China Industrial Steel Inc. reported unaudited consolidated earnings results for the second quarter and six months ended June 30, 2013. For the quarter, total revenues increased 24% to $180.7 million from $145.6 million last year. Income from operations was $2.7 million against $3.5 million last year. Income from operation before income tax was $1.5 million against $2.2 million last year. Net income decreased 42%, to $1.1 million or $0.01 per basic and diluted share as compared to $1.8 million or $0.03 per basic and diluted share for the prior year. The increase in revenue was reflects the increase in the sale of steel wires which resulted from the company's new 600,000 ton steel wire production line which commenced production in January 2013. The decline in net income was primarily the result of an unparalleled decrease in unit selling price of steel products (15%) and unit purchase price of raw material (14%).

For the six months, total revenues were $369.1 million against $322.6 million last year. Income from operations was $6.3 million against $11.0 million last year. Income from operation before income tax was $3.6 million against $7.9 million last year. Net income was $2.4 million or $0.03 per basic and diluted share as compared to $6.6 million or $0.09 per basic and diluted share for the prior year.