WUHAN CITY, China, April 2,
2019 /PRNewswire/ -- Kingold Jewelry, Inc. ("Kingold" or
"the Company") (NASDAQ: KGJI), one of China's leading manufacturers and designers of
high quality 24-karat gold jewelry, ornaments and
investment-oriented products, today announced its financial results
for the fourth quarter and year ended December 31, 2018.
2018 Financial and Operating Highlights (all
results are compared to prior year)
- Net sales were approximately $2.48
billion, increased by 41% from approximately $2.01 billion.
- Processed a total of 114.2 metric tons [one metric ton = 35,274
ounces] of 24-karat gold products in 2018, an increase of 10.4%
compared to 103.4 metric tons. This result exceeded the Company's
previously announced estimate of between 100 metric tons and 110
metric tons.
- Gross profit increased by 32% to $264.3
million from $199.9
million.
- Gross margin was 10.7% compared to 9.9%.
- Net income was $49.5 million, or
$0.75 per diluted share, increased by
89% from $26.2 million, or
$0.39 per diluted share.
- Book value per diluted share was $9.64 at December 31,
2018, compared to $5.91 at
December 31, 2017.
2018 Fourth Quarter Financial Highlights (all results
compared to prior year period)
- Net sales were $631.2 million,
compared to $657.1 million.
- Processed a total of 33.7 metric tons of 24-karat gold
products, compared to 31.2 metric tons.
- Net income was $9.5 million, or
$0.14 per diluted share, compared to
$10.5 million, or $0.15 per diluted share.
Outlook for 2019
- The Company expects to process between 110 metric tons and 120
metric tons of 24-karat gold products in 2019.
Management Commentary
Mr. Zhihong Jia, Chairman and CEO
of the Company, commented, "We are proud to have achieved all
aspects of financial and operational growth for the year 2018 and
surpassed our previously provided processing volume while gaining
double-digit percentage growth in all indices. According to the
World Gold Council, in 2018 the annual jewelry demand in
China increased by 3% as the
retail industry continued to expand and innovate. Based on the
management's analysis on the gold market trend, Kingold intends to
continue to expand market coverage by diversifying our sales
channels for gold jewelry and investment products and continue to
explore gold investment to further implement our strategic
expansion. Meanwhile, Kingold expects to explore both upstream and
downstream markets to optimally utilize resources within
China's gold industry, thus to
advance our Company's position as a leader in furtherance of the
gold industry development, along with our peers."
2018 OPERATIONAL REVIEW
Metric Tons
of Gold Processed
|
|
Three Months
Ended:
|
|
December 31,
2018
|
December 31,
2017
|
|
Volume
|
% of Total
|
Volume
|
% of Total
|
Branded*
|
16.4
|
48.7%
|
16.8
|
53.8%
|
Customized**
|
17.3
|
51.3%
|
14.4
|
46.2%
|
Total
|
33.7
|
100.0%
|
31.2
|
100%
|
|
Year
Ended:
|
|
December 31,
2018
|
December 31,
2017
|
|
Volume
|
% of Total
|
Volume
|
% of Total
|
Branded*
|
62.9
|
55.1%
|
51.5
|
49.8%
|
Customized**
|
51.3
|
44.9%
|
51.9
|
50.2%
|
Total
|
114.2
|
100.0%
|
103.4
|
100.0%
|
|
*
|
Branded
Production:
|
The Company
acquires gold from the Shanghai Gold Exchange to produce branded
products.
|
**
|
Customized
Production:
|
Clients who
purchase customized products supply gold to the Company for
processing.
|
|
For the three months ended December 31,
2018, the Company processed a total of 33.7 metric tons of
gold, of which branded production was 16.4 metric tons,
representing 48.7% of total gold processed, and customized
production was 17.3 metric tons, representing 51.3% of total gold
processed in the fourth quarter of 2018. In the fourth quarter of
2017, the Company processed a total of 31.2 metric tons, of which
branded production was 16.8 metric tons, or 53.8% of the total gold
processed, and customized production was 14.4 metric tons, or 46.2%
of total gold processed.
For the year ended December 31,
2018, Kingold processed a total of 114.2 metric tons of
gold, of which branded production was 62.9 metric tons, or 55.1% of
total gold processed, and customized production was 51.3 metric
tons, or 44.9% of total gold processed. In 2017, the Company
processed a total of 103.4 metric tons of gold, of which branded
production was 51.5 metric tons, or 49.8% of the total, and
customized production was 51.9 metric tons, or 50.2% of the
total.
2018 FINANCIAL REVIEW
Net Sales
Net sales for the three months ended December 31, 2018 was approximately $631.2 million, representing a decrease of
approximately $26 million, or 3.9%,
from approximately $657.1 million for
the same period in 2017.
Net sales for the year ended December 31,
2018 was approximately $2.48
billion, an increase of 41% from approximately $2.01 billion reported in the year of 2017. The
overall increase was mainly due to the following combined factors:
(1) the total sales volume (in terms of quantity sold) for branded
production increased from 51.5 metric tons in 2017 to 62.9 metric
tons in 2018, causing 11.4 metric tons or 22.1% of increase.
However, the average unit selling price for branded production
remained stable in 2018, which was RMB
254.8 per gram in 2018, compared to RMB 257.2 per gram in 2018, resulting in a
slightly decrease of 0.9%. (2) The total sales volume (in terms of
quantity sold) for customized production remained stable in 2018,
which was 51.3 metric tons in 2018, compared to 51.8 metric tons in
2017. However, the average unit selling price for customized
production increased from RMB 6.38
per gram in 2017 to RMB 6.89 per gram
in 2018, causing an 8.1% increase.
Gross Profit
Gross profit for the three months ended December 31, 2018 was approximately $75.1 million, compared to $56.4 million for the same period in 2017.
Gross profit was approximately $264.3
million for the year ended December
31, 2018, compared to approximately $199.9 million for year of 2017. The increase in
gross profit was mainly due to the following factors: (1) the
increased sales volume from 103.4 metric tons in 2017 to 114.2
metric tons in 2018, which has impacted the Company's gross profit
and gross margin for the year ended December
31, 2018; and (2) the increase in unit selling price of
customized productions, which has impacted the gross margin.
Gross Margin
The Company's gross margin was 11.9% for the three months ended
December 31, 2018, compared to 8.6%
in the prior year period.
The Company's gross margin for the year ended December 31, 2018 was 10.7%, compared to 9.9% in
the prior year period. The slight increase was due to above
reasons.
Net Income
Net income for the three months ended December 31, 2018 was approximately $9.5 million, or $0.14 per diluted share based on 66.1 million
weighted average diluted shares outstanding, compared to net income
of $10.5 million in the prior year
period, or $0.15 per diluted share
based on 66.8 million weighted average diluted shares outstanding
in the prior year period.
Net income for the year ended December
31, 2018 was approximately $49.5
million, or $0.75 per diluted
share based on 66.2 million weighted average diluted shares
outstanding, compared to net income of approximately $26.2 million in the prior year, or $0.39 per diluted share based on 66.5 million
weighted average diluted shares outstanding in the prior year.
Balance Sheet and Cash flow
|
(in millions
except for percentages)
|
12/31/2018
|
12/31/2017
|
%
Changed
|
|
|
|
|
Cash
|
$
0.23
|
$
5.0
|
(95.4)%
|
Inventories
(gold)
|
$
127.0
|
$
135.0
|
(5.9)%
|
Working
Capital
|
$
837.3
|
$
768.3
|
9.0%
|
Stockholders'
Equity
|
$
638.3
|
$
390.2
|
63.6%
|
|
The net cash provided by operating activities for the year ended
December 31, 2018 was approximately
$365.7 million, compared to
approximately $25.7 million of net
cash used in operating activities in 2017. The increase of net cash
provided by operating was mainly due to the increase in net income,
the decrease in inventory purchased of approximately $205.2 million because approximately $769.3 million of gold for investment was
released to inventory and processed during the year ended
December 31, 2018, collections from
value added tax recoverable of $78.0
million, an increase in income tax payable of $17.6 million, offset by our decrease in other
payable and accrued expense of $3.7
million.
Kingold's net cash from operating activities can fluctuate
significantly due to changes in inventories. Other factors that may
vary significantly include our accounts payable, purchases of gold
and income taxes. The Company expects the net cash that it
generates from operating activities to continue to fluctuate as the
Company's inventories, receivables, accounts payables and the other
factors described above change with increased production and the
purchase of larger or smaller quantities of raw materials. These
fluctuations could cause net cash from operating activities to
decrease, even if Kingold's net income grows as the Company
continue to expand.
OUTLOOK FOR 2019
Based on its existing resources and capacity along with strong
demand for 24-karat gold products in China, the Company believes that its gold
sales are expected to be between 110 metric tons and 120 metric
tons during 2019. This guidance is based solely on current
projected, organic growth.
Conference Call Details
Kingold also announced that it will discuss these financial
results in a conference call on April 3,
2019, at 8:30 a.m. ET. The
dial-in numbers are:
Live Participant Dial In (Toll Free): 877-407-9038
Live Participant Dial In (International): 201-493-6742
The conference call will also be webcast live. To listen to the
call, please go to the Investor Relations section of Kingold's
website at www.kingoldjewelry.com, or click on the following link:
https://78449.themediaframe.com/dataconf/productusers/kgji/mediaframe/29332/indexl.html.
The Company will also have an accompanying slide presentation
available in PDF format on its homepage prior to the conference
call.
About Kingold Jewelry, Inc.
Kingold Jewelry, Inc. (NASDAQ: KGJI), centrally located in
Wuhan City, one of China's largest cities, was founded in 2002
and today is one of China's
leading designers and manufacturers of high quality 24-karat gold
jewelry, ornaments, and investment-oriented products. The Company
sells its products both directly to retailers and through major
distributors across China. Kingold
has received numerous industry awards and has been a member of the
Shanghai Gold Exchange since 2003. For more information, please
visit www.kingoldjewelry.com.
Business Risks and Forward-Looking Statements
This press release contains forward-looking statements that are
subject to the safe harbors created under the Securities Act of
1933, as amended, and the Securities Exchange Act of 1934, as
amended. You can identify these forward -looking statements by
words such as "expects," "believe," "project," "anticipate," or
similar expressions. The forward-looking statements in this release
include statements regarding Kingold's outlook with respect to its
2019 outlook for gold processing and investment. Forward-looking
statements are subject to a number of risks, including those
contained in Kingold's SEC filings available at www.sec.gov,
including Kingold's most recent Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q. Readers are cautioned not to place
undue reliance on any forward-looking statements, which speak only
as of the date on which they are made. Kingold undertakes no
obligation to update or revise any forward-looking statements for
any reason.
COMPANY CONTACT
Kingold Jewelry, Inc.
Bin Liu, CFO
Phone: +1-847-660-3498 (US) / +86-27-6569-4977 (China)
bl@kingoldjewelry.com
INVESTOR RELATIONS
The Equity Group Inc.
Katherine Yao, Senior Associate
Phone: +86-10-5661-7012
kyao@equityny.com
KINGOLD JEWELRY,
INC.
CONSOLIDATED
STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(IN U.S. DOLLARS)
UNAUDITED
|
|
|
For the three
months ended December 31,
|
|
2018
|
|
2017
|
NET
SALES
|
$
|
631,174,702
|
|
$
|
657,065,727
|
COST OF
SALES
|
|
|
|
|
|
Cost of
sales
|
|
(555,777,346)
|
|
|
(600,235,997)
|
Depreciation
|
|
(337,266)
|
|
|
(387,406)
|
Total
cost of sales
|
|
(556,114,612)
|
|
|
(600,623,403)
|
|
|
|
|
|
|
GROSS
PROFIT
|
|
75,060,090
|
|
|
56,442,324
|
|
|
|
|
|
|
OPERATING
EXPENSES
|
|
|
|
|
|
Selling,
general and administrative expenses
|
|
3,966,740
|
|
|
2,897,969
|
Stock
compensation expenses
|
|
5,364
|
|
|
5,364
|
Depreciation
|
|
169,878
|
|
|
77,185
|
Amortization, other
|
|
2,723
|
|
|
2,858
|
Total operating
expenses
|
|
4,144,705
|
|
|
2,983,376
|
|
|
|
|
|
|
INCOME FROM
OPERATIONS
|
|
70,915,385
|
|
|
53,458,948
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSES)
|
|
|
|
|
|
Other
income, net
|
|
(984)
|
|
|
484
|
Interest
income
|
|
379,157
|
|
|
427,048
|
Interest
expense (Amortization of debt issuance costs
$12,247,690)
$490,870
of amortization of financing costs for the years ended December 31,
2017, 2016 and 2015
|
|
(43,794,691)
|
|
|
(39,790,115)
|
Total other expenses,
net
|
|
(43,416,518)
|
|
|
(39,362,583)
|
|
|
|
|
|
|
INCOME FROM
OPERATIONS BEFORE TAXES
|
|
27,498,867
|
|
|
14,096,365
|
|
|
|
|
|
|
INCOME TAX
PROVISION (BENEFIT)
|
|
|
|
|
|
Current
|
|
17,757,847
|
|
|
4,682,155
|
Deferred
|
|
240,531
|
|
|
(1,063,593)
|
Total income tax
provision
|
|
17,998,378
|
|
|
3,618,562
|
|
|
|
|
|
|
NET
INCOME
|
|
9,500,489
|
|
|
10,477,803
|
|
|
|
|
|
|
OTHER
COMPREHENSIVE INCOME (LOSS)
|
|
|
|
|
|
Unrealized gain
related to investments in gold, net of tax
|
|
137,914,883
|
|
|
(17,285,438)
|
Total foreign
currency translation gain (loss)
|
|
(7,285,556)
|
|
|
9,934,925
|
Total Other
comprehensive gain
|
|
54,640,188
|
|
|
(7,350,513)
|
|
|
|
|
|
|
COMPREHENSIVE
INCOME
|
$
|
130,629,327
|
|
$
|
3,127,290
|
|
|
|
|
|
|
Earnings per
share
|
|
|
|
|
|
Basic
|
$
|
0.14
|
|
$
|
0.16
|
Diluted
|
$
|
0.14
|
|
$
|
0.16
|
|
|
|
|
|
|
Weighted average
number of shares
|
|
|
|
|
|
Basic
|
|
66,113,502
|
|
|
66,113,502
|
Diluted
|
|
66,113,502
|
|
|
66,773,097
|
KINGOLD JEWELRY,
INC.
CONSOLIDATED
STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(IN U.S. DOLLARS)
|
|
|
For the years
ended December 31,
|
|
2018
|
|
2017
|
NET
SALES
|
$
|
2,475,666,092
|
|
$
|
2,009,732,643
|
COST OF
SALES
|
|
|
|
|
|
Cost of
sales
|
|
(2,210,204,664)
|
|
|
(1,808,612,014)
|
Depreciation
|
|
(1,138,650)
|
|
|
(1,193,453)
|
Total
cost of sales
|
|
(2,211,343,314)
|
|
|
(1,809,805,467)
|
|
|
|
|
|
|
GROSS
PROFIT
|
|
264,322,778
|
|
|
199,927,176
|
|
|
|
|
|
|
OPERATING
EXPENSES
|
|
|
|
|
|
Selling,
general and administrative expenses
|
|
11,564,285
|
|
|
13,444,222
|
Stock
compensation expenses
|
|
21,456
|
|
|
33,014
|
Depreciation
|
|
576,840
|
|
|
444,297
|
Amortization, other
|
|
11,426
|
|
|
11,188
|
Total operating
expenses
|
|
12,174,007
|
|
|
13,932,721
|
|
|
|
|
|
|
INCOME FROM
OPERATIONS
|
|
252,148,771
|
|
|
185,994,455
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSES)
|
|
|
|
|
|
Other
income, net
|
|
63,449
|
|
|
66,642
|
Interest
income
|
|
1,763,595
|
|
|
2,251,972
|
Interest
expense, including $12,247,690 and $10,958,016 of amortization of
financing costs for the years ended December 31, 2018 and
2017
|
|
(172,692,768)
|
|
|
(152,945,558)
|
Total other expenses,
net
|
|
(170,865,724)
|
|
|
(150,626,944)
|
|
|
|
|
|
|
INCOME FROM
OPERATIONS BEFORE TAXES
|
|
81,283,047
|
|
|
35,367,511
|
|
|
|
|
|
|
INCOME TAX
PROVISION (BENEFIT)
|
|
|
|
|
|
Current
|
|
26,972,159
|
|
|
17,678,757
|
Deferred
|
|
4,764,174
|
|
|
(8,503,898)
|
Total income tax
provision
|
|
31,736,333
|
|
|
9,174,859
|
|
|
|
|
|
|
NET
INCOME
|
|
49,546,714
|
|
|
26,192,652
|
|
|
|
|
|
|
OTHER
COMPREHENSIVE INCOME (LOSS)
|
|
|
|
|
|
Unrealized gain related to investments in gold, net
of tax
|
|
81,006,008
|
|
|
58,650,446
|
Total
foreign currency translation gain (loss)
|
|
(26,365,820)
|
|
|
22,752,426
|
Total
Other comprehensive gain
|
|
54,640,188
|
|
|
81,402,872
|
|
|
|
|
|
|
COMPREHENSIVE
INCOME
|
$
|
104,186,902
|
|
$
|
107,595,524
|
|
|
|
|
|
|
Earnings per
share
|
|
|
|
|
|
Basic
|
$
|
0.75
|
|
$
|
0.40
|
Diluted
|
$
|
0.75
|
|
$
|
0.39
|
|
|
|
|
|
|
Weighted average
number of shares
|
|
|
|
|
|
Basic
|
|
66,113,502
|
|
|
66,050,498
|
Diluted
|
|
66,192,537
|
|
|
66,472,046
|
KINGOLD JEWELRY,
INC.
CONSOLIDATED
BALANCE SHEETS
(IN U.S.
DOLLARS)
|
|
|
December
31,
|
|
December
31,
|
|
2018
|
|
2017
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
Cash
|
$
|
233,391
|
|
$
|
4,997,125
|
Restricted
cash
|
|
4,798,185
|
|
|
5,534,551
|
Accounts
receivable
|
|
451,059
|
|
|
768,167
|
Inventories
|
|
127,034,673
|
|
|
135,042,713
|
Investments in
gold
|
|
1,593,557,391
|
|
|
1,562,943,153
|
Other current
assets and prepaid expenses
|
|
87,590
|
|
|
100,592
|
Value added
tax recoverable
|
|
259,582,324
|
|
|
353,732,758
|
Total
current assets
|
|
1,985,744,613
|
|
|
2,063,119,059
|
|
|
|
|
|
|
Property
and equipment, net
|
|
5,395,330
|
|
|
7,299,643
|
Restricted
cash
|
|
7,766,372
|
|
|
7,392,721
|
Investments in
gold
|
|
700,225,896
|
|
|
957,124,267
|
Other
assets
|
|
285,768
|
|
|
302,072
|
Deferred
income tax assets
|
|
-
|
|
|
6,677,675
|
Land use
right
|
|
395,719
|
|
|
429,915
|
Total
long-term assets
|
|
714,069,085
|
|
|
979,226,293
|
TOTAL
ASSETS
|
$
|
2,699,813,698
|
|
$
|
3,042,345,352
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
Short term
loans
|
$
|
1,034,947,774
|
|
$
|
962,101,746
|
Other payables
and accrued expenses
|
|
15,749,564
|
|
|
18,913,863
|
Related party
loan
|
|
72,699,779
|
|
|
307,389,647
|
Due to related
party, shareholder
|
|
3,976,742
|
|
|
2,630,301
|
Income tax
payable
|
|
18,504,197
|
|
|
1,208,742
|
Other taxes
payable
|
|
2,577,102
|
|
|
2,615,463
|
Total
current liabilities
|
|
1,148,455,158
|
|
|
1,294,859,762
|
Deferred income tax
liability
|
|
24,218,911
|
|
|
-
|
Related party
loans
|
|
373,327,862
|
|
|
567,843,066
|
Long term
loans
|
|
515,477,020
|
|
|
789,410,137
|
TOTAL
LIABILITIES
|
|
2,061,478,951
|
|
|
2,652,112,965
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
Preferred stock,
$0.001 par value, 500,000 shares authorized, none issued
or outstanding as of December 31, 2018 and 2017
|
|
-
|
|
|
-
|
Common stock $0.001
par value, 100,000,000 shares authorized, 66,113,502 shares issued
and outstanding as of December 31, 2018 and 2017
|
|
66,113
|
|
|
66,113
|
Additional paid-in
capital
|
|
224,292,907
|
|
|
80,377,449
|
Retained
earnings
|
|
|
|
|
|
Inappropriate
|
|
353,213,325
|
|
|
303,666,611
|
Appropriated
|
|
967,543
|
|
|
967,543
|
Accumulated other
comprehensive income, net of tax
|
|
59,794,859
|
|
|
5,154,671
|
Total Equity
|
|
638,334,747
|
|
|
390,232,387
|
|
|
|
|
|
|
TOTAL LIABILITIES
AND STOCKHOLDERS' EQUITY
|
$
|
2,699,813,698
|
|
$
|
3,042,345,352
|
KINGOLD JEWELRY,
INC.
CONSOLIDATED
STATEMENTS OF CASH FLOWS
(IN U.S.
DOLLARS)
|
|
|
For the years
ended December 31,
|
|
2018
|
|
2017
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
Net
income
|
$
|
49,546,714
|
|
$
|
26,192,652
|
Adjusted
to reconcile net income to cash provided by (used in) operating
activities:
|
|
|
|
|
|
Depreciation
|
|
1,715,490
|
|
|
1,637,750
|
Amortization of intangible assets
|
|
11,426
|
|
|
11,188
|
Share
based compensation for services
|
|
21,456
|
|
|
33,014
|
Amortization of debt issuance costs included in
interest expense
|
|
12,247,690
|
|
|
10,958,016
|
Deferred
tax (benefit) provision
|
|
4,764,174
|
|
|
(7,683,962)
|
Changes in operating
assets and liabilities
|
|
|
|
|
|
Accounts
receivable
|
|
286,534
|
|
|
(50,154)
|
Inventories
|
|
205,234,765
|
|
|
(7,279,205)
|
Other
current assets and prepaid expenses
|
|
7,900
|
|
|
620,730
|
Value
added tax recoverable
|
|
78,022,977
|
|
|
(60,195,642)
|
Other
payables and accrued expenses
|
|
(3,736,015)
|
|
|
4,143,958
|
Customer
deposits
|
|
(144,978)
|
|
|
185,434
|
Income
tax payable
|
|
17,585,797
|
|
|
4,718,786
|
Other
taxes payable
|
|
106,862
|
|
|
957,521
|
Net cash
provided by (used in) operating activities
|
|
365,670,792
|
|
|
(25,749,914)
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
Purchases of property and equipment
|
|
(145,507)
|
|
|
(1,241,172)
|
Investments in gold
|
|
-
|
|
|
(551,958,950)
|
Net cash
used in investing activities
|
|
(145,507)
|
|
|
(553,200,122)
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
Proceeds
from other loans - short term
|
|
214,833,064
|
|
|
170,341,868
|
Repayments of other loans - short term
|
|
(749,080,980)
|
|
|
(304,869,025)
|
Proceeds
from other loans - long term
|
|
423,197,255
|
|
|
319,668,492
|
Proceeds
from related parties loans – short term
|
|
-
|
|
|
295,989,344
|
Proceeds
from related parties loans – long term
|
|
545,924,459
|
|
|
821,370,431
|
Repayments of related parties loans
|
|
(791,834,472)
|
|
|
(748,170,175)
|
Payments
of loan origination fees
|
|
(11,959,140)
|
|
|
(9,572,415)
|
Repayment of third parties loans
|
|
-
|
|
|
(29,598,934)
|
(Repayments of) borrowings from related
party
|
|
1,346,835
|
|
|
(4,738,508)
|
Proceeds
from exercise of warrants
|
|
-
|
|
|
113,562
|
Net cash
(used in) provided by financing activities
|
|
(367,572,979)
|
|
|
510,534,640
|
EFFECT OF EXCHANGE
RATES ON CASH AND RESTRICTED CASH
|
|
(3,078,755)
|
|
|
4,662,170
|
NET INCREASE
(DECREASE) IN CASH AND RESTRICTED CASH
|
|
(5,126,449)
|
|
|
(63,753,226)
|
CASH AND
RESTRICTED CASH, BEGINNING OF YEAR
|
|
17,924,397
|
|
|
81,677,623
|
CASH AND
RESTRICTED, END OF YEAR
|
$
|
12,797,948
|
|
$
|
17,924,397
|
|
|
|
|
|
|
SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION
|
|
|
|
|
|
Cash paid for
interest expense
|
$
|
163,182,925
|
|
$
|
128,823,958
|
Cash paid for income
tax
|
$
|
10,262,316
|
|
$
|
13,091,812
|
|
|
|
|
|
|
NON-CASH INVESTING
AND FINANCING ACTIVITIES
|
|
|
|
|
|
Investments in gold
obtained in a lease from a related party
|
$
|
-
|
|
$
|
133,721,408
|
Investments in gold
transferred to inventories
|
$
|
769,308,629
|
|
$
|
417,937,474
|
Unrealized gain on
investments in gold
|
$
|
81,006,008
|
|
$
|
58,650,446
|
Forgiveness of debt
by shareholder allocated to capital contribution
|
$
|
143,894,002
|
|
$
|
-
|
View original
content:http://www.prnewswire.com/news-releases/kingold-jewelry-reports-financial-results-for-the-fourth-quarter-and-year-ended-december-31-2018-300823340.html
SOURCE Kingold Jewelry, Inc.