Huifeng Bio-Pharmaceutical Technology Inc., a developer and producer of botanical extracts and other raw materials for pharmaceuticals and food additives, today reiterated its financial results for its second quarter ended June 30, 2010.
“We are pleased to report record revenue and operating income in the quarter,” Jing’an Wang, the company’s CEO stated in the press release. “The large increase in profitability and top line growth can be attributed to the increase in our sales of pharmaceutical raw-material and pharmaceutical intermediates. We have seen increased orders of both Rutin series products and Diosmin. We plan on focusing to fulfill the entire demand in the coming year.”
The company reported revenues for the second quarter at $6.69 million, up 116 percent from the $3.09 million reported for the comparable quarter of 2009. The company attributes the significant increase to ramped up sales of its pharmaceutical raw-material and pharmaceutical intermediates, including Rutin, Troxerutin, Quercetin and Diosmin
Huifeng posted gross profit for the quarter at $2.46 million, up 109.5 percent from $1.17 million for the second quarter of 2009.
Gross margin as a percentage of revenues for 2010 decreased 1.3 percent from 38.1 percent for the second quarter of 2009 to 36.8 percent in the same quarter in 2009, which the company said reflects higher raw materials’ prices.
The company’s net income for the quarter was $1.53 million, an increase of $729,108, or 90.8 percent, from the second quarter of 2009; earnings per diluted share were $0.06 based on 25.4 million shares.
As of June 20, 2010, the Huifeng had $1.66 million in cash, an increase from $85,105 in the prior year’s corresponding period.
The company reaffirms its guidance for the calendar year ended December 31, 2010, with $20.0 million-$25.0 million in revenue and $4.5 million-$5.0 million in net income guidance respectively. The company said it expects revenue and earnings growth to continue through the second half of the year as it enters its most profitable selling period during the third and fourth quarter harvest and squeezing seasons.
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