Ein neuer Staal Wert:China Precision Steel

Geht es schon wieder los ?

Fliege

wieder die Post ab ...

Fliege

Revenue for fiscal 2007 increased 54.7% to $54.0 million from $34.9 million in fiscal 2006. Revenue growth was driven by increased volume of precision steel products to 67,021 tons in fiscal 2007, up 59.0% from 42,160 tons in fiscal 2006. High carbon and low carbon products accounted for 54% and 42%, respectively, compared to 62% and 38%, respectively, in fiscal 2006. Export sales to the Philippines and Thailand totaled $4.7 million, accounting for 8.6% of total sales.

Gross profit was $15.0 million, up 50.5% from $10.0 million a year ago. Gross margin was 27.9% in 2007 compared to 28.6% in 2006. Gross margin was impacted by higher raw materials costs and amortization costs associated with the addition of a second mill in August 2006.

Operating expenses were $5.9 million, up 788% from $667,989 in fiscal 2006 primarily due to a $3.8 million provision for doubtful accounts recorded as a partial reserve against advances to suppliers where the goods ordered were not received within ninety days. The Company did not record a provision for bad debts in fiscal 2006.

Selling expenses were $245,695 or 0.5% of revenue, up from $122,220 or 0.4% of revenue, in fiscal 2006. The increase in selling expenses was primarily due to higher transportation expenses resulting from a broader customer base, including exports, as well as an increase in order frequency.

General and administrative ("G&A") expenses were $1.9 million, or 3.5% of revenue, up 269% from $505,764, or 1.4% of revenue, in fiscal 2006. The increase in G&A was chiefly due to increases in the amortization of intangible assets, listing fees relating to the Company's admission to the NASDAQ Capital Market and associated expenses.

Operating income for 2007 was $9.1 million down slightly from $9.3 million in 2006.

Net income for fiscal 2007 was $8.3 million, down 1.3% from $8.4 million in fiscal 2006. Fully diluted earnings per share in fiscal year 2007 were $0.29 compared to fully diluted earnings per share of $0.35 in fiscal year 2006.

Financial Condition

As of June 30, 2007, China Precision Steel had $5.5 million in cash, $22.9 million in long-term debt and notes payable and $14.6 million in working capital. Cash flow from operating activities was $2.9 million for fiscal year 2007. Total stockholders' equity stood at $51.1 million compared to $11.7 million as of June 30, 2006.

Business Outlook

China Precision Steel has two mills in production with current annual capacity as of June 30, 2007 of 115,000 metric tons. The Company's second mill began production at the end of 2006 and has total annual production capacity is 150,000 metric tons. The mill is currently operating at 40% capacity and is expected to reach 50% capacity by the end of 2007 and full capacity by the end of 2009. In 2008, China Precision Steel intends to commence construction of a third reversing mill with capacity of 150,000 metric tons and production width of 1700 mm. The primary focus of the two new mills will be on higher margin high carbon, cold-rolled steel products and more complex precision steel products. The Company intends to purchase a new hydrogen annealing furnace and a new 1700 mm cold roll mill for a total investment of $18 million.

"We are creating a dominant position in China for ultra-thin precision steel. Currently we produce over 40 high precision steel products with over 100 specifications and we remain focused on broadening the number of precision steel products," concluded Dr. Li. "We are also looking to increase our penetration into Guangdong Province where there is a concentration of light industries, and in the Northeastern region of China where there are a number of automotive manufacturing companies."

Annual Shareholders Meeting

China Precision Steel will hold its Annual Meeting of Shareholders on Monday, November 12, 2007 at 10:30 am, Eastern Time, at the offices of Kirkpatrick & Lockhart Preston Gates Ellis LLP, 599 Lexington Avenue, New York, New York 10022. The record date for the Annual Meeting is September 28, 2007 and all shareholders of record at the close of business on that day will be entitled to vote at the Annual Meeting.

About China Precision Steel

China Precision Steel is a niche precision steel processing company principally engaged in the production and sale of high precision cold-rolled steel products and provides value added services such as heat treatment, and cutting medium and high carbon hot-rolled steel strips. China Precision Steel produces high precision ultra-thin and high-strength (0.03 mm to 7.5 mm) cold- rolled steel products primarily for automotive components, food packaging materials, saw blades and textile needle manufacturing companies in the People's Republic of China. The Company's operations are primarily located in China, with sales to Southeast Asia and Africa. For more information please visit www.chinaprecisionsteelinc.com .

Conference Call

China Precision Steel will host a conference call on Wednesday, October 17, 2007 at 9:00 a.m. ET to discuss 2007 year end results. To participate in the live conference call, please dial the following number five to ten minutes prior to the scheduled conference call time: 866-800-8648. International callers should dial 617-614-2702. When prompted by the operator, mention conference passcode 35045639. If you are unable to participate in the call at this time, a replay will be available for seven days starting on Wednesday, October 17, 2007 at 11:00 a.m. ET. To access the replay, dial 888-286-8010 and enter the passcode 93096615. International callers should dial 617-801- 6888 and enter the same passcode 93096615. This conference call will be broadcast live over the Internet and can be accessed by all interested parties at the Company's website www.chinaprecisionsteelinc.com . Please access the link 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 90 day replay will be available shortly after the call by accessing the same link.

Forward-Looking Statements

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Certain statements in this press release and oral statements made by China Precision Steel on its conference call in relation to this release, constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. These statements include, without limitation, statements regarding our ability to prepare the company for growth, the Company's planned manufacturing capacity expansion and predictions and guidance relating to the Company's future financial performance. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs but they involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, business conditions in China, weather and natural disasters, changing interpretations of generally accepted accounting principles; outcomes of government reviews; inquiries and investigations and related litigation; continued compliance with government regulations; legislation or regulatory environments, requirements or changes adversely affecting the businesses in which China Precision Steel is engaged; cyclicality of steel consumption including overcapacity and decline in steel prices, limited availability of raw material and energy may constrain operating levels and reduce profit margins, environmental compliance and remediation could result in increased cost of capital as well as other relevant risks not included herein. The information set forth herein should be read in light of such risks. You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. The forward-looking statements made herein speak only as of the date of this press release and the Company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company's expectations.

                       -- Financial Tables Follow --



                China Precision Steel, Inc. and Subsidiaries
                        Consolidated Balance Sheets

                                                   June 30,       June 30,
                                                    2007            2006
   Assets
   Current assets
   Cash and equivalents                          $5,504,862        $186,955
   Accounts receivable, Trade, net of
    allowances of $273,461 and $138,837
    at June 30, 2007 and 2006, respectively       8,242,044      13,399,003

   Other                                             85,708          69,913
   Inventory                                     15,723,704       6,283,910
   Deposits                                          82,758          75,575
   Advances to suppliers, net of allowance of
    $3,502,184 and $0 at June 30                 11,699,918       3,138,759
   Total current assets                          41,338,994      23,154,115
   Property and equipment
   Land use rights                                1,124,583              --
   Property and equipment, net                   29,238,227       8,664,417
   Construction-in-progress                      10,355,763      13,752,954
                                                 40,718,573      22,417,371
   Goodwill                                          99,999              --
   Total assets                                 $82,157,566     $45,571,486

   Liabilities and Stockholders' Equity
   Current liabilities
   Accounts payable and accrued liabilities      $4,855,932      $1,801,466
   Advances from customers                        1,720,812       1,859,773
   Other taxes payables                             816,553         862,914
   Current income taxes payable                   1,892,866              --
   Deferred income taxes payable                  1,064,028       1,535,204
   Amounts due to directors                         408,620       5,896,943
   Current portion of long-term debt              6,163,445       8,918,939
   Notes payable                                  9,842,520       9,862,672
   Total current liabilities                     26,764,776      30,737,911

   Long-term debt, net of current portion
    shown above                                   6,878,714       3,152,415
   Stockholders' equity:
   Preferred stock: $0.001 per value,
    8,000,000 shares authorized, no
    shares outstanding at June 30,
    2007 and 2006
   Ordinary stock: $0.001 par value,
    62,000,000 shares authorized,
    37,378,143 and 24,283,725 issued and
    outstanding June 30, 2007 and 2006               37,378          24,284
   Additional paid-in capital                    31,867,063       1,375,716
   Accumulated other comprehensive income         2,192,160         745,583
   Retained earnings                             17,008,238       9,535,577
   Total stockholders' equity                    51,104,839      11,681,160
   Amounts due from directors                    (2,590,763)             --
   Total liabilities and stockholders' equity   $82,157,566     $45,571,486



                 China Precision Steel, Inc. and Subsidiaries
                     Consolidated Statements of Operations
                  For the Years Ended June 30, 2007 and 2006

                                                  2007              2006
   Revenues
   Sales revenues                             $53,960,243       $34,881,141
   Cost of goods sold                          38,925,987        24,892,154
   Gross profit                                15,034,256         9,988,987

   Operating expenses
   Selling expenses                               245,695           122,220
   Administrative expenses                      1,863,994           505,764
   Provision for bad debts                      3,775,645                --
   Depreciation and amortization expense           44,375            40,005
   Total operating expenses                     5,929,709           667,989

   Income from continuing operations            9,104,547         9,320,998

   Other income (expense)
   Other revenues                                 103,388                --
   Other expenses                                  (1,362)               --
   Interest and finance costs                    (312,222)         (271,693)

   Total other income (expense)                  (210,196)         (271,693)

   Net income from continuing operations
    before income tax                           8,894,351         9,049,305

   Provision for (benefit from) income tax
   Current                                      1,892,866                --
   Deferred                                      (471,176)        1,535,204

   Total income tax expense                     1,421,690         1,535,204

   Net income before discontinued
    operations                                  7,472,661         7,514,101
   Net income from discontinued operations        831,448           900,469

   Net income                                  $8,304,109        $8,414,570

   Basic earnings per share:
   From continuing operations                       $0.26             $0.31
   From discontinued operations                     $0.03             $0.04
   Total                                            $0.29             $0.35
   Basic weighted average shares
    outstanding                                28,438,313        24,283,725
   Diluted earnings per share:
   From continuing operations                       $0.26             $0.31
   From discontinued operations                     $0.03             $0.04
   Total                                            $0.29             $0.35
   Diluted weighted average shares
    outstanding                                28,759,553        24,283,725



                  China Precision Steel, Inc. and Subsidiaries
                     Consolidated Statements of Cash Flows
                   For the Years ended June 30, 2007 and 2006

                                                  2007              2006
   Cash flows from operating activities
   Net Income                                  $8,304,109        $8,414,570
   Adjustments to reconcile net income to
    net cash provided by (used in)
    operating activities
   Depreciation                                 1,527,211           823,862
   Less income from discontinued
    operations - Oralabs, Inc                    (831,448)         (900,469)
   Provision for doubtful accounts              3,775,645                --
   Warrants issued for consulting                 447,993                --
   Net changes in assets and liabilities:
   Accounts receivable, net                     5,523,369        (6,790,827)
   Inventories                                 (9,133,893)       (4,018,854)
   Advances to suppliers                      (10,677,692)       (1,440,047)
   Deposits                                        (3,504)          (75,575)
   Accounts payable and accrued expenses        2,966,771           435,337
   Advances from customers                       (229,495)        1,296,647
   Deferred income taxes                         (471,176)        1,135,204
   Current income taxes                         1,892,866                --
   Taxes payable                                 (188,367)          670,313
   Net cash provided by operating
    activities                                  2,902,389          (449,839)

   Cash flows from investing activities
   Purchase of goodwill                           (99,999)               --
   Purchases of fixed assets including
    construction in progress                   (9,896,145)      (10,049,870)
   Net cash (used in) investing
    activities                                 (9,996,144)      (10,049,870)

   Cash flows from financing activities
   Advances to Directors, net                  (7,610,426)       (1,763,994)
   Notes payable proceeds                      10,040,633        13,245,762
   Repayments of notes payable                (10,157,728)       (4,251,719)
   Proceeds from sale of common stock          19,326,878                --

   Net cash provided by financing
    activities                                 11,599,357         7,230,049

   Effect of exchange rate                        812,305           323,289

   Net increase (decrease) in cash              5,317,907        (2,946,371)

   Cash and cash equivalents, beginning
    of year                                       186,955         3,133,326

   Cash and cash equivalents, end of year      $5,504,862          $186,955



   For more information, please contact:

   CCG Elite
    Crocker Coulson, President, or
    Leslie Richardson, Financial Writer
    Tel:   +1-310-231-8600
    Email: crocker.coulson@ccgir.com or leslie.richardson@ccgir.com

   China Precision Steel
    Leada Li, CFO
    Email: leadali@biznetvigator.com

_  15.10.2007 15:09  

General Steel Holdings, Inc. Retains HC International

  

<!-- Template Id = 3956 Template Name = [M] MS ActiveX(KB912945) Workaround Flash - v3_0 -->

BEIJING, Oct. 15 /Xinhua-PRNewswire-FirstCall/ -- General Steel Holdings, (Nachrichten) Inc. ("General Steel"), one of China's leading non-state owned steel products producer, announced today that it has retained HC International (Nachrichten) to design and execute its investor relations campaign.

"As an emerging and rapidly growing steel provider, our company has established a solid production platform," said Mr. Henry Yu, CEO of General Steel Holdings, Inc. "We look forward to collaborating with HC International, Inc. to raise our visibility in both the investment community and with the financial media as we embark on the next phase of our growth strategy."

China is the largest producer and consumer of domestic steel and it is estimated nearly 500 million tons will be consumed during 2007. The domestic steel industry is highly fragmented with an estimated 1100 companies while the Central Government is driving industry consolidation through forced mergers and heightened operating restrictions.

General Steel is currently capitalizing on these industry trends. Through acquisitions, joint venture partnerships, and organic growth, General Steel plans to grow its annual production exponentially from 3 million tons.

"General Steel is a leading non-state owned steel provider in China with a strong management team and is positioned to take advantage of a large and growing market," said Matthew Hayden, President of HC International. "General Steel's management has significant industry experience and relationships and provides an ideal conduit for U.S. investors to participate in the long-term secular growth of China's infrastructure, energy and heavy equipment sectors. Management maintains a significant ownership in the enterprise, thus aligning its interests with that of the shareholders to create long-term value."

About General Steel Holdings, Inc.

General Steel Holdings, Inc., headquartered in Beijing, operates a diverse portfolio of Chinese steel companies. With 3 million tons aggregate production capacity, its companies serve various industries and produce a variety of steel products including reinforced bar (rebar), hot-rolled carbon and silicon sheet and spiral-weld pipe. General Steel has steel operations in Shaanxi province (central China), Inner Mongolia autonomous region (northwest China) and Tianjin municipality (northeast China).

Information Regarding Forward-Looking Statements

This press release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations or beliefs about future events and financial, political and social trends and assumptions it has made based on information currently available to it. General Steel cannot assure that any expectations, forecasts or assumptions made by management in preparing these forward-looking statements will prove accurate, or that any projections will be realized. Such forward-looking statements may be affected by inaccurate assumptions or by known or unknown risks or uncertainties. Actual results may vary materially from those expressed or implied by the statements herein. For factors that could cause actual results to vary, perhaps materially, from these forward-looking statements, please refer to General Steel's Form 10-K, filed with the Securities and Exchange Commission, and other subsequent filings. Forward-looking statements contained herein speak only as of the date of this release. General Steel does not undertake any obligation to update or revise publicly any forward-looking statements, whether to reflect new information, future events or otherwise.

For more information, please contact: Ross Warner General Steel Holdings, Inc. Tel: +86-10-5879-7346 (Beijing) Email: ross@gshi-steel.com Skype: ross.warner.generalsteel Matthew Hayden HC International, Inc. Tel: +1-858-704-5065 (USA) Email: matt.hayden@hcinternational.net Web: http://www.hcinternational.net/

 Klicken Sie hier, um weitere aktuelle Nachrichten zum Unternehmen zu finden:

   GENERAL STEEL HOLDINGS
   HC INTERNATIONAL_______

http://www.finanznachrichten.de/...ichten-2007-10/artikel-9224228.asp

dieser WErt wird vorerst auch nur in USA und in Deutschland gehandelt

 

Nun China Precision läuft doch recht gut. Merci

 

______________________________________________ "Malo mori quam foederari - Lieber sterben als sich entehren"

In den USA läuft die Aktie richtig schön an und die Aussichten sind auch ok.

China Precision Steel is both a short term and long term must own a company that has clearly been overlooked by analysts. Several years ago, the stock had a major sell off dropping from the USD 14 level after it made the strategic decision in 2006 to switch its product mix from lower quality steel products with lower margins to high-precision products with much higher margins.

The company has completely turned around after incurring the associated capital expenditures including R&D which caused the stock to drift lower over several years. But now the company is spending only 1% of revenue on R&D has returned to handsome profitability and is on track to reward investors with rapid and sustained earnings growth. None of these developments have been factored into the stock price.

The stock is extremely undervalued as I will discuss further in this article. I expect the stock to easily break through the USD 2 mark prior to its upcoming earnings release, and to make a new 52 week high above USD 2.67 shortly thereafter and reach the USD 4 to USD 5 range by 2012.

China Precision Steel is a steel processing company engaged in the manufacturing and selling of precision cold-rolled steel products and in the provision of heat treatment and cutting of medium and high carbon hot-rolled steel strips. Its specialty precision products are used in the manufacture of automobile parts and components, steel roofing, plane friction discs, appliances, food packaging materials, saw blades, textile needles and microelectronics.
Quelle : finanznachrichten.de   steelguru.com