Armco Metals Holdings Inc. reported consolidated earnings results for fourth quarter and year ended December 31, 2014. For the quarter, the company's net revenue decreased 26% to $49.2 million due to a significant decrease in sales in the company's trading business which totaled $9.0 million as compared to $41.1 million in the same period in 2013, largely due to price decline and weak demand for metal ore. The company recorded operating income of $2.9 million in the fourth quarter of 2014 as compared to operating income of $0.4 million in the fourth quarter of 2013. The company's operations resulted in a net income of $1.4 million or $0.29 per diluted share in the fourth quarter of 2014 compared to net loss of $0.4 million in the fourth quarter of 2013, or $0.10 per diluted share.

For the year, the company's net revenues were $124.2 million, a 3.5% decrease from $128.7 million in 2013. Net income was $1.9 million, compared to net loss of $4.1 million in 2013. The significant improvement in profit is primarily due to the substantial increase in gross profit to $14.5 million with gross margin of 12% in 2014 from $3.3 million with a gross margin of 3% in 2013, partially offset by a $0.1 million increase in total operating expenses, and a $2.9 million increase in total other expenses. Income from operations was $8,498,665 against loss from operations of $2,616,228 a year ago. Profit before income tax provision was $4,552,425 against loss $3,709,827 a year ago. Net income was $1,866,661 against net loss of $4,131,412 a year ago. Basic and diluted net earnings per common share was $0.39 against basic and diluted loss per share of $1.66 a year ago. Net cash provided by operating activities was $549,785 against net cash used in operating activities of $9,520,380 a year ago. Purchase of property, plant and equipment was $341 against $167,962 a year ago.