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Asia Bio-Chem Group Corp. Announces Second Quarter Financial Results
/NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ TSX Ventur...
About this update from Absolutely Critical Resources Corp.
[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE\nUNITED STATES/\n\nTSX Venture: ABC\n\n\nTORONTO, Aug. 14 /CNW/ - Asia Bio-Chem Group Corp. (TSXV: ABC) ("Asia\nBio-Chem" or the "Company") today announced its interim financial statements\nfor the three month period ending June 30, 2009.\n\n\nInterim Financial Results\n\nHighlights\n\n - Excluding the (non-cash) stock-based compensation expense, income\n from operations and EBITDA during the second quarter of 2009 was\n $1.5 million and $2.0 million respectively.\n\n - The Company achieved gross profit of $3.6 million during the\n second quarter representing 15.3% of sales. This improvement arose\n as a result of improved product prices achieved during the\n quarter.\n\n - The Daqing plant construction is on schedule and on budget with\n about $65.5 million of construction in progress incurred as of\n June 30, 2009. Outstanding commitments in 2009 relating to Daqing\n represent $16.9 million which will be satisfied from cash flow and\n bank loans.\n\n - During the second quarter of 2009, the Company obtained RMB 100\n million ($16.9 million) term loan from China Construction Bank and\n RMB 100 million ($16.9 million) term loan from Zhaoyuan County\n Government. As of June 30, 2009, RMB 20 million ($3.4 million) of\n the Zhaoyuan County Government loan facility had been advanced.\n The remaining RMB 80 million ($13.5 million) of the loan is under\n negotiation with the Zhaoyuan County Government.\n\n - As at June 30, 2009, the Company had $10.3 million in cash and\n $24.5 million in bank debt.\n\n\nAsia Bio-Chem, today reported second quarter sales of $23.3 million\nrepresenting a 8.9% increase compared to the corresponding period of 2008.\nThis increase was due to the improvement in the value of the Chinese RMB\nrelative to the Canadian Dollar which offset lower selling prices and volumes\nwhen compared with the second quarter of 2008.\n\n\nGross profit declined to $3.6 million during the quarter representing a\n26.6% decrease over the same quarter of 2008. This reduction was primarily due\nto lower selling prices particularly in germ as well as 6.3% higher corn cost\nexperienced during the quarter compared with the second quarter of 2008.\n\n\n"We are pleased to see that market conditions have begun to improve for\nour prod...