This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

Global-Tech Advanced Innovations Reports First Quarter Results For Fiscal 2011

Mr. Sham concluded, “Absent a recovery in the United States markets, we expect operating margins in our home appliance business will continue to decline as costs continue to increase and volume continues to decrease. However, we expect continued growth in the electronic component and EMS businesses, which may or may not be sufficient to offset ongoing weaknesses in the appliance business in the short term.”

Global-Tech Advanced Innovations Inc. is a holding company, owning subsidiaries that manufacture and market a diversified portfolio of products and services, such as complementary metal oxide semiconductor (CMOS) camera modules (CCMs), floor care products, and electronic manufacturing services (EMS). The primary focus of its subsidiaries is to develop and market high-quality products and services for the communications industries within the China market, as well as markets in North America, Europe, and other countries throughout the world.

Except for historical information, certain statements contained herein are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," “should,” "estimates," or variations of such words and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are subject to risks and uncertainties, including but not limited to, the impact of competitive products and pricing, demand for new and existing products in our core business, the financial condition of the Company’s customers, product demand and market acceptance especially of our new products, the success of new product development especially in the area of cellular phone components and solutions, compact camera modules and other pending projects, reliance on material customers, suppliers and key strategic alliances, the terms and conditions of customer contracts and purchase orders, availability and cost of raw materials, the timely and proper execution of certain business plans, including the plan to diversify and transform a portion of manufacturing capacity to higher-value, technology-oriented products, currency fluctuations, including the revaluation of the Chinese Renminbi, the imposition by China’s trading partners of economic sanctions and/or protective tariffs on Chinese manufactured goods, uncertainties associated with investments, the regulatory environment, fluctuations in operating results, the impact of changing global, political and economic conditions and other risks detailed from time to time in the Company's filings with the U.S. Securities and Exchange Commission including its most recent Report on Form 20-F. The Company does not undertake to update its forward-looking information, or any other information contained or referenced in this press release to reflect future events or circumstances.

 

GLOBAL-TECH ADVANCED INNOVATIONS INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS(Amounts expressed in thousands of United States dollars except per share data)

 
Three Months Ended June 30,
2010   2009
(unaudited) (unaudited)
 
 
 
Net sales $ 25,823 $ 25,663
Cost of goods sold   (22,671 )   (21,300 )
Gross profit 3,152 4,363
Selling, general and administrative expenses (4,028 ) (3,214 )
Other operating income (loss), net   1,139     (53 )
Operating income 263 1,096
Interest expense (27 ) (6 )
Interest income 113 99

Other income (expenses), net

  608     (16 )
Income before income taxes 957 1,173
Provision for income taxes   (170 )   (13 )

Net income

$ 787   $ 1,160  
 
Basic earnings per common share $ 0.26   $ 0.38  
 
Basic weighted average number of shares outstanding   3,039     3,037  
 
Diluted earnings per common share $ 0.26   $ 0.38  
 
Diluted weighted average number of shares outstanding   3,039     3,037  
 
 

GLOBAL-TECH ADVANCED INNOVATIONS INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS(Amounts expressed in thousands of United States dollars)

 
 
June 30, 2010   March 31, 2010
(unaudited) (audited)
ASSETS
Current assets:
Cash and cash equivalents $ 14,197 $ 24,809
Time deposits 4,417 -
Restricted cash 15,184 4,398
Available-for-sale investments 15,899 15,990
Accounts and bills receivable, net 28,832 23,244
Inventories 8,844 9,410
Prepaid expenses 204 278
Deposits and other assets 2,806 1,915
Legal claims receivable 5,091 5,090
Amount due from a related party 29 28
Amount due from a jointly-controlled entity   14     22  
Total current assets 95,517 85,184
Interests in jointly-controlled entities - -
Property, plant and equipment, net 22,563 22,708
Land use rights, net 3,023 3,033
Deposits paid for purchase of property, plant and equipment 392 58
Deferred tax assets   104     104  
Total assets $ 121,599   $ 111,087  
 
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Short-term bank borrowings 7,030 -
Accounts payable 8,225 5,131
Bills payable 2,094 1,504
Discounted bills 1,499 3,364
Temporary receipts 1,416 965
Accrued salaries, allowances and other employee benefits 4,062 3,777
Accrual for loss contingencies 5,072 5,967
Other accrued liabilities 7,438 6,896
Income tax payable   5,516     5,709  
Total current liabilities 42,352 33,313
Deferred tax liabilities   38     38  
Total liabilities   42,390     33,351  

Shareholders' equity:

 

 

 

 

Common stock, par value $0.04 per share; 12,500,000 shares authorized; 3,228,564 shares issued and outstanding as of June 30 and March 31, 2010

129

129

Additional paid-in capital 84,746 84,280
Accumulated deficit (6,300 ) (7,088 )
Accumulated other comprehensive income 5,297 5,078
Less: Treasury stock, at cost, 189,587 shares as of June 30 and March 31, 2010   (4,663 )   (4,663 )
Total shareholders’ equity   79,209     77,736  
Total liabilities and shareholders' equity $ 121,599   $ 111,087  




2 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,827.75 +12.81 0.07%
S&P 500 2,072.83 +5.80 0.28%
NASDAQ 4,787.3170 +29.0650 0.61%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs