This is the Tagline, edited under "Misc Content"
BEIJING, Nov. 15, 2012 /PRNewswire-FirstCall/ -- Recon Technology, Ltd (Nasdaq: RCON), an oilfield services provider that operates primarily in the People's Republic of China (the "Company"), today announced its financial results for first quarter fiscal year 2013 ended September 30, 2012.
Q1 FY '13 Highlights
-- Total revenues for Q1 FY '13 increased by 83.19% to RMB 9.05 million ($1.49 million), due mainly to increased demands of furnaces. -- Gross profits for Q1 FY '13 were RMB2.45 million ($386 thousand),compared to RMB 2.48 million of Q1 FY '12. -- Comprehensive loss attributable to ordinary shareholders for Q1 FY '13 was RMB2.34 million ($370 thousand), a 31.16% decrease from Q1 FY '12. Diluted losses per share attributable to ordinary shareholders for Q1 FY '13 was RMB0.59 ($0.09), an improvement of 31.39% from diluted losses per share of RMB0.86 in Q1 FY '12. -- Adjust EBITDA in Q1 FY '13 was a loss of RMB1.45 million ($229 thousand), an improvement of 48.26% from Q1 FY '12.
The company's quarterly report on Form 10-Q is available for public viewing at http://www.sec.gov.
"Our first quarter is usually a slow quarter for our business, but this year revenues have grown early," said Mr. Yin. Shenping, Recon's Chief Executive Officer, "Benefited from our good reputation and long-term cooperation with our clients, we achieved more orders from our clients when they launched a new round replacement of furnaces and related accessories. We will continue our R&D activities to maintain stronger competitiveness and higher margin to secure our business. Besides, our other businesses like automation business and fracturing services, are all progressing smoothly. We will continue to make full use of our advantages and professional experience on oilfield automation and production stimulation-related services to achieve better and faster development".
About Recon Technology, Ltd.
Recon Technology, Ltd. is a non-state-owned oil field service company in China. The company has been providing software, equipment and services designed to increase the efficiency and automation in oil and gas exploration, extraction, production and refinery for Chinese oil and gas fields for more than 10 years. More information may be found at http://www.recon.cn or via e-mail at info@recon.cn.
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulation, and other risks contained in reports filed by the company with the Securities and Exchange Commission.
All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
Investor Contact:
Recon Technology, Ltd.
Tel: +86-10-8494-5799
RECON TECHNOLOGY, LTD UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS As of June 30, As of September 30, As of September 30, -------------- ------------------- ------------------- 2012 2012 2012 ---- ---- ---- ASSETS RMB RMB U.S. Dollars --- --- ------------ Current assets Cash and cash equivalents RMB 3,533,283 RMB 2,254,327 $355,909 Trade accounts receivable, net 61,993,942 57,469,336 9,073,151 Trade accounts receivable- related parties, net 20,394,749 19,856,249 3,134,867 Inventories, net 24,281,300 24,097,816 3,804,518 Other receivables, net 8,074,096 10,816,095 1,707,625 Other receivables- related parties 17,729 445,494 70,334 Purchase advances, net 16,250,616 16,855,838 2,661,168 Purchase advances- related parties 1,093,534 993,534 156,857 Tax recoverable 2,790,722 1,572,640 248,286 Prepaid expenses 535,336 923,407 145,786 Deferred tax asset 1,106,801 1,075,177 169,747 --------- --------- ------- Total current assets 140,072,108 136,359,913 21,528,248 Property and equipment, net 1,774,820 2,083,848 328,994 Long-term other receivable 10,302,349 8,627,720 1,362,128 ---------- --------- --------- Total Assets RMB 152,149,277 RMB 147,071,481 $23,219,370 === =========== === =========== =========== LIABILITIES AND EQUITY Current liabilities Short-term bank loan RMB 23,000,000 RMB 23,000,000 $3,631,197 Trade accounts payable 11,905,560 9,093,488 1,435,663 Trade accounts payable- related parties 5,339,231 7,026,028 1,109,256 Other payables 2,341,826 1,659,640 262,021 Other payable- related parties 1,099,259 923,186 145,751 Deferred revenue 3,291,073 3,391,628 535,464 Advances from customers 936,124 1,286,993 203,188 Advances from customers- related parties - 600,000 94,727 Accrued payroll and employees' welfare 949,579 1,017,375 160,621 Accrued expenses 476,416 539,742 85,213 Taxes payable 9,681,620 8,421,610 1,329,588 Short-term borrowings 2,767,066 1,817,883 287,004 Short-term borrowings- related parties 4,123,306 920,872 145,386 Total current liabilities 65,911,060 59,698,445 9,425,079 Long-term borrowings- related party - 3,007,675 474,846 --- --------- ------- Total Liabilities 65,911,060 62,706,120 9,899,925 ---------- ---------- --------- Commitments and Contingency Equity Common shares, ($ 0.0185 U.S. dollar par value, 25,000,000 shares authorized; 3,951,811 shares issued and outstanding as of June 30, 2012 and September 30, 2012) 529,979 529,979 83,672 Additional paid-in capital 67,643,791 68,126,955 10,755,755 Appropriated retained earnings 2,378,961 2,378,961 375,586 Unappropriated retained earnings 9,354,535 7,016,251 1,107,713 Accumulated other comprehensive loss (290,496) (306,458) (48,383) Total controlling shareholders' equity 79,616,770 77,745,688 12,274,343 Non-controlling interest 6,621,447 6,619,673 1,045,102 --------- --------- --------- Total equity 86,238,217 84,365,361 13,319,445 ---------- ---------- ---------- Total Liabilities and Equity RMB 152,149,277 RMB 147,071,481 $23,219,370 === =========== === =========== ===========
RECON TECHNOLOGY, LTD UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the three months ended September 30, ---------------------------------------- ?2011 ?2012 2012 ---- ---- ---- ?RMB ?RMB U.S. Dollars --- --- ------------ Revenues Hardware RMB 3,593,772 RMB 8,438,964 $1,332,329 Service - 83,177 13,132 Hardware - related parties 1,348,817 532,051 83,999 --------- ------- ------ Total revenues 4,942,589 9,054,192 1,429,460 Cost of revenues 2,465,443 6,608,767 1,043,380 Gross profit 2,477,146 2,445,425 386,080 --------- --------- ------- Selling and distribution expenses 832,797 1,268,798 200,316 General and administrative expenses 4,876,183 3,516,440 555,169 Operating expenses 5,708,980 4,785,238 755,485 --------- --------- ------- Loss from operations (3,231,834) (2,339,813) (369,405) ---------- ---------- -------- Other income (expenses) Interest income 6,332 1,310 207 Interest expense (142,911) (329,756) (52,061) Gain from foerign currency exchange - 266,460 42,068 Other income (expense) 71,732 95,139 15,020 Loss before income taxes (3,296,681) (2,306,660) (364,171) Provision for income taxes (108,515) (31,624) (4,993) Net loss (3,405,196) (2,338,284) (369,164) Less: Net income attributable to non-controlling interest - 5,882 930 Net loss attributable to Recon Technology, Ltd RMB (3,405,196) RMB (2,344,166) $(370,094) === ========== === ========== ========= Comprehensive Loss Net loss (3,405,196) (2,338,284) (369,164) Foreign currency translation adjustment 7,594 (15,962) (2,520) ----- ------- ------ Comprehensive loss (3,397,602) (2,354,246) (371,684) Comprehensive income attributable to non-controlling interest 759 7,656 1,209 --- ----- ----- Comprehensive loss attributable to Recon Technology, Ltd RMB (3,398,361) RMB (2,361,902) $(372,893) === ========== === ========== ========= Loss per common share - basic and diluted RMB (0.86) RMB (0.59) $(0.09) === ===== === ===== ====== Weighted - average shares -basic and diluted 3,951,811 3,951,811 3,951,811 ========= ========= =========
RECON TECHNOLOGY, LTD UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS For the three months ended September 30, ---------------------------------------- 2011 2012 2012 ---- ---- ---- RMB RMB U.S. Dollars --- --- ------------ Cash flows from operating activities: Net loss RMB (3,405,196) RMB (2,338,284) $(369,164) Adjustments to reconcile net loss to net cash provided by (used in) operating activities: Depreciation 88,723 72,379 11,427 Recovery of doubtful accounts - (413,622) (65,302) Stock based payments 263,364 454,805 71,804 Deferred tax provision - 31,624 4,993 Changes in operating assets and liabilities: Trade accounts receivable 2,499,209 5,011,902 791,270 Trade accounts receivable-related parties - 538,500 85,017 Notes receivbale 1,276,574 - - Other receivable, net (1,756,733) (1,139,779) (179,946) Other receivables related parties, net - (427,764) (67,535) Purchase advance, net (539,485) (606,488) (95,751) Purchase advance-related party, net - 100,000 15,788 Tax recorvable - 1,218,082 192,308 Prepaid expense 81,866 (388,071) (61,268) Inventories (1,247,809) 183,484 28,968 Trade accounts payable 1,457,908 (2,812,072) (443,965) Trade accounts payable-related parties - 1,686,797 266,308 Other payables 102,887 (682,186) (107,702) Other payables-related parties - (176,073) (27,798) Deferred income (504,800) 100,555 15,875 Advances from customers (77,395) 950,869 150,121 Accrued payroll and employees' welfare 9,389 67,796 10,704 Accrued expenses 105,933 63,324 9,997 Taxes payable 283,529 (1,260,010) (198,928) Net cash provided by (used in) operating activities (1,362,036) 235,768 37,221 ---------- ------- ------ Cash flows from investing activities: Purchase of property and equipment (101,131) (381,406) (60,216) Net cash used in investing activities (101,131) (381,406) (60,216) -------- -------- ------- Cash flows from financing activities: Proceeds from borrowings-related parties - 7,675 1,212 Repayment of short-term borrowings - (949,183) (149,855) Repayment of short-term borrowings-related parties - (202,434) (31,960) Net cash used in financing activities - (1,143,942) (180,603) --- ---------- -------- Effect of exchange rate fluctuation on cash and cash equivalents 11,882 10,624 1,677 ------ ------ ----- Net decrease in cash and cash equivalents (1,451,285) (1,278,956) (201,921) Cash and cash equivalents at beginning of period 3,485,944 3,533,283 557,830 --------- --------- ------- Cash and cash equivalents at end of period RMB 2,034,659 RMB 2,254,327 $355,909 === ========= === ========= ======== Supplemental cash flow information Cash paid during the period for interest RMB 134,637 RMB 407,215 $64,290 === ======= === ======= ======= Cash paid during the period for taxes RMB - RMB - $ - === === === === === ===
SOURCE Recon Technology, Ltd.
SOURCE: Recon Technology, Ltd.
PR Newswire
BEIJING, Nov. 15, 2012
BEIJING, Nov. 15, 2012 /PRNewswire-FirstCall/ -- Recon Technology, Ltd (Nasdaq: RCON), an oilfield services provider that operates primarily in the People's Republic of China (the "Company"), today announced its financial results for first quarter fiscal year 2013 ended September 30, 2012.
Q1 FY '13 Highlights
The company's quarterly report on Form 10-Q is available for public viewing at http://www.sec.gov.
"Our first quarter is usually a slow quarter for our business, but this year revenues have grown early," said Mr. Yin. Shenping, Recon's Chief Executive Officer, "Benefited from our good reputation and long-term cooperation with our clients, we achieved more orders from our clients when they launched a new round replacement of furnaces and related accessories. We will continue our R&D activities to maintain stronger competitiveness and higher margin to secure our business. Besides, our other businesses like automation business and fracturing services, are all progressing smoothly. We will continue to make full use of our advantages and professional experience on oilfield automation and production stimulation-related services to achieve better and faster development".
About Recon Technology, Ltd.
Recon Technology, Ltd. is a non-state-owned oil field service company in China. The company has been providing software, equipment and services designed to increase the efficiency and automation in oil and gas exploration, extraction, production and refinery for Chinese oil and gas fields for more than 10 years. More information may be found at http://www.recon.cn or via e-mail at info@recon.cn.
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and service demand and acceptance, changes in technology, economic conditions, the impact of competition and pricing, government regulation, and other risks contained in reports filed by the company with the Securities and Exchange Commission.
All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by the cautionary statements and any other cautionary statements which may accompany the forward-looking statements. In addition, the company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
Investor Contact:
Recon Technology, Ltd.
Tel: +86-10-8494-5799
RECON TECHNOLOGY, LTD | ||||||||
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
As of June 30, |
As of September 30, |
As of September 30, | ||||||
2012 |
2012 |
2012 | ||||||
ASSETS |
RMB |
RMB |
U.S. Dollars | |||||
Current assets |
||||||||
Cash and cash equivalents |
RMB |
3,533,283 |
RMB |
2,254,327 |
$ |
355,909 | ||
Trade accounts receivable, net |
61,993,942 |
57,469,336 |
9,073,151 | |||||
Trade accounts receivable- related parties, net |
20,394,749 |
19,856,249 |
3,134,867 | |||||
Inventories, net |
24,281,300 |
24,097,816 |
3,804,518 | |||||
Other receivables, net |
8,074,096 |
10,816,095 |
1,707,625 | |||||
Other receivables- related parties |
17,729 |
445,494 |
70,334 | |||||
Purchase advances, net |
16,250,616 |
16,855,838 |
2,661,168 | |||||
Purchase advances- related parties |
1,093,534 |
993,534 |
156,857 | |||||
Tax recoverable |
2,790,722 |
1,572,640 |
248,286 | |||||
Prepaid expenses |
535,336 |
923,407 |
145,786 | |||||
Deferred tax asset |
1,106,801 |
1,075,177 |
169,747 | |||||
Total current assets |
140,072,108 |
136,359,913 |
21,528,248 | |||||
Property and equipment, net |
1,774,820 |
2,083,848 |
328,994 | |||||
Long-term other receivable |
10,302,349 |
8,627,720 |
1,362,128 | |||||
Total Assets |
RMB |
152,149,277 |
RMB |
147,071,481 |
$ |
23,219,370 | ||
LIABILITIES AND EQUITY |
||||||||
Current liabilities |
||||||||
Short-term bank loan |
RMB |
23,000,000 |
RMB |
23,000,000 |
$ |
3,631,197 | ||
Trade accounts payable |
11,905,560 |
9,093,488 |
1,435,663 | |||||
Trade accounts payable- related parties |
5,339,231 |
7,026,028 |
1,109,256 | |||||
Other payables |
2,341,826 |
1,659,640 |
262,021 | |||||
Other payable- related parties |
1,099,259 |
923,186 |
145,751 | |||||
Deferred revenue |
3,291,073 |
3,391,628 |
535,464 | |||||
Advances from customers |
936,124 |
1,286,993 |
203,188 | |||||
Advances from customers- related parties |
- |
600,000 |
94,727 | |||||
Accrued payroll and employees' welfare |
949,579 |
1,017,375 |
160,621 | |||||
Accrued expenses |
476,416 |
539,742 |
85,213 | |||||
Taxes payable |
9,681,620 |
8,421,610 |
1,329,588 | |||||
Short-term borrowings |
2,767,066 |
1,817,883 |
287,004 | |||||
Short-term borrowings- related parties |
4,123,306 |
920,872 |
145,386 | |||||
Total current liabilities |
65,911,060 |
59,698,445 |
9,425,079 | |||||
Long-term borrowings-related party |
- |
3,007,675 |
474,846 | |||||
Total Liabilities |
65,911,060 |
62,706,120 |
9,899,925 | |||||
Commitments and Contingency |
||||||||
Equity |
||||||||
Common shares, ($ 0.0185 U.S. dollar par value, 25,000,000 shares authorized; 3,951,811 shares issued and outstanding as of June 30, 2012 and September 30, 2012) |
529,979 |
529,979 |
83,672 | |||||
Additional paid-in capital |
67,643,791 |
68,126,955 |
10,755,755 | |||||
Appropriated retained earnings |
2,378,961 |
2,378,961 |
375,586 | |||||
Unappropriated retained earnings |
9,354,535 |
7,016,251 |
1,107,713 | |||||
Accumulated other comprehensive loss |
(290,496) |
(306,458) |
(48,383) | |||||
Total controlling shareholders' equity |
79,616,770 |
77,745,688 |
12,274,343 | |||||
Non-controlling interest |
6,621,447 |
6,619,673 |
1,045,102 | |||||
Total equity |
86,238,217 |
84,365,361 |
13,319,445 | |||||
Total Liabilities and Equity |
RMB |
152,149,277 |
RMB |
147,071,481 |
$ |
23,219,370 | ||
RECON TECHNOLOGY, LTD | |||||||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | |||||||||
For the three months ended September 30, |
|||||||||
2011 |
2012 |
2012 |
|||||||
RMB |
RMB |
U.S. Dollars |
|||||||
Revenues |
|||||||||
Hardware |
RMB |
3,593,772 |
RMB |
8,438,964 |
$ |
1,332,329 |
|||
Service |
- |
83,177 |
13,132 |
||||||
Hardware - related parties |
1,348,817 |
532,051 |
83,999 |
||||||
Total revenues |
4,942,589 |
9,054,192 |
1,429,460 |
||||||
Cost of revenues |
2,465,443 |
6,608,767 |
1,043,380 |
||||||
Gross profit |
2,477,146 |
2,445,425 |
386,080 |
||||||
Selling and distribution expenses |
832,797 |
1,268,798 |
200,316 |
||||||
General and administrative expenses |
4,876,183 |
3,516,440 |
555,169 |
||||||
Operating expenses |
5,708,980 |
4,785,238 |
755,485 |
||||||
Loss from operations |
(3,231,834) |
(2,339,813) |
(369,405) |
||||||
Other income (expenses) |
|||||||||
Interest income |
6,332 |
1,310 |
207 |
||||||
Interest expense |
(142,911) |
(329,756) |
(52,061) |
||||||
Gain from foerign currency exchange |
- |
266,460 |
42,068 |
||||||
Other income (expense) |
71,732 |
95,139 |
15,020 |
||||||
Loss before income taxes |
(3,296,681) |
(2,306,660) |
(364,171) |
||||||
Provision for income taxes |
(108,515) |
(31,624) |
(4,993) |
||||||
Net loss |
(3,405,196) |
(2,338,284) |
(369,164) |
||||||
Less: Net income attributable to non-controlling interest |
- |
5,882 |
930 |
||||||
Net loss attributable to Recon Technology, Ltd |
RMB |
(3,405,196) |
RMB |
(2,344,166) |
$ |
(370,094) |
|||
Comprehensive Loss |
|||||||||
Net loss |
(3,405,196) |
(2,338,284) |
(369,164) |
||||||
Foreign currency translation adjustment |
7,594 |
(15,962) |
(2,520) |
||||||
Comprehensive loss |
(3,397,602) |
(2,354,246) |
(371,684) |
||||||
Comprehensive income attributable to non-controlling interest |
759 |
7,656 |
1,209 |
||||||
Comprehensive loss attributable to Recon Technology, Ltd |
RMB |
(3,398,361) |
RMB |
(2,361,902) |
$ |
(372,893) |
|||
Loss per common share - basic and diluted |
RMB |
(0.86) |
RMB |
(0.59) |
$ |
(0.09) |
|||
Weighted - average shares -basic and diluted |
3,951,811 |
3,951,811 |
3,951,811 |
||||||
RECON TECHNOLOGY, LTD | ||||||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
For the three months ended September 30, | ||||||||
2011 |
2012 |
2012 | ||||||
RMB |
RMB |
U.S. Dollars | ||||||
Cash flows from operating activities: |
||||||||
Net loss |
RMB |
(3,405,196) |
RMB |
(2,338,284) |
$ |
(369,164) | ||
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
||||||||
Depreciation |
88,723 |
72,379 |
11,427 | |||||
Recovery of doubtful accounts |
- |
(413,622) |
(65,302) | |||||
Stock based payments |
263,364 |
454,805 |
71,804 | |||||
Deferred tax provision |
- |
31,624 |
4,993 | |||||
Changes in operating assets and liabilities: |
||||||||
Trade accounts receivable |
2,499,209 |
5,011,902 |
791,270 | |||||
Trade accounts receivable-related parties |
- |
538,500 |
85,017 | |||||
Notes receivbale |
1,276,574 |
- |
- | |||||
Other receivable, net |
(1,756,733) |
(1,139,779) |
(179,946) | |||||
Other receivables related parties, net |
- |
(427,764) |
(67,535) | |||||
Purchase advance, net |
(539,485) |
(606,488) |
(95,751) | |||||
Purchase advance-related party, net |
- |
100,000 |
15,788 | |||||
Tax recorvable |
- |
1,218,082 |
192,308 | |||||
Prepaid expense |
81,866 |
(388,071) |
(61,268) | |||||
Inventories |
(1,247,809) |
183,484 |
28,968 | |||||
Trade accounts payable |
1,457,908 |
(2,812,072) |
(443,965) | |||||
Trade accounts payable-related parties |
- |
1,686,797 |
266,308 | |||||
Other payables |
102,887 |
(682,186) |
(107,702) | |||||
Other payables-related parties |
- |
(176,073) |
(27,798) | |||||
Deferred income |
(504,800) |
100,555 |
15,875 | |||||
Advances from customers |
(77,395) |
950,869 |
150,121 | |||||
Accrued payroll and employees' welfare |
9,389 |
67,796 |
10,704 | |||||
Accrued expenses |
105,933 |
63,324 |
9,997 | |||||
Taxes payable |
283,529 |
(1,260,010) |
(198,928) | |||||
Net cash provided by (used in) operating activities |
(1,362,036) |
235,768 |
37,221 | |||||
Cash flows from investing activities: |
||||||||
Purchase of property and equipment |
(101,131) |
(381,406) |
(60,216) | |||||
Net cash used in investing activities |
(101,131) |
(381,406) |
(60,216) | |||||
Cash flows from financing activities: |
||||||||
Proceeds from borrowings-related parties |
- |
7,675 |
1,212 | |||||
Repayment of short-term borrowings |
- |
(949,183) |
(149,855) | |||||
Repayment of short-term borrowings-related parties |
- |
(202,434) |
(31,960) | |||||
Net cash used in financing activities |
- |
(1,143,942) |
(180,603) | |||||
Effect of exchange rate fluctuation on cash and cash equivalents |
11,882 |
10,624 |
1,677 | |||||
Net decrease in cash and cash equivalents |
(1,451,285) |
(1,278,956) |
(201,921) | |||||
Cash and cash equivalents at beginning of period |
3,485,944 |
3,533,283 |
557,830 | |||||
Cash and cash equivalents at end of period |
RMB |
2,034,659 |
RMB |
2,254,327 |
$ |
355,909 | ||
Supplemental cash flow information |
||||||||
Cash paid during the period for interest |
RMB |
134,637 |
RMB |
407,215 |
$ |
64,290 | ||
Cash paid during the period for taxes |
RMB |
- |
RMB |
- |
$ |
- | ||
SOURCE Recon Technology, Ltd.
Web Site: http://www.recon.cn