Tanke Biosciences Corporation Reports Audited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2012
August 15, 2012 at 08:30 am EDT
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Tanke Biosciences Corporation reported audited consolidated earnings results for the second quarter and six months ended June 30, 2012. For the quarter, the company had revenue of $7,431,486, a 49% improvement on revenue of $4,989,843 in the second quarter of 2011. Operating income was $1,497,349, a 652% increase on operating income of $229,569 in the same quarter a year ago. The company's net income was $272,414, or $0.02 per share, compared to a net loss of $1,653,819, or $0.12 per share in last year's second quarter. Non-cash expenses on amortization of discount on notes and offering costs totaling $889,538 were charged against net income in the second quarter of 2012. The company's improved second quarter performance was primarily due to increased demand for the company's most popular product - organic trace mineral additives - whose sales increased by $2,573,246, or 65%, over the same quarter in 2011. Income before income taxes was $585,916 compared to loss before income taxes was $1,546,866 a year ago.
For the first six months, the company reported revenue of $11,971,928, a 10% gain on revenue of $10,931,313 in the first six months of 2011. Operating income was $1,985,857, compared to an operating loss of $485,383 in the comparable year-ago period. The 2011 period was impacted by a non-cash expense in the form of a stock issuance, valued at $2,490,098, remitted as payment for consulting fees related to going public. The company reported a net loss of $398,563, or $0.03 per share, compared with a net loss of $3,678,470, or $0.29 per share, in the first half of 2011. Non-cash expenses on amortization of discount on notes and offering costs totaling $1,779,075 were charged against net income in the first six months of 2012. Similar non-cash expenses totaled $2,756,589 for the same period in 2011. Income before income taxes was $585,916 compared to loss before income taxes was $31,635 compared to loss before income taxes was $3,358,162 a year ago.
Tanke BioSciences Corporation is an animal nutrition and feed additive provider in China, through Guangzhou Tanke Industry Co., Ltd. (Tanke). The Companyâs products include organic trace mineral additives, functional regulation additives, feed acidifiers, flavor enhancers and herbal medicinal additives. The Company operates in four segments: organic trace mineral additives, functional regulation additives, herbal medicinal additives and other. The Company conducts its business through its subsidiaries, principally its wholly owned subsidiary China Flying Development Limited (China Flying) and its wholly owned subsidiary Guangzhou Kanghui Agricultural Technology Co., Ltd. Its products address market categories within Chinaâs animal feed additive industry, including organic trace mineral additives, feed acidifiers, seasonings and flavor enhancers, and herbal medicinal additives.