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China Shenghuo Announces Restated Results For Full Year 2007 & First Quarter 2008, Reports Results For Second & Third Quarter 2008
Date:11/20/2008

w CFO and the new independent director Dr. Jason Zhang, who is also on our Audit Committee, is to bring their expertise in accounting, auditing, corporate governance and reporting to help restore shareholders' confidence. These steps should result in substantial improvement in our financial reporting process."

Restatement Impact on Full-Year 2007 and First Quarter 2008

    The summarized restated results for 2007 and first quarter 2008 are as
follows:

    Full Year 2007             As Previously Reported     As Restated
    Net Income (Loss)               $4,016,640             $1,720,387
    Net Income (Loss)
     Per Diluted Share                    0.21                   0.09

    First Quarter 2008         As Previously Reported     As Restated
    Net Income (Loss)                ($338,341)             ($852,660)
    Net Income (Loss)
     Per Diluted Share                   (0.02)                 (0.04)

More detail regarding these amounts and the restatements can be obtained from the Company's amended Annual Report on Form 10-KSB/A for the year ended December 31, 2007, and its amended Quarterly Report on Form 10-Q/A for the first quarter ended March 31, 2008, which were filed with the U.S. Securities and Exchange Commission on Friday November 14, 2008.

Second Quarter 2008 Financial Highlights

Revenues for the second quarter of 2008 were $8.59 million, up 35% year- over-year compared with $6.36 million reported in the second quarter of 2007. The increase in sales was driven mainly by the increase in sales of the Company's main product, Xuesaitong Soft Capsules, as well as the Company's non-prescription ("OTC") pharmaceutical products.

Gross profit for the three months ended June 30, 2008 was $5.60 million compared with $4.77 million in the same period last year. Gross margin was 65.2%, a decline from 75.1% in the second quarter of 2007. The decre
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SOURCE China Shenghuo Pharmaceutical Holdings, Inc.
Copyright©2008 PR Newswire.
All rights reserved

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