China Cord Blood Corporation Reports First Quarter Fiscal 2015 Financial Results
Aug 28, 2014 UncategorizedComments Off on China Cord Blood Corporation Reports First Quarter Fiscal 2015 Financial Results
1Q15 Added 15,548 New Subscribers
1Q15 Revenue Up 19.1% YOY to RMB153.3 Million ($24.7 Million)
1Q15 Operating Income Up 31.1%YOY to RMB60.2 Million ($9.7 Million)
Conference Call to be Held August 29, 2014 at 8:00 a.m. ET
HONG KONG, Aug. 29, 2014 /PRNewswire/ — China Cord Blood Corporation (NYSE: CO) (“CCBC” or the “Company”), China’s leading provider of cord blood collection, laboratory testing, hematopoietic stem cell processing, and stem cell storage services, today announced its preliminary unaudited financial results for the first quarter of fiscal year 2015 ended June 30, 2014.
First Quarter of Fiscal 2015 Highlights
Revenues for the first quarter of fiscal 2015 increased to RMB153.3 million ($24.7 million) from RMB128.7 million in the prior year period.
15,548 new subscribers were added, resulting in an accumulated subscriber base of 392,171.
Gross profit increased to RMB123.6 million ($19.9 million) from RMB104.2 million in the prior year period.
Gross margin was 80.6%, compared to 81.0% in the prior year period.
Operating income increased to RMB60.2 million ($9.7 million), from RMB45.9 million in the prior year period, despite an RMB2.8 million increase in depreciation expense.
Interest expense increased to RMB24.9 million ($4.0 million), compared to RMB14.8 million in the prior year period, due to less interest expense capitalization.
Net income attributable to the Company’s shareholders was RMB29.7 million ($4.8 million), compared to RMB32.9 million in the prior year period.
Operating cash flow for the quarter was RMB124.6 million ($20.1 million).
“We began fiscal 2015 with another solid quarter, adding 15,548 new subscribers which represented a modest year-over-year increase,” stated Ms. Ting Zheng, Chief Executive Officer of CCBC. “Through the implementation of sound marketing strategies that focus on service quality and premium branding, we continued to seize opportunities in the high-end segment of the market. As the majority of our new subscribers selected the one-time upfront payment option, our cash-flow generation remained robust and consistent.”
Ms. Zheng further commented, “With our new facilities in Guangdong and Zhejiang largely completed, we are working through the final stages of their development to ensure they are fully operational as soon as possible. The new processing and storage capacity will effectively resolve our processing bottleneck in Zhejiang and allow us to gradually scale up our operations in this under-penetrated region. The additional capacity will also allow us to further develop and penetrate the Guangdong market, the area in which the majority of our new subscribers in the first quarter are located.”