China Armco Metals auf Wachstum eingestellt

haben - und zurecht - kein Vertrauen mehr in das Management........

An utopischen Unternehmenszahlen für 2010 zu lange festgehalten - obwohl das Schiff  im Sturm fast gekentert ist -

Täuschung der Aktionäre und und und ................

 

trotzdem glaube ich an den "kranken" "Laden".................

 

Sie schreiben Sie glauben immer noch an den Kranken Laden, könnte das begründen? Ich bin bei 1,68 eingestiegen habe aber nicht erkannt dass das ein kranker Laden ist. Können Sie das Problem das mangelnde Vertrauen zum Management näher erläutern?

Dir doch nur einmal das Posting # 44 an - mehr brucht es doch gar nicht!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Mitte August 2010 haben Sie noch posaunt, daß Sie 180 MIo Umsatz erzielen und was ist dabei rausgekommen??.........Genau

und und und diese Fehleinschätzungen ( oder Täuschungen ) kommen ja fast mit jeder Meldung bei dieser Firma zustande.

Schau Dir doch mal all die Meldungen an! Du wirst sehen, daß fast keine richtig umgesetzt wurde.

Na - ich denke nun ist ein Tiefpunkt erreicht - wo es einfach nicht mehr runtergehen kann, deshalb lege ich hier auch immer wieder nach!!  Ich finde es selber unglaublich, aber so ist es manchmal ....nicht immer ist es zu erklären und zu verstehen

Also weiterhin viel Glück

 

 

 

everythinggold.blogspot.com/2011/04/...mo-ree-close.html 

Die Seite öffnet sich aber die Nachrichten sind nicht vorhanden.

 

Titanium Metals (TIE) (CNAM) (GMO) (REE) Close Mixed as Rare Earths Remain Tight

Rare earths miners have been jumping since the announcement by China it's going to cut back on exports in a major way. Some of them have been pulling back after the recent surge, as companies Titanium Metals (NYSE:TIE), China Armco Metals, Inc. (NASDAQ:CNAM), General Moly (AMEX:GMO) and Rare Element Resources Ltd (AMEX:REE) closed mixed Thursday.

The majority believe that rare earth supply will remain constrained for at least five years, even with the media hype of all the projects coming on line. Those proposed projects will take years to go through the process before production is ready to start.

Molycorp CEO, Mark Smith recently said that there will probably be two coming on stream within that five-year period. During that same time rare earths demand is estimated to double annually.

That means those companies that already have operations going should enjoy solid pricing power during that season.

As to the ignorant proposal by big-government politicians concerning the Rare Earth Supply-Chain Technology and Resources Transformation Act, the last thing we need is for the government to use yet another so-called crisis or "national security" issue to expand government in a useless manner as is now being attempted.

The markets should and will sort it out, as it has already began to do.

Rare Element Resources Ltd closed at $13.66, down $0.39, or 2.78 percent. General Moly closed at $5.24, falling $0.03, or 0.57 percent. China Armco Metals, Inc. ended the session at $2.32, gaining $0.24, or 11.53 percent. Titanium Metals closed the day at $18.75, rising $0.51, or 2.80 percent.

 

link: s. posting #54
 

China Armco Metals to Host 2011 First Quarter Earnings Conference Call on Monday, May 16th, 2011 at 5:00 p.m. ET

SAN MATEO, Calif., May 11, 2011 (GLOBE NEWSWIRE) -- China Armco Metals, Inc. (NYSE Amex:CNAM ) ("China Armco" or the "Company"), a distributor of imported metal ore and metal recycler with a new state-of-the-art scrap metal recycling facility in China, today announced that its 2011 first quarter financial results will be released on Monday, May 16, 2011. A conference call to discuss the results is scheduled at 5:00 p.m. ET, May 16, 2011.

To attend the call, please use the dial-in information below. When prompted, ask for the "China Armco Metals " and/or be prepared to provide the conference ID.Conference Call
Date: Monday, May 16th, 2011
Time: 5:00 p.m. Eastern Time, US.
Conference Line Dial-In: +1-877-407-9210
International Dial-In: +1-201-689-8049
Conference ID: 372658 "China Armco Metals "
Webcast link: www.investorcalendar.com/IC/CEPage.asp?ID=164472


This call is being webcast and can be accessed at www.investorcalendar.com/IC/CEPage.asp?ID=164472 until November 15, 2011.

Please dial in at least 10 minutes before the call to ensure timely participation. A playback will be available through May 21st, 2011. To listen, please call +1-877-660-6853 within the United States or 201-678-7415 when calling internationally. Utilize the pass code 372658 and Account # 286 for the replay.

About China Armco Metals, Inc.

China Armco Metals, Inc. is engaged in the sale and distribution of metal ore and non-ferrous metals throughout the PRC and is in the recycling business with the recent launch of operations of a metal recycling facility capable of producing up to approximately one million tons per year located on 32 acres of land. China Armco maintains customers throughout China which includes the fastest growing steel producing mills and foundries in the PRC. Raw materials are acquired from a global group of suppliers located diverse countries, including, but not limited to, India, Hong Kong, Nigeria, Brazil, Turkey and the Philippines. China Armco's product lines include ferrous and non-ferrous ore, iron ore, chrome ore, nickel ore, magnesium, copper ore, manganese ore and steel billet. The recycling facility is expected to be capable of recycling one million metric tons of scrap metal per year which will position the Company as one of the 10 largest recyclers of scrap metal in China. China Armco estimates the recycled metal market in China as 70 million metric tons. For more information about China Armco, please visit www.armcometals.com.
 

Bei diesen Kursschwankungen erst circa 14 % Steigung und dann circa 20 % fallen (Neuer Tiefstand)?

Überragende Zahlen abgeliefert - und dann der  Kurs - wohl weil kein Ausblick erwähnt wurde......aber diesmal vielleicht auch  besser

- hoffentlich lernt man aus der Vergangenheit............never mind.

 

(AMM) Iron ore, scrap shipments quintuple China Armco revenues

Location: Philadelphia
May 18, 2011 - 02:51 GMT Location: Philadelphia

KEYWORDS: China Armco , iron ore , shredder

A spike in its iron ore trading business and permission to restart a new shredder helped China Armco Metals Inc. post a fivefold gain in revenues in the first quarter.

A spike in iron ore trading business and permission to restart its new shredder helped China Armco Metals Inc. post a fivefold gain in revenues in the first quarter. The San Mateo, Calif.-based metals trader and scrap processor said strong trading revenues lifted its net revenue for the three months ended March 31 to $49.7 million from $8.6 million in the year-ago period. Net income for the first quarter was $566,170 vs. $53,224...
 

Mr. Kexuan Yao, Chairman and CEO of China Armco stated, "Our first quarter reflects the strength of a diversified business model and our ability to secure meaningful new customers which culminated into a return to profitability. We expect a ramp up in sales in both our metal trading and recycling businesses under a backdrop of robust steel production and demand across China. Developing strong relationships with strategic customers and suppliers such as Mineracao Usiminas S.A. ("MUSA"), will enable us to fully leverage our operating model to generate incremental revenue and profitability."

Gross profit for the first quarter of 2011 increased 467% to $3.2 million, compared to $0.6 million in the first quarter of 2010. Gross profit for trading was $2.8 million and $0.4 million for metal recycling. Gross margin was flat year-over-year at 6.4%.

Operating expenses increased $0.9 million to $1.8 million for the first quarter of 2011 due to increased sales and marketing expenses related to higher orders. As a percent of sales, operating expenses were 3.6% and 10.7% in the first quarter of 2011 and 2010, respectively, reflecting positive operating leverage from significantly higher sales.

Operating income for the first quarter of 2011 was $1.4 million compared to an operating loss of $0.4 million in the first quarter of 2010.

Net income for the first quarter of 2011 was $0.6 million, or $0.04 per diluted share, compared to $0.1 million or $0.01 per share for the same period last year. The weighted average diluted shares outstanding increased from 12.1 million in the first quarter of 2010 to 15.3 million in the first quarter of 2011, due to an equity raise and converted warrants during 2010.

Financial Condition

As of March 31, 2011, the Company had $5.7 million in cash and cash equivalents, compared to $3.1 million at the end of 2010. Working capital was $12.2 million and a current ratio of 1.2:1 on March 31, 2011 compared to 8.5 million and 1.4:1 on March 31, 2010. Total accounts receivable were $30.5 million at the end of the first quarter of 2011 compared to $19.1 million at year-end 2010 due to the $22.4 million accounts in receivable related to the sale of 150,000 MT of iron ore, which approximately $22 million was collected in April, 2011. As of March 31, 2011, shareholders' equity was $43 million, essentially flat from December 31, 2010. Management believes the working capital is adequate to fund operations for the coming 12 months.

The Company had a $9.2 million net cash outflow from operations the first quarter of 2011 compared to a net inflow of $15.4 million in the same period last year. China Armco increased inventories by $8.5 million in anticipation of higher production at its recycling facilities. The Company has bank facilities, which provide for cash borrowings or the issuance of commercial letters of credit required in its metal ore trading business, aggregating $95 million. Approximately $53 million was available under these facilities at March 31, 2011.

Business Updates

China Armco had several large metal trading orders in the first quarter of 2011. On March 17, 2011, the Company delivered its first shipment of 150,000 tons of iron value valued at $19.8 million from Mineracao Usiminas S.A. ("MUSA"), which is 70% owned by Usiminas, one of the largest steel producers in Brazil. The strategic relationship with MUSA provides an entry into a new, fast-growing market for China Armco. Subsequent orders are expected from this relationship while the Company is pursuing additional customers to complement growth in this business segment.

The metal recycling business resumed normal operations in January 2011 after the provincial government eliminated power restrictions that were in effect since September. During the first quarter, which ended March 31, the Company sold approximately 14,435 tons of processed scrap steel. The Company currently serves nine clients, several which it also presents on the trading business, and is establishing itself as a quality producer. Management continues to believe that the secular shift to renewable raw material sources and government quotas imposed on steel producers will drive underlying demand for recycled steel. Furthermore, the Company expects to ramp production in its Texas Shredder throughout the remainder of 2011 as it adds new customers and gains more experience in metal recycling production. Enhanced capacity utilization is expected to have a positive variance on margins.

Management began migrating its metal recycling customers to a pre-sold model starting in January 2011. Under this new sales strategy, customers pay China Armco 100% of the total purchase price in advance by issuing a commercial bill from related bank, thereby locking in a set volume and price. This allows the Company to use the proceeds to pay for raw materials, thereby reducing its working capital needs and providing enhanced visibility into future production volumes. Seven customers have transitioned to the pre-selling model so far, and the Company continues to actively solicit existing and new customers.
 

Mein Eindruck ist, es geht immer stufenweise bergab. War der Bericht so schlecht dass es dafür eine Rechtfertigung gibt? Oder gibt es andere Gründe für einen weiter fallenden Kurs? Bitte teilen Sie mir Ihre Antwort in Deutsch mit.

es geht weiter nach unten. Warum? kann ich nicht beantworten. Gute Zahlen - Ausblick doch wieder positiv - nur der Kurs steckt fest.

Möglicherweise hat die Firma schon zuviel Kredit verspielt und zurecht muß man bei diesem Invest vorsichtig sein.

Im Moment gibt es zumindest keine publizierten News. 

China Armco Metals, Inc. is engaged in the sale and distribution of metal ore and non-ferrous metals throughout the PRC and has entered the recycling business with the recent launch of operations of a 1-million ton per year shredder and recycler of metals located on 32 acres of land. China Armco maintains customers throughout China which includes the fastest growing steel producing mills and foundries in the PRC. Raw materials are acquired from a global group of suppliers located in diverse countries, including, but not limited to, Brazil, India, Indonesia, Ukraine and the United States. China Armco's product lines include ferrous and non-ferrous ore, iron ore, chrome ore, nickel ore, magnesium, copper ore, manganese ore and steel billet. The recycling facility is expected to be capable of recycling one million metric tons of scrap metal per year which will position the Company as one of the 10 largest recyclers of scrap metal in China. China Armco estimates the demand for recycled metal market in China will be over 120 million metric tons in 2011. For more information about China Armco, please visit www.armcometals.com.
 

CNAM Shareholders,

In  connection  with  the  upcoming  Annual  Meeting  of Stockholders  of  China Armco Metals  (AMEX: CNAM) scheduled  to  be  held  on July 9th, 2011 at 11:00 am China Standard Time, at the Sheraton Hotel, 1 Huanghe Road, Lianyungang, Jiangsu Province, China 222047, we ask that you please take a moment to complete your proxy vote if you have not already done so.

You can vote by proxy in four ways:

• By mail - If you received your proxy materials by mail, you can vote by mail by using the enclosed proxy card
• By Internet - You can vote by Internet by following the instructions on the Notice to access the proxy materials on your proxy card if you received your materials by mail at  
• www.iproxydirect.com/CNAM
• By fax - 202-521-3464
• By phone - 1-866-752-VOTE(8683)



The Internet, phone and fax voting system for stockholders of record will close at 11:59 p.m., Eastern Standard Time, on July 7, 2011.

We sincerely hope that you will be able to attend the meeting in person and we look forward to seeing you. Whether or not you expect to be present at the meeting, please promptly vote as your vote is important. Instructions regarding the various methods of voting are contained on the proxy card, including voting by mail, through the Internet, by fax or by phone. If you attend the annual meeting, you may revoke your proxy and vote your own shares.

Thank you. 

On July 9, 2011, China Armco Metals, Inc. (the “Company”) held its 2011 Annual Meeting of Stockholders.  The stockholders of the Company voted on three proposals at the Annual Meeting.  For more information on the following proposals, see the Company’s Proxy Statement dated June 7, 2011 (the “2011 Proxy Statement”) and filed with the United States Securities and Exchange Commission on Schedule 14A on June 9, 2011, the relevant portions of which are incorporated herein by reference.  Below are the final voting results.
  1. Election of Directors. The first proposal was the re-election of five directors to serve as members of the Board of Directors until the 2012 Annual Meeting of Stockholders or until their successors are duly elected.  There were no broker non-votes as to this proposal.

Nominee For Against
Mr. Kexuan Yao 7,852,906 59,281
Mr. Weigang Zhao 6,423,199 1,488,988
Mr. Tao Pang 6,438,499 1,473,688
Mr. William Thomson 7,847,056 65,131
Mr. Jinping (K.P.) Chan 6,438,499 1,473,688


  2.  Ratification of the Appointment of Independent Registered Public Accounting Firm.  The second proposal was the ratification of the appointment of Li & Company, PC as the Company’s independent registered public accounting firm for the fiscal year ending on December 31, 2011.  There were no broker non-votes as to this proposal.

For Against Abstain
6,019,453 1,866,674 26,060


  3.  Approval of the Amended and Restated 2009 Stock Incentive Plan.  The final proposal was the approval of the Amended and Restated 2009 Stock Incentive Plan.  There were no broker non-votes as to this proposal.

For Against Abstain
5,782,045 2,119,342 10,800



Item 9.01(d).  Exhibits.

(d)           Exhibits.
99.1 Press Release – July 14, 2011, Results of Annual General Meeting.


 
2
SIGNATURES

          Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.

  CHINA ARMCO METALS, INC.


Date:  July 14, 2011 By: /s/ Kexuan Yao
Name: Kexuan Yao
  Title: CEO and Chairman of the Board 
 
3

Exhibit Index
Exhibit No. Description

99.1 Press Release – July 14, 2011, Results of Annual General Meeting. 

Seit Monaten keine Meldungen mehr über neue Verkäufe - ruhig - keine Meldungen mal über Schuldenabbau.......

überhaupt ........keine Meldungen............Mann Mann Mann..............furchtbar ist das................. 

.......was hat das Unternehmen im Juni erreichen können?

June 7, 2011 8:11 AM EDT
China Armco Metals, Inc. (AMEX: CNAM), made the following corporate update for the first two months of Q211.
Net sales were about $14 million. China Armco sold 25,000 metric tons (MT) of recycled steel products to 3 customers.
In addition, the Company recorded $7.1 million of revenue in its metal ore trading business. Client activity remained solid, as reflected in the 41,000 MT of metal ores sold during the first two months of the second quarter.

Zahlen kommen wohl irgendwann so um Ende KW32/Anfang 33  .....

glaube nicht an einen allzu guten Juni - das starke Quartal wird das 3. werden. Da hoffe ich dochmal, daß wir gut zulegen werden.

never mind.............an good luck

China Armco Metals to Host Second Quarter 2011 Earnings Conference Call on Tuesday, August 16, 2011 at 10:00 am ET
 

Mir ist aufgefallen, daß die Zahlen morgens publiziert werden. Das ist bei China Armcor neu.............

nun kann man sich natürlich Gedanken machen - ob der Juni - nun doch ausergewöhnlich gut verlaufen ist.

Bei guten Zahlen - haben zumindest die Short Sellers keine Chance mehr zu reagieren - und unsere Aktie könnte einen großen Satz nach oben katapultieren.

Ich glaube, daß viele so denken und morgen sich noch einmal eindecken - morgen vielleicht nochmal + 10% und dann warten auf die Zahlen...................

...............but never mind.............. 

Gross profit for the second quarter of 2011 was $1.3 million compared to $0.2 million in the second quarter of 2010. Gross margin was 4.4%, up from 1.2% a year ago.

Operating expenses increased $1.1 million to $2.1 million due to increased sales and marketing expenses related to higher orders. As a percent of sales, operating expenses were 6.7% and 5.9% in the second quarter of 2011 and 2010, respectively, reflecting higher costs associated with operating the metal recycling business.

Operating income for the second quarter of 2011 was a $0.7 million loss compared to a $0.8 million loss in the second quarter of 2010.

Net loss for the second quarter of 2011 was $1.3 million, or $0.08 per diluted share, compared to a $0.2 million loss, or $0.02 per share, in the same period last year. The weighted average diluted shares outstanding increased from 13.9 million in the second quarter of 2010 to 15.4 million in the second quarter of 2011.

Financial Condition

The Company ended the second quarter of 2011 with $1.8 million in cash and cash equivalents, compared to $3.1 million at the end of 2010. Working capital was $10.1 million and a current ratio of 1.3:1 on June 30, 2011 compared to $15 million and 2.4:1 on June 30, 2010. Total accounts receivable were $0.3 million at the end of the second quarter of 2011 compared to $19.1 million at year-end 2010 due to improved collections and the successful transition to the Company's preselling strategy. Total shareholders' equity was $41.9 million at June 30, 2011.

The Company had generated $13.9 million net cash flows from operations the first half of 2011 and spent $1.3 million on capital expenditures. China Armco had approximately $61.5 million of credit available on nine bank lines with an aggregate capacity of $101.7 million at June 30, 2011.

First Half 2011 Financial Results


Six months ended June 30

1H 2011 1H 2010 CHANGE
Sales $80.7 million $25.6 million +215%
Gross Profit $4.5 million $0.8 million +498%
Net Income -$0.7 million -$0.2 million N/A
EPS (Fully Diluted) (Loss) -$0.05 -$0.01 N/A


China Armco's sales increased significantly in the first half of 2011, growing from $25.6 million a year ago to $80.7 million. Sales in the metal recycling business were $28.5 million, an increase of $24.6 million from the same period last year due to higher production and an expanded customer base. Iron ore trading generated $48.6 million of sales compared to $25.6 million in the comparable period a year ago. Demand and pricing for metal ores slowed from high levels in the second half of 2011 due to the monetary tightening policies and restrictive real estate policies implemented by the PRC government. The Company is pursuing longer term supply contracts to improve the visibility and margins in its iron ore trading business. China Armco added six new iron ore trading clients in the second quarter of 2011 and ended with 30 clients at June 30, 2011.

Gross profit increased by $3.7 million to $4.5 million, with a gross margin of 5.6% compared to the first six months of 2010.

Operating expenses increased 100% year-over-year to $3.8 million, including a $0.9 million of incremental expense for the metal recycling operations, which commenced full operations in the third quarter of 2010. Operating income improved to $0.7 million from a $1.2 million loss in the first six months of 2010.

Net loss and per share loss were $0.7 million and $0.05, respectively, in the first half of 2011. The weighted average diluted shares outstanding were 15.3 million, a 10% increase from 13.9 million in the first six months of 2010.

Business Updates

The scrap metal recycling business resumed normal operations in January 2011 after the provincial government eliminated power restrictions that were in effect from September to the end of December of 2010. In addition, sales increased substantially from the first six months of 2010 to approximately 62,000 MT in the first six months of 2011. The Company ended the quarter with 10,000 MTs of recycled scrap steel yet to be delivered. Management continues to believe that the secular shift to more environmentally friendly energy production materials and methods will drive the underlying demand for recycled steel.

In June 2011, the Company signed an operating agreement with Lianyungang Hebang Renewable Resources Co., Ltd., an unrelated third party, to lease storage and production capacity at Hebang's facilities located in Guanyun City, Jiangsu province. The agreement allows China Armco to secure and store raw materials at a reasonable cost while reducing the cost of transportation. Guanyun City is located approximately 60 miles (direction) from the Company's metal recycling facilities in Lianyungang.

Conference Call


Conference Call

Date: Tuesday, August 16, 2011
Time: 10:00 am Eastern Time, US
Conference Line Dial-In (U.S.): +1-877-317-6776
International Dial-In: +1-412-317-6776
Asia Dial-In:
Northern China: 10-800-712-2304
Southern China: 10-800-120-2304
Hong Kong: 800-962475
Conference ID: China Armco Metals Second Quarter 2011 Conference Call
Webcast link: webcast.mz-ir.com/publico.aspx?codplataforma=3099


Please dial in at least 10 minutes before the call to ensure timely participation. A playback will be available through August 25, 2011. To listen, please call +1-877-344-7529 within the United States or +1-412-317-0088 if calling internationally. Utilize the pass code 10003264 for the replay.

This call is being webcast by MZ Technologies and can be accessed by clicking on the following link: webcast.mz-ir.com/publico.aspx?codplataforma=3099.

 er beschreibt das aktuelle recht gut.    

Zu meiner Position - ich habe hier "ein kleines Vermögen" bereits abgeschrieben. 

Gewinnen klappt nicht immer und der Blick nach Vorne ist entscheidend..........but you never mind.............

alk to me about earnings, when the Chinese are on Cash basis and we are on an Accrual. It is the equivalent of AC vs DC electric current. Add in the Chinese ignorance to shareholder value (there communist)resulting in non existent internal controls and you can see by this article that 215 Chines Reverse Mergers just looted our ERISA qualified pension fund markets.

Now you want to know why I rant...

This Company has and is continuing to commit fraud. The CEO has sold 1.3 million of his shares illegally and lied to the transfer agent to remove the legend. The board found out and NO DISCLOSURE. You have to read it in federal court documents. THIS IS BLATANT SECURITIES FRAUD. Can you say MATERIAL CONCEALMENT look it up Stanley this is a Section 78 Violation.

Then you get the Independent (Key Word being Independent) Audit Director is also the bank loan officer to a CNAM sub to the tune of 70,000,000 RMB. There is no way this can happen for it voids the whole concept of being independent.

Think about this, the loan and shareholder equity are diametrically opposed.

This is known as internal control deficiencies/failures and once the PCAOB and the SEC start sniffing at the NJ Auditor, he will walk away from the financial s, just like everyone else.

End result, well the SEC has turned off the lights on 35 of these my money is CNAM will become number 36.

One of these days you will read these post and realize, I was the most honest guy here, just trying to help people from losing any more money in this company.

Oh this might be why Worden is selling 30% of the daily trading volume every day. Factor in double prints, Worden cant sell his shares any faster, or he would.

 SAN MATEO, Calif., Nov. 11, 2011 /PRNewswire/ -- China Armco Metals, Inc. (AMEX:  CNAM) ("China Armco" or "the Company"), a distributor of imported metal ore and metal recycler with a new state of the art scrap metal recycling facility in China, today announced that it will hold its third quarter 2011 financial results conference call at 10:30 am ET on Tuesday, November 15, 2011. The Company anticipates releasing its financial results before the market open on November 15, 2011.

To attend the call, please use the information below for either dial-in access or webcast access. When prompted on dial-in, ask for "China Armco Metals Third Quarter 2011 Conference Call".


Conference Call


Date:
Tuesday, November 15, 2011

Time:
10:30 am Eastern Time, US

Conference Line Dial-In (U.S.):
+1-877-317-6776

International Dial-In:
+1-412-317-6776

Conference ID:
China Armco Metals Third Quarter 2011 Conference Call

Webcast link:
webcast.mz-ir.com/publico.aspx?codplataforma=3362  







Please dial in at least 10 minutes before the call to ensure timely participation. A playback will be available through November 23, 2011. To listen, please call +1-877-344-7529 within the United States or +1-412-317-0088 if calling internationally. Utilize the pass code 10006848 for the replay.

This call is being webcast by MZ Technologies and can be accessed by clicking on the following link: webcast.mz-ir.com/publico.aspx?codplataforma=3362.  

About China Armco Metals, Inc.

China Armco Metals, Inc. is engaged in the sale and distribution of metal ore and non-ferrous metals throughout the PRC and is in the recycling business with the recent launch of operations of a metal recycling facility. China Armco maintains customers throughout China. Raw materials are acquired from a global group of suppliers located in diverse countries, including, but not limited to, Brazil, India, Indonesia, Ukraine and the United States. China Armco's product lines include ferrous and non-ferrous ore, iron ore, chrome ore, nickel ore, magnesium, copper ore, manganese ore and steel billet. The Company's recycling facility is expected to be capable of recycling one million metric tons of scrap metal per year, which will position China Armco as one of the 10 largest recyclers of scrap metal in China. China Armco estimates the recycled metal market in China as 70 million metric tons. For more information about China Armco, please visit www.armcometals.com.

www.prnewswire.com/news-releases/...-1030-am-et-133693638.html

Operating expenses increased $0.7 million to $1.7 million due to higher professional fees and a $0.5 million underutilization charge for its recycling facility, neither of which were present in the year ago period. As a percent of sales, operating expenses were 10.8% and 5.5% in the third quarter of 2011 and 2010, respectively.

Operating loss for the third quarter of 2011 was $0.9 million compared to $0.1 million in the third quarter of 2010.

Net loss for the third quarter of 2011 was $1.1 million , or $0.07 per diluted share, compared to a $0.4 million loss, or $0.03 per share, in the same period last year. The weighted average diluted shares outstanding of approximately 15.4 million were essentially the same for both periods.

Financial Condition

The Company ended the third quarter of 2011 with $1.1 million in cash and cash equivalents, compared to $3.1 million at the end of 2010. Working capital was $6.3 million and a current ratio of 1.2:1 on September 30, 2011 compared to $9.5 million and 1.3:1 on September 30, 2010 . Total accounts receivable were $0.5 million at the end of the third quarter of 2011 compared to $19.1 million at year-end 2010 due to improved collections and the successful transition to the Company's preselling strategy. The accounts receivable turnover was 36.4 days during the third quarter of 2011. Total shareholders' equity was $41.8 million at September 30, 2011 .

The Company had generated $14.6 million net cash flows from operations the first nine months of 2011 and spent $1.4 million on capital expenditures. China Armco had approximately $95 million of credit available on nine bank lines with an aggregate capacity of $112 million at September 30 , 2011.  Management has not experienced any difficulties securing bank letters of credit.

First Nine months 2011 Financial Results
Nine months ended September 30


YTD 2011
YTD 2010
CHANGE

Sales
$96.8 million
$44.3 million
+119%

Gross Profit
$5.3 million
$1.7 million
+219%

Net Income
($1.8 million)
($0.6 million)
N/A

EPS (Fully Diluted) (Loss)
($0.12)
($0.04)
N/A





China Armco's sales increased by approximately $52.5 million in the first nine months of 2011 to $96.8 million . Sales in the metal recycling business were $36.8 million , an increase of $23 million from the same period last year due to higher production and an expanded customer base. Iron ore trading generated $60 million of sales compared to $30.6 million in the comparable period a year ago. Demand and pricing for metal ores dropped significantly in the latter part of the third quarter of 2011 due to the monetary tightening policies and restrictive real estate policies implemented by the PRC government. The Company is pursuing longer term supply contracts to improve the visibility and margins in its iron ore trading business. China Armco has added six new iron ore trading clients in the first nine months of 2011 in Jiangsu province.

Gross profit increased from $1.7 million in the first nine months of 2010 to $5.3 million , with a gross margin of 5.5%.

Operating expenses increased 89% year-over-year to $5.6 million , including a $1.4 million of incremental expense for the metal recycling operations, which commenced full operations toward the end of the third quarter of 2010. Operating income improved from a loss of $1.3 million a year ago to $0.2 million in the comparable period in 2011.

Net loss and per share loss were $1.8 million and $0.12 , respectively, in the first nine months of 2011. The weighted average diluted shares outstanding were 15.3 million, a 15% increase from 13.3 million in the corresponding period a year ago.

Business Updates

The metal recycling business resumed normal operations in January 2011 after the provincial government eliminated power restrictions that were in effect from September to December of 2010. As a result, sales increased by 42,230 MT to 78,689 MT in the first nine months of 2011, representing 116% year-over-year growth. Management continues to believe that the secular shift to more environmentally friendly energy production materials and methods will drive underlying demand for recycled steel.

As a part of its strategy to expand its raw materials supply for its recycling business, the Company signed an operating agreement with Lianyungang Hebang Renewable Resources Co., Ltd., an unrelated third party, to lease storage and production capacity at Hebang's facilities located in Guanyun City, Jiangsu province in June 2011 . The facility is capable of recycling scrap metals and will increase its control over the local supply of recycled and raw materials, supplying over 2,000 MT of scrap metals since October 2011 .

Additionally, in the third quarter of 2011, the Company signed agreements with two other local scrap recyclers capable of supplying and processing 1,000 MT of scrap metals per month and is in negotiations with a number of other similar recycling partners.

China Armco is also actively expanding its raw materials purchase from overseas, acquiring approximately 10,000 MT of unprocessed scrap metals since July of 2011. As it manages the pricing and supply volatility experienced by the industries that it serves, the Company will continue to build its overseas supply channels in order to reduce the supply and price volatility of raw materials. 

......China Armco Metals: News Around the Industry
China's Nov Iron Ore Imports Rebound 29% On Demand Recovery
Source: SBB Daily Briefing Scrap & Raw Materials Edition - 2011-12-13


China’s iron ore imports rebounded by nearly 29% in November, on the preceding month, as demand recovered during the first three weeks,Steel Business Briefing understands from the latest statistics of the country’s customs bureau.

Last month China imported 64.2 million tonnes of iron ore, up 14.3mt from the previous month and representing a return to the 60m t/m level seen before the October dip, SBB notes.

For most of September-October many mills and traders stayed away from the market on continuing and sharp price decreases: accordingly, spot import prices bounced back to $148-150/t cfr China as of 21 November, from $125-126/t cfr on 31 October. Prices later corrected downward, however, to reach $134-138/t cfr on 28 November, according to SBB pricing data.

The average price in November was $162.1/t, down from above $175/t in the two preceding months.

 

In the first eleven months the country imported 622mt of iron ore, up 11% year-on-year, with the value also up 45.2% because of higher average import prices so far this year.

China's iron ore imports  
Source: China Customs
Million tonnes 
M-o-m
Y-o-y

November
64.2
28.6%
12%

January-November
622.01  
11.1%

www.armcometals.com/News/...ound%2029%20On%20Demand%20Recovery

 

www.scrapmonster.com/news/...s.-economic-recovery/1/4214