China New Borun Corporation (NYSE: BORN)

China New Borun Corporation Continues to Post Strong Results

China New Borun Corporation (NYSE: BORN) is a leading producer and distributor of corn-based edible alcohol sold as an ingredient to producers of baijiu, a popular grain-based alcoholic beverage in China. The company’s shares 50 day moving average is around $1.51 per share and its 200 day moving average is $1.55 per share. Its market capitalization is around 37.04M. The company has a one year low of $1.05 per share and a one year high of $1.90 per share.

In the latest quarter, its revenue expanded by 25.0% year-over-year to RMB661.4 million ($104.0 million) from RMB529.2 million in similar time of last year. The expansion in revenue was for the most part owing to higher deals volume in palatable liquor and its by-items.

Operating income expanded by 50.5% to RMB50.7 million ($8.0 million) in the latest quarter, from RMB33.7 million in similar time of last year, essentially owing to higher gross benefit earned.

Mr. Jinmiao Wang, Chairman and Chief Executive Officer of Borun, remarked on the outcomes, ‘We are exceptionally satisfied with Borun’s solid second from last quarter 2015 budgetary results. Driven by recouping patterns in China’sbaijiu industry, our second from last quarter’s income grew 25%, and net pay almost tripled year-over-year. The solid benefits joined with a sharp decrease in stock filled record working money streams of RMB624 million, which about multiplied our money adjust to right around one billion RMB.’

Given that the final quarter is occasionally crest for baijiu utilization, we are sure to maintain our enhanced gainfulness and expect net benefits for entire year 2015 will fundamentally develop from that of a year back. Vitally, we are excited that in this final quarter’s new gather season, the spot costs for corn keep on decreasing, while the normal offering cost for consumable liquor stays stable. The mix of better industry essentials and our strong market position gives us with fantastic good faith to 2016.’