BEIJING and CLAREMONT, Calif., March 26 /Xinhua-PRNewswire-FirstCall/ -- Kiwa Bio-Tech Products Group Corporation announced that revenues for the year ended December 31, 2007 were $9,129,779 an increase of 264.2% over $2,506,715 for 2006.
Net sales from continuing operations were $9,129,779 and $2,506,715 for the twelve months ended December 31, 2007 and 2006, respectively, representing an increase of $6,623,064 or 264.2%. The significant increase is mainly due to the notable expansion in Kiwa's principal operations, including its bio- fertilizer business and bio-enhanced feed business.
The net loss from continuing operations for 2007 was $2,893,359 (including non-cash expenses $1,408,239) compared to and $2,522,146 (including non-cash expenses $759,681) for fiscal year 2006. This increase resulted from: an increase in gross profit of $345,688 or 191.7%; an increase in operating expenses of $186,023 or 7.5%; an increase in interest expenses of $534,852 or 231.0%; and changes in minority interest in a subsidiary.
Review of Fourth Quarter
Revenues for the fourth quarter of 2007 were $2,915,067 an increase of 84.9% compared to $2,368,808 in the fourth quarter of 2006.
The net loss decreased to $763,199 for the three-month period ended December 31, 2007 compared to $959,960 for the three months ended December 31, 2006.
Please refer to documents filed today with the Securities and Exchange Commission for additional information on the results for the fourth quarter and full year 2007.
Mr. Wei Li, Chairman and CEO of Kiwa, stated, ''We are pleased with the growth in 2007 of the bio-feed business and look forward to continued growth and improved margins in 2008 in this segment. We are also confident that the bio-fertilizer business will prosper due to the accomplishments of our team in 2007 and early 2008. Kiwa has previously announced:
Mr. Wei Li also noted progress in the due diligence related to the Letter of Intent with Shijiazhuang Huaxing Animal Medicine Co., Ltd. ("Huaxing") signed in December 2007. Along with the acquisition of the factory that veterinary produces pharmaceuticals capable of manufacturing AF-01 antiviral for avian flu, Kiwa's objective is to offer three main divisions of agricultural products.
About Kiwa Bio-Tech Products Group Corporation
The Company develops, manufactures, distributes and markets innovative, cost-effective, and environmentally safe bio-technological products for agricultural and natural resources and environmental conservation. The Company's products are designed to enhance the quality of human life by increasing the value, quality and productivity of crops and decreasing the negative environmental impact of chemicals and other wastes. For more information about the Company, please review documents filed with the SEC (www.sec.gov) or visit the Company's website at http://www.kiwabiotech.com .
This press release contains information that constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements involve risk and uncertainties that could cause actual results to differ materially from any future results described by the forward-looking statements. Risk factors that could contribute to such differences include those matters more fully disclosed in the Company's reports filed with the Securities and Exchange Commission. The forward-looking information provided herein represents the Company's estimates as of the date of the press release, and subsequent events and developments may cause the Company's estimates to change. The Company specifically disclaims any obligation to update the forward-looking information in the future. Therefore, this forward-looking information should not be relied upon as representing the Company's estimates of its future financial performance as of any date subsequent to the date of this press release.
(0.040)
Net profit (loss) on discontinued
operations per common share
0.004
kiwabiotech@gmail.comir4kiwa@hotmail.com
CONTACT: Yvonne Wang of Kiwa Bio-Tech Products Group Corporation, +1-
626-715-5855, or kiwabiotech@gmail.com; or Robert Schechter of Equity
Communications for Kiwa Bio-Tech Products Group Corporation,
+1-212-499-6809, or ir4kiwa@hotmail.com
Web site: http://www.kiwabiotech.com/
