Advance to suppliers |
17,632,219 |
15,772,736 |
|||
| Prepaid expenses and taxes |
264,620 |
132,710 |
|||
| Deferred tax asset |
165,438 |
164,394 |
|||
| Security deposits and other Assets |
16,477 |
16,373 |
|||
| Total current assets |
$ |
127,164,357 |
$ |
128,423,505 |
|
| Non-current assets |
|||||
| Investment |
475,270 |
472,270 |
|||
| Property, plant and equipment, net |
84,110,655 |
84,377,306 |
|||
| Land use rights, net |
5,417,572 |
5,425,252 |
|||
| TOTAL ASSETS |
$ |
217,167,854 |
$ |
218,698,333 |
|
| LIABILITIES AND STOCKHOLDERS' EQUITY |
|||||
| Short-term bank loans |
$ |
31,557,935 |
$ |
36,018,450 |
|
| Long-term debt – current portion |
57,428 |
57,066 |
|||
| Accounts payable |
3,996,907 |
3,900,317 |
|||
| Taxes payable |
2,656,413 |
4,237,142 |
|||
| Accrued liabilities and other payables |
1,113,921 |
1,938,759 |
|||
| Customers deposits |
728,314 |
- |
|||
| Total current liabilities |
$ |
40,110,918 |
$ |
46,151,734 |
|
| Long-term liabilities |
|||||
| Long-term bank loans |
15,696,920 |
15,597,831 |
|||
| TOTAL LIABILITIES |
$ |
55,807,838 |
$ |
61,749,565 |
|
| STOCKHOLDERS' EQUITY |
|||||
| Preferred Stock, $.001 par value, 5,000,000 shares authorized; 0 shares issued and outstanding at |
- |
- |
|||
| Common stock, $0.001 par value, 200,000,000 shares authorized; |
34,508 |
34,508 |
|||
| Additional paid-in capital |
53,067,243 |
53,015,636 |
|||
| Statutory reserves |
14,658,073 |
13,976,899 |
|||
| Retained earnings |
69,522,079 |
65,939,713 |
|||
| Accumulated other comprehensive income |
15,273,423 |
15,353,885 |
|||
| Non-controlling interests |
8,804,690 |
8,628,127 |
|||
| TOTAL STOCKHOLDER'S EQUITY |
$ |
161,360,016 |
$ |
156,948,768 |
|
| TOTAL LIABILITIES AND |
|||||
| STOCKHOLDER'S EQUITY |
$ |
217,167,854 |
$ |
218,698,333 |
|
| AMERICAN LORAIN corporation |
|||||
| CONSOLIDATED STATEMENTS OF CASH FLOW |
|||||
| FOR THE THREE MONTHS ENDED MARCH 31, 2012 AND 2011 |
|||||
| (Stated in US Dollars) |
|||||
| March 31, |
March 31, |
||||
| 2012 |
2011 |
||||
| Cash flows from operating activities |
|||||
| Net income |
$ |
3,758,928 |
$ |
2,567,891 |
|
| Stock and share based compensation |
51,607 |
173,702 |
|||
| Depreciation of fixed assets |
873,032 |
483,601 |
|||
| Amortization of intangible assets |
55,010 |
44,886 |
|||
| Write down of short-term investments |
- |
44,909 |
|||
| Adjustment to statutory reserve |
678,175 |
- |
|||
| (Increase)/decrease in accounts & other receivables |
7,869,515 |
11,998,911 |
|||
| (Increase)/decrease in inventories |
(1,551,498) |
(8,923,732) |
|||
| Decrease/(increase) in prepayment |
(131,910) |
(238,013) |
|||
| Decrease/(increase) in deferred tax asset |
(1,044) |
(977) |
|||
| Increase/(decrease) in accounts and other payables |
(2,308,977) |
(2,390,331) |
|||
| Net cash (used in)/provided by operating activities |
9,292,838 |
3,760,847 |
|||
| Cash flows from investing activities |
|||||
| Shandong Greenpia acquisition net of cash acquired |
|||||
| Purchase of plant and equipment |
(606,381) |
(791,155) |
|||
| Payment of construction in progress |
- |
(380,266) |
|||
| (Increase)/decrease in restricted cash |
(2,053,184) |
(2,549,882) |
|||
| Payments for the purchase of land use rights |
(47,329) |
(51,902) |
|||
| Payments for security deposits |
(104) |
69,279 |
|||
| Proceeds from sale of short-term investments |
- |
1,698,341 |
|||
| Net cash used in investing activities |
(2,706,998) |
(2,005,585) |
|||
| Cash flows from financing activities |
|||||
| Repayment of notes |
- |
(1,196,589) |
|||
| Proceeds from issuance of notes |
- |
3,053,390 |
|||
| Proceeds from bank borrowings |
4,193,799 |
11,449,469 |
|||
| Repayment of bank borrowings |
(8,554,862) |
(10,376,859) |
|||
| Net cash provided by/(used in) financing activities |
$ |
(4,361,063) |
$ |
2,929,411 |
|
| Net Increase/(decrease) of Cash and Cash Equivalents |
2,224,777 |
4,684,673 |
|||
| Effect of foreign currency translation on cash |
|||||
| and cash equivalents |
(80,463) |
1,187,973 |
|||
| Cash and cash equivalents–beginning of year |
17,353,494 |
12,730,626 |
|||
| Cash and cash equivalents–end of year |
$ |
19,497,808 |
$ |
18,603,272 |
|
| Supplementary cash flow information: |
|||||
| Interest received |
$ |
58,132 |
$ |
2,475 |
|
| Interest paid |
$ |
1,159,514 |
$ |
653,123 |
|
| Income taxes paid |
$ |
2,604,089 |
$ |
2,028,968 |
|
SOURCE American Lorain Corporation
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article