Attached files
| file | filename |
|---|---|
| 8-K - CURRENT REPORT - TIANYIN PHARMACEUTICAL CO., INC. | f8k092812_tianyin.htm |
| EX-99.2 - SCRIPT OF CONFERENCE CALL ON SEPTEMBER 28, 2012 - TIANYIN PHARMACEUTICAL CO., INC. | f8k092812ex99ii_tianyin.htm |
Exhibit 99.1
TPI Reports Fiscal Year 2012 Financial Results
CHENGDU, China, September 28, 2012
Tianyin Pharmaceutical Inc. (NYSE Amex: TPI), a pharmaceutical company that specializes in the patented biopharmaceutical, modernized traditional Chinese medicine (mTCM), branded generics and active pharmaceutical ingredients (API) announced financial results for the fiscal year 2012.
Fiscal Year 2012 Ended June 30, 2012 Financial Highlights:
|
●
|
FY2012 revenue delivered $69.6 million compared with $95.2 million in FY2011;
|
|
●
|
Operating income delivered $8.5 million, compared with $18.1 million in FY2011;
|
|
●
|
Net Income was $6.4 million compared with $15.7 million in FY2011;
|
|
●
|
Earnings per share of $0.22 per basic share, and $0.22 per diluted share, compared with $0.55 per basic share, or $0.53 per diluted share in FY2011;
|
|
●
|
Cash and cash equivalents totaled $35.2 million on June 30, 2012; Operating cash flow for the fiscal year ended June 30, 2012 was $8.0 million, compared with $14.2 million for the fiscal year ended June 30, 2011.
|
Comparison of results for the fiscal years ended June 30, 2012 and 2011:
|
Fiscal Years
EndedJune30,
|
||||||||
|
2012
|
2011
|
|||||||
|
(In millions)
|
||||||||
|
Sales
|
$
|
69.6
|
$
|
95.2
|
||||
|
Cost of sales
|
$
|
45.3
|
$
|
52.7
|
||||
|
Gross profit
|
$
|
24.3
|
$
|
42.5
|
||||
|
Total operating expenses
|
$
|
15.8
|
$
|
24.4
|
||||
|
Provision for income taxes
|
$
|
2.4
|
$
|
4.1
|
||||
|
Net income
|
$
|
6.4
|
$
|
15.7*
|
||||
* Net income includes a $1.6 million non-cash gain due to the change in the fair value of our warrants liability.
Sales for the fiscal year ended June 30, 2012 was $69.6 million, decreased 26.9% from $95.2 million for the fiscal year ended June 30, 2011, due to generic pricing pressure under the ongoing healthcare reform. We witnessed a 17% reduction of TPI's organic portfolio revenue from $63.9 million for the fiscal year 2011 to $53.0 million for the fiscal year 2012. Our core five products by sales are: Ginkgo Mihuan Oral Liquid (GMOL): $17.1 million; Apu Shuangxin Granules (APU): $2.7 million; Xuelian Chongcao (XLCC): $2.2 million; Azithromycin Dispersible Tablets (AZI): $3.0 million; Qingre Jiedu Oral Liquid (QRE): $3.5 million. The core product portfolio totaled $28.5 million or 53.8% of the organic portfolio revenue.
Gross profit for fiscal year ended June 30, 2012 was approximately $24.3 million with 35.0% gross margins compared with $42.5 million with 44.6% gross margin for fiscal year ended June 30, 2011. The decrease in gross margins was attributable to: 1) wide generic pricing pressure by competition and health reform restrictive pricing policies, and 2) government initiative to prioritize the Essential Drug List (EDL) drug sales that simultaneously reduce and negatively impact the sales and margins of our generic pharmaceuticals. During the fiscal year 2012, our organic product portfolio delivered approximately 45.0% gross margins, about 7% lower than 52.0% in fiscal year 2011. Provided the blend of the TMT distribution revenue and gross margin reduction associated with our proprietary portfolio as the current pricing trend continues, we anticipate our overall gross margin in the near term to stabilize around 35% for the fiscal year 2013, depending upon the revenue mix of TMT distribution, JCM macrolide API revenue and our proprietary portfolio's revenue performance.
1
Operating and R&D Expenses were $15.8 million in fiscal year ended June 30, 2012, compared with $24.4 million in fiscal year ended June 30, 2011. The decrease is in line with the decrease of the revenue as a result of sales and margin decrease under the current market environment. We expect the operating and R&D expense percentage to stabilize between 20 - 25% of the revenue for the coming year.
Net income was $6.4 million in fiscal year ended June 30, 2012, compared with $15.6 million in fiscal year ended June 30, 2011. The decrease was caused by revenue decrease and margin compression due to the ongoing healthcare reform that restricts both the sale and the pricing of pharmaceutical products particularly generics.
Diluted earnings per share for the year ended June 30, 2012 were $0.22 based on 29.3 million shares, compared with the earnings of $0.53 per diluted share for the year ended June 30, 2011, based on 29.8 million shares.
Balance Sheet and Cash Flow
As of June 30, 2012, we had cash and cash equivalents of $35.2 million. Net cash generated from operating activities was $8.0 million for the year ended June 30, 2012, compared with $14.2 million operating cash flow for the year ended June 30, 2011. We believe that TPI is adequately funded to meet all of the working capital and capital expenditure needs for fiscal 2013.
Business Development & Outlook
R&Dforadditional indications of flagship productGingko Mihuan(GMOL)
Our flagship product Gingko Mihuan Oral Liquid (GMOL, SFDA certification number: H20013079; patent number: 20061007800225) contributes close to 25% of our total revenue. Clinical application and information gathered from our physicians showed that in addition to our approved indication for the usage of GMOL: cardiovascular disorders, coronary heart disease and cerebral ischemic attack including strokes. Off-label use of GMOL has been indicated in hepatic diseases and ophthalmological diseases. The validity and mechanisms of these observations are being investigated in a number of hospitals.
Under the ongoing healthcare reform policy that favors the sale of EDL drugs in China, the national or provincial EDL listing could substantially support the market development of these products. Recently, GMOL has been selected as an EDL drug in Henan province, Shandong province and City of Chongqing’s (with a combined population of approximately 230 million) EDL provincial supplementary lists. The EDL status grants a full insurance coverage or 100% government reimbursement for patients.
Jiangchuan Macrolide Project (JCM)
After the completion of 240-ton JCM facility for the R&D and manufacturing of API and chemical intermediates of macrolide antibiotics, JCM was approved for its GMP certification designated as "CHUAN M0799," which is valid for the period of December 31, 2011 until December 31, 2015. The JCM underwent efficiency improvement and calibration for large scale production for the initial six months of testing operation. Under the current volatile macrolide API pricing environment, we are cautious in ramping up the production of JCM. We target the revenue contribution from JCM approximately $20 million for next 12 months. TPI will utilize about 40% of the Azithromycin raw material manufactured from JCM.
2
Pre-extraction and formulation plant development at Qionglai Facility (QLF)
TPI has initiated the process of optimizing the manufacturing facilities and production lines in compliance with the new GMP standards by calendar year 2013. Concurrently, the city of Chengdu has re-designated various industrial parks for particular industries such as automobile, biotechnologies, pharmaceuticals and chemical engineering. As a consequence, TPI's current manufacturing facility at the Longquan district, east of Chengdu, which is designated for use by the automotive industry, is scheduled to be relocated to Qionglai city, south of Chengdu, designated for the pharmaceutical industry. The Qionglai facility (QLF) is approximately 18 miles from the Company's JCM facility. The proposed relocation project also includes our TCM pre-extraction plant, which is located near the center of city of Chengdu, a rapidly expanding residential area.
The QLF is estimated to be 80 mu or approximately 13 acres. Both pre-extraction plant and the formulation plant are to be relocated. The combined QLF plant, designed and constructed according to the latest GMP standards, is expected to relieve the current capacity saturation at TPI's facilities. The re-location and construction cost is estimated at $25 million for Phase I which, when completed in early 2013 expectedly, will expand the current capacity by 30%. For Phase II of the QLF project, an additional $10 million may be invested to further expand the capacity according to the demand of production.
Since the beginning of the QLF relocation project in early February, the relocation project has been on schedule as of September 2012. Our pre-extraction plant will be relocated during Phase I of the QLF project.
Fiscal Year 2013 Financial Guidance
We have met and exceeded the $66.0 million fiscal year 2012 revenue forecast. The net income for fiscal year 2012 is $6.4 million which is slightly below our forecast net income of $6.5 million. The forecasted net income excludes any non-cash expenses associated with stock compensation plans or stock option expenses.
We believe the following factors will influence the future growth perspectives of our Company:
|
1.
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Market expansion and revenue growth of TPI's core product portfolio led by flagship product GMOL and other major products;
|
|
2.
|
Ramp up of JCM revenue in the fiscal year 2013;
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|
3.
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The gradual stabilization of generic sales following the progressive pricing restrictions caused by the ongoing healthcare reform;
|
|
4.
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Steady TMT distribution revenue contribution; and
|
|
5.
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QLF relocation and smooth transition of production capacity
|
Our market analysis leads us to believe that the generic pricing pressure is likely to continue, but the JCM along with the TMT distribution revenue are expected to offset the generic sales decrease and support the revenue growth of the Company at the percentage about 10 - 15% for the coming year. We forecast the fiscal 2013 revenue between $75 to $80 million and a net margin around 10%.
3
Management will continue to evaluate the Company's business outlook and communicate any changes on a quarterly basis or as when appropriate.
Conference Call
Senior management of TPI will host its earnings conference call for the fiscal year 2012 ending June 30, 2012 to be held at 9:00 a.m. ET on Friday, September 28, 2012. Interested parties may access the call by dialing +1-877-941-1427 (U.S.) or 1-480-629-9664 (International). The conference ID is 4563388. It is advisable to dial in approximately 5 minutes prior to the start of the call.
A replay will be available by calling +1-877-870-5176 (US), +1-858-384-5517 (International) from 9/28/2012 at 12:00 noon ET till 10/12/2012 at 11:59 pm ET, Replay Pin Number: 4563388
This call is being web cast by ViaVid Broadcasting and can be accessed at ViaVid's website at the following link: http://public.viavid.com/index.php?id=101705
About TPI
Headquartered at Chengdu, China, TPI is a pharmaceutical company that specializes in the development, manufacturing, marketing and sales of patented biopharmaceutical, modernized traditional Chinese medicines, branded generics and other pharmaceuticals. TPI currently manufactures a comprehensive portfolio of 58 products, 24 of which are listed in the highly selective national medicine reimbursement list, 7 are included in the essential drug list of China. TPI's pipeline targets various high incidence healthcare indications.
For more information about TPI, please visit: http://www.tianyinpharma.com.
Safe Harbor Statement
The Statements which are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties including but not limited to risks associated with the uncertainty of future financial results, additional financing requirements, development of new products, government approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties detailed in the Company's filings with the Securities and Exchange Commission.
For more information, please contact:
Investors Contact: ir@tpi.asia
Web: http://www.tianyinpharma.com
Tel: +86-28-8551-6696 (Chengdu, China)
+86 134-36-550011 (China)
Address: 23rd Floor Unionsun Yangkuo Plaza
No. 2, Block 3, South Renmin Road
4
Consolidated Balance Sheets
|
June 30,
|
June 30,
|
|||||||
|
2012
|
2011
|
|||||||
|
Assets
|
||||||||
|
Current assets:
|
||||||||
|
Cash and cash equivalents
|
$ | 35,152,295 | $ | 31,724,906 | ||||
|
Restricted cash
|
3,534,550 | - | ||||||
|
Accounts receivable, net of allowance for doubtful accounts of $113,862
|
||||||||
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and $510,903 at June 30, 2012 and 2011, respectively
|
11,272,367 | 9,036,030 | ||||||
|
Inventory
|
5,863,013 | 4,932,353 | ||||||
|
Advance payments
|
642,075 | 1,639,820 | ||||||
|
Other current assets
|
436,664 | 62,951 | ||||||
|
Total current assets
|
56,900,964 | 47,396,060 | ||||||
|
Property and equipment, net
|
26,458,349 | 27,465,915 | ||||||
|
Intangibles, net
|
20,958,226 | 15,339,194 | ||||||
|
Total assets
|
$ | 104,317,539 | $ | 90,201,169 | ||||
|
Liabilities
|
||||||||
|
Current liabilities:
|
||||||||
|
Accounts payable and accrued expenses
|
$ | 1,586,151 | $ | 2,063,792 | ||||
|
Accounts payable – construction related
|
740,832 | 1,824,067 | ||||||
|
Short-term bank loans
|
6,023,000 | 2,784,600 | ||||||
|
Trade notes payable
|
4,675,750 | - | ||||||
|
VAT tax payable
|
396,555 | 674,974 | ||||||
|
Income tax payable
|
804,595 | 930,418 | ||||||
|
Other taxes payable
|
104,227 | 124,154 | ||||||
|
Other current liabilities
|
466,982 | 519,602 | ||||||
|
Total current liabilities
|
14,798,092 | 8,921,607 | ||||||
|
Total liabilities
|
14,798,092 | 8,921,607 | ||||||
|
Equity
|
||||||||
|
Stockholders’ equity:
|
||||||||
|
Common stock, $0.001 par value, 50,000,000 shares authorized,
|
29,446 | 29,396 | ||||||
|
29,332,791 and 29,312,491 shares issued and outstanding at June 30, 2012 and 2011
|
||||||||
|
Additional paid-in capital
|
30,104,902 | 30,065,452 | ||||||
|
Treasury stock
|
(135,925 | ) | (111,587 | ) | ||||
|
Statutory reserve
|
6,120,143 | 5,409,764 | ||||||
|
Retained earnings
|
45,022,329 | 39,374,018 | ||||||
|
Accumulated other comprehensive income
|
8,100,526 | 6,077,299 | ||||||
|
Total stockholders’ equity
|
89,241,421 | 80,844,342 | ||||||
|
Noncontrolling interest
|
278,026 | 435,220 | ||||||
|
Total equity
|
89,519,447 | 81,279,562 | ||||||
|
Total liabilities and equity
|
$ | 104,317,539 | $ | 90,201,169 | ||||
5
Consolidated Statements of Operations
|
For the Years Ended June 30,
|
||||||||
|
2012
|
2011
|
|||||||
|
Sales
|
$ | 69,605,758 | $ | 95,200,928 | ||||
|
Cost of sales
|
45,274,326 | 52,698,030 | ||||||
|
Gross profit
|
24,331,432 | 42,502,898 | ||||||
|
Operating expenses
|
||||||||
|
Selling expenses
|
10,672,817 | 17,711,034 | ||||||
|
General and administrative expenses
|
4,255,528 | 5,645,481 | ||||||
|
Research and development
|
860,081 | 1,072,519 | ||||||
|
Total operating expenses
|
15,788,426 | 24,429,034 | ||||||
|
Income from operations
|
8,543,006 | 18,073,864 | ||||||
|
Other income (expenses):
|
||||||||
|
Interest income
|
209,037 | 132,766 | ||||||
|
Interest expense
|
(331,334 | ) | (119,507 | ) | ||||
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Other income
|
189,268 | - | ||||||
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Change in fair value of warrant liability
|
- | 1,627,551 | ||||||
|
Total other income
|
66,971 | 1,640,810 | ||||||
|
Income before provision for income taxes
|
8,609,977 | 19,714,674 | ||||||
|
Provision for income taxes
|
2,368,059 | 4,091,905 | ||||||
|
Net income
|
6,241,918 | 15,622,769 | ||||||
|
Less: Net income attributable to noncontrolling interest
|
(116,772 | ) | (40,243 | ) | ||||
|
Net income attributable to Tianyin Pharmaceutical Co., Inc.
|
6,358,690 | 15,663,012 | ||||||
|
Basic earnings per share
|
$ | 0.22 | $ | 0.55 | ||||
|
Diluted earnings per share
|
$ | 0.22 | $ | 0.53 | ||||
|
Weighted average number of common shares outstanding:
|
||||||||
|
Basic
|
29,308,442 | 28,403,761 | ||||||
|
Diluted
|
29,308,442 | 29,743,174 | ||||||
6
Consolidated Statements of Comprehensive Income
|
For the Years Ended June 30,
|
||||||||
|
2012
|
2011
|
|||||||
|
Net income
|
$ | 6,241,918 | $ | 15,622,769 | ||||
|
Other comprehensive income
|
||||||||
|
Foreign currency translation adjustment
|
2,065,066 | 3,254,059 | ||||||
|
Total other comprehensive income
|
2,065,066 | 3,254,059 | ||||||
|
Total Comprehensive income
|
8,306,984 | 18,876,828 | ||||||
|
Less: Comprehensive income attributable to the noncontrolling interest
|
(74,933 | ) | (18,407 | ) | ||||
|
|
||||||||
|
Comprehensive income attributable to
|
||||||||
|
Tianyin Pharmaceutical Co., Inc.
|
$ | 8,381,917 | $ | 18,895,235 | ||||
7
Consolidated Statements of Changes in Equity
|
Series A
|
|
Accumulated
|
|
|||||||||||||||||||||||||||||||||||
|
Common Stock
|
|
Preferred Stock
|
Additional
|
|
|
other
|
Total
|
|
|
|||||||||||||||||||||||||||||
| Par | Treasury | Par |
Paid in
|
Statutory
|
Retained
|
Comprehensive
|
Stockholders’
|
Noncontrolling
|
Total
|
|||||||||||||||||||||||||||||
|
Number
|
Value
|
Stock
|
Number
|
Value
|
Capital
|
Reserve
|
Earnings
|
Income
|
Equity
|
Interest
|
Equity
|
|||||||||||||||||||||||||||
|
Balance at June 30, 2010
|
27,242,742 | $ | 27,326 | $ | (111,587 | ) | 1,360,250 | $ | 1,360 | $ | 25,046,388 | $ | 3,732,883 | $ | 25,530,906 | $ | 2,845,076 | $ | 57,072,352 | $ | 453,627 | $ | 57,525,979 | |||||||||||||||
|
Net income
|
- | - | - | - | - | - | - | 15,663,012 | - | 15,663,012 | (40,243 | ) | 15,622,769 | |||||||||||||||||||||||||
|
Other comprehensive income:
|
||||||||||||||||||||||||||||||||||||||
|
Foreign currency translation adjustment
|
- | - | - | - | - | - | - | - | 3,232,223 | 3,232,223 | 21,836 | 3,254,059 | ||||||||||||||||||||||||||
|
Comprehensive income
|
- | - | - | - | - | - | - | - | - | 18,895,235 | (18,407 | ) | 18,876,828 | |||||||||||||||||||||||||
|
Cumulative effect of warrants liability
|
- | - | - | - | - | 3,106,321 | - | - | - | 3,106,321 | - | 3,106,321 | ||||||||||||||||||||||||||
|
Common shares issued
|
709,499 | 710 | - | - | - | 1,412,460 | - | - | - | 1,413,170 | - | 1,413,170 | ||||||||||||||||||||||||||
|
Series A conversion
|
1,360,250 | 1,360 | - | (1,360,250 | ) | (1,360 | ) | - | - | - | - | - | - | - | ||||||||||||||||||||||||
|
Service provider options/warrants
|
- | - | - | - | - | 500,283 | - | - | - | 500,283 | - | 500,283 | ||||||||||||||||||||||||||
|
Statutory reserve
|
- | - | - | - | - | - | 1,676,881 | (1,676,881 | ) | - | - | - | - | |||||||||||||||||||||||||
|
Dividends declared and paid
|
- | - | - | - | - | - | - | (143,019 | ) | - | (143,019 | ) | - | (143,019 | ) | |||||||||||||||||||||||
|
Balance at June 30, 2011
|
29,312,491 | $ | 29,396 | $ | (111,587 | ) | - | $ | - | $ | 30,065,452 | $ | 5,409,764 | $ | 39,374,018 | $ | 6,077,299 | $ | 80,844,342 | $ | 435,220 | $ | 81,279,562 | |||||||||||||||
|
Net income
|
- | - | - | - | - | - | - | 6,358,690 | - | 6,358,690 | (116,772 | ) | 6,241,918 | |||||||||||||||||||||||||
|
Other comprehensive income:
|
||||||||||||||||||||||||||||||||||||||
|
Foreign currency translation adjustment
|
- | - | - | - | - | - | - | - | 2,023,227 | 2,023,227 | 41,839 | 2,065,066 | ||||||||||||||||||||||||||
|
Comprehensive income
|
- | - | - | - | - | - | - | - | - | 8,381,917 | (74,933 | ) | 8,306,984 | |||||||||||||||||||||||||
|
Cumulative effect of warrants liability
|
- | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||
|
Common shares issued
|
50,000 | 50 | - | - | - | 39,450 | - | - | - | 39,500 | - | 39,500 | ||||||||||||||||||||||||||
|
Treasury stock
|
(29,700 | ) | - | (24,338 | ) | - | - | - | - | - | - | (24,338 | ) | - | (24,338 | ) | ||||||||||||||||||||||
|
Contribution from noncontrolling interest for
|
||||||||||||||||||||||||||||||||||||||
|
Jiangchuan Pharmaceutical Co., Ltd.
|
- | - | - | - | - | - | - | - | - | - | 252,352 | 252,352 | ||||||||||||||||||||||||||
|
Purchase of subsidiary shares from noncontroll interest
|
- | - | - | - | - | - | - | - | - | - | (334,613 | ) | (334,613 | ) | ||||||||||||||||||||||||
|
Statutory reserve
|
- | - | - | - | - | - | 710,379 | (710,379 | ) | - | - | - | - | |||||||||||||||||||||||||
|
Balance at June 30, 2012
|
29,332,791 | $ | 29,446 | $ | (135,925 | ) | - | $ | - | $ | 30,104,902 | $ | 6,120,143 | $ | 45,022,329 | $ | 8,100,526 | $ | 89,241,421 | $ | 278,026 | $ | 89,519,447 | |||||||||||||||
8
Consolidated Statements of Cash Flows
|
For the Years Ended June 30,
|
||||||||
|
2012
|
2011
|
|||||||
|
Cash flows from operating activities:
|
||||||||
|
Net Income
|
$ | 6,241,918 | $ | 15,622,769 | ||||
|
Adjustments to reconcile net income to net cash
|
||||||||
|
provided by (used in) operating activities:
|
||||||||
|
Depreciation and amortization
|
1,215,233 | 1,187,770 | ||||||
|
Change in fair value of warrant liability
|
- | (1,627,551 | ) | |||||
|
Provision for bad debts
|
15,968 | 67,081 | ||||||
|
Share-based payments
|
39,500 | 1,913,453 | ||||||
|
Changes in current assets and current liabilities:
|
||||||||
|
Accounts receivable
|
(2,006,964 | ) | (496,491 | ) | ||||
|
Inventory
|
(805,520 | ) | (1,136,316 | ) | ||||
|
Advance payments
|
1,032,919 | (1,208,960 | ) | |||||
|
Other current assets
|
(384,778 | ) | 15,616 | |||||
|
Accounts payable and accrued expenses
|
(398,896 | ) | 269,732 | |||||
|
Accounts payable – construction related
|
(1,122,489 | ) | (525,314 | ) | ||||
|
Trade notes payable
|
4,652,740 | - | ||||||
|
VAT tax payable
|
(293,547 | ) | (43,643 | ) | ||||
|
Income tax payable
|
(147,945 | ) | 24,928 | |||||
|
Other taxes payable
|
(22,863 | ) | 128,822 | |||||
|
Dividends payable
|
- | (72,995 | ) | |||||
|
Other current liabilities
|
(65,062 | ) | 67,315 | |||||
|
Total adjustments
|
1,708,296 | (1,436,553 | ) | |||||
|
Net cash provided by operating activities
|
7,950,214 | 14,186,216 | ||||||
|
Cash flows from investing activities:
|
||||||||
|
Addition to property and equipment
|
(555,731 | ) | (12,017,975 | ) | ||||
|
Proceeds from disposal of fixed assets
|
545,374 | - | ||||||
|
Additions to intangible assets – approved drugs
|
(772,828 | ) | - | |||||
|
Additions to intangible assets–land use right
|
(3,974,544 | ) | - | |||||
|
Loans receivable
|
- | 302,240 | ||||||
|
Payment to minority interest for ownership acquisition- of JCM
|
(334,613 | ) | - | |||||
|
Net cash used in investing activities
|
(5,092,342 | ) | (11,715,735 | ) | ||||
|
Cash flows from financing activities:
|
||||||||
|
Restricted cash
|
(3,517,156 | ) | - | |||||
|
Proceeds from short-term bank loans
|
3,154,400 | 1,208,960 | ||||||
|
Repayments of short-term bank loans
|
- | - | ||||||
|
Treasury stock
|
(24,338 | ) | - | |||||
|
Capital contribution from minority shareholder of JCM
|
252,352 | - | ||||||
|
Dividends declared and paid
|
- | (143,019 | ) | |||||
|
Net cash provided by (used in) financing activities
|
(134,742 | ) | 1,065,941 | |||||
|
Effect of foreign currency translation on cash
|
704,259 | 1,179,418 | ||||||
|
Net increase in cash and cash equivalents
|
3,427,389 | 4,715,840 | ||||||
|
Cash and cash equivalents – beginning
|
31,724,906 | 27,009,066 | ||||||
|
Cash and cash equivalents – ending
|
$ | 35,152,295 | $ | 31,724,906 | ||||
|
Supplemental schedule of non cash activities
|
||||||||
|
Effect of warrants liability on additional paid-in capital
|
$ | - | $ | 3,106,321 | ||||
|
Exchange of construction in progress to intangible assets
|
$ | 1,171,928 | $ | - | ||||
9