omniture

American Lorain Corporation Reports 2012 First Quarter Financial Results

2012-05-16 04:05 1110

JUNAN COUNTY, China, May 16, 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%


About American Lorain Corporation

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
March 31, 2012 and December 31, 2011, respectively



-


-

Common stock, $0.001 par value, 200,000,000 shares authorized;
34,507,874 shares issued and outstanding as of March 31, 2012 and
December 31, 2011, respectively



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
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Keywords: Food/Beverages
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