China Agri Ind +5,23% beobachten

China Agricultural

No 3 t/o
606 CHINA AGRI 5.84 0.29 5.23 460,660 79,646


China Agri prices IPO at top range
Mar. 16, 2007  – China Agri-Industries Holdings  has priced its Hong Kong IPO at HK$3.72, the top end of an indicative price range of between HK$3.1 and HK$3.72, due to strong oversubscription. The retail tranche of China Agri-Industries Holdings' IPO has now been more than 1,000 times oversubscribed, said a source to the South China Morning Post on Thursday. Based o.....


BEIJING, March 8 (Xinhua) -- China Agri-Industries Holdings Limited began an initial public offering (IPO) on the Hong Kong stock market on Thursday, according to the State-owned Assets Supervision and Administration Commission (SASAC).

   The IPO will last till noon of March 13 and the company will officially begin trading on March 21, SASAC said.

   The offering price range is 3.1 to 3.72 HK dollars, and the final price will be decided on March 15.

   China Agri-Industries Holdings Ltd. will offer a total of 860.9 million shares in its global offering, including 697.8 million new shares.

   The company, a subsidiary of China National Cereals, Oils, Foodstuffs Import, Export Corporation (COFCO) International Ltd, manufactures, processes and circulates agricultural products.

   After listing on the Hong Kong Joint Exchange, China Agri-Industries Holdings Limited and COFCO International Co., Ltd. will be sister companies under the COFCO.

   COFCO International Co., Ltd. will be renamed China Foods Limited.

   Founded in 1952, COFCO is China's leading grain, oils and foodstuffs import and export group and one of its largest food manufacturers.  

Greetings

China kämpft sich hoch, verdaut die US,...und der letzte IPO Star China Agri performed während ALLE anderen unten bleiben (ausser die kleinen specials wie proactive, die immerhin wieder mehr als 5%..gut machen..)


Last Updated: 27/3/2007 15:30:00 HKT
Stock data is disseminated with 60 minutes delay on this site.
Stock Code Stock Name Nominal
Price($) Change Change(%) Turnover
('000) Volume
('000) Related Information
941 CHINA MOBILE 70.75 0.9 1.26 1,479,706 20,825
857 PETROCHINA 9.04 0.1 1.12 1,331,472 147,985
5 HSBC HOLDINGS 136.8 0.6 0.44 949,016 6,930
728 CHINA TELECOM 3.82 0.15 4.09 793,515 212,233
2628 CHINA LIFE 22.3 0 0.00 783,803 35,155
606 CHINA AGRI 6.02 0.16 2.73 778,052 130,556

606 CHINA AGRI 6.7 0.4 6.35 631,412 96,663

China Agritech Schedules Conference Call to Discuss Fourth Quarter and 2006 Year End Results

   BEIJING, March 30 /Xinhua-PRNewswire-FirstCall/ -- China Agritech, Inc.
(OTC Bulletin Board: CAGC) ("China Agritech"), a leading liquid fertilizer
manufacturer in China, will host a conference call at 9:00 am EST on
Tuesday, April 3, 2007, to discuss results for the fourth quarter and 2006
Year End Results.
   Hosting the call will be Leslie Richardson, of CCG Elite, joined by Mr.
Yu Chang, Chief Executive Officer of China Agritech. The Company plans to
distribute its earnings announcement earlier that same day.
   To participate in the conference call, please dial the following number
five to ten minutes prior to the scheduled conference call time: (888) 482-
0024. International callers should dial 617-801-9702. The pass code for the
call is 541 933 05.
   If you are unable to participate in the call at this time, a replay
will be available on Tuesday, April 3 at 11:00 p.m. ET, through Tuesday,
April 10. To access the replay from the United States dial 888-286-8010, or
617-801-6888 if calling internationally. Enter the conference ID number
35903644.
   This conference call will be broadcast live over the Internet and can
be accessed by all interested parties on the China Agritech website at
www.chinaagritechinc.com . To listen to the live webcast, please go
to the China Agritech website at least fifteen minutes prior to the start
of the call to register, download, and install any necessary audio
software. For those unable to participate during the live broadcast, a
replay will be available shortly after the call on China Agritech's website
for 90 days.
   About China Agritech Inc.
   China Agritech is engaged in the development, manufacturing and
distribution of organic liquid compound fertilizers and related products in
the People's Republic of China. The company has developed proprietary
formulas that provide a continuous supply of high quality agricultural
products while maintaining soil fertility. The company sells it products to
farmers located in twelve provinces of China including: Heilongjiang,
Hebei, Liaoning, Jilin, Shandong, Inner Mongolia, Henan, Sichuan,
Guangdong, Xinjiang, Yunnan and Guizhou. For more information visit
www.chinaagritechinc.com .
   For more information, please contact:

   CCG Elite Investor Relations
    Crocker Coulson, President
    Leslie J. Richardson
    Tel:   +1-646-213-1915
    Email: crocker.coulson@ccgir.com

606 CHINA AGRI 7.05 0.07 1.00 203,455 28,758

   Commenting on the fourth quarter of 2006, Mr. Yu Chang, Chief Executive
Officer of China Agritech, said, "We are very pleased with the top and
bottom line growth we experienced during the fourth quarter. Revenues were
favorably impacted by the introduction of our Lulingbao IV earlier in the
year which added 444 metric tons of sales volume for the quarter. We
recently completed the construction of our third converting facility in
Chongqing at the end of March, and are currently test-running the
production process. We expect production to be fully operational in the
first half of April. Our fourth converting facility in Xinjiang is expected
to come online in May."
   Revenue for the fourth quarter 2006 increased 36.3% to $6.0 million
from $4.4 million in the fourth quarter 2005. The year-over-year increase
in revenue was due to the introduction of Lulingbao IV in the second
quarter of 2006 which added 444 metric tons of sales volume offsetting a
decline in sales volume of Tailong I. For the fourth quarter 2006,
Lulingbao III and Lulingbao IV comprised 36.7% and 38.6% of revenue,
respectively, while Tailong I represented 24.6% of revenue. In the fourth
quarter 2005, Tailong I represented 61.8% of revenue and Lulingbao III
represented the other 38.2%.
   Gross profit for the fourth quarter 2006 was $3.1 million, up 18.3%
from $2.7 million in the fourth quarter 2005. Gross margin was 52.5%,
compared to 60.4% in the same period a year earlier. Gross margin in the
fourth quarter 2005 was positively impacted by a one-time sale of a custom
formula at a favorable price.
   Selling expenses during the quarter were $1.1 million, or 19.0% of
revenue, up from $0.2 million or 5.0% of revenue in the comparable quarter
in 2005. The increase in selling expenses for the quarter was due to costs
associated with the build out of China Agritech's new distribution network.
The company opened 30 sales offices which oversees 600 independent sales
agencies that support its Beijing, Anhui, and Chongqing factories.
   China Agritech recorded credits to operating and administrative
expenses in the fourth quarters 2006 and 2005 of $271,120 and $278,520,
respectively. These credits represent the reversal of certain bad-debt
expenses recorded in the previous three quarters and are normally accounted
for in the fourth quarter.
   Income from operations was $2.3 million, or 37.9% of sales, compared to
$2.7 million, or 61.7% of sales, in the same period of 2005. The year-over-
year decline in operating margin was due to higher selling expenses in the
fourth quarter 2006 and the positive impact of the one-time sale of a
custom formula which contributed to above average margins in the fourth
quarter of 2005.
   Fourth quarter 2006 net income was $1.1 million, up 5.5% from the
fourth quarter of 2005. Fully diluted earnings per share was $0.06 for the
fourth quarter 2006, compared to fully diluted earnings per share of $0.08
for the same period a year earlier. In January 2006, the company completed
a private placement, which increased the number of weighted average diluted
shares to 19.1 million shares in the fourth quarter of 2006, up from 14.2
million in the fourth quarter of 2005.
   2006 Year End Results
   Revenue for the full year 2006 was $29.5 million, up 17% from $25.3
million in 2005. Gross profit was $15.4 million, up 23% from $12.5 million
in the prior year period. Gross margin for the year was 52% compared to
49.3% in 2005. Operating income was $10.4 million, up 27.6% from $8.1
million for the full year 2005. Net income increased 46% in 2006 to $5.3
million, up from $3.7 million in 2005. Fully diluted EPS for the period was
$0.29, compared to $0.26 for the same period 2005.
   Financial Condition
   As of December 31, 2006, China Agritech had $6.5 million in cash,
restricted cash and cash equivalents, working capital of $26.5 million and
no long-term debt. Shareholders' equity stood at $26.9 million, up from
$10.0 million as of December 31, 2005. Days sales outstanding for the full
year 2006 was 128.
   Business Outlook
   During the first quarter 2007, China Agritech completed construction of
its third new factory located in Chongqing, which the company expects to
put into production in early April, 2007. The company has budgeted $1.7
million in capital expenditures for construction of its fourth factory
located in Xinjiang, currently scheduled for completion in May, 2007. China
Agritech expects to see increased revenue growth as a result of the added
capacity starting at the beginning of the peak agriculture growing season
which is during the second quarter of 2007.
   "We anticipate a strong 2007 with increased penetration expected to
occur in both domestic and international markets. We believe that the
significant expansion in our production capacity positions us to expand our
target market to Central and Southern China in time for the peak selling
season of spring and summer," said Mr. Chang. "We have established a
substantial regional distribution network to support our geographic
expansion which includes 30 sales offices and 600 independent sales
agencies. Each agency manages 10 sales executives which equates to 6,000
points of sales at the village level. We are also pursuing opportunities in
international market and are hopeful to see favorable progress in the
second half of this year."
   Conference Call Information
   Management will conduct a conference call to discuss China Agritech's
fourth quarter financial results and provide a corporate overview. The
conference call will take place at 9:00 a.m. Eastern Time, on Tuesday April
3, 2007. To participate in the conference call, please dial the following
number five to ten minutes prior to the scheduled conference call time:
(888) 482- 0024. International callers should dial 617-801-9702. The pass
code for the call is 541 933 05.
   If you are unable to participate in the call at this time, a replay
will be available on Tuesday, April 3 at 11:00 a.m. ET, through Tuesday,
April 10. To access the replay from the United States dial 888-286-8010, or
617-801-6888 if calling internationally. Enter the conference ID number
35903644.
   This conference call will be broadcast live over the Internet and can
be accessed by all interested parties on China Agritech's website at
www.chinaagritechinc.com . To listen to the live webcast, please go
to China Agritech's website at least fifteen minutes prior to the start of
the call to register, download, and install any necessary audio software.
For those unable to participate during the live broadcast, a replay will be
available shortly after the call on China Agritech's website for 90 days.
   About China Agritech
   China Agritech is engaged in the development, manufacturing and
distribution of organic liquid compound fertilizers and related products in
the People's Republic of China. The company has developed proprietary
formulas that provide a continuous supply of high-quality agricultural
products while maintaining soil fertility. The company sells its products
to farmers located in twelve provinces of China including: Heilongjiang,
Hebei, Liaonong, Jilin, Shandong, Inner Mongolia, Henan, Sichuan,
Guangdong, Xinjiang, Yunnan and Guizhou. For more information visit
www.chinaagritechinc.com .
   The statements contained in this Release that are not purely historical
are forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934, including without limitation, statements regarding the Company's
expectations, hopes, beliefs, intentions or strategies regarding the
future. These forward- looking statements are based on the Company's
current expectations and beliefs concerning future developments and their
potential effects on the Company. There can be no assurance that future
developments affecting the Company will be those anticipated by the
Company. These forward-looking statements involve a number of risks,
uncertainties (some of which are beyond the control of the Company) or
other assumptions that may cause actual results or performance to be
materially different from those expressed or implied by such forward-
looking statements such as the inability to protect the proprietary
formula, the price of raw materials, any liabilities from unknown harmful
effects of the product, and adverse weather conditions. 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, except as may be required under applicable securities laws.
                        --financial tables below---



                   CHINA AGRITECH, INC. AND SUBSIDIARIES
        CONSOLIDATED BALANCE SHEET AS OF DECEMBER 31, 2006 AND 2005


                                                   2006                2005
   ASSETS
   Current Assets
   Cash and cash equivalents              $   6,430,009       $     255,831
   Restricted cash                              100,028             275,000
   Accounts receivable, net                  12,239,073           8,525,185
   Inventories                                1,322,244              72,827
   Advances to suppliers                      8,038,974           2,076,252
   Prepayments and other receivables            382,463             376,064

   Total Current Assets                      28,512,791          11,581,159

   Property, Plant and Equipment, net         2,514,123           1,065,146

   Total Assets                           $  31,026,914       $  12,646,305

   LIABILITIES AND STOCKHOLDERS' EQUITY

   Current Liabilities
   Accounts payable                       $     108,886       $     115,024
   Accrued expenses and other
    payables                                    871,495             616,363
   Amount due to related parties                    954              56,702
   Tax payables                               1,028,885             562,355

   Total Current Liabilities                  2,010,220           1,350,444

   Minority Interests                         2,160,575           1,237,910

   Commitments                                       --                  --

   Stockholders' Equity
   Common stocks; $0.001 par value,
    100,000,000 shares authorized,
    shares issued and outstanding
    19,143,615 and 14,343,615                    19,144              14,344
   Additional paid-in capital                12,619,049           1,547,741
   Statutory reserves                         2,790,916           1,731,067
   Accumulated other comprehensive
    income                                      601,288             228,566
   Retained earnings                         10,825,722           6,536,233

   Total Stockholders' Equity                26,856,119          10,057,951

   Total Liabilities and
    Stockholders' Equity                   $ 31,026,914       $  12,646,305



                   CHINA AGRITECH, INC. AND SUBSIDIARIES
                   CONSOLIDATED STATEMENTS OF OPERATIONS
          FOR THE THREE AND YEAR ENDED DECEMBER 31, 2006 AND 2005


                         For the three months ended         For years ended
                              December 31,                    December 31,
                              2006          2005          2006         2005
                          (unaudited)  (unaudited)

   Revenue                 $6,002,948   $4,404,863  $29,525,577  $25,335,316
   Cost of Revenue          2,853,719    1,742,253   14,161,358   12,848,958


   Gross Profit             3,149,249    2,662,610   15,364,219   12,486,358

   Operating expenses:

     Selling expenses       1,143,016      221,663    2,983,756    2,372,151
     General and
      administrative         (271,120)    (278,520)   2,015,252    1,993,522
   Total Operating
    Expenses                  871,896      (56,857)   4,999,008    4,365,673

   Income from Operations   2,277,353    2,719,467   10,365,211    8,120,685

   Other income
    (expenses)
   Merger cost                            (640,000)                 (640,000)
   Other (expense) income     137,760          317       98,617          252
   Finance costs               -1,777         (824)      (3,590)        (412)
   Total other income
    (expense)                 135,983     (640,507)      95,027     (640,160)

   Income Before Taxes      2,413,336    2,079,654   10,460,238    7,480,525
   Provision for income
    taxes                  (1,059,286)    (842,224)  (4,248,144)  (3,173,533)

   Minority interests        (215,068)    (157,787)    (862,756)    (631,113)

   Net Income             $ 1,138,982  $ 1,079,643   $5,349,338   $3,675,879
     Comprehensive
      income -
   foreign currency
    translation
    adjustments                 5,393      228,566      372,722      228,566

   Comprehensive Income   $ 1,144,375  $ 1,308,209   $5,722,060   $3,904,445

   Basic and Diluted
    Earnings
    per Common Share      $      0.06  $      0.08   $     0.29   $     0.26


   Weighted-average Common
   Shares Outstanding      19,143,615   14,238,657   18,735,944   13,945,937



                   CHINA AGRITECH, INC. AND SUBSIDIARIES
                    CONSOLIDATED STATEMENTS OF CASH FLOW
               FOR THE YEAR ENDED DECEMBER 31, 2006 AND 2005


                                                      2006             2005

   Cash flows from operating activities:

     Net income                                $  5,349,338     $  3,675,879
     Adjustments to reconcile net income
      to net cash provided by (used in)
      operating activities:

       Stock based compensation                      (3,597)              --

       Minortiy Interest                            862,756          631,113

       Depreciation                                 155,292          102,901

       Loss on disposal of fixed assets                  --               --

       Delivery charges                                  --               --
       Decrease / (Increase) in current
        assets:
         Restricted cash                            174,972         (275,000)
         Accounts receivable                     (3,357,026)      (2,759,236)
         Prepayments and other receivables           (5,839)        (191,603)
         Inventory                               (1,502,205)         487,630
         Advances to suppliers                   (5,769,071)      (1,914,346)
       (Decrease) / Increase in current
        liabilities:
         Accounts payable                           262,020         (281,234)
         Tax payables                               365,731          131,998
         Accrued expenses and other
          payables                                  305,739          280,280
     Net cash provided by (used in)
      operating activities                       (3,161,889)        (111,618)

   Cash flows from investing activities:

       Acquisition of property & equipment       (1,541,812)          (8,238)
       Proceeds from disposal of fixed assets            --               --
     Net cash used in investing activities       (1,541,812)          (8,238)

   Cash flows from financing activities:
       Repayment of installment loan                     --               --
       Payments to shareholders / related
        parties                                     (51,312)      (1,026,846)
       Capital contributed                       11,079,705        1,350,000
       Dividend paid                                     --               --
     Net cash provided by (used in)
      financing activities                       11,028,393          323,154

   Effect of exchange rate change on cash
    and cash equivalents                           (150,513)          14,468

   Net increase in cash and cash equivalents      6,174,178          217,766

   Cash and cash equivalents, beginning of year     255,831           38,065

   Cash and cash equivalents, end of year      $  6,430,009    $     255,831

   Supplement disclosure of cash flow
    information:

     Income taxes paid                         $  3,760,570    $   3,043,223
     Cash from issue of common stock
      placed in escrow account                 $ 11,079,705    $   1,350,000



   For more information, please contact:

   CCG Elite Investor Relations
    Crocker Coulson, President
    Leslie J. Richardson
    Tel:   +1-646-213-1915
    Email: crocker.coulson@ccgir.com

   China Agritech, Inc.
    Yvonne Zhang
    Tel:   +86-10-5870-2280

Listed IPO Performance    


0606 China Agri-Industries Holdings 21/3/2007 3.720 6.970 +3.250 +87.37%

Officer of China Agritech, said, "We are excited with both our top and
bottom line growth during the first quarter. We have dedicated the last
year to building out our capacity and establishing our distribution network
and we are pleased to finally see results from these efforts. Our new
facilities in Beijing and Anhui contributed to our revenue with the
production of Green Vitality. We have also recently finished the
test-running of the production process at our Chongqing factory and are now
in full production. Our fourth converting facility in Xinjiang is expected
to come online in the second quarter of 2007."
   During the quarter, China Agritech successfully expanded its market
penetration to include the central and southern regions of China. The
company sold 152 metric tons of its Green Vitality fertilizer produced from
its Beijing and Anhui factories in these new regions which contributed 11%
to total revenue during the first quarter of 2007.
   Gross profit for the first quarter 2007 was $4.5 million, up 60.0% from
$2.8 million in the first quarter 2006. Gross margin was 52.4%, compared to
49.6% in the same period a year earlier. Gross margin in the first quarter
2007 was favorably impacted by reduced material costs as a result of
improved production cost control measures as well as increased sales of
higher margin products.
   Selling expenses during the quarter were $0.6 million, or 7.1% of
revenue compared to $0.5 million, or 8.3% of revenue, in the comparable
quarter in 2006. The decline in selling expense as a percent of revenue is
attributable to the company's rate of revenue increase being greater than
rate of selling expenses increase.
   Administrative expenses during the quarter were $0.5 million, or 6.4%
of revenue, compared to $0.4 million or 7.2% of revenue in the same period
of 2006. The percentage decrease was positively impacted by more efficient
cost controls of administrative expenses.
   Income from operations was $3.3 million, up 73.1% from $1.9 million in
the same period of 2006. Operating margin for the quarter was 38.9%
compared to 34.0% in the first quarter of 2006. The increase in operating
margin was due to a combination of improved operating efficiencies and
higher gross margin during the first quarter of 2007.
   First quarter of 2007 net income was $1.9 million, up 85.8% from $1.0
million in the first quarter of 2006. Fully diluted earnings per share were
$0.10 for the first quarter 2007, compared to fully diluted earnings per
share of $0.05 for the same period a year earlier.
   Financial Condition
   As of March 31, 2007, China Agritech had $5.0 million in cash,
restricted cash and cash equivalents, working capital of $29.2 million and
no long-term debt. Days sales outstanding for the first quarter 2007 was
160 days. Shareholders' equity stood at $29.2 million, up from $26.9
million as of December 31, 2006.
   Business Outlook
   The peak selling time for China Agritech's fertilizer is during the
agricultural growing season which has just begun in China. Moreover, the
company is in the early stages of expanding its market penetration from the
northern region to include the central and southern regions of China. The
increased market penetration is supported by a multi-tier distribution
system which is expected to contribute to revenue growth for the rest of
2007. China Agritech is building its fourth new factory located in
Xinjiang, which it expects to put into production in late May, 2007. The
company has budgeted $1 million in capital expenditures for this factory.
China Agritech year-end guidance for 2007 in the range of $46.0 and $48.0
million in revenues and net income in the range of $8.4 and $8.6 million.
   "We have started off the beginning of our peak selling season with
strong results which we expect will continue through the rest of the
season. We have shown progress in our ability to penetrate the southern and
central regions of China which significantly expands our customer base. Our
distribution network is fully established at the village level which is a
key component in supporting our expansion as we build a national brand in
liquid organic compound fertilizer. We also expect to see results in
penetrating international markets during the second half of this year,"
concluded Mr. Chang.
   Conference Call Information
   Management will conduct a conference call to discuss China Agritech's
first quarter financial results and provide a corporate overview. The
conference call will take place at 9:00 a.m. Eastern Time, on Friday, May
18, 2007. To participate in the conference call, please dial the following
number five to ten minutes prior to the scheduled conference call time:
(888) 482-0024. International callers should dial 617-801-9702. The pass
code for the call is 30478473.
   If you are unable to participate in the call at this time, a replay
will be available on Friday, May 18, 2007 at 11:00 a.m. ET, through Friday,
May 25, 2007. To access the replay from the United States dial
888-286-8010, or 617-801-6888 if calling internationally. Enter the
conference ID number 20941076.
   This conference call will be broadcast live over the Internet and can
be accessed by all interested parties on the China Agritech website at
www.chinaagritechinc.com . To listen to the live webcast, please go
to the China Agritech website at least fifteen minutes prior to the start
of the call to register, download, and install any necessary audio
software. For those unable to participate during the live broadcast, a
replay will be available shortly after the call on China Agritech's website
for 90 days.
   About China Agritech
   China Agritech is engaged in the development, manufacturing and
distribution of organic liquid compound fertilizers and related products in
the People's Republic of China. The company has developed proprietary
formulas that provide a continuous supply of high-quality agricultural
products while maintaining soil fertility. The company sells its products
to farmers located in twelve provinces of China including: Heilongjiang,
Hebei, Liaonong, Jilin, Shandong, Inner Mongolia, Henan, Sichuan,
Guangdong, Xinjiang, Yunnan and Guizhou. For more information visit
www.chinaagritechinc.com .
   The statements contained in this Release that are not purely historical
are forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934, including without limitation, statements regarding the Company's
expectations, hopes, beliefs, intentions or strategies regarding the
future. These forward-looking statements are based on the Company's current
expectations and beliefs concerning future developments and their potential
effects on the Company. There can be no assurance that future developments
affecting the Company will be those anticipated by the Company. These
forward-looking statements involve a number of risks, uncertainties (some
of which are beyond the control of the Company) or other assumptions that
may cause actual results or performance to be materially different from
those expressed or implied by such forward-looking statements such as the
inability to protect the proprietary formula, the price of raw materials,
any liabilities from unknown harmful effects of the product, and adverse
weather conditions. 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, except as may be required under
applicable securities laws.
                       -- Financial Tables Below ---



                   CHINA AGRITECH, INC. AND SUBSIDIARIES
                        CONSOLIDATED BALANCE SHEETS

                                             MARCH 31,          DECEMBER 31,
                                               2007                 2006
                                           (UNAUDITED)
   ASSETS
   Current Assets
   Cash and cash equivalents         $       4,910,594   $        6,430,009
   Restricted cash                              56,149              100,028
   Accounts receivable, net                 18,338,613           12,239,073
   Inventories                               2,852,716            1,322,244
   Advances to suppliers                     5,300,016            8,038,974
   Prepayments and other receivables           386,673              382,463


   Total Current Assets                     31,844,760           28,512,791

   Property, plant and equipment, net        2,467,794            2,514,123

   Total Assets                      $      34,312,554   $       31,026,914

   LIABILITIES AND SHAREHOLDERS' EQUITY

   Current Liabilities
   Accounts payable                  $          93,016   $          108,886
   Accrued liabilities and other
    payables                                   997,865              871,495
   Amount due to related parties                 1,191                  954
   Income tax payable                        1,557,786            1,028,885

   Total Current Liabilities                 2,649,858            2,010,220

   Minority Interests                        2,415,601            2,160,575

   Commitments                                      --                   --

   Stockholders' Equity
   Common stocks; $0.001 par value,
    100,000,000 shares authorized,
    19,143,615 shares issued and
    outstanding                                 19,144               19,144
   Additional paid in capital               12,620,248           12,619,049
   Statutory reserve                         3,103,240            2,790,916
   Accumulated other comprehensive
    income                                   1,105,936              601,288
   Retained earnings                        12,398,526           10,825,722

   Total Stockholders' Equity               29,247,095           26,856,119

   Total Liabilities and
    Stockholders' Equity             $      34,312,554   $       31,026,914




                   CHINA AGRITECH, INC. AND SUBSIDIARIES
                     CONSOLIDATED STATEMENTS OF INCOME
             FOR THE THREE MONTHS ENDED MARCH 31, 2007 AND 2006

                                                       MARCH 31,
                                             2007                    2006
                                          (UNAUDITED)            (UNAUDITED)
   Net revenue               $             8,611,741  $           5,685,397
   Cost of revenue                        (4,100,825)            (2,865,315)
   Gross profit                            4,510,916              2,820,082
   Operating expenses
   Selling expenses                         (614,002)              (473,508)
   Operating and
    administrative
    expenses                                (548,067)              (411,465)
   Total operating
    expenses                              (1,162,069)              (884,973)
   Income from operations                  3,348,847              1,935,109
   Other income (expense)
   Other (expense) income                     27,896                 (6,110)
   Finance income
    (expense)                                   (209)                   119

   Total other income
    (expense)                                 27,687                 (5,991)
   Income before income
    taxes and
    minority interest                      3,376,534              1,929,118
   Provision for income
    taxes                                 (1,260,055)              (768,041)
   Income before minority
    interests                              2,116,479              1,161,077
   Minority interests                       (231,351)              (146,749)
   Net income                              1,885,128              1,014,328
   Other comprehensive
    income
   Foreign currency
    translation
    adjustment                               504,648                 74,292
   Comprehensive income      $             2,389,776  $           1,088,620
   Basic and diluted
    weighted
    average shares
    outstanding                           19,143,615             18,503,615
   Basic and diluted net
    earnings
    per share                $                  0.10  $                0.05




                   CHINA AGRITECH, INC. AND SUBSIDIARIES
                    CONSOLIDATED STATEMENTS OF CASH FLOW
             FOR THE THREE MONTHS ENDED MARCH 31, 2007 AND 2006

                                                            March 31,
                                                       2007          2006
                                                   (UNAUDITED)   (UNAUDITED)
   Cash flows from operating activities:
    Net income                                    $ 1,885,128   $ 1,014,328
    Adjustments to reconcile net income to net
     cash used in operating activities:
    Stock based compensation                            1,199            --
    Minority Interest                                 231,351       146,749
    Depreciation                                       81,140        25,420
    (Increase) Decrease in current assets:
     Accounts receivable                           (5,944,426)   (2,524,073)
     Prepayment and other receivable                    6,016    (1,385,464)
     Inventory                                     (1,340,544)     (540,650)
     Advances to suppliers                          2,810,417       417,611
    Increase (Decrease) in current liabilities:
     Accounts payable                                (272,030)      909,967
     Other payable                                    245,294            --
     Tax payable                                      515,789       290,525
     Accrued expenses                                 (38,641)       (9,303)
    Net cash used in operating activities          (1,819,308)   (1,654,890)

   Cash flows from investing activities:
    Acquisition of property & equipment               (34,811)     (175,668)
    Restricted cash                                    43,883            --
    Net cash provided by (used in) investing
     activities                                         9,072      (175,668)


   Cash flows from financing activities:
    Advance/repayment from/to related parties              --       (51,251)
    Advance from shareholders                           1,246            --
    Capital contributed                                    --    11,019,849
    Net cash provided by financing activities           1,246    10,968,598

   Net increase (decrease) in cash and cash
    equivalents                                    (1,808,989)    9,138,040

   Effect of exchange rate change on cash and cash
    equivalents                                       289,574        66,436

   Cash and cash equivalents, beginning of year     6,430,009       255,831

   Cash and cash equivalents, end of year         $ 4,910,594   $ 9,460,307

   Supplement disclosure of cash flow
    information:
      Interest expense paid                       $        --   $        12
      Income taxes paid                           $ 3,760,570   $   565,712



   For more information, please contact:

   CCG Elite Investor Relations
    Crocker Coulson, President, or
    Leslie Richardson, Financial Writer
    Tel:   +1-646-213-1915
    Email: crocker.coulson@ccgir.com

   China Agritech, Inc.
    Yvonne Zhang
    Tel:   +86-10-5870-2280

DJ MARKET TALK:GS Ups China Agri To Neutral;Keeps HK$5.80 Target
2007/06/13 11:48
1029 [Dow Jones] STOCK CALL: Goldman Sachs ups China Agri-Industries (0606.HK) to Neutral from Sell on recent stock pullback. Keeps target at HK$5.80. Says fuel ethanol is key earnings driver in FY08-09, oilseed processing business to remain major profit contributor in FY07. Says recent news about Beijing not issuing new licenses to new grain-based fuel ethanol projects, capacity expansion of existing plants not new. Similar guidance announced in December. Says there's no need for China Agri to adjust expansion plan as new plants likely to use non-grain feedstock, in line with government policy. Stock up 0.2% at HK$5.80.(JLI) Contact us in Hong Kong. 852 2802 7002; MarketTalk@dowjones.com (Delayed by 1 hour)  

www.hkex.com.hk/listedco/listconews/sehk/...s.asp?id=000550882

China Agri < 00606> seems to have gained support above the 50-day moving average where it is now at $5.22.

It poises to establish an upward trend after the recent consolidation. By technical analysis, the counter sets to penetrate the resistance at $5.50. Whenever it confirms a breakout from this critical point, the share price will probably extend the recent minor upward trend heading towards $5.80-level.

Meanwhile RSI-14 recoups the 50-mark level, which suggests the counter to be ready for a bounce.

Thanks to the strong buying interest from investment institutions on this China Play, it also supports the share price to climb higher.

China Agri-Industries Holdings (0606)


China Agri-Industries Holdings (606, $5.22) 12M Target $7.0 Trading BUY

China Agri-Industries Holdings (CAIH) is a leading agricultural processor in the PRC. It will benefit from the fast growth in agricultural processing industry.

CAIH has already made its new expansion plan of fuel ethanol capacity, in line with China’s fuel ethanol policy to develop non-grain-based fuel ethanol projects.

As we expected, margin in oilseed processing segment improved significantly from 1.8% in 1H06 to 4.8% in 1H07 due to industry restructuring and management improvement.

Interim net profit of CAIH increased 95% yoy from $315mn (EPS: $0.11) in 1H06 to $615mn (EPS: $0.19) in 1H07 due to a sharp increase in gross margin of oilseed processing segment and brewing materials segment.

Corn price recently fell from RMB1,400 to RMB1,200 per ton. The retail prices for gasoline and fuel ethanol price have increased by 8% and 9% respectively with effect from November.

The counter is trading at 2007 PER of 15.5x. We reiterate BUY recommendation on CAIH with 12-month target price of $7.0, representing 16.6x 2008 earnings

China Agri  starting a major upward trend starting from $4.50. It develops an upward trend above the 10-day and 50-day moving averages where they are now at $5.12 and $5.20 respectively. Obviously this counter gains strength as the fundamentals improve, which also generates strong buying interest from investment institutions. Thus the share price gains momentum to jump higher. By technical analysis, it poises to test $5.80 shortly. The major upward trend will probably reach $6.00-level.

China Agri-Industries (606, $5.20) 12M Target $6.30 BUY

Event: China Agri-Industries’ (CAI) non-grain fuel ethanol plant in Guangxi has started production.

The Guangxi plant has started trial production since December 2007. After months of operation, it has been now producing 100,000 metric tons of fuel ethanol which is sufficient to meet fuel ethanol consumption in Guangxi.

CAI is the largest fuel ethanol manufacturer and provider in China. Its business consists of three operating units, namely 100% of COFCO Bio-Energy (Zhaodong) Co., 20% of Jilin Fuel Ethanol Co. and 100% of Guangxi fuel ethanol project. Their production capacities of fuel ethanol are 180,000, 400,000 and 200,000 metric tons per annum respectively.

The progress of Guangxi production plant is in line with our forecast. We therefore maintain our EPS forecast fro CAI at $0.42 in 2008 and $0.48 in 2009.

Trading at 12.4x 2008 earnings, we believe the valuation of CAI is attractive. Maintain BUY on CAI with a 12- month target price of $6.30 based on 15x 2008 earnings.  

China Agri To Sell Vs Buy,Cuts Target 9.5%

Goldman Sachs downgrades China Agri-Industries  to Sell from Buy, trims target to HK$3.35 from HK$3.70, based on 6.6X 2009 P/E after cutting 2008-10 EPS forecasts by 11%-51%;

House tips China fuel ethanol price to fall 35% this year, crushing margins to fall; expects gasoline demand will also be weaker due to macro slowdown.

"We suggest investors lock in short-term gains before more negative newsflow." Shares down 2.9% at HK$3.98.