WEIFANG, Shandong, China, Feb. 13 /PRNewswire-Asia-FirstCall/ -- Shengtai Pharmaceutical, Inc. (OTC Bulletin Board: SGTI) ("Shengtai" or "the Company"), a leading manufacturer and distributor of high-quality, pharmaceutical grade glucose products in China, today reported financial results for the second quarter of fiscal 2009 ended December 31, 2008.
"Sales of our glucose products increased during the second quarter compared with the September quarter," said Mr. Qingtai Liu, Shengtai Pharmaceutical's CEO. "Sales of our cornstarch and other products were impacted in the second quarter due to lower demand from the food and beverage sector along with slower economic growth. We believe that the solid demand for glucose products and the increased healthcare spending included in the Chinese government's recently approved 850 billion RMB healthcare reform plan, will propel the continued growth of our domestic glucose business. With the growth of our higher-margin glucose business, we look to consume more cornstarch internally to feed our glucose production, as our cornstarch plant directly connects into our glucose plant through pipes, eliminating shipping, lowering manufacturing costs and ensuring quality. Furthermore, we are pleased to see the declining corn prices in recent months, which will help improve our margins."
"On the sales front, our sales team is aggressively seeking new strategic
partnerships, both domestically and internationally, to increase our market
share and expand sales channels. In the midst of healthcare reform including
new hospital build-out and increased healthcare budgets, many of our key
customers are actively launching new products including higher margin non-PVC
soft packaging transfusion products. We continue to engage with our current
customers in an effort to increase their purchase volumes, as we seek to
better understand their current procurement needs and new product develop
|SOURCE Shengtai Pharmaceutical, Inc.|
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