China Linen plans to expand its operations across industrial value chain
Source: China Linen Textile Industry Ltd Date: 2010-03-17
China Linen Textile Industry, Ltd., a China-based company engaged in the production and sale of linen yarn and various types of linen fabric, revised certain guidance for the full fiscal year ending December 31, 2010. Guidance for the full fiscal year 2010 was previously disclosed on February 23, 2010 during a virtual presentation through RedChip Companies, Inc., its investor relations firm.
The presentation included 2010 guidance for the Company's estimated revenue, gross profit, net income and fully diluted earnings per share in the amounts of $38.1 million, $12.7 million, $9.3 million and $0.46, respectively. The Company has reassessed the assumptions that underlie its fully diluted earnings per share guidance for 2010, and is withdrawing its projection of fully diluted earnings per share of $0.46 for 2010. The Company has determined that its estimated fully diluted earnings per share for 2010 is $0.39 per share.
James Shaofeng Qi, Chief Financial Officer of China Linen, stated: "We are pleased with our results for 2009, which we attribute to scientific and technological innovation and the achievement of certain of our development goals. At the end of 2009, the Company's revenue grew 31.2 percent to $30.1 million, up from $22.95 million in 2008; and comprehensive net income grew 35.6 percent to $6.06 million, up from $4.47 million. In the past five years, the Company has maintained high growth, achieving a compound annual growth rate of 39 percent in revenue, 45 percent in gross profit and 42 percent in net income. We continue to expect double-digit growth in 2010."
China Linen plans to expand its operations across the industrial value chain, to upstream and downstream,particularly in dyeing, yarn-dyed finishing and home textile areas so as to increase profitability and reinforce risk control capacity.
A copy of the Company's February 23rd presentation is available as part of the Company's Form 6-K furnished to the Securities and Exchange Commission.
