TIANJIN, China, April 14 /PRNewswire-Asia/ -- Yayi International Inc., (OTC Bulletin Board: YYIN) ("Yayi International" or "the Company"), the first mover and a leading producer and distributor of premium goat milk formula products for infants, toddlers, young children, and adults in the People's Republic of China ("China"), today announced it has provided new guidance for the fiscal year ending March 31, 2011, on the back of stronger than expected growth opportunities.
Yayi International now expects net sales for the new fiscal year ending March 31, 2011 to be in the range of $58.6 million to $65.9 million, compared with the Company's earlier guidance of net sales between $43.9 million and $58.6 million for the fiscal year ending October 31, 2010. On March 26, 2010, Yayi International changed its fiscal year end from October 31 to March 31 to devote time and resources to operations during the peak season for sales in the fourth quarter of the calendar year and to focus on annual budgeting and audit preparations during the first quarter of the calendar year.
The Company's new guidance reflects the very positive market reaction following a successful distributor conference in January 2010. To date, Yayi International has secured approximately $44.6 million in sales contracts with terms ending on December 31, 2010. The Company expects that such contracts will be renewed in 2011 on similar terms. The total value of sales contracts for 2010 represents an increase of $14.1 million from $30.5 million as disclosed by the Company on March 17, 2010.
"We are proud to ramp up sales in a very short time span supported by the commitment of our distributors," said Ms. Li Liu, Chief Executive Officer of Yayi International. "This progress demonstrates the strong brand equity commanded by our 'Milk Goat' brand and the premium quality of our goat milk products. Our diligent efforts for the past few months to restructure our sales network and refine marketing strategy have finally translated into a solid pipeline of sales contracts, indicating significant sales growth going forward. As capacity expansions at our Shaanxi and Tianjin facilities are both progressing according to plan, we believe we are well positioned to meet this increase in demand and are confident in our ability to meet our new guidance."
About Yayi International
Yayi International is the first mover and a leading producer and distributor of premium goat milk formula products for infants, toddlers, young children and adults in China. Its current formula product lines are targeted at the premium market segment and health-conscious consumers. The Company has a vertically-integrated production process. It sources raw goat milk from its proprietary dairy farms and neighboring goat dairy farmers on a long-term contract basis in milk collection centers, which ensures high quality control of its products. The Company's distribution network comprises of a nationwide footprint across China in 27 provinces and municipalities including infant-maternity store chains, supermarkets (including multinational chains), and drug stores as well as catalogue sales and a dedicated online store at Taobao.com.
Forward-looking Statements:
This press release contains certain statements that may include 'forward-looking statements'. All statements other than statements of historical fact included herein are 'forward-looking statements'. These forward looking statements are often identified by the use of forward-looking terminology such as 'believes,' 'expects' or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website ( http://www.sec.gov ). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
For more information, please contact:
Company Contact:
Ms. Veronica Chen, Chief Financial Officer
Email: veronica.chen@milkgoat.com.cn
Tel: +86-22-2798-4169
Investor Relations Contact:
Ms. Linda Salo, Sr. Financial Writer
Email: linda.salo@ccgir.com
Tel: +1-646-922-0894 (NY office)
Mr. Crocker Coulson, President
Email: crocker.coulson@ccgir.com
Tel: +1-646-213-1915 (NY office)
Web: http://www.ccgirasia.com
