Agoracom Blog

China ACM (CADC:OTCBB) Q2 Profit Up 73% To $2.6 Million

Posted by AGORACOM at 11:07 AM on Thursday, February 19th, 2009

It is no secret that I am extremely bullish on Chinese Small-Cap stocks for the long run.  Quite simply, I love them for a few reasons.  On a macro level, China is unstoppable.  On a micro level, Chinese companies tend to run real businesses with real products, customers, revenues and profits.

As such, if you’re a successful Chinese small-cap company today, you have a good chance at being an incredibly big company tomorrow.  In the same breath, investors have an opportunity to grow and propsper from the rise of a new economic powerhouse.  An opportunity that only comes about every couple hundred years.  I want to be  a part of that and so should you.

One company investors should be considering is AGORACOM client, China Advanced Construction Materials.  If you assume I am horribly conflicted (which you should) then let the latest Q2 numbers speak for themselves.

A little background info first.  80% of China ACM revenues are directly derived from major state-owned construction companies.  China ACM is a producer of advanced construction materials for large scale commercial, residential, and infrastructure developments. The company is primarily focused on producing and supplying a wide range of advanced ready-mix concrete materials for highly technical, large scale, and environmental construction projects

Financial Highlights for Q2 Ended December 31, 2008

  • Revenue increased 52% to $10.8 million, up from $7.1 million in the corresponding period in 2007.
  • Gross profit increased by 169% to $4.0 million, compared with gross profit of $1.5 million for the same period in 2007.
  • Net income increased 73% to $2.6 million, as compared to a $1.5 million for the same period in 2007.  This translates into 19 cents per share.
  • Company guidance is for full year Net Income of $9 million.

Read Full Press Release

Go To China ACM IR HUB


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