x
|
QUARTERLY
REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934.
|
o
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934.
|
Nevada
|
36-3526027
|
(State
or other jurisdiction of
|
(IRS
Employer
|
incorporation
or organization)
|
Identification
No.)
|
Large accelerated
filer o
|
Accelerated filer o
|
Non-accelerated filer o
(Do not check if a smaller
reporting company)
|
Smaller reporting
company x
|
PART I
|
FINANCIAL INFORMATION
|
Page
|
Item
1.
|
Financial
Statements.
|
4
|
Consolidated
Balance Sheets
|
||
As
of March 31, 2010 (Unaudited) and June 30, 2009
|
4
|
|
Consolidated
Statements of Income and Comprehensive Income
|
||
For
the Three and Nine Months Ended March 31, 2010 and 2009
(Unaudited)
|
5
|
|
Consolidated
Statements of Cash Flows
|
||
For
the Three and Nine Months Ended March 31, 2010 and 2009
|
||
(Unaudited)
|
6
|
|
Notes
to Consolidated Financial Statements
|
||
As
of March 31, 2010 (Unaudited)
|
7
|
|
Item
2.
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
31
|
Item
4T.
|
Controls
and Procedures
|
42
|
PART II
|
OTHER INFORMATION
|
|
Item
2
|
Recent
Sales of Unregistered Securities; Use of Proceeds from Registered
Securities
|
43
|
Item
6.
|
Exhibits
|
43
|
Signatures
|
44
|
|
Exhibits/Certifications
|
Item
1.
|
Financial
Statements
|
March
31, 2010
|
June
30, 2009
|
|||||||
Current
Assets
|
||||||||
Cash
and cash equivalents
|
$ | 58,233,311 | $ | 17,795,447 | ||||
Restricted
cash
|
431 | 83,579 | ||||||
Accounts
receivable, net
|
13,316,354 | 8,167,715 | ||||||
Inventories
|
10,883,919 | 7,162,249 | ||||||
Other
assets
|
342,339 | 129,213 | ||||||
Deferred
offering cost
|
- | 160,500 | ||||||
Advances
to suppliers
|
161,800 | 95,255 | ||||||
Total
Current Assets
|
82,938,154 | 33,593,958 | ||||||
Plant,
Property and Equipment, Net
|
29,009,241 | 17,341,654 | ||||||
Construction
In Progress
|
31,859 | 9,609,649 | ||||||
Advances
to suppliers – Non Current
|
392,695 | - | ||||||
Intangible
Assets, Net
|
11,592,939 | 1,073,165 | ||||||
Total
Assets
|
$ | 123,964,888 | $ | 61,618,426 |
Current
Liabilities
|
||||||||
Accounts
payable
|
$ | 1,096,241 | $ | 926,883 | ||||
Unearned
revenue
|
61,238 | 24,000 | ||||||
Other
payables and accrued expenses
|
745,368 | 1,091,168 | ||||||
Advances
from other unrelated companies
|
297,783 | 326,970 | ||||||
Amount
due to related parties
|
68,164 | 31,160 | ||||||
Taxes
payable
|
1,170,707 | 2,887,828 | ||||||
Short
term loans
|
- | 3,170,290 | ||||||
Total
Current Liabilities
|
3,439,501 | 8,458,299 | ||||||
Commitments | ||||||||
Common
Stock, $.001 par value, 6,313,617 shares subject to
redemption
|
- | 20,519,255 | ||||||
Stockholders'
Equity
|
||||||||
Preferred
Stock, $.001 par value, 20,000,000 shares authorized, Zero
shares issued and outstanding
|
- | - | ||||||
Common
stock, $.001 par value, 115,197,165 shares authorized,
24,564,328 shares issued and outstanding (12,281,569 as of June 30,
2009)
|
24,565 | 12,282 | ||||||
Additional
paid-in capital
|
74,648,807 | 2,060,162 | ||||||
Statuary
reserve
|
5,168,773 | 3,468,530 | ||||||
Retained
earnings
|
38,243,589 | 24,642,768 | ||||||
Accumulated
other comprehensive income
|
2,439,653 | 2,457,130 | ||||||
Total
Stockholders' Equity
|
120,525,387 | 32,640,872 | ||||||
Total
Liabilities and Stockholders' Equity
|
$ | 123,964,888 | $ | 61,618,426 |
Nine
Months Ended March 31,
|
Three
Months Ended March 31,
|
|||||||||||||||
2010
|
2009
|
2010
|
2009
|
|||||||||||||
Net
Sales
|
||||||||||||||||
Jinong
|
$ | 30,554,200 | $ | 19,435,021 | $ | 11,264,754 | $ | 6,864,494 | ||||||||
Jintai
|
5,337,013 | 5,286,782 | 2,177,523 | 1,977,180 | ||||||||||||
Net
sales
|
$ | 35,891,213 | $ | 24,721,802 | $ | 13,442,277 | $ | 8,841,675 | ||||||||
Cost
of goods sold
|
- | - | - | - | ||||||||||||
Jinong
|
11,209,185 | 7,667,116 | 4,206,699 | 2,560,795 | ||||||||||||
Jintai
|
2,842,736 | 2,941,221 | 1,125,017 | 1,215,343 | ||||||||||||
Cost
of goods sold
|
14,051,921 | 10,608,337 | 5,331,717 | 3,776,138 | ||||||||||||
Gross
profit
|
21,839,292 | 14,113,466 | 8,110,560 | 5,065,537 | ||||||||||||
Operating
expenses
|
||||||||||||||||
Selling
expenses
|
1,302,733 | 786,462 | 566,966 | 203,925 | ||||||||||||
General
and administrative expenses
|
2,683,959 | 1,432,514 | 1,335,229 | 408,740 | ||||||||||||
Total
operating expenses
|
3,986,692 | 2,218,976 | 1,902,195 | 612,665 | ||||||||||||
Income
from operations
|
17,852,601 | 11,894,490 | 6,208,366 | 4,452,872 | ||||||||||||
Other
income (expense)
|
||||||||||||||||
Other
income (expense)
|
1,045 | 4,482 | 492 | 207 | ||||||||||||
Interest
income
|
200,461 | 306,359 | 118,539 | 163,340 | ||||||||||||
Interest
expense
|
(112,457 | ) | (560,257 | ) | (6,813 | ) | (112,334 | ) | ||||||||
Total
other income (expense)
|
89,049 | (250,596 | ) | 112,218 | 51,083 | |||||||||||
Income
before income taxes
|
17,941,649 | 11,643,894 | 6,320,584 | 4,503,955 | ||||||||||||
Provision
for income taxes
|
2,640,584 | 1,597,833 | 987,786 | 613,673 | ||||||||||||
Net
income
|
15,301,066 | 10,046,061 | 5,332,798 | 3,890,282 | ||||||||||||
Other
comprehensive income
|
- | |||||||||||||||
Foreign
currency translation gain/(loss)
|
(17,478 | ) | 49,570 | (23,832 | ) | 57,891 | ||||||||||
Comprehensive
income
|
$ | 15,283,588 | $ | 10,095,631 | $ | 5,308,966 | $ | 3,948,173 | ||||||||
- | - | |||||||||||||||
Basic
weighted average shares outstanding
|
23,098,783 | 18,439,569 | 24,418,325 | 18,559,206 | ||||||||||||
Basic
net earnings per share
|
$ | 0.66 | $ | 0.54 | $ | 0.22 | $ | 0.21 | ||||||||
Diluted
weighted average shares outstanding
|
23,105,783 | 18,439,569 | 24,425,325 | 18,559,206 | ||||||||||||
Diluted
net earnings per share
|
0.66 | 0.54 | 0.22 | 0.21 |
2010
|
2009
|
|||||||
Cash
flows from operating activities
|
||||||||
Net
income
|
$ | 15,301,066 | 10,046,061 | |||||
Adjustments
to reconcile net income to net cash
|
||||||||
provided
by operating activities
|
||||||||
Issuance
of equity for compensation
|
1,259,992 | 112,247 | ||||||
Depreciation
|
1,545,413 | 1,121,989 | ||||||
Amortization
|
205,018 | 80,267 | ||||||
Decrease
/ (Increase) in current assets
|
- | |||||||
Accounts
receivable
|
(5,125,905 | ) | (3,269,466 | ) | ||||
Other
receivables
|
(158,415 | ) | 12,465 | |||||
Inventories
|
(3,701,733 | ) | (4,261,570 | ) | ||||
Advances
to suppliers
|
(66,279 | ) | 372,837 | |||||
Other
assets
|
(73,784 | ) | 6,528 | |||||
(Decrease)
/ Increase in current liabilities
|
- | |||||||
Accounts
payable
|
166,957 | 1,002,165 | ||||||
Unearned
revenue
|
37,171 | (30,100 | ) | |||||
Tax
payables
|
(1,725,159 | ) | (4,411,497 | ) | ||||
Other
payables and accrued expenses
|
(282,450 | ) | 199,071 | |||||
Net
cash provided by operating activities
|
7,381,891 | 980,997 | ||||||
Cash
flows from investing activities
|
||||||||
Acquisition
of plant, property, and equipment
|
(3,528,331 | ) | (465,648 | ) | ||||
Acquisition
of intangible assets
|
(10,776,152 | ) | - | |||||
Additions
to construction in progress
|
(31,859 | ) | (3,059,913 | ) | ||||
Advances
to suppliers - non current
|
(392,695 | ) | - | |||||
Net
cash used in investing activities
|
(14,729,037 | ) | (3,525,561 | ) | ||||
Cash
flows from financing activities
|
||||||||
Repayment
of loan
|
(3,179,115 | ) | (525,475 | ) | ||||
Shares
issuance cost
|
(2,232,302 | ) | - | |||||
Proceeds
from issuance of shares
|
53,063,824 | - | ||||||
Restricted
cash
|
83,148 | 75,074 | ||||||
Net
cash provided by / (used in) financing activities
|
47,735,555 | (450,401 | ) | |||||
Effect
of exchange rate change on cash and cash equivalents
|
49,455 | 15,509 | ||||||
Net
increase in cash and cash equivalents
|
40,437,864 | (2,979,455 | ) | |||||
Cash
and cash equivalents, beginning balance
|
17,795,447 | 16,612,416 | ||||||
Cash
and cash equivalents, ending balance
|
$ | 58,233,311 | 13,632,961 | |||||
Supplement
disclosure of cash flow information
|
||||||||
Interest
expense paid
|
$ | (95,740 | ) | (339,203 | ) | |||
Income
taxes paid
|
$ | (3,081,381 | ) | (2,112,985 | ) |
March
31, 2010
|
June
30, 2009
|
|||||||
Legal
costs
|
$
|
-
|
$
|
130,000
|
||||
Accounting
costs
|
-
|
30,500
|
||||||
Total
|
$
|
-
|
$
|
160,500
|
Estimated
Useful Life
|
|
Building
|
10-25
years
|
Agricultural
assets
|
8
years
|
Machinery and equipment |
5-15
years
|
Vehicles
|
3-5
years
|
For
the nine months ended March 31,
|
||||||||
2010
|
2009
|
|||||||
(unaudited)
|
(unaudited)
|
|||||||
Revenues
from unaffiliated customers:
|
||||||||
Jinong
|
$ | 30,554,200 | $ | 19,435,021 | ||||
Jintai
|
5,337,013 | 5,286,781 | ||||||
Consolidated
|
$ | 35,891,213 | $ | 24,721,802 | ||||
Operating
income:
|
||||||||
Jinong
|
$ | 17,396,134 | $ | 10,698,680 | ||||
Jintai
|
2,249,711 | 2,013,618 | ||||||
Yuxing
|
(72,934 | ) | - | |||||
Reconciling
item (1)
|
- | |||||||
Reconciling
item (2)
|
(460,318 | ) | (705,561 | ) | ||||
Reconciling
item (2)--stock compensation
|
(1,259,992 | ) | (112,247 | ) | ||||
Consolidated
|
$ | 17,852,601 | $ | 11,894,490 | ||||
Net
income:
|
||||||||
Jinong
|
$ | 14,825,479 | $ | 9,041,228 | ||||
Jintai
|
2,249,880 | 2,013,881 | ||||||
Yuxing
|
(72,927 | ) | ||||||
Reconciling
item (1)
|
18,943 | 7,384 | ||||||
Reconciling
item (2)
|
(1,720,310 | ) | (1,016,432 | ) | ||||
Consolidated
|
$ | 15,301,066 | $ | 10,046,061 | ||||
Depreciation
and Amortization:
|
||||||||
Jinong
|
$ | 1,585,309 | $ | 1,119,014 | ||||
Jintai
|
93,644 | 83,242 | ||||||
Yuxing
|
71,479 | |||||||
Consolidated
|
$ | 1,750,431 | $ | 1,202,256 | ||||
Interest
expense:
|
||||||||
Jinong
|
$ | 112,457 | $ | 361,633 | ||||
Reconciling
item (1)
|
- | |||||||
Reconciling
item (2)
|
- | 198,624 | ||||||
Consolidated
|
$ | 112,457 | $ | 560,257 | ||||
Capital
Expenditure:
|
||||||||
Jinong
|
$ | 3,528,331 | $ | 3,525,561 | ||||
Yuxing
|
11,200,705 | - | ||||||
Consolidated
|
$ | 14,729,036 | $ | 3,525,561 | ||||
Identifiable
assets:
|
As
of 03/31/10
|
As
of 06/30/09
|
||||||
Jinong
|
$ | 97,793,931 | $ | 46,329,125 | ||||
Jintai
|
11,431,367 | 6,572,315 | ||||||
Yuxing
|
11,102,841 | |||||||
Reconciling
item (1)
|
3,637,316 | 314,346 | ||||||
Reconciling
item (2)
|
(568 | ) | 134,478 | |||||
Consolidated
|
$ | 123,964,888 | $ | 53,350,264 |
For
the three months ended March 31,
|
||||||||
2010
|
2009
|
|||||||
(unaudited)
|
(unaudited)
|
|||||||
Revenues
from unaffiliated customers:
|
||||||||
Jinong
|
$ | 11,264,754 | $ | 6,864,495 | ||||
Jintai
|
2,177,523 | 1,977,180 | ||||||
Consolidated
|
$ | 13,442,277 | $ | 8,841,675 | ||||
Operating
income:
|
||||||||
Jinong
|
$ | 6,346,349 | $ | 4,028,758 | ||||
Jintai
|
972,571 | 637,323 | ||||||
Yuxing
|
(10 | ) | - | |||||
Reconciling
item (1)
|
- | - | ||||||
Reconciling
item (2)
|
127,882 | (169,652 | ) | |||||
Reconciling
item (2)--stock compensation
|
(1,238,425 | ) | (43,557 | ) | ||||
Consolidated
|
$ | 6,208,366 | $ | 4,452,872 | ||||
Net
income:
|
||||||||
Jinong
|
$ | 5,459,624 | $ | 3,465,313 | ||||
Jintai
|
972,620 | 637,352 | ||||||
Yuxing
|
(9 | ) | - | |||||
Reconciling
item (1)
|
11,108 | 826 | ||||||
Reconciling
item (2)
|
(1,110,544 | ) | (213,209 | ) | ||||
Consolidated
|
$ | 5,332,798 | $ | 3,890,282 | ||||
Depreciation
and Amortization:
|
||||||||
Jinong
|
$ | 576,384 | $ | 403,738 | ||||
Jintai
|
36,943 | 7,560 | ||||||
Yuxing
|
123 | - | ||||||
Consolidated
|
$ | 613,450 | $ | 411,298 | ||||
Interest
expense:
|
||||||||
Jinong
|
$ | 6,813 | $ | 112,334 | ||||
Reconciling
item (1)
|
- | - | ||||||
Reconciling
item (2)
|
- | (0 | ) | |||||
Consolidated
|
$ | 6,813 | $ | 112,334 | ||||
Capital
Expenditure:
|
||||||||
Jinong
|
$ | 1,141,930 | $ | 1,600,332 | ||||
Yuxing
|
492,673 | - | ||||||
Consolidated
|
$ | 1,634,403 | $ | 1,600,332 | ||||
Identifiable
assets:
|
As
of 03/31/10
|
As
of 06/30/09
|
||||||
Jinong
|
$ | 97,793,931 | $ | 46,329,125 | ||||
Jintai
|
11,431,367 | 6,572,315 | ||||||
Yuxing
|
11,102,841 | - | ||||||
Reconciling
item (1)
|
3, 637,316 | 314,346 | ||||||
Reconciling
item (2)
|
(568 | ) | 134,478 | |||||
Consolidated
|
$ | 123,964,888 | $ | 53,350,264 |
March 31, 2010
|
June 30, 2009
|
|||||||
Raw
materials
|
$ | 375,762 | $ | 67,046 | ||||
Supplies
and packing materials
|
162,490 | 87,081 | ||||||
Work
in progress
|
10,018,330 | 6,901,124 | ||||||
Finished
goods
|
327,337 | 106,279 | ||||||
Totals
|
$ | 10,883,919 | $ | 7,162,249 |
March 31, 2010
|
June 30, 2009
|
|||||||
Other
receivables
|
$ | 219,740 | $ | 91,334 | ||||
Promotion
material
|
122,599 | 37,879 | ||||||
Total
|
$ | 342,339 | $ | 129,213 |
March 31, 2010
|
June 30, 2009
|
|||||||
Building
and improvements
|
$ | 19,411,717 | $ | 10,632,055 | ||||
Vehicles
|
88,824 | 23,784 | ||||||
Machinery
and equipment
|
12,993,856 | 8,620,173 | ||||||
Agriculture
assets
|
1,338,253 | 1,334,538 | ||||||
Total
|
33,408,791 | 20,610,551 | ||||||
Less:
accumulated depreciation
|
(4,823,410 | ) | (3,268,897 | ) | ||||
Total
property, plant and equipment
|
$ | 29,009,241 | $ | 17,341,654 |
March 31, 2010
|
June 30, 2009
|
|||||||
Land use right, net
|
$ | 11,532,618 | $ | 895,808 | ||||
Technology know-how, net
|
60,321 | 177,357 | ||||||
Total
|
$ | 11,592,939 | $ | 1,073,165 |
March 31, 2010
|
June 30, 2009
|
|||||||
Land
use rights
|
$ | 11,789,093 | $ | 1,064,326 | ||||
Less:
accumulated amortization
|
(256,475 | ) | (168,518 | ) | ||||
Total
|
$ | 11,532,618 | $ | 895,808 |
March 31, 2010
|
June 30, 2009
|
|||||||
Technology
Know-how
|
$ | 860,715 | $ | 858,326 | ||||
Less:
accumulated amortization
|
(800,394 | ) | (680,969 | ) | ||||
Total
|
$ | 60,321 | $ | 177,357 |
March
31, 2011
|
$ | 296,103 | ||
March
31, 2012
|
235,782 | |||
March
31, 2013
|
235,782 | |||
March
31, 2014
|
235,782 | |||
March
31, 2015
|
235,782 | |||
Total
|
$ | 1,239,231 |
March 31, 2010
|
June 30, 2009
|
|||||||
Payroll
payable
|
$ | 8,790 | $ | 8,766 | ||||
Welfare
payable
|
167,696 | 177,865 | ||||||
Accrued
expenses
|
455,202 | 791,172 | ||||||
Other
levy payable
|
113,680 | 113,365 | ||||||
Total
|
$ | 745,368 | $ | 1,091,168 |
March 31, 2010
|
June 30, 2009
|
|||||||
Short
term loans payable:
|
- | |||||||
Xi’an
Commercial Bank Xincheng Branch
|
$ | - | $ | 2,191,445 | ||||
Xi’an
Beilin District Rural Credit Union Wenyibeilu Branch
|
- | 555,166 | ||||||
Agriculture
Bank Yanglingshifangqu Branch
|
- | 423,679 | ||||||
Total
|
$ | - | $ | 3,170,290 |
March 31, 2010
|
June 30, 2009
|
|||||||
VAT
payable
|
$ | 12,073 | 1,216,191 | |||||
Income
tax payable
|
852,878 | 1,290,777 | ||||||
Other
levies
|
305,756 | 380,860 | ||||||
Total
|
$ | 1,170,707 | 2,887,828 |
2010
|
2009
|
|||||||
Current
income tax - Provision for China income and local tax
|
$ | 2,640,584 | $ | 1,597,833 | ||||
Deferred
taxes
|
- | - | ||||||
Total
provision for income taxes
|
$ | 2,640,584 | $ | 1,597,833 |
2010
|
2009
|
2008
|
||||
Tax
at statutory rate
|
34%
|
34%
|
34%
|
|||
Foreign
tax rate difference
|
(19%)
|
(19%)
|
(19%)
|
|||
Net
operating loss in other tax jurisdiction for where no benefit is
realized
|
-
|
(1%)
|
(11%)
|
|||
Total
|
15%
|
14%
|
4%
|
|
1.
|
$2,000,000
was held pending the Company’s hiring of a qualified CFO. The Company
appointed a CFO in April 2008 and $2,000,000 was released to the Company
accordingly.
|
|
2.
|
$2,000,000
was held pending the Company’s hiring of two independent directors, which
would result in the Company having a majority of independent directors on
its board. The Company appointed a majority of independent directors in
April 2008 and $2,000,000 was released to the Company
accordingly.
|
|
3.
|
An
aggregate of $250,000 was held for retaining an investors relation firm.
The Company retained an investors relation firm in January 2008 and the
money was released to the Company in installments on a monthly
basis.
|
|
i)
|
Making
up cumulative prior years' losses, if
any;
|
|
ii)
|
Allocations
to the "Statutory surplus reserve" of at least 10% of income after tax, as
determined under PRC accounting rules and regulations, until the fund
amounts to 50% of the Company's registered
capital;
|
|
iii)
|
Allocations
of 5-10% of income after tax, as determined under PRC accounting rules and
regulations, to the Company's "Statutory common welfare fund", which is
established for the purpose of providing employee facilities and other
collective benefits to the Company's employees; and statutory common welfare fund is no longer
required per the new cooperation law executed in
2006.
|
|
iv)
|
Allocations
to the discretionary surplus reserve, if approved in the shareholders'
general meeting.
|
Risk-free
interest rate
|
1.87%
|
|
Expected
life of the options
|
2
year
|
|
Expected
volatility
|
540%
|
|
Expected
dividend yield
|
0
%
|
Risk-free
interest rate
|
2.22%
|
|
Expected
life of the options
|
0.08
- 2 year
|
|
Expected
volatility
|
76%
|
|
Expected
dividend yield
|
0
%
|
Risk-free
interest rate
|
2.22%
|
|
Expected
life of the options
|
0.08
- 2 year
|
|
Expected
volatility
|
75%
|
|
Expected
dividend yield
|
0
%
|
Exercise
Prices
|
Total
Options
Outstanding
|
Weighted
Average
Remaining
Life
(Years)
|
Total
Weighted
Average
Exercise
Price
|
Options
Exercisable
|
Weighted
Average
Exercise
Price
|
Aggregate
Intrinsic
Value
|
||||||
$6-14.70
|
162,000
|
0.80
|
$14.01
|
12,000
|
$6
|
$98,004
|
Options
Outstanding
|
||||
Outstanding,
July 1, 2007
|
- | |||
Granted
|
198,000 | |||
Forfeited/Canceled
|
- | |||
Exercised
|
(76,500 | ) | ||
Outstanding,
July 1, 2008
|
121,500 | |||
Granted
|
28,000 | |||
Forfeited/Canceled
|
(28,000 | ) | ||
Exercised
|
- | |||
Outstanding,
June 30, 2009
|
121,500 | |||
Exercised
|
(84,500 | ) | ||
Outstanding,
December 31, 2009
|
37,000 | |||
Granted
|
160,000 | |||
Forfeited/Canceled
|
(10,000 | ) | ||
Exercised
|
(25,000 | ) | ||
Outstanding,
March 31, 2010
|
162,000 |
March
31, 2011
|
$ | 20,491 | ||
March
31, 2012
|
20,491 | |||
March
31, 2013
|
20,491 | |||
March
31, 2014
|
20,491 | |||
March
31, 2015
|
20,491 | |||
Total
|
$ | 102,455 |
Item
2.
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
Three
months
ended
March
31, 2010
|
Three
months
ended
March
31, 2009
|
|||||||
Net
Sales
|
$ | 13,442,277 | $ | 8,841,675 | ||||
Cost
of Goods Sold
|
(5,331,717 | ) | (3,776,138 | ) | ||||
Gross
Profit
|
8,110,560 | 5,065,537 | ||||||
Selling
Expenses
|
(566,966 | ) | (203,925 | ) | ||||
General
and Administrative Expenses
|
(1,335,229 | ) | (408,740 | ) | ||||
Income
from Operations
|
6,208,366 | 4,452,872 | ||||||
Total
Other Income (expense)
|
112,218 | 51,083 | ||||||
Income
Before Income Taxes
|
6,320,584 | 4,503,955 | ||||||
Provision
for Income Taxes
|
(987,786 | ) | (613,673 | ) | ||||
Net
Income
|
5,332,798 | 3,890,282 |
Nine
months ended
|
Nine
months ended
|
|||||||
March
31, 2010
|
March
31, 2009
|
|||||||
Net
Sales
|
$ | 35,891,213 | $ | 24,721,802 | ||||
Cost
of Goods Sold
|
(14,051,921 | ) | (10,608,336 | ) | ||||
Gross
Profit
|
21,839,292 | 14,113,466 | ||||||
Selling
Expenses
|
(1,302,733 | ) | (786,462 | ) | ||||
General
and Administrative Expenses
|
(2,683,959 | ) | (1,432,514 | ) | ||||
Income
from Operations
|
17,852,601 | 11,894,490 | ||||||
Total
Other Income (expense)
|
89,049 | (250,596 | ) | |||||
Income
Before Income Taxes
|
17,941,649 | 11,643,894 | ||||||
Provision
for Income Taxes
|
(2,640,584 | ) | (1,597,833 | ) | ||||
Net
Income
|
15,301,066 | 10,046,061 |
Nine
months ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Net
cash provided by operating activities
|
$ | 7,381,891 | $ | 980,997 | ||||
Net
cash used in investing activities
|
(14,729,037 | ) | (3,525,561 | |||||
Net
cash provided by / (used in) financing activities
|
47,735,555 | (450,401 | ||||||
Effect
of exchange rate change on cash and cash equivalents
|
49,455 | 15,509 | ||||||
Net
increase / (decrease) in cash and cash equivalents
|
40,437,864 | (2,979,455 | ||||||
Cash
and cash equivalents, beginning balance
|
17,795,447 | 16,612,416 | ||||||
Cash
and cash equivalents, ending balance
|
58,233,311 | 13,632,961 |
Item
4T.
|
Controls
and Procedures
|
Item
2.
|
Recent
Sales of Unregistered Securities; Use of Proceeds from Registered
Securities
|
Item
6.
|
Exhibits
|
CHINA
GREEN AGRICULTURE, INC.
|
|||
Date: May
12, 2010
|
By:
|
/s/ Tao Li | |
Name:
Tao Li
|
|
||
Title:
President and Chief Executive Officer
|
|||
(principal
executive officer)
|
|||
Date: May
12, 2010
|
By: | /s/ Ken Ren | |
Name:
Ken Ren
|
|||
Title:
Chief Financial Officer
|
|||
(principal
financial officer and principal
accounting
officer)
|
No.
|
Description
|
31.1
|
Certification
of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002.
|
31.2
|
Certification
of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002.
|
32.1
|
Certification
of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002.
|
32.2
|
Certification
of Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002.
|