-- Revenues increase 28% to $8.9 Million for Q2 of 2007 versus $7 Million
for Q2 of 2006 -- Gross profit increases 18% to $2.2 Million for Q2 of 2007 versus $1.9
Million for Q2 of 2006 -- Announces LOI to Restructure $11.5 Million of Debt to Equity and Acquire
Remaining 49% of Erye
BEIJING, Aug. 15 /Xinhua-PRNewswire-FirstCall/ -- China Biopharmaceuticals Holdings, Inc. (OTC Bulletin Board: CHBP), a leading Chinese pharmaceutical company focused on the development, manufacturing and marketing of innovative drugs in China, today announced its results for the second quarter ended June 30, 2007.
Revenue for the three months ended June 30, 2007 increased 28% to $8.9 million compared to $7 million for the period ended June 30, 2006. The increase in revenues was mainly attributable to the 31% revenue growth of the Company's subsidiary Erye Pharmaceutical Limited Company ("Erye"). Additionally, the Company realized a full quarter of revenue this year from Enshi as opposed to last year when the acquisition of Enshi was made.
Recent industry developments in China have provided Erye a great opportunity to continue to grow its core business going forward. The Chinese government has invested billions of dollars in a new insurance policy called "Cooperative Medicare." This policy is aimed at providing insurance for farmers in China. Erye will provide their products, which are currently focused on middle-end to low-end markets, to these farmers under the new policy.
Cost of goods sold increased 31% to $6.7 million for the second quarter
of 2007 compared to $5.1 million for the second quarter of 2006. Cost of
goods sold as a percentage of sales revenues was approximately 75% for the
three months ended June 30, 2007 compared to 74% for the three months ended
June 30, 2006. The increase in cost of goods sold has remained consistent
with the growth of sales for th
|SOURCE China Biopharmaceuticals Holdings, Inc.|
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