ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On May 16, 2022, Sino Agro Food, Inc. (the "Company") issued a press release and
related data sheets regarding the Company's quarterly report and financial
results for its fiscal quarter ended 31st March 2022. A copy of the Company's
press release and related data sheets are attached hereto as Exhibit 99.1.
The information contained in this Current Report shall not be deemed "filed" for
purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), or incorporated by reference in any filing under the Securities
Act of 1933, as amended (the "Securities Act") or the Exchange Act, except as
shall be expressly set forth by specific reference in such a filing.
ITEM 7.01 REGULATION FD DISCLOSURE.
The Securities and Exchange Commission encourages registrants to disclose
forward-looking information so that investors can better understand the future
prospects of a registrant and make informed investment decisions. This Current
Report on Form 8-K and exhibits may contain these types of statements, which are
"forward -looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995, and which involve risks, uncertainties and
reflect the Registrant*s judgment as of the date of this Current Report on Form
8-K. Forward- looking statements may relate to, among other things, operating
results and are indicated by words or phrases such as "expects," "should,"
"will," and similar words or phrases. These statements are subject to inherent
uncertainties and risks that could cause actual results to differ materially
from those anticipated at the date of this Current Report on Form 8-K. Investors
are cautioned not to rely unduly on forward-looking statements when evaluating
the information presented within.
The information in this Current Report on Form 8-K furnished pursuant to Items
7.01 and 9.01 shall not be deemed "filed" for the purposes of Section 18 of the
Exchange Act, or otherwise subject to the liabilities of that Section. This
information shall not be incorporated by reference into any registration
statement pursuant to the Securities Act. The furnishing of the information in
this Current Report on Form 8-K is not intended to, and does not, constitute a
representation that such furnishing is required by Regulation FD or that the
information contained in this Current Report on Form 8-K constitutes material
investor information that is not otherwise publicly available.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS.
(a). Financial summary
Sino Agro Food is filing its 10Q1 2022 report
The Company is quoted on the OTC Pink Sheet filing a Form8K on its 10Q1 2022
quarterly report on May 16.
Summary of the financials are listed as follows:
(I). In the 12 months ended 31st March 2022, the Company's revenues and incomes
are generated from the following businesses activities:
1. Leasing of business activities
2. Investments in investees
Whereas
1. Consolidated revenues are generated from the leasing of following business
activities:
? The Organic fertilizer operation of HSA.
? Cattle farms operation of (MEIJI) & (JHMC)
? Plantation operation of (JHST)
1
2. Unconsolidated incomes are generated from the investments of following 2
investees:
? 45% equity holding in SJAP
? 36.6% equity holding in Tri-way
B. A summary of each business division and operations is described below:
(ii).Division (1) of leasing of operations:
? The Organic fertilizer operation of HSA.
The operation of Hunan Shenghua A Power Agriculture Co. Ltd. ("HSA") is in
manufacturing and sales of organic fertilizer. From 1st October 2019 the Company
contracted out its manufacturing and sales of organic fertilizer to its
operational management; as such income of HSA is derived mainly from said
leasing contract.
? The plantation operation of (JHST)
Plantation operation refers to the operations of Jiangmen City Heng Sheng Tai
Agriculture Development Co. Ltd. ("JHST") in the HU Plantation business where
dragon fruit flowers (dried and fresh), crops of vegetables and immortal
vegetables (dried) are being grown and sold to wholesale and retail markets.
JHST's financial statements are consolidated into the financial statements of
Macau EIJI Company Ltd. ("MEIJI") as one entity. From 1st October 2019 the
Company contracted out its plantation operation to its operational management;
as such income of JHST is derived mainly from said leasing contract.
? The cattle farms operation of (MEIJI) & (JHMC)
Cattle Farm Division refers to the operations of Cattle Farm 1 under Jiangmen
City Hang Mei Cattle Farm Development Co. Ltd ("JHMC") where cattle are being
grown, fatten and sold live to third party livestock wholesalers who sell them
mainly to Guangzhou and Beijing livestock wholesale markets. The financial
statements of JHMC are consolidated into MEIJI as one entity along with MEIJI's
operation in the consulting and service for development of other cattle farms
(e.g., Cattle Farm 2) or related projects. From 1st October 2019 the Company
contracted out its cattle operation to its operational management; as such
incomes of JHMC are derived mainly from said leasing contract.
The total leasing revenues and gross profits for fiscal year ended 31st March
2022 are $2,687,305 and $1,099,447 respectively representing 100% of the Group's
total consolidated revenue and gross profit comparing to fiscal year ended 31st
March 2021 revenue of $2,633,393 and gross profit of $1,077,390. The differences
of the two years revenues and gross profits are primarily due to the
appreciation of RMB averaging from 2021Q1's US$1 = RMB 6.48 to 2022Q's
US$1=RMB6.35.
Whereas the general expenses and costs of the leasing contracts are recorded in
others and miscellaneous expenses consisting cost items of maintenances,
replacements, security, legal, services, Government levies and taxes and the
group's corporate management of the leasing contracts etc.
(II)..Division (2) of investments in equity investees
? 45% equity holding in SJAP
SJAP became an investee of SIAF since 01102019 such that its financial is not
detailed in SIAF's consolidated financials but reported under investments in
investees.
The Company's Share of incomes from SJAP are $(32,609) and US$(1,255,421) for
the three months ended March 31, 2022and 2021 respectively.
36.6% equity holding in Tri-way
2
The Company's Share of incomes from Tri-way is $(2,824,015) and $(7,292,096) for
the three months ended March 31, 2022 and 2021 respectively.
For full financial details and related description and information please refer
to the 10Q1 2022 report reported within this 8K..
(b). Appointment of independent director
Mr. Lau Fuk Kwan has joined the Company's board of directors as an independent
direct or effective from 1st March 2022.
(c) Exhibits.
The following exhibits are furnished herewith:
Exhibit No.
99.1
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