Ghn Agrispan Holdings (GREY:GHNA)

The company reported fiscal 2010 second quarter revenue of $8.6 million, compared to approximately $5.6 million in the fiscal second quarter of 2009.* Gross profit for the same period rose to approximately $2.1 million compared to $1.1 million for the fiscal second quarter of 2009. Net income in the second quarter of 2010 was $1.7 million compared to net income of $1.0 million in 2009, resulting in an EPS of $0.04 for the second quarter of 2010.

For the six months ended June 30, 2010, revenue increased to $16.5 million, compared to $11.1 million for the six months ended June 30, 2009.* Net income increased to $3.0 million for the six months ended June 30, 2010, compared to net income of $2.1 million, for the same period in 2009, resulting in an EPS of $0.07 for the six months ended June 30, 2010.

“We are extremely proud of our financial results as we continue to improve our overall sales while simultaneously maintaining attractive gross margins upwards of 20%,” said Ms. Xu Yizhen, CEO of GHN Agrispan. “In many regards this has been a milestone period for the company. We become a U.S. listed public company earlier this year, we issued our 2010 annual guidance figures in late July, and we are continuing to deliver on our core business and revenue opportunities in the high-growth catering and agricultural products industries in China. As we continue to expand our facilities and solidify plans to open new agricultural plantation bases in China, we believe our second quarter results put us on track to meet our guidance figures by the end of the year.”

• FY 2010 projected revenue of $37 million (vs. revenue of $27 million FY 2009 on a pro forma basis*, or $11.0 million as previously reported), equating to a pro forma 37% year-over-year revenue increase.
  
• FY 2010 projected net income of $5.7 million (vs. $4.9 million FY 2009), equating to an approximate 16% year-over-year net income increase.
  
• EPS of approximately $0.14 based on 40.52 million basic shares outstanding. (vs. $0.12 in 2009).

"We remain unequivocal in our commitment to driving revenue and earnings growth,” said Ms. Xu Yizhen, CEO of GHN Agrispan. “Our proven business model, which focuses on the high-growth areas of China’s thriving agriculture, prepared foods, and catering industries are validated by our first quarter 2010 results during our historically slow period as well as current and forecasted top line and bottom line numbers. We believe our proactive business model will serve to drive revenues, earnings and, ultimately, shareholder value.”