ZKL China Keli Electric Company Ltd (delisted)

China Keli Electric Co., Ltd. (TSX VENTURE:ZKL) ("Keli" or the "Company")
announced the financial and operating results for the three and nine months
ended January 31, 2012.


For the three months ended January 31, 2012 ("Q3 2012"), total revenue was
$2,625,393, a decrease of 12.2% over $2,991,162 for Q3 2011, which was mainly
due to the long holidays of New Year and Spring Festival in January 2012. With
decreased revenue and increased cost of complex switch set, gross profit was
837,046 down 34.5% from $1,277,338 for Q3 2011. Through effective operating
expense control measures, loss for Q3 2012 only increased by 1.2% from loss of
$596,548 for Q3 2011 to $603,461.


For the first nine months of FY2012, total revenue was $10,735,522, an increase
of 6.3% over $10,097,820 for the first nine months of FY2011, with gross profit
of $4,160,361 down 7.2% from $4,481,640 for the first nine months of FY2011. The
Company carefully managed its operating expenses, which decreased by 10.3% from
the first nine months of 2011 ($3,818,163 for the first nine months of FY2012
compared to $4,255,914 for the same period in FY2011). As a result, the
Company's net profit was $120,555 for the first nine months of FY2012, compared
to a loss of $336,526 for the FY2011 comparable period. Basic and diluted
earnings per share ("EPS") were $0.001 compared with loss per share of $0.004
for the first nine months of FY2011. Increased net profit and EPS were due
primarily to increased revenues and decreased operating expenses. Excluding
stock-based compensation expenses, the Company would have recorded a net profit
of $519,723 for the first nine months of FY2012, an increase of 973.2% compared
with $48,426 for the same period in FY2011. After accounting for an unrealized
foreign exchange translation gain of $1,186,085, the Company reported total
comprehensive income of $1,306,640 for the first nine months of 2012, compared
with total comprehensive loss of $130,233 for the FY2011 comparable period. The
Company's unrealized foreign exchange income on translation of the Group's
functional currency to its reporting currency is subject to fluctuations in the
exchange rate between the RMB and the Canadian dollar in each reporting period.


"Although Q3 results were essentially flat, FY2012 is showing a marked
improvement over FY2011. Our expectations for the year are on track since we
planned for a slow Q3 because of the extended Chinese Spring Festival," said Lou
Meng Cheong, Keli's CEO. "For the nine months FY2012, we've seen a major
improvement in net profit and EPS which are now in the black, and revenues are
meaningfully higher."


As of January 31, 2012, the Company had total cash and cash equivalents of
$1,334,608 compared with $1,717,377 as of April 30, 2011. Accounts receivable
were $8,518,116 as at January 31, 2012, a decrease of $130,655 compared with
$8,648,771 as at April 30, 2011. The Company's working capital was $8,365,152 as
at January 31, 2012, down from $8,537,972 as at April 30, 2011.


The functional currency of the Company and its subsidiaries is Chinese Yuan
(also known as "Renminbi" or "RMB"). The financial and operating results of the
relevant periods have been translated into Canadian dollars. Depending on the
magnitude of changes in foreign currency exchange rates, the impact on the
financial and operating results may or may not be material.


Full financial results of the Company for the three and nine months ended
January 31, 2012 are available on SEDAR at www.sedar.com.


About China Keli Electric Company Ltd.

China Keli Electric Company Ltd. specializes in the manufacturing of electrical
components and equipment, including pre-assembled mini substations, electrical
controllers, pressurized and vacuumed switchgears and circuit breakers.


For further Company information please access our website: www.zkl.cc.

This press release contains forward-looking statements based on current
expectations. These forward-looking statements entail various risks and
uncertainties that could cause actual results to differ materially from those
reflected in these forward-looking statements. Risks and uncertainties about
Keli's business are more fully discussed in the Company's disclosure materials
filed with the securities regulatory authorities in Canada. All amounts are
stated in Canadian dollars unless noted otherwise.

Grafico Azioni China Keli Electric Company Ltd. (TSXV:ZKL)
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Da Mag 2024 a Giu 2024

Grafico Azioni China Keli Electric Company Ltd. (TSXV:ZKL)
Storico
Da Giu 2023 a Giu 2024