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China-Biotics, Inc. Reports First Quarter Fiscal 2010 Financial Results
Date:8/17/2009

SHANGHAI, Aug. 17 /PRNewswire-Asia-FirstCall/ -- China-Biotics, Inc. (Nasdaq: CHBT) ("China-Biotics", "the Company"), a leading Chinese firm specializing in the manufacture, research, development, marketing and distribution of probiotics products, today announced its financial results for the first quarter of its 2010 fiscal year, ended June 30, 2009.

    First Quarter 2010 Highlights

    -- Net sales increased 35.5% year-over-year to $15.4 million
    -- Gross profit rose 34.5% to $10.9 million, with a gross margin of 70.8%
    -- Net income was $5.8 million, or $0.34 per basic and diluted share, up
       78.2% year-over-year
    -- Excluding changes in the fair value of convertible notes, non-GAAP net
       income was $5.3 million, or $0.31 per diluted share, up 17.4% year-
       over-year
    -- Signed agreement with Dabeinong Group to supply probiotics as bulk
       additives for poultry feed products
    -- Senior officials from SFDA visited China-Biotics
    -- Joined the Russell 3000(R) Index and Russell Global(R) Index

First Quarter 2010 Results

During the first quarter of the 2010 fiscal year, net sales increased 35.5% to $15.4 million from $11.4 million a year ago. The increase resulted from an increase in sales volume from new products, most of which were sold in the Company's Shining-branded retail outlets, significant growth in the bulk additive business and sales price increases on bulk additives products. Sales of retail products were $11.8 million, or 76.8% of total sales, up 14.2% from the same quarter of fiscal 2009. Sales of bulk additives were $3.6 million, or 23.2% of total sales, an increase of 255% from $1 million, or 8.8% of total sales, a year ago.

"We continued to deliver solid year-over-year growth in the top and bottom
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SOURCE China-Biotics, Inc.
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