|By Marketwired .||
|September 3, 2013 02:31 PM EDT||
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 09/03/13 -- China Keli Electric Co., Ltd. (TSX VENTURE:ZKL) ("Keli" or the "Company") today announced the financial and operating results for the year ended April 30, 2013.
For the year ended April 30, 2013 ("FY2013"), total revenue was $17,288,016, a 14.7% increase over FY2012 ($15,066,561). The Company successfully developed its installation services business, and recorded $3,166,566 of installation revenue, compared with $276,786 in FY2012. Gross profit in FY2013 was $5,948,045, an increase of 4.0% over FY2012 ($5,718,834). The Company carefully managed its operating expenses, which increased slightly from FY2012 ($5,156,215 in FY2013 compared to $5,123,582 in FY2012). As a result, the Company's net profit was $440,487 in FY2013, an increase of 28.2% compared with $343,693 in FY2012. Basic and diluted earnings per share ("EPS") were $0.005 compared with $0.004 in FY2012. The increased net profit and EPS were due primarily to increased revenue and continuing control of G&A expenses. After accounting for an unrealized foreign exchange translation gain of $634,266, the Company reported total comprehensive income of $1,074,753 in FY2013, compared with a total comprehensive income of $1,290,619 in FY2012. The Company's unrealized foreign exchange income on translation of the Company's functional currency to its reporting currency is subject to fluctuations in the exchange rate between the RMB and the Canadian dollar in each reporting period.
"Given the continuing challenges facing the global economy and the slowdown in China's GDP, we are pleased to report improvement in our financial performance," said Lou Meng Cheong, Keli's CEO, "This reflects our robust business strategies, and our attention to discipline in our business operations."
As of April 30, 2013, the Company had total cash and cash equivalents of $1,186,364 compared with $1,486,664 as of April 30, 2012. Accounts receivable were $9,791,864 as at April 30, 2013, a decrease from $10,609,440 as at April 30, 2012. The Company's working capital was $8,195,776 as at April 30, 2013, similar to the reported working capital of $8,535,065 as at April 30, 2012.
The functional currency of the Company and its subsidiaries is Chinese Yuan (also known as "Renminbi" or "RMB"). The financial and operating results of the relevant periods have been translated into Canadian dollars. Depending on the magnitude of changes in foreign currency exchange rates, the impact on the financial and operating results may or may not be material.
Full audited financial results of the Company for the fiscal year ended April 30, 2012 are available on SEDAR at www.sedar.com.
About China Keli Electric Company Ltd.
China Keli Electric Company Ltd. specializes in the manufacturing of electrical components and equipment, including pre-assembled mini substations, electrical controllers, pressurized and vacuumed switchgears and circuit breakers.
For further company information please access our website: www.zkl.cc
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
This press release contains forward-looking statements based on current expectations. These forward-looking statements entail various risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Risks and uncertainties about Keli's business are more fully discussed in the Company's disclosure materials filed with the securities regulatory authorities in Canada. All amounts are stated in Canadian dollars unless noted otherwise.