China Clean Energy (PINK:CCGY)

GeoProfile
Overview
GeoResearch
Message Board
Alerts Log
GeoWire Log
Third party data
Quote
Level II
Historical Prices
Options
Profile
Financials
Charts
News
Filings
Insiders

Do you represent this company?

Learn how we can help increase your exposure to investors.

All Research Acquisitions CFO Trail Comments & Business Outlook Corporate Governance Financial Target Agreements GeoSpecial Notes Liquidity Requirements Notable Share Transactions

Friday, April 23, 2010

On April 1, 2010 CCGY reported 2009 financial results.

December Yr.	Full Year 2009	Full Year 2008	Period Change
GAAP Revenue	$15.9 million	$18.1 million	-12.1%
GAAP EPS	($0.01)	$0.02	n/a
GEO Supplied Non-GAAP EPS ^a	$0.03	$0.05	-40.0%
Fully Diluted Shares	31,512,269	31,293,091	0.7%

December Qtr.	4th Quarter 2009	4th Quarter 2008	Period Change
GAAP Revenue	$4.85 million	$4.1 million	18.3%
GAAP EPS	$0.02	($0.02)	n/a
Company Supplied Non-GAAP EPS ^a	$0.01	-$0.01	n/a
Fully Diluted Shares	31,512,269	31,293,091	0.7%

^a Non-GAAP EPS Figures exclude certain non-operating gains and losses as well as certain non-cash items. Non-GAAP information should not be viewed in isolation or as a substitute for reported, or GAAP information . For a more complete explanation of the company's definition of non-GAAP please refer to its financial press releases. The GeoTeam® non-GAAP figures may, from time to time, differ from company supplied figures.The GeoTeam® non-GAAP figures apply a 25% and 36% tax rate for Chinese and United States companies respectively.

The company also provided details about bio-diesel and specialty production:

*Actual company projection for 2010 first quarter production
** Projected plant capacity for specified time period. Actual quarterly production figures not supplied for 2nd through 4th quarters.

			Run Rate Based on Capacity
	Price Per Ton***	Projected 1st Q Revenue	2nd Quarter 2010	Full Year 2010
Specialty Chemicals	$1338	$6.69 M	$26.8 M	$53.5 M
Bio-Diesel	$648	$2.59 M	$16.2 M	$32.4 M
GeoCalculated Total		$9.28 M	$43.0 M	$85.9 M
Company Guidance	n/a	$7.30 M	n/a	n/a

***As of end of 4th quarter 2009

Based on the above assumptions we feel CCGY has a chance to report sequentially higher tax adjusted EPS of $0.02 for its 2010 first quarter. At full capacity, using similar assumptions, CCGY seems capable of generating $43 million in revenues and tax adjusted EPS of $0.14, assuming no dilution (albeit far fetched assumption when dealing with China Hybrid stocks). These assumptions do not include possible margin expansion. Given these findings, investors may take CCGY shares to its book value per share of $1.01. In the long-term, we are not sure how Wall Street will value this low margin business.

Disclosure: GeoTeam Long CCGY

Permalink