- 2021 revenue of $91.5 million, net income of $23 million
- Year-end cash and equivalents of $129 million
- Explosive growth in self-balancing scooter segment, up over 400%
JINHUA, CHINA, March 15, 2022 (GLOBE NEWSWIRE) -- Kandi Technologies Group, Inc. (the “Company,” “we” or “Kandi”) (NASDAQ GS: KNDI), today announced its financial results for the full year ended December 31, 2021.
Full Year 2021 Highlights
• Total revenue was $91.5 million, compared to $76.9 million in 2020.
• EV parts sales were $25.3million, compared to $40.6 million in 2020.
• Off-road vehicles sales were $29.3 million, compared to $29.8 million in 2020.
• EV product sales increased by 116% to $1.5 million, compared to $0.7 million in 2020.
• Electric Scooters, Electric Self-Balancing Scooters and associated parts sales increased by 420.6% to $30.0 million, compared with $5.8 million in 2020.
• Gross margin was 17.8%, compared to 17.5% in 2020.
• Operating income was $1.34 million, compared to $0.8 million in 2020.
• Net income was $22.9 million, or $0.30 income per fully diluted share, compared to a net loss of $10.4 million, or $0.19 loss per fully diluted share in 2020.
• As of December 31, 2021, working capital was $278.4 million; cash, cash equivalents, restricted cash and certificate of deposit totaled $223.7 million.
Mr. Hu Xiaoming, Chairman and CEO of Kandi commented, “As a company, our primary focus initially was the design, development, manufacture, and sale of electric vehicle products and electric vehicle parts. Nevertheless, some Chinese pure electric vehicle manufacturers have attempted to capture market share at any cost, resulting in substantial losses in recent years. It has become increasingly obvious that the pure electric vehicle market in China has not yet reached a healthy development stage. We do not believe it is prudent to participate in such loss-making competition given our current financial resources. It has always been our belief that pure electric vehicles can only become widely popular once the battery swap model matures. With our advanced pure electric vehicle intelligent battery swapping equipment, pure electric vehicle manufacturing capacity and dozens of patented technologies for battery swap, we will continue to focus on improving car-hailing using EVs with battery swap capability. As soon as the electric vehicle market in China enters an orderly stage of development, we will consider re-entering the market.”
Hu continued, “We see huge demand building for electrified off-road vehicles. In 2022, we will apply EV technology to off-road vehicle products and launch a variety of pure electric utility terrain vehicles (“UTVs”), neighborhood EVs (“NEVs”), golf carts, and off-road crossover vehicles. We will make full use of our high-end technology, which is the culmination of years of development work in the EVs, to aggressively pursue the off-road vehicle market. Our goal is to become the market leader in this field in China within three years.”
Regarding Company’s strategy, Hu commented, “The business transformation undertaken by the company in 2021 is already proving successful. Due to the strategic action, we took following the COVID-19 pandemic in 2020, our development has been reignited. We are concentrating our resources on markets with the best growth potential and a reasonable level of competition. Despite the challenges associated with this type of transformation, this is a step that Kandi must take to achieve sustainable growth.”
Hu concluded, “Looking forward, we are optimistic about the future of our company. Since we will be launching several pure electric off-road vehicles soon, we believe that our 100% electric off-road vehicle products that incorporate pure EV technology will be quite popular. Additionally, we look forward to the new opportunities brought about by China entering a healthy and orderly development stage for its pure electric vehicle market. In view of our outstanding technological innovation capabilities, solution integration capabilities and operational experience, we are in an excellent position to benefit from the development of the EV and electric off-road vehicle industries.”
Full Year 2021 Financial Results
Net Revenues and Gross Profit (in USD millions)
|
|
2021 |
|
|
2020 |
|
|
Y-o-Y% |
|
| Net Revenues |
|
$ |
91.5 |
|
|
$ |
76.9 |
|
|
|
18.9 |
% |
| Gross Profit |
|
$ |
16.2 |
|
|
$ |
13.5 |
|
|
|
20.5 |
% |
| Gross Margin% |
|
|
17.8 |
% |
|
|
17.5 |
% |
|
|
- |
|
Net revenues of $91.5 million increased 18.9% from 2020. The increase was due mainly to explosive growth in the Electric Scooters, Electric Self-Balancing Scooters and associated parts segment. Since entering this market in 2020, Kandi has driven growth through sales to more customers, and high growth of customers’ end-product sales. Gross margin was stable at 17.8%, compared with 17.5% in 2020.
Operating Income/Loss (in USD millions)
|
|
2021 |
|
|
2020 |
|
|
Y-o-Y% |
|
| Operating Expenses |
|
$ |
(14.9 |
) |
|
$ |
(12.7 |
) |
|
|
17.1 |
% |
| Income from Operations |
|
$ |
1.3 |
|
|
$ |
0.8 |
|
|
|
77.1 |
% |
| Operating Margin% |
|
|
1.5 |
% |
|
|
1.0 |
% |
|
|
- |
|
Total operating expenses were $14.9 million, compared with $12.7 million in 2020. The increase was due to higher R&D expense. Operating expenses were partially offset by the gain on disposal of long-lived assets recognized from the relocation of the Jinhua facility.
Net Income/Loss (in USD millions)
|
|
2021 |
|
|
2020 |
|
|
Y-o-Y% |
|
| Net Income (Loss) |
|
$ |
22.9 |
|
|
$ |
(10.4 |
) |
|
|
-320.0 |
% |
| Net Income (Loss) per Share, Basic and Diluted |
|
$ |
0.30 |
|
|
$ |
(0.19 |
) |
|
|
- |
|
Net income was $22.9 million, comparing to a net loss of $10.4 million in 2020. The profitable result was attributable to the gain resulting from the relocation of the Jinhua headquarters.
Full Year 2021 Conference Call Details
The Company has scheduled a conference call and live webcast to discuss its financial results at 8:00 A.M. Eastern Time (8:00 P.M. Beijing Time) on Tuesday, March 15, 2022. Management will deliver prepared remarks to be followed by a question and answer session.
The dial-in details for the conference call are as follows:
• Toll-free dial-in number: +1-877-407-3982
• International dial-in number: + 1-201-493-6780
• Webcast and replay: https://themediaframe.com/mediaframe/webcast.html?webcastid=8oRuq5Ul
The live audio webcast of the call can also be accessed by visiting Kandi's Investor Relations page on the Company's website at http://www.kandivehicle.com. An archive of the webcast will be available on the Company's website following the live call.
About Kandi Technologies Group, Inc.
Kandi Technologies Group, Inc. (KNDI), headquartered in Jinhua Economic Development Zone, Zhejiang Province, is engaged in the research, development, manufacturing, and sales of various vehicular products. Kandi conducts its primary business operations through its wholly-owned subsidiary, Zhejiang Kandi Technologies Group Co., Ltd. (“Zhejiang Kandi Technologies”), formerly, Zhejiang Kandi Vehicles Co., Ltd. and its subsidiaries including Zhejiang Kandi Smart Battery Swap Technology Co., Ltd, and SC Autosports, LLC (d/b/a Kandi America), the wholly-owned subsidiary of Kandi in the United States, and its wholly-owned subsidiary, Kandi America Investment, LLC. Zhejiang Kandi Technologies has established itself as one of China's leading manufacturers of pure electric vehicle parts and off-road vehicles.
Safe Harbor Statement
This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.
Follow us on Twitter: @ Kandi_Group
Contacts:
Kandi Technologies Group, Inc.
Ms. Kewa Luo
+1 (212) 551-3610
IR@kandigroup.com
The Blueshirt Group
Mr. Gary Dvorchak, CFA
gary@blueshirtgroup.com
- Tables Below -
KANDI TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
|
|
December 31,
2021 |
|
|
December 31,
2020 |
|
| Current assets |
|
|
|
|
|
|
|
|
| Cash and cash equivalents |
|
$ |
129,223,443 |
|
|
$ |
142,078,190 |
|
| Restricted cash |
|
|
39,452,564 |
|
|
|
442,445 |
|
| Certificate of deposit |
|
|
55,041,832 |
|
|
|
- |
|
| Accounts receivable (net of allowance for doubtful accounts of $3,053,277 and $110,269 as of December 31, 2021 and December 31, 2020, respectively) |
|
|
52,896,305 |
|
|
|
38,547,137 |
|
| Inventories |
|
|
33,171,973 |
|
|
|
19,697,383 |
|
| Notes receivable |
|
|
323,128 |
|
|
|
31,404,630 |
|
| Other receivables |
|
|
8,901,109 |
|
|
|
1,875,245 |
|
| Prepayments and prepaid expense |
|
|
17,657,326 |
|
|
|
13,708,149 |
|
| Advances to suppliers |
|
|
5,940,456 |
|
|
|
36,733,182 |
|
| Amount due from the Affiliate Company |
|
|
- |
|
|
|
21,742,226 |
|
| Amount due from related party |
|
|
- |
|
|
|
886,989 |
|
| TOTAL CURRENT ASSETS |
|
|
342,608,136 |
|
|
|
307,115,576 |
|
|
|
|
|
|
|
|
|
|
| NON-CURRENT ASSETS |
|
|
|
|
|
|
|
|
| Property, plant and equipment, net |
|
|
111,577,411 |
|
|
|
65,402,680 |
|
| Intangible assets, net |
|
|
13,249,079 |
|
|
|
3,232,753 |
|
| Land use rights, net |
|
|
3,250,336 |
|
|
|
3,257,760 |
|
| Construction in progress |
|
|
79,317 |
|
|
|
16,317,662 |
|
| Deferred tax assets |
|
|
2,219,297 |
|
|
|
8,964,946 |
|
| Long-term investment |
|
|
157,262 |
|
|
|
45,958 |
|
| Investment in the Affiliate Company |
|
|
- |
|
|
|
28,892,638 |
|
| Goodwill |
|
|
36,027,425 |
|
|
|
29,712,383 |
|
| Other long-term assets |
|
|
10,992,009 |
|
|
|
32,307,484 |
|
| TOTAL NON-CURRENT ASSETS |
|
|
177,552,136 |
|
|
|
188,134,264 |
|
|
|
|
|
|
|
|
|
|
| TOTAL ASSETS |
|
$ |
520,160,272 |
|
|
$ |
495,249,840 |
|
|
|
|
|
|
|
|
|
|
| CURRENT LIABILITIES |
|
|
|
|
|
|
|
|
| Accounts payable |
|
$ |
36,677,802 |
|
|
$ |
34,257,935 |
|
| Other payables and accrued expenses |
|
|
9,676,973 |
|
|
|
7,218,395 |
|
| Short-term loans |
|
|
950,000 |
|
|
|
- |
|
| Notes payable |
|
|
8,198,193 |
|
|
|
92,445 |
|
| Income tax payable |
|
|
1,620,827 |
|
|
|
1,313,754 |
|
| Advance receipts |
|
|
- |
|
|
|
38,229,242 |
|
| Amount due to related party |
|
|
- |
|
|
|
500,000 |
|
| Other current liabilities |
|
|
7,038,895 |
|
|
|
2,185,654 |
|
| TOTAL CURRENT LIABILITIES |
|
|
64,162,690 |
|
|
|
83,797,425 |
|
|
|
|
|
|
|
|
|
|
| NON-CURRENT LIABILITIES |
|
|
|
|
|
|
|
|
| Long-term loans |
|
|
2,210,589 |
|
|
|
- |
|
| Deferred tax liability |
|
|
2,460,141 |
|
|
|
3,483,171 |
|
| Contingent consideration liability |
|
|
7,812,000 |
|
|
|
3,743,000 |
|
| Other long-term liabilities |
|
|
314,525 |
|
|
|
459,580 |
|
| TOTAL NON-CURRENT LIABILITIES |
|
|
12,797,255 |
|
|
|
7,685,751 |
|
|
|
|
|
|
|
|
|
|
| TOTAL LIABILITIES |
|
|
76,959,945 |
|
|
|
91,483,176 |
|
|
|
|
|
|
|
|
|
|
| STOCKHOLDER’S EQUITY |
|
|
|
|
|
|
|
|
| Common stock, $0.001 par value; 100,000,000 shares authorized; 77,385,130 and 77,298,499 shares issued and 76,705,381 and 75,377,555 outstanding at December 31,2021 and December 31,2020, respectively |
|
|
77,385 |
|
|
|
75,377 |
|
| Less: Treasury stock (679,749 shares and 0 shares with average price of $3.52 at December 31,2021 and December 31,2020, respectively) |
|
|
(2,392,203 |
) |
|
|
- |
|
| Additional paid-in capital |
|
|
449,479,461 |
|
|
|
439,549,338 |
|
| Accumulated deficit (the restricted portion is $4,422,033 and $4,422,033 at December 31,2021 and December 31,2020, respectively) |
|
|
(4,216,102 |
) |
|
|
(27,079,900 |
) |
| Accumulated other comprehensive income (loss) |
|
|
251,786 |
|
|
|
(8,778,151 |
) |
| TOTAL STOCKHOLDERS’ EQUITY |
|
|
443,200,327 |
|
|
|
403,766,664 |
|
|
|
|
|
|
|
|
|
|
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
$ |
520,160,272 |
|
|
$ |
495,249,840 |
|
KANDI TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE INCOME (LOSS)
FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020
|
|
Years Ended |
|
|
|
December 31,
2021 |
|
|
December 31,
2020 |
|
| REVENUES FROM UNRELATED PARTIES, NET |
|
$ |
91,484,792 |
|
|
$ |
76,176,609 |
|
| REVENUES FROM THE AFFILIATE COMPANY AND RELATED PARTIES, NET |
|
|
1,592 |
|
|
|
743,904 |
|
|
|
|
|
|
|
|
|
|
| REVENUES, NET |
|
|
91,486,384 |
|
|
|
76,920,513 |
|
|
|
|
|
|
|
|
|
|
| COST OF GOODS SOLD |
|
|
(75,238,522 |
) |
|
|
(63,432,580 |
) |
|
|
|
|
|
|
|
|
|
| GROSS PROFIT |
|
|
16,247,862 |
|
|
|
13,487,933 |
|
|
|
|
|
|
|
|
|
|
| OPERATING INCOME (EXPENSE): |
|
|
|
|
|
|
|
|
| Research and development |
|
|
(38,971,986 |
) |
|
|
(7,246,312 |
) |
| Selling and marketing |
|
|
(4,736,000 |
) |
|
|
(6,619,355 |
) |
| General and administrative |
|
|
(19,605,468 |
) |
|
|
(13,042,103 |
) |
| Gain on disposal of long-lived assets |
|
|
48,401,797 |
|
|
|
14,174,233 |
|
| TOTAL OPERATING EXPENSE |
|
|
(14,911,657 |
) |
|
|
(12,733,537 |
) |
|
|
|
|
|
|
|
|
|
| INCOME FROM OPERATIONS |
|
|
1,336,205 |
|
|
|
754,396 |
|
|
|
|
|
|
|
|
|
|
| OTHER INCOME (EXPENSE): |
|
|
|
|
|
|
|
|
| Interest income |
|
|
4,208,751 |
|
|
|
2,190,678 |
|
| Interest expense |
|
|
(407,620 |
) |
|
|
(3,750,233 |
) |
| Change in fair value of contingent consideration |
|
|
2,834,000 |
|
|
|
(565,000 |
) |
| Government grants |
|
|
1,233,192 |
|
|
|
1,130,262 |
|
| Gain from sale of equity in the Affiliate Company |
|
|
17,788,351 |
|
|
|
- |
|
| Share of loss after tax of the Affiliate Company |
|
|
(2,592,334 |
) |
|
|
(17,252,662 |
) |
| Other income, net |
|
|
4,809,743 |
|
|
|
2,051,226 |
|
| TOTAL OTHER INCOME (EXPENSE), NET |
|
|
27,874,083 |
|
|
|
(16,195,729 |
) |
|
|
|
|
|
|
|
|
|
| INCOME (LOSS) BEFORE INCOME TAXES |
|
|
29,210,288 |
|
|
|
(15,441,333 |
) |
|
|
|
|
|
|
|
|
|
| INCOME TAX (EXPENSE) BENEFIT |
|
|
(6,346,490 |
) |
|
|
5,047,169 |
|
|
|
|
|
|
|
|
|
|
| NET INCOME (LOSS) |
|
|
22,863,798 |
|
|
|
(10,394,164 |
) |
|
|
|
|
|
|
|
|
|
| OTHER COMPREHENSIVE INCOME |
|
|
|
|
|
|
|
|
| Foreign currency translation adjustment |
|
|
9,029,937 |
|
|
|
13,945,430 |
|
| COMPREHENSIVE INCOME |
|
$ |
31,893,735 |
|
|
$ |
3,551,266 |
|
|
|
|
|
|
|
|
|
|
| WEIGHTED AVERAGE SHARES OUTSTANDING BASIC AND DILUTED |
|
|
76,148,688 |
|
|
|
55,960,010 |
|
|
|
|
|
|
|
|
|
|
| NET INCOME (LOSS) PER SHARE, BASIC AND DILUTED |
|
$ |
0.30 |
|
|
$ |
(0.19 |
) |
KANDI TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020
|
|
Number of Outstanding
Shares |
|
|
Common Stock |
|
|
Treasury Stock |
|
|
Additional
Paid-in
Capital |
|
|
Accumulated
Deficit |
|
|
Accumulated Other Comprehensive Income
(Loss) |
|
|
Total |
|
| BALANCE AS OF DECEMBER 31, 2019 |
|
|
52,839,441 |
|
|
$ |
52,839 |
|
|
$ |
(2,477,965 |
) |
|
$ |
259,691,370 |
|
|
$ |
(16,685,736 |
) |
|
$ |
(22,723,581 |
) |
|
$ |
217,856,927 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Stock issuance and award |
|
|
1,771,317 |
|
|
|
1,771 |
|
|
|
- |
|
|
|
4,058,052 |
|
|
|
- |
|
|
|
- |
|
|
|
4,059,823 |
|
| Cancellation of the Treasury Stock |
|
|
(487,155 |
) |
|
|
(487 |
) |
|
|
2,477,965 |
|
|
|
(2,477,478 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Registered Direct Offering |
|
|
18,253,952 |
|
|
|
18,254 |
|
|
|
- |
|
|
|
151,904,993 |
|
|
|
- |
|
|
|
- |
|
|
|
151,923,247 |
|
| Warrants issuance |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Stock option exercise |
|
|
3,000,000 |
|
|
|
3,000 |
|
|
|
- |
|
|
|
29,157,000 |
|
|
|
- |
|
|
|
- |
|
|
|
29,160,000 |
|
| Net loss |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(10,394,164 |
) |
|
|
- |
|
|
|
(10,394,164 |
) |
| Foreign currency translation |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
13,945,430 |
|
|
|
13,945,430 |
|
| Reduction in the Affiliate Company’s equity (net of tax effect of $491,400) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(2,784,599 |
) |
|
|
- |
|
|
|
- |
|
|
|
(2,784,599 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| BALANCE AS OF DECEMBER 31, 2020 |
|
|
75,377,555 |
|
|
$ |
75,377 |
|
|
$ |
- |
|
|
$ |
439,549,338 |
|
|
$ |
(27,079,900 |
) |
|
$ |
(8,778,151 |
) |
|
$ |
403,766,664 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Stock issuance and award |
|
|
2,007,575 |
|
|
|
2,008 |
|
|
|
- |
|
|
|
7,178,928 |
|
|
|
- |
|
|
|
- |
|
|
|
7,180,936 |
|
| Stock buyback |
|
|
|
|
|
|
|
|
|
|
(2,392,203 |
) |
|
|
|
|
|
|
- |
|
|
|
- |
|
|
|
(2,392,203 |
) |
| Commission in stock buyback |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(20,457 |
) |
|
|
|
|
|
|
|
|
|
|
(20,457 |
) |
| Net income |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
22,863,798 |
|
|
|
- |
|
|
|
22,863,798 |
|
| Foreign currency translation |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
9,029,937 |
|
|
|
9,029,937 |
|
| Reversal of reduction in the Affiliate Company’s equity (net of tax effect of $491,400) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
2,771,652 |
|
|
|
- |
|
|
|
- |
|
|
|
2,771,652 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| BALANCE AS OF DECEMBER 31, 2021 |
|
|
77,385,130 |
|
|
$ |
77,385 |
|
|
$ |
(2,392,203 |
) |
|
$ |
449,479,461 |
|
|
$ |
(4,216,102 |
) |
|
$ |
251,786 |
|
|
$ |
443,200,327 |
|
KANDI TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020
|
|
Years Ended |
|
|
|
December 31,
2021 |
|
|
December 31,
2020 |
|
| CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
|
|
|
|
| Net income (loss) |
|
$ |
22,863,798 |
|
|
$ |
(10,394,164 |
) |
| Adjustments to reconcile net income to net cash provided by operating activities |
|
|
|
|
|
|
|
|
| Depreciation and amortization |
|
|
10,038,976 |
|
|
|
8,222,984 |
|
| Provision (reversal) of allowance for doubtful accounts |
|
|
862,414 |
|
|
|
(152,809 |
) |
| Deferred taxes |
|
|
4,073,315 |
|
|
|
(5,349,722 |
) |
| Share of loss after tax of the Affiliate Company |
|
|
2,592,334 |
|
|
|
17,252,662 |
|
| Gain from equity sale in the Affiliate Company |
|
|
(17,788,351 |
) |
|
|
- |
|
| Gain on disposal of long-lived assets |
|
|
(48,401,797 |
) |
|
|
(14,174,233 |
) |
| Change in fair value of contingent consideration |
|
|
(2,834,000 |
) |
|
|
565,000 |
|
| Stock based compensation expense |
|
|
1,484,576 |
|
|
|
902,666 |
|
|
|
|
|
|
|
|
|
|
| Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
| Accounts receivable |
|
|
(2,542,692 |
) |
|
|
19,247,519 |
|
| Inventories |
|
|
(7,522,761 |
) |
|
|
9,246,455 |
|
| Other receivables and other assets |
|
|
(291,235 |
) |
|
|
2,008,612 |
|
| Advances to supplier and prepayments and prepaid expenses |
|
|
27,786,143 |
|
|
|
(36,330,634 |
) |
| Amount due from the Affiliate Company |
|
|
- |
|
|
|
4,237,103 |
|
| Due from related party |
|
|
(500,000 |
) |
|
|
(339,118 |
) |
|
|
|
|
|
|
|
|
|
| Increase (Decrease) In: |
|
|
|
|
|
|
|
|
| Accounts payable |
|
|
2,176,638 |
|
|
|
(30,993,717 |
) |
| Other payables and accrued liabilities |
|
|
10,513,511 |
|
|
|
(173,806 |
) |
| Notes payable |
|
|
(2,423,514 |
) |
|
|
(13,912,842 |
) |
| Income tax payable |
|
|
154,334 |
|
|
|
(745,208 |
) |
| Net cash provided by (used in) operating activities |
|
$ |
241,689 |
|
|
$ |
(50,883,252 |
) |
|
|
|
|
|
|
|
|
|
| CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
|
|
|
|
| Purchases of property, plant and equipment, net |
|
|
(11,574,706 |
) |
|
|
(7,483,743 |
) |
| Purchases of land use rights and other intangible assets |
|
|
(2,356,626 |
) |
|
|
(3,281,115 |
) |
| Acquisition of Jiangxi Huiyi |
|
|
(7,117,310 |
) |
|
|
- |
|
| Payment for construction in progress |
|
|
(5,210,642 |
) |
|
|
(7,419,644 |
) |
| Proceeds from disposal of long-lived assets |
|
|
23,306,007 |
|
|
|
52,579,492 |
|
| Loan to third party |
|
|
31,783,439 |
|
|
|
(26,097,991 |
) |
| Certificate of deposit |
|
|
(54,264,407 |
) |
|
|
- |
|
| Cash received from sales of equity in the Affiliate Company |
|
|
47,752,678 |
|
|
|
42,897,929 |
|
| Long-term investment |
|
|
(108,529 |
) |
|
|
(43,478 |
) |
| Net cash provided by investing activities |
|
$ |
22,209,904 |
|
|
$ |
51,151,450 |
|
|
|
|
|
|
|
|
|
|
| CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
|
|
|
|
| Proceeds from short-term loans |
|
|
950,000 |
|
|
|
24,642,399 |
|
| Repayments of short-term loans |
|
|
- |
|
|
|
(50,873,903 |
) |
| Repayments of long-term loans |
|
|
- |
|
|
|
(28,799,501 |
) |
| Proceeds from long-term loans |
|
|
2,210,589 |
|
|
|
394,116 |
|
| Proceeds from issuance of common stock and warrants |
|
|
- |
|
|
|
151,923,247 |
|
| Purchase of treasury stock |
|
|
(2,412,660 |
) |
|
|
- |
|
| Proceeds from exercises stock options, stock awards and other financing |
|
|
- |
|
|
|
29,160,000 |
|
| Net cash provided by financing activities |
|
$ |
747,929 |
|
|
$ |
126,446,358 |
|
|
|
|
|
|
|
|
|
|
| NET INCREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH |
|
$ |
23,199,522 |
|
|
$ |
126,714,556 |
|
| Effect of exchange rate changes |
|
$ |
2,955,850 |
|
|
$ |
(706,556 |
) |
| CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF YEAR |
|
$ |
142,520,635 |
|
|
$ |
16,512,635 |
|
|
|
|
|
|
|
|
|
|
| CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD |
|
$ |
168,676,007 |
|
|
$ |
142,520,635 |
|
| -CASH AND CASH EQUIVALENTS AT END OF PERIOD |
|
|
129,223,443 |
|
|
|
142,078,190 |
|
| -RESTRICTED CASH AT END OF PERIOD |
|
|
39,452,564 |
|
|
|
442,445 |
|
|
|
|
|
|
|
|
|
|
| SUPPLEMENTARY CASH FLOW INFORMATION |
|
|
|
|
|
|
|
|
| Income taxes paid |
|
$ |
2,074,668 |
|
|
|
1,046,127 |
|
| Interest paid |
|
$ |
35,001 |
|
|
|
653,507 |
|
|
|
|
|
|
|
|
|
|
| SUPPLEMENTAL NON-CASH DISCLOSURES: |
|
|
|
|
|
|
|
|
| Decrease in investment in the Affiliate Company due to change in its equity |
|
|
- |
|
|
|
3,099,193 |
|
| Reversal of decrease in investment in the Affiliate Company due to change in its equity (net of tax effect of $491,400) |
|
|
2,824,115 |
|
|
|
- |
|
| Purchase of construction in progress in accounts payable and other payable |
|
|
- |
|
|
|
7,945,414 |
|
| Common stock issued from settlement of payables related to acquisitions |
|
|
5,762,000 |
|
|
|
3,166,427 |
|
