JUNAN COUNTY, Shandong, China, Aug. 6 /Xinhua-PRNewswire/ -- American Lorain Corporation (OTC Bulletin Board: ALRC) ("American Lorain" or the "Company"), an international packaged foods company based in Shandong Province, People’s Republic of China ("PRC"), today released the preliminary financial results for the second quarter of fiscal year 2008 ended on June 30, 2008. The Company will release full quarterly results prior to filing second quarter results on Form 10-Q.
Based on the preliminary results, the Company expects to report revenues of approximately $21 million for the second quarter of 2008, exceeding the revenues of $13.3 million in the second quarter of 2007 by 57%. Revenue growth was mainly attributed to strong sales of chestnut products both abroad and domestically. The Company expects net income for the second quarter of 2008 to total approximately $2.1 million, compared to a loss of $209,869 in the same period prior year. These preliminary results have not been completely reviewed by the Company’s auditors and are therefore subject to changes.
"Based on the preliminary results for the second quarter, I am confident that our strong performance in terms of revenue growth will resonate throughout the rest of the year," said Mr. Si Chen, CEO of American Lorain. "Because of the seasonal nature of chestnut production, the bulk of our sales are concentrated to the fourth quarter each year. In 2007, our revenues in the fourth quarter accounted for more than 40% of annual revenues."
The Company reaffirms its "make-good" provision of $12.956 million, in after-tax net income, for fiscal year 2008.
About American Lorain Corp.
Shandong Lorain, an indirectly owned subsidiary of American Lorain Corp., was founded by Mr. Si Chen, CEO of American Lorain, in Shandong Province, People’s Republic of China, in 1995. When American Lorain started its operations in 1995, the Company sold chestnut products. In 2002, the Company entered the canned, frozen and bulk foods packaged market and in 2004, the Company entered the convenience and packaged foods market. The Company’s chestnut products are mostly exported, while the convenience food, and frozen, canned and bulk food products are sold domestically in China.
Safe Harbor Statement
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release contains certain statements that may include 'forward-looking statements within the meaning of federal securities laws. All statements, other than statements of historical facts, included herein are forward-looking statements. 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 and available from the Securities and Exchange Commission. 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.
