Yongye International Inc., a leading agricultural nutrient company in China, today reported its preliminary financial results for the first quarter ended March 31, 2011.
First quarter 2011 revenues were $50.2 million, more than double last year’s first-quarter revenues of $24.9 million. The company attributes the increase in revenues to higher demand for the company’s products in its traditional markets as well as in several new markets. The results also reflect the increase in its independently owned branded stores to 26,006 as of March 31 compared to 24,036 reported at the end of 2010.
Yongye said its year-end goal is to increase independently owned branded stores to at least 30,000.
“We are pleased with our first-quarter sales and cash flow results,” Zishen Wu, chairman and CEO of the company stated in the press release. ”As many of our investors know, our first and fourth quarters are seasonally our slowest. Nevertheless, we were able to achieve strong sales growth as a result of continued demand for our Shengmingsu agricultural nutrient products from Chinese farmers in both new and existing provinces. Also of importance, we achieved positive cash flow from operations as a result of our improved working capital management, while more than doubling our sales year-over-year.”
For full year 2011, Yongye reiterated its previous forecast and continues to expect revenues of between $315 million and $325 million, representing an increase of 47.1 percent and 51.8 percent over 2010?s revenue of $214.1 million.
The company said it expects adjusted net income attributable to Yongye of between $80 million and $82 million, representing an increase of between 47.9 percent and 51.6 percent over 2010 adjusted net income attributable to Yongye of $54.1 million.
The company plans to release its first quarter 2011 financial results in May 2011.
For more information visit www.yongyeintl.com