For the fourth quarter ended Dec. 31, 2013, the company reported a 195% year-over-year increase in net income to $5.6 million, or 15 cents per basic share and 14 cents per diluted share, from $1.9 million, or 5 cents per basic and diluted share. Revenue increased 36.5% year over year to $30.1 million, while gross profit increased 117% year over year to $9.1 million.
Gross margin widened year over year to 30.4% from 19.1%. Income from operations rose 186% year over year to $7.6 million from $2.6 million, while operating margin increased year over year to 25.1% from 12%.
For the full year, net income rose 40% year over year to $21 million, or 55 cents per basic share and 54 cents per diluted share, from $15 million, or 43 cents per basic and diluted share. Revenue increased 16% year over year to $118.4 million. Gross profit increased 21% to $34.2 million, while gross margin widened slightly to 29% from 28%. Cash totaled $107.8 million as of Dec. 31, 2013.
TheStreet Ratings team rates GULF RESOURCES INC as a "hold" with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate GULF RESOURCES INC (GURE) 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 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 growth in the company's earnings per share has not been good."