Breaking News Alert
issued for ZYCI - August 14th, 2012 |
- Last Trade: $
- Change:
- Open: $
- High: $
- Low: $
- Volume:
Company Snapshot |
Ziyang Ceramics Corporation
US Office:
431 Fairway Drive
Suite 261
Deerfield Beach, FL 33441
China Office Corporate Address:
Xi Lv Biao Industrial Park
Longdu Street
Zhucheng City, Shandong Province,
China 262200
www.ziyangcorp.com U.S. Representative:
Pearl Group Advisors
Dore Perler
Tel: (954) 232-5363
Email: Dore@PearlGroupAdvisors.com
Sector: Building Materials
Ticker Symbol: ZYCI
Exchange: OTCBB
Market Value: $23.3Mil
Shares Outstanding: 10,001,220
Float: APX 356,406
|
Social Network Connections |
|
Ziyang Ceramics Reports Financial Results for the Second Quarter Ended June
30, 2012
Zhucheng, China--(8/14/2012) – Ziyang Ceramics
Corporation (OTC.BB: ZYCI), a leading
manufacturer of high quality interior porcelain
tiles in China, announced today its financial
results for the second quarter ended June 30,
2012.
- Second quarter 2012 revenue climbs to
$14.4 million, up 45.6% from revenue of $9.9
million recorded in the second quarter of
2011
- Second quarter 2012 net income
reaches $4.0 million, up 76.1% from $2.3
million recorded in the second quarter of
2011
- Gross margin climbs to 37.6% and net
margin reaches 27.8% in the second quarter
of 2012
- Basic and diluted EPS reached $0.82
for the first six months of 2012 on 9
million weighted average shares outstanding
Financial Highlights
For the second quarter of 2012, total
revenues reached $14.4 million, up 45.6% from
$9.9 million recorded in the second quarter of
2011. The increase in revenue was primarily
driven by the increase in sales from our new
line of interior porcelain wall tiles launched
in August of 2011. Gross profit in the second
quarter of 2012 increased to $5.4 million, up by
54.8% from $3.5 million achieved in the second
quarter of 2011. Gross profit margin increased
to 37.6% in the second quarter of 2012, compared
to 35.4% in the same period of 2011 primarily
due to the higher sales of our premium
polycrystalline floor tiles where gross margin
reached 42%. Overall net margin in the second
quarter of 2012 increased to 27.8%, up from
23.0% recorded in the same period in 2011. Total
operating expenses for the second quarter of
2012 decreased to $531,000, down 13.4% from
$613,000 recorded in the same period in 2011.
The decrease in operating expenses is primarily
due to a reduction in retirement insurance
expense.
For the second quarter of 2012, net income
rose 76.1% to $4.0 million with earnings per
basic and diluted share of $0.40 on 10 million
weighted average shares outstanding. This
compares to net income of $2.3 million recorded
in the second quarter of 2011with earnings of
$3.83 per basic and diluted share on 590,000
weighted average shares outstanding. The
increase in the number of common shares
outstanding in 2012 is a result of the issuance
of 8.9 million shares in May of 2012 upon full
conversion of two outstanding promissory notes
we issued in connection with our acquisition of
Ziyang Ceramic Company.
For the first six months, total revenues
reached $25.8 million, up 48.6% from $17.3
million recorded in the same period in 2011. Net
income for the first six months totaled $7.1
million, an increase of 78.7% from $4.0 million
recorded for the six month period in 2011. We
recorded earnings per basic and diluted share of
$0.82 for the first six months of 2012 on 9
million weighted average shares outstanding.
At June 30, 2012, total cash was $5.8 million
after the payment of $5.1 million in long term
prepaid rent for 24 acres of land we plan to use
for additional facility expansion and the
repayment of approximately $2.6 million in loans
outstanding. This compares to cash and cash
equivalents of $5.9 million at December 31,
2011. Current assets were $14.2 million at June
30, 2012 compared to current assets of $14.1
million at December 31, 2011. Total shareholder
equity increased by 33.5% to $29.0 million,
compared to shareholder equity of $21.7 million
at December 31, 2011.
Commenting on the financial results for the
second quarter and six months of 2012, Mr.
Lingbo Chi, CEO of Ziyang Ceramics, stated, "We
are extremely pleased with our performance this
quarter as we continue to meet or exceed our
sales targets while increasing margins and
controlling expenses. We have further
strengthened our distribution base in the second
quarter as our interior and higher-end tiles
continue to be well received in our end markets.
We are confident in our ability to build on our
strong performance in the first half of 2012 and
we believe our investments for the future for
facility expansion will enable us to expand for
the foreseeable future as we look to
opportunistically grow our business. We continue
to see our full year 2012 revenue exceeding $55
million with $14 million in net income. Our
entire team is working diligently to further our
growth in the coming quarters and years to help
us maximize the value of our company for the
benefit of our shareholders.”
Continued...
Read the entire Press Release & ZYCI's full
disclosures on YahooFINANCE.com
About Ziyang
Ceramics Corporation |
Founded
in 2006, Ziyang Ceramics Corp. ("Ziyang
Ceramics" or ZYCI) is a leading manufacturer of
high quality interior porcelain tiles in China
for use in residential and commercial
applications. ZYCI has built an extensive and
growing network of more than 150 distributors
targeting numerous major second and third tier
cities throughout 10 provinces in China. Ziyang
Ceramics sells s products under the three well
established brand names of "FuYunDe", "Luckway"
and "GEF". The Company also provides private
label products to large distributors who market
these products under their own brand names.
Today, Ziyang Ceramics operates a 775,000 square
foot production facility with an annual
production capacity of approximately 18 million
square meters located in the city of Zhucheng in
Shandong province, on the central eastern coast
of China. ZYCI's state of the art facility runs
multiple production lines to produce an exciting
spectrum of porcelain tile selections in three
main product categories with more than 50
different size and color combinations to choose
from. During the production process we increase
efficiency and reduce environmental impact by
recovering and reusing waste water, waste gas,
and waste dust.
- Leading porcelain tile producer in China
with Vast sales and distribution network &
High growth potential
- 3 fully automated production lines with
annual output of over 200 million sq.ft. of
tiles
- Owns mining rights to 6 local mines with
estimated reserves of approximately
21million tons of white clay raw material
- Loyal customer base and a strong sales
network - Top 10 distributors account for
54% of sales and have purchased from us for
over four years
- End customers include commercial and
residential developers for malls, banks,
government buildings, high-end residential
apartments, and rural dwellers
- Received the Green Building Ceramics
Recommended Certification of China from
China Building Ceramic and Sanitary Ware
Association
Why Consider
Ziyang Ceramics Corporation Today - Investment Considerations |
The sheer size of China’s housing market offers
opportunity for Ziyang to grow even if home
prices drop. According to analysts at international
property consultancy Knight Frank, “China has
the world’s largest housing market, and
investors—both foreign and local—has immense
interest in this thriving sector. In 2011, an
estimated 9.6 million new homes were sold across
mainland China. The real estate sector accounted
for 20.4% of China’s RMB30.2-trillion fixed
asset investments last year.China’s
residential real estate market has been one of
the best performing markets in the world, with a
five-year price appreciation of 110.9% through
December 31, 2011.
In the largest first tier cities, including
Beijing, Shanghai, and Shangdong, the coastal
city that’s experiencing accelerated growth both
in its economy and population, and consequently
serving as Ziyang’s headquarters and
manufacturing facility, the cost of a home in
the most desirable neighborhoods have reached
levels that make them inaccessible to all but a
privileged few.
Ziyang Ceramics is well positioned to benefit
from accelerated growth both in China's economy
and population. The company could also improve
on its profit margins as it now owns licensure
to mine resources, providing low cost access to
raw materials, and a well-established
distribution network to move the final product
to market. Based on general market trends for
residential real estate construction in China,
Ziyang to is expected to continue growing.
Ziyang Ceramics carries very
little long-term debt relative to the size of
the company’s earnings, reporting current
liabilities at just $9.7 million. Compared with
Ziyang’s total assets account of more than $34
million, the company is in a unique position to
take advantage of China’s record low interest
rates to ramp up production should they choose
to in the future.
The stock of Ziyang Ceramics is undervalued by
fundamental measures in the market. Based on the
company’s SEC filings, earnings have totaled
more than $12.3 million in the past 12 months.
Recent Ziyang
Ceramics Corporation News Releases and Filings |
Ziyang Ceramics Signs Ten New OEM Distribution
Agreements in the Second Quarter of 2012
Collectively Requiring Minimum Sales of $1.3
Million per Month
Bullworthy, LLC Initiates Coverage on Ziyang
Ceramics Corporation With Detailed Research
Report
Ziyang Ceramics Reports Financial Results for
the First Quarter Ended March 31, 2012
Ziyang Ceramics Reports Financial Results for
the Year Ended December 31, 2011
Ziyang Ceramics CEO Releases Letter to
Shareholders
Form 8-K for ZIYANG CERAMICS CORP
ZIYANG CERAMICS CORP Financials
FN Media Group LLC (FNMG) owns and operates
FinancialNewsMedia.com (FNM) which disseminates
electronic information through multiple online
media channels. FNMG's intended purposes are to
deliver market updates and news alerts issued
from private and publicly trading companies as
well as providing coverage and increased
awareness for companies that issue press to the
public via online newswires. FNMG and its
affiliated companies are a news dissemination
and financial marketing solutions provider and
are NOT a registered
broker/dealer/analyst/adviser, holds no
investment licenses and may NOT sell, offer to
sell or offer to buy any security. FNMG's market
updates, news alerts and corporate profiles are
NOT a solicitation or recommendation to buy,
sell or hold securities. An offer to buy or sell
can be made only with accompanying disclosure
documents from the company offering or selling
securities and only in the states and provinces
for which they are approved. The material in
this release is intended to be strictly
informational and is NEVER to be construed or
interpreted as research material. All readers
are strongly urged to perform research and due
diligence on their own and consult a licensed
financial professional before considering any
level of investing in stocks. The companies that
are discussed in this release may or may not
have approved the statements made in this
release. Information in this release is derived
from a variety of sources that may or may not
include the referenced company's publicly
disseminated information. The accuracy or
completeness of the information is not warranted
and is only as reliable as the sources from
which it was obtained. While this information is
believed to be reliable, such reliability cannot
be guaranteed. FNMG disclaims any and all
liability as to the completeness or accuracy of
the information contained and any omissions of
material fact in this release. This release may
contain technical inaccuracies or typographical
errors. It is strongly recommended that any
purchase or sale decision be discussed with a
financial adviser, or a broker-dealer, or a
member of any financial regulatory bodies.
Investment in the securities of the companies
discussed in this release is highly speculative
and carries a high degree of risk. FNMG is not
liable for any investment decisions by its
readers or subscribers. Investors are cautioned
that they may lose all or a portion of their
investment when investing in stocks.
This release is not without bias, and is
considered a conflict of interest if
compensation has been received by FNMG for its
dissemination. To comply with Section 17(b) of
the Securities Act of 1933, FNMG shall always
disclose any compensation it has received, or
expects to receive in the future, for the
dissemination of the information found herein on
behalf of one or more of the companies mentioned
in this release. For current services performed
for Ziyang Ceramics Corporation (OTCBB: ZYCI),
FNMG expects to be compensated five thousand
dollars by a non-affiliated third party which
may hold shares in ZYCI, for news dissemination
services & outreach coverage. FNMG HOLDS NO
SHARES OF Ziyang Ceramics Corporation (OTCBB:
ZYCI).
This release contains "forward-looking
statements" within the meaning of Section 27A of
the Securities Act of 1933, as amended, and
Section 21E the Securities Exchange Act of 1934,
as amended and such forward-looking statements
are made pursuant to the safe harbor provisions
of the Private Securities Litigation Reform Act
of 1995. "Forward-looking statements" describe
future expectations, plans, results, or
strategies and are generally preceded by words
such as "may", "future", "plan" or "planned",
"will" or "should", "expected," "anticipates",
"draft", "eventually" or "projected". You are
cautioned that such statements are subject to a
multitude of risks and uncertainties that could
cause future circumstances, events, or results
to differ materially from those projected in the
forward-looking statements, including the risks
that actual results may differ materially from
those projected in the forward-looking
statements as a result of various factors, and
other risks identified in a company's annual
report on Form 10-K or 10-KSB and other filings
made by such company with the Securities and
Exchange Commission. You should consider these
factors in evaluating the forward-looking
statements included herein, and not place undue
reliance on such statements. The forward-looking
statements in this release are made as of the
date hereof and FNMG undertakes no obligation to
update such statements.
|