NEW YORK (TheStreet) -- Shares of China Finance Online (JRJC) - Get China Finance Online Co., Ltd. Sponsored ADR Report were gaining 16% to $6.17 Tuesday after the Chinese Internet company announced its third quarter earnings report.
China Finance Online reported a new income of $1.06 million for the third quarter, up from $1.02 million in the year-ago quarter. Net revenue increased 61% year over year to $21.1 million for the quarter.
The company announced that revenue from financial services increased 92% from the year-ago quarter to $17.1 million. Gross profit grew 41% to $16 million for the quarter, representing a gross margin of 76%.
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"During the third quarter of 2014, we launched 'Zhengquantong (Securities Master)', a fully-integrated securities-trading platform that will be easily accessible through a highly-intuitive user interface via computers, smartphones, tablets and smart TVs," chairman and CEO Zhiwei Zhao said in a statement.
TheStreet Ratings team rates CHINA FINANCE ONLINE CO -ADR as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CHINA FINANCE ONLINE CO -ADR (JRJC) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we find that the company's return on equity has been disappointing."
You can view the full analysis from the report here: JRJC Ratings Report