QKL Stores Inc. Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2012; Plans to Open Additional Store in 2012 at Daqing City; Provides Earnings Guidance for the Fourth Quarter of 2012
November 14, 2012 at 06:30 am EST
Share
QKL Stores Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2012. For the quarter, the company reported net sales of $84,343,510 compared to $82,068,788 in the third quarter of 2011. Loss from operations was $1,249,840 compared to $1,179,484 for the same period of last year. Loss before income taxes was $1,433,501 compared to $1,014,332 for the same period of last year. Net loss was $1,107,407 or $0.105 per basic and diluted share compared to $849,510 or $0.082 per basic and diluted share for the same period in 2011.
For the nine months, the company reported net loss of $267,195 or $0.025 per basic and diluted share on net sales of $279,603,670 compared to net income of $1,704,752 or $0.138 per basic and diluted share on net sales of $266,833,256 for the same period of last year. Income from operations was $359,663 compared to $2,104,184 for the same period of last year. Loss before income taxes was $114,875 compared to income of $2,691,621 for the same period of last year. Net cash provided by operating activities was $17,438,324 compared to $27,363,950 a year ago. Purchases of property, plant and equipment was $3,648,874 compared to $20,686,955 for the same period of last year.
The company planed to open 1 additional store in 2012. The new stores will open in the future will be located in Daqing City where the company has stronger relationships with local vendors and the cost of goods is slightly lower than the other cities in which the company operate.
For the fourth quarters of 2012, the company's gross margin will remain stable in the 16.8%-17.3% range, operating expenses as a percentage of total revenue will move back into the 14.5%-15.5% range.
QKL Stores, Inc. (QKL) is a regional supermarket chain that operates approximately 25 supermarkets, over 15 hypermarkets and approximately four department stores in northeastern China and Inner Mongolia. The Company's supermarkets and hypermarkets sell a range of merchandise, including groceries, fresh food and non-food items. The Company has over five distribution centers. The Company operates through operating retail chain stores segment. The Company's department stores sell clothing and accessories, cosmetics, small electronics, jewelry, books, home furnishings and bedding, as well as contain a movie theater and a traditional beauty salon. It offers a range of merchandise, including grocery, fresh food and non-food items. The Company also sells other items, such as clothing and cosmetics, and seasonal items, such as gloves, coats, sun-block and swimsuits. The Company's supermarkets have a total area of approximately 272,320 gross square meters.
QKL Stores Inc. Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2012; Plans to Open Additional Store in 2012 at Daqing City; Provides Earnings Guidance for the Fourth Quarter of 2012