Dragon Capital Group, Inc. Reports Financial Results for the Second Quarter and First Six Months of 2013 Ended June 30, 2013
July 31 2013 - 9:30AM
Marketwired
Dragon Capital Group Corp. (OTC Pink: DRGV), a leading holding
company of emerging high-tech companies in China, announced today
our financial results for the second quarter and first six months
of 2013 ended June 30, 2013.
Financial Highlights
For the second quarter of 2013, total revenues increased to $5.0
million compared to revenues of $4.7 million recorded in the second
quarter of 2012. The increase in revenue was mainly attributable to
a rebound in sales of office equipment at our Shanghai Zhaoli
Technology Development Co., Ltd. ("Zhaoli") as uncertainties
associated with China's governmental succession in 2012 abated.
Gross margins, however, declined to 3.2% from 4.4% as a result of a
challenging pricing environment at Zhaoli and efforts associated
with planned launch of the Gas GIS system from our Shanghai Yazheng
Information Technology Company ("Yazheng") subsidiary as well as
the launch of mobile applications at our Shanghai Zhiye Software
Development Company ("Zhiye") subsidiary. Net income attributable
to Dragon Capital Group in the second quarter of 2013 was $25,000
compared to net income of $37,000 recorded in the second quarter of
2012. Earnings per basic and diluted share for the second quarter
rounded to$0.00 in both periods on 492.7 million and 362.7 million
weighted average shares respectively.
For the first six months of 2013, total revenues were $9.3
million compared to $9.9 million in the first six months of 2012.
Net income attributable to Dragon Capital Group in the first six
months of 2013 increased more than twofold to $119,000 compared to
net income of $46,000 recorded in the first six months of 2012.
Earnings per basic and diluted share for the first six months
rounded to $0.00 in both periods on 492.7 million and 362.7
weighted average shares respectively.
Management continues to see improving performance trends for the
remainder of 2013. Sales at Zhaoli have rebounded as anticipated
and new business coming from planned second half software launches
at our Yazheng and Zhiye subsidiaries are expected to bolster
results. Yazheng offers gas line monitoring software to maximize
the efficiency and repair of utility gas lines while Zhiye offers
mobile solutions for Android, Windows Mobile and Apple's iOS. Zhiye
has been working to develop a mobile programming solutions platform
to enable application developers in China to easily and efficiently
develop and modify applications to work across the most popular
mobile operating systems in China.
Balance Sheet
At June 30, 2013, total assets were $9.5 million and shareholder
equity was $7.3 million with 492,735,578 common shares outstanding.
At December 31, 2012, total assets were $9.1 million and
shareholder equity was $7.0 million with 492,735,578 common shares
outstanding. Working capital was $7.9 million at June 30, 2013
compared to $7.5 million at December 31, 2012.
Commenting on our results for the second quarter of 2013, Mr.
Lawrence Wang, Chairman and CEO of Dragon Capital Group, "We are
very pleased with our overall performance for the first half of
2013 as sales at Zhaoli have rebounded as anticipated and our
higher margin software businesses are poised to gain momentum with
planned launches. We are confident in our belief that revenues from
our gas monitoring contracts and success in current contracts up
for bid will lead to a substantial increase in performance in the
second half of the year. Additionally we see application launches
at Zhiye driving further top and bottom line growth. We have
consistently maintained our profitability while creating a
springboard for sustainable top and bottom line growth in the
coming years for the benefit of our stockholders."
About Dragon Capital Group Corporation
Dragon Capital Group Corp. (OTC Pink: DRGV) is doing business in
China through its subsidiaries. Dragon was established to serve as
a conduit between Chinese high-growth companies and Western
investors. DRGV functions as an incubator of high-tech companies in
China, offering support in the critical functions of general
business consulting, formation of joint ventures, access to
capital, merger & acquisition, business valuation, and revenue
growth strategies. DRGV has developed a portfolio of high-tech
companies operating in China. For more information about DRGV,
please visit http://www.dragoncapital.us
Safe Harbor Statement
Certain statements set forth in this press release constitute
"forward-looking statements." Forward-looking statements include,
without limitation, any statement that may predict, forecast,
indicate, or imply future results, performance or achievements, and
may contain the word expressions of similar meaning. Such
statements are not guarantees of future performance and are subject
to risks and uncertainties that could cause the company's actual
results and financial position to differ materially from those
included within the forward-looking statements. Forward-looking
statements involve risks and uncertainties, including those
relating to the Company's ability to grow its business. Actual
results may differ materially from the results predicted and
reported results should not be considered as an indication of
future performance.
Contact: Richard Galterio U.S. Representative Telephone:
(954) 363-7333 Facsimile: (954) 726-2022 Email:
info@dragoncapital.us
Dragon Capital (PK) (USOTC:DRGV)
Historical Stock Chart
From Jul 2024 to Jul 2024
Dragon Capital (PK) (USOTC:DRGV)
Historical Stock Chart
From Jul 2023 to Jul 2024