Jinpan International Announces Preliminary Third Quarter 2014 Financial Results and Updates 2014 Guidance

CARLSTADT, N.J., Oct. 13, 2014 /PRNewswire/ -- Jinpan International Limited (Nasdaq: JST), a leading designer, manufacturer, and distributor of cast resin transformers, today announced preliminary financial results for the third quarter ending September 30, 2014, and updated its guidance for the full year 2014.

For the third quarter, revenue is expected to be approximately $62 million and net income is expected to be approximately $3.8 million, or $0.23 per share. 

For the full year 2014, revenue is now expected to increase 0% to 3% from the previous year to a range of $226 million and $233 million and net income is expected to increase 0% to 3% to a range of $16.5 million and $17.0 million, or $0.99 to $1.02 per share. This earnings guidance excludes expenses associated with the proposed going private transaction. Previous full year guidance was for revenue between $248 million and $260 million and net income between $18.2 million and $19.1 million, or $1.09 and $1.14 per share.

This guidance revision is due to a general slow-down in China's economy, which has caused delays in some of our customers' projects. These delays were pronounced in August and September, which impacted shipments during the third quarter. 

Mr. Zhiyuan Li, Chief Executive Officer of Jinpan International, stated, "While we have positioned our business to effectively compete within China's slower growth environment, near-term uncertainty within the economy has delayed some of our customers' projects. We will continue to execute on our strategy by maintaining our focus on quality, diversifying our product line, and targeting growth segments.  We believe our technology and quality advantages will allow us to strengthen our competitive position during these market fluctuations."

The Company will host a conference call in the middle of November 2014, coincident with the release of its financial results for the third quarter ending September 30, 2014. 

About Jinpan International Ltd

Jinpan International Limited (NASDAQ: JST) designs, manufactures, and markets electrical control and distribution equipment used in demanding industrial applications, utility projects, renewable energy installations, and infrastructure projects. Major products include cast resin transformers, VPI transformers and reactors, switchgears, and unit substations. Jinpan serves a wide range of customers in China and reaches international markets as a qualified supplier to leading global industrial electrical equipment manufacturers. Jinpan is one of the largest manufacturers of cast resin transformers in China by production capacity. Jinpan's four manufacturing facilities in China are located in the cities of Haikou, Wuhan, Shanghai and Guilin. The Company was founded in 1993. Its principal executive offices are located in Haikou, Hainan, China and its United States office is based in Carlstadt, New Jersey. For more information, visit www.jinpaninternational.com. 

Safe Harbor Provision

This press release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management's current expectations and observations and involve known and unknown risks, and uncertainties or other factors not under the Company's control, which may cause actual results, performance or achievements of the company to be materially different from the results, performance or other expectations implied by these forward-looking statements. These factors are listed from time-to-time in our filings with the Securities and Exchange Commission, including, without limitation, our Annual Report on Form 20-F for the period ended December 31, 2013 and our subsequent reports on Form 6-K. Except as required by law, we are not under any obligation, and expressly disclaim any obligation, to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE Jinpan International Limited