HARBIN, China, June 10 /Xinhua-PRNewswire-FirstCall/ -- China Sky One
Medical, Inc. (Amex: CSY) (''China Sky One Medical,'' ''CSY''), a manufacturer,
marketer and distributor of pharmaceutical, medicinal and diagnostic products
in China, today announced financial guidance for the second quarter and
full-year 2008 periods.
China Sky One Medical, Inc. estimated that second quarter gross revenue
would climb 57% over the first quarter of 2008 to $19.5 million and that gross
margin for the quarter is expected to be approximately 78%. Net income would
reach an estimated $6.4 million, or $0.43 per fully diluted share based on
14,888,310 quarterly diluted shares outstanding as of March 31, 2008, and net
margin would be approximately 32.8%. The sharp increase is mainly due to the
following factors: First, products introduced from Heilongjiang Tianlong
Pharmaceutical, Inc., which China Sky One Medical acquired in March, entered
the markets rapidly and have had strong sales. Second, China Sky One has
launched advertising promotions for its popular external use products,
including Slim Patch Body-Beauty Plaster, Hemorrhoid Ointment, Compound
Camphor Cream and Blood Pressure Depress Patches, which have stimulated sales.
Finally, the second and third quarters are historically seasonally strong
sales periods in the pharmaceutical market.
China Sky One also updated guidance for its full-year 2008 gross revenue
and provided guidance for net income and earnings per share. The company
expects 2008 gross revenue in the range of $81 million to $83 million and
gross margin to be approximately 78.5%. Net income for 2008 is estimated to be
between $25.9 million and $26.6 million, or $1.74 to $1.79 per fully diluted
share based on 14,888,310 quarterly diluted shares outstanding as of March 31,
2008, and net margin is expected to be approximately 32%. Previously, the
company had expected gross revenue in 2008 of approximately $80 million and
gross margin to be approximately 78.5%.
''We are confident that we will achieve significant revenue growth going
forward as we continue to implement our strategy of hiring direct territory
managers and sales agents to further strengthen our distribution channels,''
said Mr. Yan-Qing Liu, Chairman and CEO of China Sky One Medical, Inc. "In
addition, we plan to continue with our research and development efforts and to
make strategic acquisitions.''
About China Sky One Medical, Inc.
China Sky One Medical, Inc., a Nevada corporation, is a holding company
whose principal operations are through its subsidiaries, which are engaged in
the manufacturing, marketing and distribution of pharmaceutical, medicinal and
diagnostic kit products. Through its wholly-owned subsidiaries, Harbin Tian Di
Ren Medical Science and Technology Company (''TDR'') and Harbin First
Bio-Engineering Company Limited ("First"), the Company manufactures and
distributes over-the-counter pharmaceutical products as its primary revenue
source. For more information, visit http://www.skyonemedical.com .
Safe Harbor Statement
Certain of the statements made in the press release constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements can be identified by the use
of forward- looking terminology such as "believe," "expect," "may," "will,"
"should," "project," "plan," "seek," "intend," or "anticipate" or the negative
thereof or comparable terminology. Such statements typically involve risks and
uncertainties and may include financial projections or information regarding
our future plans, objectives or performance. Actual results could differ
materially from the expectations reflected in such forward-looking statements
as a result of a variety of factors, including the risks associated with the
effect of changing economic conditions in The People's Republic of China,
variations in cash flow, reliance on collaborative retail partners and on new
product development, variations in new product development, risks associated
with rapid technological change, and the potential of introduced or undetected
flaws and defects in products, and other risk factors detailed in reports
filed with the Securities and Exchange Commission from time to time.
For more information, please contact:
Company Contact:
China Sky One Medical, Inc.
Mr. Liao Xiaoqing, CFO
Tel: +86-0451-53994069
Email: cntiandiren@yahoo.com.cn
Investor Relations Contact:
CCG Elite Investor Relations Inc.
Mr. Crocker Coulson, President
Tel: +1-646-213-1915 (New York)
Email: crocker.coulson@ccgir.com
Website: http://www.ccgelite.com
SOURCE China Sky One Medical, Inc.