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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Lentuo International Inc. Announces Fourth Quarter And Fiscal Year 2010 Financial Results

Stocks in this article: LAS

About Lentuo International Inc.

Lentuo is the largest non-state-owned automobile retailer in Beijing, China as measured by new vehicle sales revenues in 2009, according to the China Automobile Dealers Association (“CADA”). Lentuo operates six franchise dealerships, ten automobile showrooms, one automobile repair shop and one car leasing company in Beijing, the largest new passenger vehicle market among all cities in China. Three of Lentuo’s six dealerships are among the leading dealerships in China for their respective brands, as measured by the volume of new vehicle sales by individual dealership.

Safe Harbor Statement

This press release contains forward-looking statements. These statements constitute “forward-looking” statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “target,” “going forward,” “outlook” and similar statements. Such statements are based upon management’s current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the Company’s control, which may cause the Company’s actual results, performance or achievements to differ materially from those in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.S. Securities and Exchange Commission. The Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.

LENTUO INTERNATIONAL INC.
     
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands of Renminbi (“RMB”) and U.S. dollar (“US$”), except for number of shares)
 
 
 
December 31,
2009 2010
RMB RMB US$
ASSETS
 
Current assets:
Cash and cash equivalents 72,082 806,304 122,167
Restricted cash 169,887 401,994 60,908

Accounts receivable (net of allowance for doubtfulaccounts

15,935 42,659 6,463
of nil as of December 31, 2009 and 2010)
Inventories, net 290,298 276,179 41,845
Advances to suppliers 251,632 395,266 59,889
Prepaid expenses and other current assets 17,932 53,743 8,143
Amounts due from related parties 308,085 - -
Deferred tax assets - 4,061 616
     
Total current assets 1,125,851 1,980,206 300,031
 
Non-current assets:
Property and equipment, net 267,696 223,285 33,831
Land use rights, net 9,142 5,806 880
Deferred initial public offering costs 3,635 - -
Deferred tax assets 465 860 130
     
Total non-current assets 280,938 229,951 34,841
 
TOTAL ASSETS 1,406,789 2,210,157 334,872
 
 
LENTUO INTERNATIONAL INC.
     
CONSOLIDATED BALANCE SHEETS (CONTINUED)
(Amounts in thousands of Renminbi (“RMB”) and U.S. dollar (“US$”), except for number of shares)
 
 
 
December 31,
2009 2010
RMB RMB US$
LIABILITIES AND SHAREHOLDERS’ EQUITY
 
Current liabilities:
Accounts payable 8,052 1,948 295
Bills payable 409,584 690,100 104,561
Advances from customers 25,821 90,652 13,735
Deposits from third parties 162,114 85,856 13,008
Accrued expenses and other current liabilities 92,553 202,727 30,716
Amounts due to related parties 1,229 13,553 2,053
Unrecognized tax benefits 49,525 4,963 752
Taxes payable 50,082 142,852 21,645
Short-term loans 325,460 241,053 36,523
     
Total current liabilities 1,124,420 1,473,704 223,288
 
Total liabilities 1,124,420 1,473,704 223,288
 
Commitments and Contingencies - - -
 
Shareholders’ equity:
Ordinary shares, par value US$0.00001 per share

Authorized – 500,000,000 shares as of December 31,2009 and 2010

1 4 1

Issued and outstanding – 39,908,389 and 58,937,912shares as of December 31, 2009 and 2010

Additional paid-in capital 53,973 469,761 71,176
Retained earnings 228,395 266,688 40,407
 
Total shareholders’ equity 282,369 736,453 111,584
 
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 1,406,789 2,210,157 334,872
 
 

LENTUO INTERNATIONAL INC.

     
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(Amounts in thousands of Renminbi (“RMB”) and U.S. dollar (“US$”), except for number of shares and per share data)
 

 

Three months ended December 31,

2009 2010
RMB RMB US$
Revenues:
Sales of automobiles 593,601 1,037,417 157,184
Automobile repair and maintenance services 54,588 61,856 9,372
Other services 1,972   5,725   868  
650,161   1,104,998   167,424  
 
Cost of goods sold:
Sales of automobiles (538,954 ) (971,582 ) (147,209 )
Automobile repair and maintenance services (28,792 ) (14,986 ) (2,271 )
Other services (64 ) (212 ) (32 )
(567,810 ) (986,780 ) (149,512 )
Gross profit 82,351   118,218   17,912  
Operating expenses:
Selling, marketing and distribution expenses (12,746 ) (20,770 ) (3,147 )
General and administrative expenses (10,447 ) (12,710 ) (1,926 )
Total operating expenses (23,193 ) (33,480 ) (5,073 )
Operating income 59,158 84,738 12,839
Interest income 87 717 109
Interest expenses (10,986 ) (17,814 ) (2,699 )
Exchange loss - (2,554 ) (387 )
Other income, net 800   2,158   327  
 
Income before income tax expenses 49,059 67,245 10,189
Income tax expenses (13,612 ) (18,274 ) (2,769 )
 
Income from continuing operations 35,447 48,971 7,420
Loss from discontinued operations, net of tax (521 ) -   -  
 
Net income attributable to ordinary shareholders and comprehensive income 34,926   48,971   7,420  
 
Weighted average ordinary shares outstanding: 39,908,389   48,622,695   48,622,695  
 
Basic and diluted earnings per share:
From continuing operations 0.89 1.01 0.15
From discontinued operations (0.01 ) - -
     
Net income attributable to ordinary shareholders 0.88   1.01   0.15  
 
 
LENTUO INTERNATIONAL INC.
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(Amounts in thousands of Renminbi (“RMB”) and U.S. dollar (“US$”), except for number of shares and per share data)
     

 

Years ended December 31,

2009 2010
RMB RMB US$
Revenues:
Sales of automobiles 2,131,403 3,075,045 465,916
Automobile repair and maintenance services 203,083 274,076 41,527
Other services 7,005   14,548   2,204  
2,341,491   3,363,669   509,647  
 
Cost of goods sold:
Sales of automobiles (1,975,497 ) (2,883,938 ) (436,960 )
Automobile repair and maintenance services (86,432 ) (110,487 ) (16,740 )
Other services (234 ) (1,177 ) (179 )
(2,062,163 ) (2,995,602 ) (453,879 )
Gross profit 279,328   368,067   55,768  
Operating expenses:
Selling, marketing and distribution expenses (38,774 ) (52,173 ) (7,905 )
General and administrative expenses (31,851 ) (37,824 ) (5,731 )
Total operating expenses (70,625 ) (89,997 ) (13,636 )
Operating income 208,703   278,070   42,132  
Interest income 2,392 1,102 167
Interest expenses (33,288 ) (53,832 ) (8,156 )
Exchange loss - (3,018 ) (457 )
Other income, net 1,394   2,144   321  
 
Income before income tax expenses 179,201 224,466 34,010
Income tax expenses (50,039 ) (63,093 ) (9,560 )
 
Income from continuing operations 129,162 161,373 24,450
Loss from discontinued operations, net of tax (433 ) -   -  
 

Net income attributable to ordinary shareholders andcomprehensive income

128,729   161,373   24,450  
 
Weighted average ordinary shares outstanding: 39,908,389   42,798,679   42,798,679  
Basic and diluted earnings per share:
From continuing operations 3.24 3.77 0.57
From discontinued operations (0.01 ) - -
     
Net income attributable to ordinary shareholders 3.23   3.77   0.57  
 




6 of 7

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 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

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