Lotus Pharmaceuticals, Inc. reported Q2 2009 net income of $4.8 million, or $0.10 per share. The company earned $ 2.2 million, or $0.05 per share, in the second quarter of 2008. Revenues totaled $13.6 million, down sharply from the $19.4 million reported in the second quarter of 2008.
Lotus Pharmaceuticals, Inc. was able to accomplish a doubling in net income despite the revenue drop due to increased margins. Gross margin ending the quarter was 57.9%. The company cut operating expenses by 63% on a year over year basis.
Dr. Zhongyi Liu, the CEO of Lotus Pharmaceuticals, Inc., said, “We are very pleased with our growth in sales quantities and gross margins of this quarter. Our pricing policy for 2009 has been adjusted accordingly due to the expected inflation contraction on the wholesale level nationally.â€
Lotus Pharmaceuticals, Inc. is a manufacturer of pharmaceuticals and over the counter medicine, based on both western and traditional Chinese medicines. Lotus Pharmaceuticals, Inc. is also a major distributor of other drugs through its wholesale division with a catalog of more than 5,000 drugs.
The company has four drugs in its portfolio designed to treat hypertension, glaucoma and other illnesses. Lotus Pharmaceuticals, Inc. is located in the People’s Republic of China, and also owns a 50,000 square foot manufacturing facility and ten pharmacies in Beijing.