Business & Finance
Business and Finance
Business and Finance
Tue, May 19, 2009
Mon, May 18, 2009 China Infrastructure Investment Corporation: China Infrastructure Investment Reports Lower 2009 Third Quarter and Nine Months R
BEIJING--(Marketwire - May 18, 2009) - China Infrastructure Investment Corporation (
The Company said revenues in its 2009 third quarter declined 12% to $10,234,820 compared with $11,630,749 in the year earlier period, while net income in the 2009 quarter was $1,248,235, a 31.6% decline from $1,823,863 in the year earlier period. EPS in the 2009 third quarter was $0.02 on 80,000,000 weighted average shares outstanding compared with $0.03 on 69,560,440 weighted average shares in the third quarter of 2008. Revenues in the first nine months of 2009 were $37,779,524, down 6.7% from $40,509,496 in the same period in 2008, while net income through the first nine months of 2009 decreased approximately $3.5 million or 42.1% to $4,847,387 from $8,370,026 in the first nine months of 2008.
The Company said a key reason for the revenue declines in the 2009 third quarter and nine month results was a decrease in commercial traffic on the Pingling Expressway, primarily as a consequence of reduced coal transport activity resulting from the worldwide recession. Additionally, in 2009 the Chinese government initiated a toll free policy for commercial vehicles carrying certain food products in order to reduce food costs.
Net income in the quarter and nine month periods was lower due to the decrease in revenues and increased general and administrative expense in both periods.
Mr. Li Xipeng, Chairman and CEO of the Company commented, "We remain focused on optimizing results with a belief that a pick up in economic activity will increase traffic on the roadway over time. There also are additional infrastructure development opportunities we continue to explore in an environment where the need for further development is well recognized."
About China Infrastructure Investment Corporation:
China Infrastructure Investment Corporation, incorporated in Nevada, USA and headquartered in Henan Province, China, focuses on investing in, constructing, operating and managing infrastructure development projects in China. The Company currently operates the Pingling Expressway, a 106-kilometer (66 miles) dual carriageway four-lane toll road in the central province of Henan. The Expressway is an important passage from the northwest region to the southeast coastal region of China. The Company is actively pursuing additional development opportunities in infrastructure projects, including expressways, electricity, water supply and bio fuel facilities. For more information, please visit [ www.ciicusa.com ].
"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995:
This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations or beliefs, including, but not limited to, statements concerning the Company's operations, financial performance and condition. For this purpose, statements that are not statements of historical fact may be deemed to be forward-looking statements. The Company cautions that these statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, but not limited to, the impact of alternative new routes and modes of transportation, pricing and new technology; changes in consumer preferences, and effectiveness of marketing; changes in laws and regulations; fluctuations in costs of maintenance and construction, and other factors such as those discussed in the Company's reports filed with the Securities and Exchange Commission. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
No securities regulatory authority has either approved or disapproved the contents of this news release.
CHINA INFRASTRUCTURE INVESTMENT CORPORATION (FORMERLY LEARNING QUEST TECHNOLOGIES, INC.) AND SUBSIDIARIES CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended Nine Months Ended March 31, March 31, --------------------------- --------------------------- 2009 2008 2009 2008 ------------- ------------- ------------- ------------- REVENUES $ 10,234,820 $ 11,630,749 $ 37,779,524 $ 40,509,496 OPERATING COSTS 584,314 830,977 4,259,217 4,012,823 DEPRECIATION AND AMORTIZATION 1,588,909 1,758,334 5,489,104 5,121,538 ------------- ------------- ------------- ------------- GROSS PROFIT 8,061,597 9,041,438 28,031,203 31,375,135 General and administrative expenses 1,442,137 825,983 4,288,648 3,211,241 OTHER INCOME (EXPENSES) Interest expense, net (5,167,369) (6,061,743) (17,829,695) (17,677,618) Other income, net 225,553 290,200 667,024 679,216 ------------- ------------- ------------- ------------- INCOME BEFORE INCOME TAXES 1,677,644 2,443,912 6,579,884 11,165,492 INCOME TAX EXPENSE (429,409) (620,049) (1,732,497) (2,795,466) ------------- ------------- ------------- ------------- NET INCOME 1,248,235 1,823,863 4,847,387 8,370,026 ------------- ------------- ------------- ------------- OTHER COMPREHENSIVE INCOME Foreign currency translation gain 221,361 6,421,839 679,607 12,799,998 ------------- ------------- ------------- ------------- COMPREHENSIVE INCOME $ 1,469,596 $ 8,245,702 $ 5,526,994 $ 21,170,024 ============= ============= ============= ============= WEIGHTED AVERAGE SHARES OUTSTANDING, BASIC AND DILUTED 80,000,000 69,560,440 80,000,000 59,818,182 ============= ============= ============= ============= NET INCOME PER COMMON SHARE, BASIC AND DILUTED $ 0.02 $ 0.03 $ 0.06 $ 0.14 ============= ============= ============= =============
