China Education Resources Inc. Generated Revenues of $7,391,935 in
2012
www.chinaeducationresources.com
VANCOUVER, May 1, 2013 /PRNewswire/ - China Education
Resources, Inc. ("CER")
(TSXV: CHN, OTCQX: CHNUF), a leading technology provider of
online
learning, training courses and social media for teachers, students
and
education professionals, announced its financial results for the
year
ended December 31, 2012. All figures
are expressed in U.S. dollars.
For the year ended December 31, 2012,
CER reported aggregate sales
revenue of $7,391,934 as compared to
$6,553,140 for the same period in
2011. There was an increase in sales for the current year as
compared
to the sales of previous year. The Company recognized a net loss
for
the year ended December 31, 2012 of
$1,380,439 attributable to the
shareholders as compared to a profit of $23,273 attributable to the
shareholders for the same period in 2011. The increase in the loss
for
the current year was mainly due to the increase in selling expenses
for
marketing our new products and services and a goodwill impairment
loss
of $500,000 (non-cash item) as a
result of goodwill impairment analysis
using restrictive assumptions.
2012 financial highlights include:
Online products and other revenue of $3,738,176 generated during 2012 as
compared to $2,187,832 during the
same period in 2011;
Text book sales revenue of $3,653,759
generated during 2012 as compared
to $4,365,308 during the same period
in 2011.
"Our sales revenue continues to increase in 2012, and the
Company's
business growth plan has
been implemented as planned" said Chengfeng
Zhou, CEO, China Education Resources. "As a result of
incurring increased selling expenses of $1.0 million in 2012,
as compared with the same period of last
year, the Company has
begun providing digital textbooks to students.
CER is now adding mobile
learning solutions to the school platform for both of the
students and
teachers. Digital textbooks have started
to generate revenue in 2012
and we
expect our Education Smartphone Program will start to generate
revenue in the second half year of 2013."
In order to continue work with the principal of a previous
financial
advisor, who has changed firms, CER has terminated
the agreement with
Inverness Advisors. An agreement with this new
firm is now under discussion.
The Company has developed an unparalleled and broad portfolio
of
education products that is believed unavailable in any other
education
market. It has been market tested and developed in the world's
largest
education market. The Company intends to explore the potential
to
provide these online, networked products and services in other
education markets. We may launch these products on our own platform
or
in partnership with other domestic industry players. The Company's
goal
is to become the leading internet education service platform,
content
provider and social network to individuals and organizations in
the
education sector.
In collaboration with China's
education administrators and experts,
China Education Resources has been helping to transform the
curriculum
of the world's largest educational system. Recognizing the need
to
address education reform changes, China Education Resources has
created
educational tools and curriculum for China's entire kindergarten
through twelfth grade system. The Company is playing an integral
part
in transforming China's
educational system by helping to convert the
existing educational system from a memory-based learning system to
a
creative thinking and interactive approach. Presently, China
Education
Resources has over one million kindergarten through twelfth
grade
teachers registered through its Web portal. For more
information,
please visit www.chinaeducationresources.com or call (604)
331-2388.
Safe Harbor Statement
Certain statements made herein, and other statements relating to
matters
that are not historical facts and statements of our beliefs,
intentions
and expectations about developments, results and events which will
or
may occur in the future, constitute "forward-looking
information"
within the meaning of applicable securities legislation.
Forward-looking information and statements are typically identified
by
words such as "anticipate", "could", "should", "expect", "seek",
"may",
"intend", "likely", "plan", "estimate", "will", "believe" and
similar
expressions suggesting future outcomes or statements regarding
an
outlook. All such forward-looking information and statements are
based
on certain assumptions and analysis made by China Education
Resources,
Inc.'s management in light of their experience and perception
of
historical trends, current conditions and expected future
developments,
as well as other factors management believes are appropriate in
the
circumstances. These statements, however, are subject to a variety
of
risks and uncertainties and other factors that could cause
actual
events or results to differ materially from those projected in
the
forward-looking information or statements. Important factors that
could
cause actual results to differ from these forward-looking
statements
include those described under the heading "Risks and
Uncertainties"
elsewhere in the Company's MD&A filed at www.SEDAR.com. The
reader is cautioned not to place undue reliance on
forward-looking
information or statements. Except as required by law the Company
does
not assume the obligation to revise or update these forward
looking
statements after the date of this document or to revise them to
reflect
the occurrence of future, unanticipated events.
The TSX Venture Exchange has not reviewed, and does not accept,
responsibility for the adequacy or accuracy of the contents of
this
press release.
SOURCE China Education Resources Inc.