AgFeed Industries, a leader in China’s premix animal nutrition industry, showed excellent performances in the second quarter of this year with an income increase of 510% and gross profit rise of 229%.
The following are some of the key performance highlights for the three months
ended June 30, 2007:
AgFeed’s net income increased 510% to approximately
$1.46 million or $0.06 per fully diluted share compared to the same period
Net revenue increased to approximately $6.89 million, up
approximately 229%, and gross profit increased approximately $2 million or 151%
compared to the same period in 2006.
During the six month period ended
June 30, 2007, AgFeed’s net income increased to approximately $2.24 million or
$0.09 per fully diluted share compared to the same period in 2006.
Company’s revenues increased to approximately $11.8 million, up 183% and gross
profit increased to approximately $3.5 million or a 123% increase, compared to
the same period in 2006.
Huijie subsidiary, acquired in December of 2006, contributed approximately 27%
of the Company’s revenues and approximately 26% of the total volume of products
sold during the period.
The Airubao Series of products that the company
introduced earlier this year was very successful, contributing approximately
$5.3 million in sales.
Growth of industry
Junhong Xiong, CEO
of AgFeed commented, “In a favourable market environment in which pork prices
have continued to increase in China, we see continued market expansion and
growth in our premium animal feed industry. “Rising consumer incomes across
China lead to greater demand for better and more meat products which encourage
hog farmers to substantially increase stock in animal production.
demand for our premium animal feed products benefits from such industry demand
and our business remains strong. We are confident that AgFeed is on track to
continue achieving revenue and profit growth throughout 2007,” Junhong Xiong