Business
Gulf Resources Announces Second Quarter 2021 Unaudited Financial Results
SHOUGUANG, China, Aug. 16, 2021 (GLOBE NEWSWIRE) -- Gulf Resources, Inc. (Nasdaq: GURE) ("Gulf Resources", "we," or the "Company"), a leading manufacturer of
About this update from Gulf Resources, Inc.
[{"type":"text","content":"SHOUGUANG, China, Aug. 16, 2021 (GLOBE NEWSWIRE) -- Gulf Resources, Inc. (Nasdaq: GURE) (\"Gulf Resources\", \"we,\" or the \"Company\"), a leading manufacturer of bromine, crude salt and specialty chemical products in China, today announced unaudited financial results for the second quarter 2021. Second Quarter 2021 Financial Results Balance Sheet Our balance sheet remains extremely strong. Despite continuing to invest in our new chemical factory, we have over $97 million in cash. Our current book value per share is $26.56. Based on our current stock price, Gulf continues to sell at a discount to its cash, net net cash, and working capital. Balance Sheet Highlights TotalCash $97,058,027Net Net Cash$78,735,522Current Assets$104,955,195Working Capital$95,745,220Book Value$278,102,555 Income Statement Net Revenues for Q2 2021 increased 108% to $11,148,008 compared to previous year.Gross margins increased for Q2 2021 by 1157% from $336,587 to $4,232,234 compared to the same period of previous year.As a percentage of revenues, gross margin for Q2 2021 was 38.0% compared to 6.3% in the previous year.Direct labor and factory overheads for Q2 2021 incurred during plant shutdown decreased 19.7%. As a percentage of sales, they were 12.5% versus 32.4%.G&A expenses for Q2 2021 increased $3,662,999 compared to the previous year. However, $3,133,140 of the increase was attributable to the one-time stock awards.Net loss before taxes for Q2 2021 declined 19.6% to $2,346,740 compared to previous year.Taxes were $(356,408) for Q2 2021 versus a benefit of $672,633 for Q2 2020.The Net Loss after Taxes was $2,703,200 for Q2 2021 versus $2,244,619 for Q2 2020.The company had a comprehensive net gain for Q2 2021 of $2,631,016 versus a net loss of $2,022,750 for Q2 2020. Cash Flow For the six months, we had cash flow from operations of $7,025,775. We spent $5,806,435 on property plant and equipment for our chemical factory. Even with these expenditures and the interruption in our production for Chinese New Year in the first quarter, we were still able to generate positive free cash flow for the six months and the quarter, enabling us to increase our cash by almost $3 million compared to year-end levels. Segment Reporting Bromine Bromine revenues for Q2 2021 increased by 123% to $10,025,438 from 4,487,017 in Q2 2020.Gross profits in bromine for Q2 2021...