Leading Chinese national liquid and fertilizer manufacturer, China Agritech, Inc., announced today that it is increasing its annual net revenue and net income guidance for the year ending December 31, 2009. This increase follows a 56.9% increase in net revenues and 91.2% rise in net income for the second quarter ending in June 2009. The revised 2009 guidance is based on the company’s current views on changing operating and market conditions.
The company expects that net revenue for the year 2009 could reach as high as $70 million, compared to the previous guidance estimate of over $60 million. The revised guidance for net income is approximately $12.5 million compared with the previous $9.5 million guidance. Diluted earnings per share are expected to be reported at $1.88, based on the current average number of diluted shares outstanding. The new guidance represents almost a 55% increase for net revenues and around a 45% rise for net income over 2008’s results.
Chairman and Chief Executive Officer of China Agritech, Mr. Yu Chang, commented, “We are gratified with the success of our new regional production facilities and our expanded line of organic fertilizers. We now offer farmers more solutions to grow their crops and improve soil fertility. We may also benefit from the Chinese government’s promotion of organic food and therefore organic fertilizers, as well as from the measures enacted to improve farmers’ wealth.”