Symax Lift (Holding) Co., Ltd. 2010 Fourth Quarter and Year End Financial Results
29 April 2011 - 11:20PM
Marketwired
Symax Lift Holding Co. Ltd. ("Symax" or the "Company") (TSX
VENTURE: SYL), a China based developer and manufacturer of
elevators and escalators, today reported financial results for the
fourth quarter and fiscal year ended December 31, 2010.
Sales for the quarter and fiscal year ended December 31, 2010
increased by 28% and 48% to $5.83 million and $19.31 million,
respectively, compared to the same periods in 2009. These increases
were primarily driven by the continued benefits of an standardized
elevator model which is specially suited to Chinese government
funded housing development projects and Chinese Tier 2 and Tier 3
city developments; as well as the growth in after-sales service.
This growth in sales illustrates the growing opportunities in the
Chinese elevator market as government sponsored housing development
projects continue.
Gross margin for the quarter and fiscal year ended December 31,
2010 decreased to 27% and 28% of sales, respectively, from 36% and
34% in the same periods in 2009. These decreases in gross margin
were the result of higher proportion of sales relating to Chinese
government funded housing development projects and Chinese Tier 2
and Tier 3 city developments compared to customized products and
greater domestic sales over international sales in 2010 compared to
2009.
Selling expenses for the quarter and fiscal year ended December
31, 2010 increased by 62% and 121% to $0.75 million and $2.41
million, respectively, compared to the corresponding periods in
2009. These increases were principally attributable to increases in
sales personnel expenses and rental costs as the Company expanded
its sales force and opened its sales head office in Shanghai,
China, and expanded its advertising and promotion programs relative
to the Company's re-branding efforts from the old Sanyo Elevator
brand to the Symax banner.
Net income for the quarter ended December 31 2010 increased by
190% to $0.2 million compared to the same period in 2009, primarily
due to the reduction in general and administrative expense. Net
income for the 2010 fiscal year was $0.4 million compared to $0.7
million in 2009 fiscal year, a decrease of 38%, primarily the
result of higher sales, lower gross margin and higher selling
expenses. 2010 net income included $0.25 million of non-recurring
expenditures relating to the Company's re-branding efforts.
Cashflow from operations for the year ended December 31 2010 was
negative $1.24 million, compared to $1.75 million in 2009. This was
primarily as a result of increases to accounts receivable and
inventories partially offset by increases to accounts payable and
deferred revenues. A payment of $3.1 million was received in the
first quarter of 2011 against the $7.6 million accounts receivable
recorded at year end 2010.
"We continue to deliver substantial increases in sales over last
year" noted Xiaoyan (Sabrina) Zhang, Chief Executive Officer. "We
look forward to recognizing further revenue growth
period-over-period and tightening our costs to deliver improved
bottom line results as we move forward."
About Symax Lift (Holding) Co. Ltd.
Symax is in the business of the development, manufacturing, and
sale of elevators, as well as the provision of after-sales services
in China and worldwide. Symax's products and services are
classified into two separate offerings; a main line of standardized
products which include passenger elevators, goods/freight
elevators, villa elevators, panorama elevators, hospital elevators,
residential and commercial escalators and moving walkways; and
customized elevator products.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
Contacts: Symax Lift (Holding) Co. Ltd. Zu (Michael) Zheng +1
416-238-5001 michael.zheng@eternefinance.com Symax Lift (Holding)
Co. Ltd. Meng (Matty) Li +1 604-601-8224 meng.li@symax.ca
Symax Lift (Holding) Co. Ltd. (TSXV:SYL)
Historical Stock Chart
From Jun 2024 to Jul 2024
Symax Lift (Holding) Co. Ltd. (TSXV:SYL)
Historical Stock Chart
From Jul 2023 to Jul 2024