China Natural Gas, Inc. announced unaudited consolidated earnings results for the second quarter and six months ended June 30, 2013. For the quarter revenues were $34,247,958 compared to $37,901,695 for the same period a year ago. Income from operations was $4,036,665 against $6,572,389 a year ago. Income before income taxes was $3,879,875 against $6,325,710 of prior year period. Net income was $3,174,408 or $0.15 per basic and diluted share, compared to $5,074,582 or $0.24 per basic and diluted share, in the same period last year. Net income attributable to company was $3,141,673 against $5,045,706 of prior year period. Operating income in the second quarter of 2013 was $4.0 million, a decrease of 38.6% year-over-year from $6.6 million, primarily attributable to the decrease in gross profit of natural gas from fueling stations and LNG. Revenue in the second quarter of 2013 decreased by 9.6% due to the closure of three fueling stations in the second quarter of 2012, three fueling stations in the third quarter of 2012, one fueling station in October 2012, and one fueling station in April 2013 because of changes in market conditions.

For the six months, revenues were $69,747,288 compared to $70,179,013 for the same period a year ago. Income from operations was $9,879,412 against $10,272,013 a year ago. Income before income taxes was $9,431,657 against $9,064,927 of prior year period. Net income was $7,840,729 or $0.36 per basic and diluted share, compared to $7,022,328 or $0.34 per basic and diluted share, in the same period last year. Net income attributable to company was $7,781,141 against $7,221,511 of prior year period. Net cash provided by operating activities was $9,992,381 against net cash provided by operating activities of $18,849,590 of prior year period. Payment for acquisition of property and equipment was $1,411,550 against $3,592,657 a year ago.