ZHEJIANG, China, May 15, 2012 /PRNewswire-Asia-FirstCall/ --
SORL Auto Parts, Inc. (NASDAQ: SORL) ("SORL" or the
"Company"), a leading manufacturer and distributor of automotive
brake systems as well as other key safety-related auto parts in
China, announced today its
financial results for the first quarter ended March 31, 2012.
First Quarter 2012 Financial Highlights
- Revenues for the first quarter of 2012 were $44.6 million;
- China domestic aftermarket
sales rose 14.0% year-over-year;
- Gross margin was 27.4% in the first quarter of 2012;
- Net Income was $2.3 million, or
$0.12 per diluted share, in the first
quarter of 2012;
- Cash flow from operating activities was $4.3 million and free-cash-flow was
generated.
Mr. Xiaoping Zhang, SORL's Chief
Executive Officer and Chairman, stated, "We experienced severe
headwinds from the domestic OEMs to international markets in this
quarter. However, we outperformed the heavy duty truck market, as
we benefited from our solid performance in our domestic aftermarket
segment and through our continued efforts in fostering relations
with our distributors and introducing new products to end
customers. After the automotive market experienced a weak year in
2011, the sales decline in the Chinese truck OEM market continued
to widen during the first quarter of 2012. Higher fuel price and
slower construction activities continued to depress downstream
customer demand for new trucks. We remain focused to expand our
market share with OEMs through our broadened product offerings. As
a result, our sales to the bus and construction equipment markets
increased. For the first time in many years, our international
sales suffered a sequential double-digit decline. While the
unstable environment in the Middle
East negatively impacted our sales in the region, we see
good volume growth in Europe.
"
Ms. Jinrui Yu, SORL's Chief
Operating Officer, commented, "Our investments in higher- graded
production equipment and new product development over the past two
years started to generate positive outcomes. In an inflationary
environment where labor costs are rising, we are proud to have
maintained one of highest gross margins in the industry with our
strengthened production efficiency and improved pricing power
across all market segments. Our continued positive cash flows
resulted from operating activities coupled with reduced capital
expenditures, which enabled us to book solid free-cash-flow of
nearly $4 million. We have
significantly reduced short-term debt with increased receivable
collections and expanded customer prepayments. With our improved
financial standings, new products and enhanced operational
fundamentals, we are well positioned to generate stronger earnings
when market regains its growth momentum."
Financial Performance
For the first quarter of 2012, net sales were $44.6 million, compared to $52.0 million for the first quarter of 2011.
Revenues from the Company's domestic OEM customers were
$25.8 million, compared to
$32.0 million for the first quarter
of 2011, reflecting a 19.4% year over year decline. Revenues from
China's domestic aftermarket were
$9.8 million, a 14.0% increase over
the previous year's first quarter. Revenues from international
markets were $9.0 million, compared
to $11.4 million from the same period
in 2011.
The sales decrease, which reflected China's macroeconomic climate, was primarily
due to the 11.4% decline in production of OEM commercial vehicles
and the 32.0% decline of heavy-duty truck production, as compared
with the first quarter in 2011. International sales decreased by
21.1% to $9.0 million for the first
quarter of 2012. The decrease in international sales is multifold.
The ongoing European debt crisis and currency depreciation in
certain markets caused some customers lower their inventory
levels. The instability in the Middle Eastern countries
restricted customer purchases from those countries. Nevertheless,
the increased number of vehicles in operation in China, stricter safety measures and the
expiration of OEM warranties helped to increase SORL's aftermarket
sales. Growing recognition of new products with new features in the
OEM market and aftermarket helped our sales during the three months
ended March 31, 2012.
Additionally, higher sales in the construction equipment market and
increased market shares in the bus OEM market partially offset the
sales decline in the truck OEM market in the first quarter of
2012.
The gross profit for the first quarter of 2012 was $12.2 million, slightly lower than the gross
profit of $14.6 million, for the
first quarter of 2011. Gross margin was 27.4%, slightly lower than
the 28.1% gross margin in the same period of 2011. The gross margin
decrease was primarily the result of higher material and labor
expenses, and the appreciation in the value of the Chinese currency
against other currencies. The Company believes that its focus on
improving production efficiencies and increasing the sales of
higher-profit new products will help maintain or improve its gross
profit margin.
Operating expenses increased by 4.8% to $8.9 million in the first quarter of 2012 from
$8.5 million in the first quarter of
2011. As a percentage of revenue, the operating expense margin
increased to 19.9% in the first quarter of 2012 from 16.3% in the
same quarter of 2011 mainly due to lower sales.
Selling and distribution expenses were $3.2 million, or 7.1% of quarterly revenue
compared with $3.1 million, or 5.9%
of revenues in the same quarter of 2011.
General and administrative (G&A) expenses in the first
quarter of 2012 were $3.9 million, or
8.7% of revenue compared with $2.9
million, or 5.5% in the first quarter of 2011. The rise in
expenses was mainly due to higher labor costs and business
expansion expenditures.
Research and development (R&D) expenses were almost
$1.3 million, or 2.8% of revenue in
the first quarter of 2012 compared with $2.0
million, or 3.8% in the first quarter of 2011. The focus of
the R&D program was mainly to develop higher-margin
electronically controlled mechatronic products and upgrades to the
Company's traditional valve products to capture market share.
Operating income was $3.3 million
for the first quarter of 2012 compared to $6.1 million for the same quarter of 2011. The
reduced operating income reflects lower sales and gross profit, and
primarily higher administrative expenses. The operating margin
percentage was 7.5% in the first quarter of 2012, lower than 11.7%
in the first quarter of 2011, but higher than 5.9% in the fourth
quarter of 2011.
Net income attributable to stockholders for the first quarter of
2012 was $2.3 million, or
$0.12 per basic and diluted share,
compared with $4.9 million, or
$0.25 million per basic and diluted
share, in the first quarter of 2011.
As of March 31, 2012, the Company
had cash and cash equivalents of $15.7
million compared to $17.1
million on December 31, 2011.
Bank acceptance notes to vendors decreased to $0.7 million from $5.6
million at December 31, 2011.
Total equity increased to $176.9
million at the end of March
2012 compared with $174.1
million at December 31, 2011.
Net cash flow from operating activities was $4.3 million. At March 31, 2012, working capital was $118.8 million with a current ratio of 4.2 to
1.
Recent Developments
In January 2012, the Company
announced that it expected to generate RMB60
million in sales in 2012 as the exclusive supplier of
breathing spring brake chambers to its OEM customers' Shaanxi Auto,
JAC and Beiqi Foton for their latest vehicles. The new breathing
spring brake chamber is a timely response to the changing
requirements of OEM customers' new vehicle models. The Company's
new breathing spring brake chambers provide higher performance,
reliability and quality than older spring chambers to enhance road
safety. The Chinese government is implementing new regulations to
improve vehicle and driving safety which will enhance the sales
potential of the Company's new spring brake chamber.
In January 2012, the Company
announced that its subsidiary, Ruili Group Ruian Auto Parts Co.,
Ltd., was awarded a "Class A Supplier" designation from Zoomlion
Mobile Crane Branch ("Zoomlion") and it will supply approximately
70% of the brake systems and related components to Zoomlion's crane
truck fleet in 2012. Zoomlion Mobile Crane Branch is a division of
Changsha Zoomlion Heavy Industry Science & Technology
Development Co., Ltd., China's
leading manufacturer of construction machinery equipment.
SORL is the only brake system supplier to achieve the Class A
Supplier title by Zoomlion. As a Class A Supplier of
Zoomlion, SORL expects to receive large volume orders, preferential
payment terms, and strategic cooperation. In 2011, SORL started to
supply Zoomlion crane trucks with braking air processing unit (APU)
technology. As the relationship progressed and evolved, SORL moved
to provide Zoomlion's crane trucks with the entire brake system and
related components, which would upgrade the braking technology and
safety.
In March 2012, Ms. Jinrui Yu replaced Mr. Baojian Tao as the Company's Chief Operating
Officer. With more than 15 years of experience in the auto parts
industry, Ms. Yu has served as the Company's Production and
International Market Vice President since August 2009. From
2004 to 2009, Ms. Yu served as the Company's Export
Department Manager. Prior to that, Ms. Yu served as the
International Sales Manager of Ruili Group Co., Ltd., which
specializes in manufacturing auto parts, and from 1997 to 1999, Ms.
Yu worked in the OEM market sales department of Ruili Group Co.,
Ltd. Ms. Yu holds a Bachelor degree from Fudan University and is
fluent in English.
Business Outlook
For the second quarter of fiscal year 2012, management expects
net sales to be approximately $225million and net income to be approximately
$14.6million. These targets are based
on the Company's current views on the operating and market
conditions, which are subject to change.
"We will continue to benefit from the opportunities in the
Chinese domestic aftermarket where the safety requirement bar has
been raised. We are confident to maintain our OEM customer base and
market position while penetrating new markets and earning new
customers. Internationally, we plan to enhance SORL brand image
through attendance of more industry exhibitions. More specifically,
we will build a stronger international marketing network focused on
exploring high-value foreign markets, and actively marketing to the
large automotive chain stores that directly sell to end users," Ms.
Yu concluded.
Conference Call
Management will host a conference call on Tuesday, May 15, 2012 at 8:00 a.m. EDT / 8:00
p.m. Beijing Time to discuss its 2012 first quarter
financial results. Listeners may access the call by dialing U.S.
toll free number +1-877-407-0778, or +1-201-689-8565 for
international callers. A live web cast of the conference call will
also be available at http://www.sorl.cn.
A replay of the call will be available shortly after the
conference call through 11:59 p.m.
EDT on June 15, 2012. The
replay dial-in numbers are: U.S. toll free number
+1-877-660-6853, or the international number is +1-201-612-7415;
using Account "286" and Conference ID "394057" to access the
replay.
About SORL Auto Parts, Inc.
As a global tier one supplier of brake and control systems to
the commercial vehicle industry, SORL Auto Parts, Inc. ranked No. 1
for market share in the segment for commercial vehicles brake
systems, such as trucks and buses, in China. The Company distributes products both
within China and internationally
under the SORL trademark. SORL is listed among the top 100 auto
component suppliers in China, with
a product range that includes 65 categories with over 2000
specifications in brake system and others. The Company has four
authorized international sales centers in UAE, India, the United
States and Europe. SORL is
working to establish a broader global sales network. For more
information, please visit http://www.sorl.cn.
Safe Harbor Statement
This press release may include certain statements that are not
descriptions of historical facts, but are forward-looking
statements. Forward-looking statements can be identified by the use
of forward-looking terminology such as "will", "believes",
"expects" or similar expressions. These forward-looking statements
may also include statements about our proposed discussions related
to our business or growth strategy, which is subject to change.
Such information is based upon expectations of our management that
were reasonable when made but may prove to be incorrect. All of
such assumptions are inherently subject to uncertainties and
contingencies beyond our control and upon assumptions with respect
to future business decisions, which are subject to change. We do
not undertake to update the forward-looking statements contained in
this press release. For a description of the risks and
uncertainties that may cause actual results to differ from the
forward-looking statements contained in this press release, see our
most recent Annual Report filed with the Securities and Exchange
Commission (SEC) on Form 10-K, and our subsequent SEC filings.
Copies of filings made with the SEC are available through the SEC's
electronic data gathering analysis retrieval system (EDGAR) at
http://www.sec.gov.
Contact Information
Ben Chen
VP. Finance & Corporate Secretary
+86 13868890009
+86 577 6581 7721
Email: ben@sorl.com.cn
Kevin Theiss
Grayling
Tel: +1-646-284-9409
Email: kevin.theiss@grayling.com
- Tables follow –
SORL
Auto Parts, Inc. and Subsidiaries
|
Consolidated Balance Sheets
|
March
31, 2012 and December 31, 2011
|
|
|
|
|
|
|
|
|
|
March
31, 2012
|
|
December 31, 2011
|
|
|
|
(Unaudited)
|
|
|
|
Assets
|
|
|
|
|
Current
Assets
|
|
|
|
|
|
Cash and
Cash Equivalents
|
US$
|
15,736,035
|
US$
|
17,116,692
|
|
Accounts
Receivable, Net of Provision
|
|
65,595,672
|
|
65,344,441
|
|
Bank
acceptance notes from customers
|
|
11,272,803
|
|
17,980,145
|
|
Inventory
|
|
53,790,171
|
|
56,377,556
|
|
Prepayments
|
|
5,972,254
|
|
2,484,026
|
|
Other
current assets
|
|
3,095,991
|
|
4,960,061
|
|
Deferred
tax assets
|
|
688,233
|
|
605,539
|
|
Total Current Assets
|
|
156,151,159
|
|
164,868,460
|
Fixed
Assets
|
|
|
|
|
|
Machinery
|
|
50,152,349
|
|
49,879,491
|
|
Molds
|
|
1,386,277
|
|
1,384,825
|
|
Office
equipment
|
|
1,477,877
|
|
1,439,305
|
|
Vehicle
|
|
1,952,294
|
|
1,853,111
|
|
Building
|
|
8,898,044
|
|
8,888,723
|
|
Machinery
held under capital lease
|
|
18,185,136
|
|
18,166,087
|
|
Construction in progress
|
|
1,630,705
|
|
1,503,200
|
|
Less:
Accumulated Depreciation
|
|
(32,756,723)
|
|
(30,905,671)
|
|
Property, Plant and Equipment,
Net
|
|
50,925,959
|
|
52,209,071
|
|
Leasehold
Improvements in Progress
|
|
388,640
|
|
375,604
|
|
|
|
|
|
|
Land
Use Rights, Net
|
|
15,034,686
|
|
15,111,078
|
|
|
|
|
|
|
Other
Non-Current Assets
|
|
|
|
|
|
|
|
|
|
|
|
Intangible
Assets
|
|
176,055
|
|
175,871
|
|
Less:
Accumulated Amortization
|
|
(96,523)
|
|
(92,237)
|
|
Intangible Assets,
Net
|
|
79,532
|
|
83,634
|
|
Security
Deposits On Lease Agreement
|
|
1,881,861
|
|
1,879,890
|
|
Total Other Non-Current
Assets
|
|
1,961,393
|
|
1,963,524
|
|
Total
Assets
|
US$
|
224,461,837
|
US$
|
234,527,737
|
|
|
|
|
|
|
|
Liabilities and Shareholders'
Equity
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
|
Accounts
Payable, including $307,521 and $524,148 due to
related parties at March 31, 2012 and December 31, 2011,
respectively.
|
US$
|
7,367,425
|
US$
|
10,772,396
|
|
Bank
acceptance notes to vendors
|
|
670,448
|
|
5,589,678
|
|
Deposit
Received from Customers
|
|
5,158,450
|
|
5,074,532
|
|
Short term
bank loans
|
|
11,702,079
|
|
16,448,527
|
|
Income tax
payable
|
|
742,526
|
|
273,781
|
|
Accrued
Expenses
|
|
9,115,202
|
|
8,808,788
|
|
Current
Portion Of Capital Lease Obligations
|
|
2,353,696
|
|
2,305,125
|
|
Other
Current Liabilities, including $210,874 and $143,950 due
to related parties at March 31, 2012 and December 31, 2011,
respectively.
|
|
282,083
|
|
467,850
|
|
Total Current Liabilities
|
|
37,391,909
|
|
49,740,677
|
|
|
|
|
|
|
Non-Current Liabilities
|
|
|
|
|
|
Non-Current Portion Of Capital Lease
Obligations
|
9,874,226
|
|
10,469,265
|
|
Deferred
tax liabilities
|
|
250,552
|
|
236,385
|
|
Total Non-Current Liabilities
|
|
10,124,778
|
|
10,705,650
|
|
|
|
|
|
|
|
Total
Liabilities
|
US$
|
47,516,687
|
|
60,446,327
|
|
|
|
|
|
|
Stockholders' Equity
|
|
|
|
|
|
|
|
|
|
|
|
Preferred
Stock - No Par Value; 1,000,000 authorized;
none issued and outstanding as of March 31, 2012 and December 31,
2011
|
|
-
|
|
-
|
|
Common
Stock - $0.002 Par Value; 50,000,000 authorized,
|
|
|
|
19,304,921
and 19,304,921 issued and outstanding as of
|
|
|
|
March 31,
2012 and December 31, 2011
|
|
38,609
|
|
38,609
|
|
Additional
Paid In Capital
|
|
42,199,014
|
|
42,199,014
|
|
Reserves
|
|
8,608,443
|
|
8,375,392
|
|
Accumulated other comprehensive income
|
|
22,146,120
|
|
21,910,957
|
|
Retained
Earnings
|
|
86,711,198
|
|
84,610,260
|
|
Total
SORL Auto Parts, Inc. stockholders' equity
|
159,703,384
|
|
157,134,232
|
|
Noncontrolling Interest In
Subsidiaries
|
|
17,241,766
|
|
16,947,178
|
|
Total
Equity
|
|
176,945,150
|
|
174,081,410
|
|
Total
Liabilities and Stockholders' Equity
|
US$
|
224,461,837
|
US$
|
234,527,737
|
|
|
|
|
|
|
|
SORL
Auto Parts, Inc. and Subsidiaries
|
|
|
Consolidated Statements of Income and
Comprehensive Income
|
|
|
For The
First Quarter Ended on March 31, 2012 and March 31,
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended March 31,
|
|
|
|
|
|
|
|
|
2012
|
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
|
|
|
|
|
US$
|
44,598,241
|
|
51,992,965
|
|
|
|
Include:
sales to related parties
|
|
|
|
586,789
|
|
904,947
|
|
|
|
Cost of
Sales
|
|
|
|
|
32,381,944
|
|
37,403,946
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
|
|
|
12,216,297
|
|
14,589,019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling
and Distribution Expenses
|
3,170,902
|
|
3,069,228
|
|
|
|
|
General
and Administrative Expenses
|
3,857,757
|
|
2,866,448
|
|
|
|
|
Research
and development expenses
|
1,267,156
|
|
1,978,901
|
|
|
|
|
Financial
Expenses
|
|
594,897
|
|
567,352
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Expenses
|
|
8,890,712
|
|
8,481,929
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Income
|
|
|
|
|
3,325,585
|
|
6,107,090
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Income
|
|
|
|
|
351,845
|
|
205,248
|
|
|
|
Non-Operating Expenses
|
|
|
|
(60,896)
|
|
(8,137)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income
(Loss) Before Provision for Income Taxes
|
|
3,616,534
|
|
6,304,201
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision
for Income Taxes
|
|
|
|
1,018,656
|
|
949,743
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
Income
|
|
|
|
|
US$
|
2,597,878
|
|
5,354,458
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Comprehensive Income - Foreign Currency Translation
Adjustment
|
265,862
|
|
1,534,176
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Comprehensive Income
|
|
|
|
2,863,740
|
|
6,888,634
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Noncontrolling Interest In Subsidiaries
|
|
263,889
|
|
500,135
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Comprehensive Income Attributable to Non-controlling Interest's
Share
|
30,699
|
|
153,418
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Comprehensive Income Attributable to Non-controlling Interest's
Share
|
294,588
|
|
653,553
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income
Attributable to Stockholders
|
|
|
2,333,989
|
|
4,854,323
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Comprehensive Income Attributable to Stockholders
|
235,163
|
|
1,380,758
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Comprehensive Income Attributable to Stockholders
|
2,569,152
|
|
6,235,081
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average common share - Basic
|
|
|
19,304,921
|
|
19,304,921
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average common share - Diluted
|
|
|
19,304,921
|
|
19,304,921
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EPS -
Basic
|
|
|
|
|
0.12
|
|
0.25
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EPS -
Diluted
|
|
|
|
|
0.12
|
|
0.25
|
|
|
|
|
|
SORL
Auto Parts, Inc. and Subsidiaries
|
|
|
Consolidated Statements of Cash
Flows
|
|
|
For The
First Quarter Ended on March 31, 2012 and March 31, 2011
|
|
|
|
|
|
|
|
Three
Months Ended March 31,
|
|
|
|
|
|
|
|
2012
|
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
Flows from Operating Activities
|
|
|
|
|
|
|
Net
Income
|
|
|
|
US$
|
2,597,878
|
|
5,354,458
|
|
|
Adjustments to reconcile net income (loss) to net
cash
|
|
|
|
|
|
|
from operating
activities:
|
|
|
|
|
|
|
|
Bad
Debt Expense
|
|
|
|
27,775
|
|
-
|
|
|
Depreciation and Amortization
|
|
|
1,939,592
|
|
1,688,888
|
|
|
Loss on disposal of Fixed Assets
|
|
|
2,333
|
|
-
|
|
|
Changes in Assets and Liabilities:
|
|
|
|
|
|
|
Account Receivables
|
|
|
|
(648,998)
|
|
(9,744,191)
|
|
|
Bank acceptance notes from customers
|
|
6,722,671
|
|
15,249,986
|
|
|
Other Currents Assets
|
|
|
|
1,461,199
|
|
(540,196)
|
|
|
Inventory
|
|
|
|
|
2,645,103
|
|
(5,112,991)
|
|
|
Prepayments
|
|
|
|
(3,483,826)
|
|
(399,564)
|
|
|
Deferred tax assets
|
|
|
|
(82,017)
|
|
35,194
|
|
|
Accounts Payable and Bank acceptance
notes to vendors
|
|
(8,336,880)
|
|
3,274,639
|
|
|
Income Tax Payable
|
|
|
|
468,213
|
|
7,808
|
|
|
Deposits Received from Customers
|
|
|
78,584
|
|
(2,294,562)
|
|
|
Other Current Liabilities and Accrued Expenses
|
|
913,965
|
|
812,543
|
|
|
Deferred tax liabilities
|
|
|
|
13,912
|
|
13,296
|
|
|
Net Cash Flows from Operating Activities
|
|
4,319,504
|
|
8,345,308
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
Flows from Investing Activities
|
|
|
|
|
|
|
Acquisition of Property and Equipment
|
|
(367,457)
|
|
(2,987,014)
|
|
|
Proceeds of disposal of fixed assets
|
|
3,096
|
|
-
|
|
|
Leasehold
Improvements in Progress
|
|
(31,069)
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Flows from Investing Activities
|
|
(395,430)
|
|
(2,987,014)
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
Flows from Financing Activities
|
|
|
|
|
|
|
Proceeds from (Repayment of) Bank Loans
|
|
(4,761,199)
|
|
48,104
|
|
|
Repayment of capital lease
|
|
|
(559,570)
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash flows from Financing Activities
|
|
(5,320,769)
|
|
48,104
|
|
|
|
|
|
|
|
|
|
|
|
|
Effects
on changes in foreign exchange rate
|
|
16,038
|
|
92,484
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Change
in Cash and Cash Equivalents
|
|
(1,380,657)
|
|
5,498,882
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and
Cash Equivalents- Beginning of the year
|
|
17,116,692
|
|
6,691,078
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash Equivalents - End of the period
|
US$
|
15,736,035
|
|
12,189,960
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental Cash Flow Disclosures:
|
|
|
|
|
|
|
Interest Paid
|
|
|
|
233,931
|
|
551,121
|
|
|
Tax
Paid
|
|
|
|
|
618,429
|
|
893,444
|
|
|
SOURCE SORL Auto Parts, Inc.