HAINAN, CHINA, Nov 10, 2008 –Shiner
International, Inc. (NASDAQ: BEST; website: http://www.shinerinc.com/ ), a
market leader in China’s packaging and anti-counterfeiting plastic
film industry, today announced financial results for the third
quarter ended September 30, 2008, highlighted by a 22.9 percent
increase in revenue and a 51.5 percent increase in net income.
Shiner reported total revenue of $15.2 million for 3rd quarter of
2008, compared with $12.3 million in the same period of 2007.
Outstanding top line performance was primarily driven by strong
growth across its core business lines, particular from
anti-counterfeiting film, which was up a record 934 percent from the
same quarter last year as a result of bigger orders from existing
clients and new orders from both domestic and international
markets.
Net income in the 3rd quarter increased to $1.9 million, or $0.08
per fully diluted share, compared to $1.2 million, or $0.06 per
fully diluted share, in the same quarter of last year, a 51.5
percent increase. The continuing increase in both sale volume and
price, with the help of better overall capacity utilization, are the
main contributors to this record growth. Shiner also benefited from
product structure adjustment and technical improvements, which
resulted in the Company’s gross margin improving from 4.4 percent in
last year’s third quarter to 18.8 percent in the current
quarter.
In terms of the breakdown, for the quarter ended September 30,
2008, coated film products accounted for approximately 24.9 percent
of overall revenue, while BOPP tobacco film accounted for 27.4
percent. The Company noted that anti-counterfeiting film products
continue to grow as a percentage of overall revenue, contributing
27.9 percent, up from 3.0 percent in the third quarter of
2007. Color printing accounted for the remaining 19.8 percent
of revenue in the quarter.
“We are very pleased with the 3rd quarter results. The strong
financial performance reflects a continuation of the growth momentum
we had established in 2007,” said Mr. Jian Fu, CEO of Shiner
International. “The market once again tells us the popularity
and the competitiveness of our two anchor product lines-anti
counterfeiting film and coated film, there is no doubt that we are
becoming a rising solution provider for combatting the
counterfeiting problem in China. Looking ahead, we will continue to
focus on our key markets in both anti-counterfeit and packaging,
leveraging our brand influence, top tier market presence, and unique
one-stop service model, to take advantage of numerous growth
opportunities domestically and internationally. Our focused
strategies, unique business model and superior execution give us the
confidence in our abilities to deliver sustainable fast growth in
2008 and beyond.”
About Shiner International, Inc.
NASDAQ listed Shiner International (http://www.shinerinc.com/) is a
U.S. corporation that has its primary operations in China.
Headquartered in the city of Haikou - China's "Hawaii” - Shiner's
products include coated packaging film, shrink-wrap film, common
packaging film, anti-counterfeit laser holographic film and
color-printed packaging materials. Approximately 60 percent of
Shiner's current customers are located in China, with the remainder
spanning Southeast Asia, Europe, the Middle East and North America.
Shiner holds 13 patents on products and production equipment, and
has additional patent applications pending. The Company’s
coated films meet the approval of U.S. FDA requirements, as well as
those required for food packaging sold in the EU. Shiner's
product manufacturing process is certified under ISO 9001:2000.
Safe Harbor Statement
All statements in this press release that are not historical are
forward-looking statements made pursuant to the "safe harbor"
provisions of the Private Securities Litigation Reform Act of 1995.
You are cautioned not to place undue reliance on any forward-looking
statements in this press release as they reflect Shiner
International, Inc.'s current expectations with respect to future
events and are subject to risks and uncertainties that may cause
actual results to differ materially from those contemplated.
Potential risks and uncertainties include, but are not limited to,
the risks described in Shiner's filings with the Securities and
Exchange Commission.
Contact Us:
Mr. Qingtao Xing
President
Shiner International, Inc.
Tel: +86-1387-6683-099
Email: qingtao.xing@shinerinc.com or info@shinerinc.com
Shiner International,
Inc.
Consolidated Statement Of
Operations
|
|
Three Months Ended September 30 |
Nine Months Ended September 30 |
|
2008 |
2007 |
2008 |
2007 |
|
(unaudited) |
(unaudited) |
(unaudited) |
(unaudited) |
|
|
|
|
|
Net Revenue |
$
15,159,122 |
$ 12,331,074 |
$ 40,597,208 |
$ 27,630,207 |
|
|
|
|
|
Cost of Revenue |
12,312,144 |
10,559,937 |
32,391,728 |
22,996,228 |
|
|
|
|
|
Gross profit |
2,846,978 |
1,771,137 |
8,205,480 |
4,633,979 |
|
|
|
|
|
Operating expenses |
|
|
|
|
Selling expenses |
427,943 |
310,505 |
1,132,323 |
835,176 |
General and administrative expenses |
765,306 |
312,934 |
1,886,346 |
1,190,893 |
Total operating expenses |
1,193,249 |
623,439 |
3,018,669 |
2,026,069 |
|
|
|
|
|
Income from operations |
1,653,729 |
1,147,698 |
5,186,811 |
2,607,910 |
|
|
|
|
|
Non-operating income (expense): |
|
|
|
|
Other income, net |
464,488 |
236,310 |
589,520 |
496,692 |
Interest income |
3,425 |
4,671 |
20,864 |
12,961 |
Interest expense |
(41,104) |
(22,458) |
(59,815) |
(62,013) |
Exchange loss |
(43,126) |
(37,702) |
11,659 |
(134,287) |
|
|
|
|
|
Total non-operating income (expense) |
383,683 |
180,821 |
562,228 |
313,353 |
|
|
|
|
|
Income before income tax |
2,037,412 |
1,328,519 |
5,749,039 |
2,921,263 |
|
|
|
|
|
Income tax |
173,915 |
98,347 |
495,394 |
245,979 |
|
|
|
|
|
Net income |
1,863,497 |
1,230,172 |
5,253,645 |
2,675,284 |
Shiner International, Inc.
Consolidated Balance Sheets
|
|
September 30, 2008 |
|
December
31,
2007 |
ASSETS |
|
(unaudited) |
|
|
|
|
|
|
|
CURRENT ASSETS: |
|
|
|
|
Cash & cash equivalents |
$ |
2,610,137 |
$ |
4,607,434 |
Accounts receivable, net of allowance for doubtful accounts
of $144,049 and
$84,964
|
|
11,653,565 |
|
8,988,559 |
Advances to suppliers |
|
2,659,604 |
|
2,514,681 |
Notes receivable |
|
380,380 |
|
39,755 |
Inventory |
|
8,764,445 |
|
6,411,267 |
Prepaid expense & other current assets |
|
259,774 |
|
432,211 |
|
|
|
|
|
Total current assets |
|
26,327,905 |
|
22,993,907 |
|
|
|
|
|
Property and equipment, net |
|
15,211,527 |
|
5,457,961 |
Advance for purchase of equipment |
|
- |
|
3,409,721 |
Intangible assets |
|
357,210 |
|
339,593 |
|
|
|
|
|
TOTAL ASSETS |
$ |
41,896,642 |
$ |
32,201,182 |
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS'
EQUITY |
|
|
|
|
|
|
|
|
|
CURRENT LIABILITIES: |
|
|
|
|
Accounts payable |
$ |
6,855,739 |
$ |
4,545,629 |
Other payables |
|
363,878 |
|
1,396,233 |
Unearned revenue |
|
433,898 |
|
520,056 |
Accrued payroll |
|
37,912 |
|
41,267 |
Short term loans |
|
3,288,407 |
|
822,528 |
Dividend payable |
|
63,141 |
|
65,110 |
Tax and welfare payable |
|
147,575 |
|
924,137 |
|
|
|
|
|
Total current liabilities |
|
11,190,550 |
|
8,314,960 |
|
|
|
|
|
Commitments and contingencies |
|
- |
|
- |
|
|
|
|
|
STOCKHOLDERS' EQUITY: |
|
|
|
|
Common stock, par value $0.001; 75,000,000 shares
authorized, 24,650,000 and 24,650,000 shares issued and
outstanding |
|
24,650 |
|
24,650 |
Additional paid-in capital |
|
11,174,179 |
|
11,153,503 |
Other comprehensive income |
|
2,929,940 |
|
1,384,391 |
Statutory reserve |
|
2,893,175 |
|
2,374,069 |
Retained earnings |
|
13,684,148 |
|
8,949,609 |
Total stockholders' equity |
|
30,706,092 |
|
23,886,222 |
|
|
|
|
|
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
$ |
41,896,642 |
$ |
32,201,182 |
Source: Shiner International,
Inc. |
