Navigation Links
SOKO Fitness & Spa Group Announces Second Quarter FY2009 Financial Results
Date:1/14/2009

HARBIN, China, Jan. 14 /PRNewswire-Asia-FirstCall/ -- SOKO Fitness & Spa Group, Inc. (OTC Bulletin Board: SOKF), a leading operator of fitness clubs and spas in Northern China, today announced its operating results for the fiscal second quarter ended November 30, 2008.

Total revenue for the quarter was $4.61 million, reflecting an increase of 38% from the prior year. For the six months ended November 30, 2008, revenues were $8.88 million, an increase of 63% from the prior year. SOKO also reaffirmed its previous FY2009 revenue guidance in a range of $16.3 to $18.3 million and its pro forma net income guidance of $6.5 to $7.1 million.

Net income during the quarter grew 57% to $1.68 million, or $0.10 EPS per diluted share. This compares to net income of $1.07 million for Q2 2008.

Revenue growth was driven by increasing sales from existing customers as well as the opening of new facilities. Sales from the more mature facilities were $4.15 million and sales from new facilities were $0.45 million.

The gross profit margin increased to 76%, compared to 64% for the prior year's quarter driven by the mix of higher margin service revenue from fitness and yoga and beauty school revenue. Management believes a sustainable gross margin will settle at an average level of 74%.

Operating expenses increased by approximately $0.66 million to $1.72 million for the three months ended November 30, 2008. This represents an increase from 32% to 37% of revenue. The increase in SG&A expense is mainly driven by the cost of being a public company and building up the management team for the new facilities.



                                   FOR THE SIX MONTHS   FOR THE THREE MONTHS
                                           ENDED                ENDED
                                        NOVEMBER 30,         NOVEMBER 30,
                                      2008       2007       2008       2007

    Revenue                     $8,885,158 $5,454,937 $4,608,291 $3,333,376

    Cost of Sales               (2,072,083)(1,715,396)(1,100,242)(1,198,587)

    Gross Profit                 6,813,075  3,739,541  3,508,049  2,134,788
    Gross Profit Margin                 77%        69%        76%        64%
    Operating expenses           3,319,689  1,708,109  1,724,190  1,066,977

    Net Income                   3,319,746  2,030,726  1,676,405  1,066,433
    Diluted Income per common
     share                           $0.20      $0.19      $0.10      $0.10
    Weighted average common
     share outstanding
          Diluted (restated)    17,000,000 10,725,000 17,000,000 10,725,000


CEO Liu, Tong, CFO Yu, Xia, and corporate secretary Mu, Yan will host a conference call for shareholders at 8 am EST on Thursday, Jan. 15, 2009 to discuss second quarter 2009 results.

    Dial-In Number(s):
     * US/Canada Toll Free Dial-in #:    (866) 811 - 8933
     * Int'l/Local Dial-In #:            +1 (706) 645 - 9773
     * North China Dial-In #:            +86 (10) 8007130924

     SOKO 2nd Quarter Earnings Conference ID # 81397571

NOTE: In order to join this conference call, all speakers and participants will be required to provide the Conference ID Number listed above.

About SOKO Fitness & Spa Group, Inc.:

SOKO Fitness & Spa Group, Inc., is a leading operator of fitness clubs and spas in Northeast China. The Company provides programs, services, and products uniquely combined with exercise, education, and nutrition to help their members lead a healthy life and achieve their fitness goals. For further information, please go to http://www.sokofitness.com .

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by words or phrases such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the business outlook and quotations from management in this press release contain forward-looking statements. Statements that are not historical facts, including statements about SOKO's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. SOKO does not undertake any obligation to update any forward- looking statement, except as required under applicable law.

    For more information, please contact:

     The U.S. Office:
     Mu Yan
     Tel:   +1-484-716-1081
     Email: muyan@sokofitness.com

     China Office:
     Yu Xia
     Tel:   +86-451-8770-2255
     Email: yuxia@sokofitness.com

'/>"/>
SOURCE SOKO Fitness & Spa Group, Inc.
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. SOKO Fitness & Spa Group Announces Changes to Previously Issued Financial Statements
2. Brain Fitness Coming to Senior Exercise Classes
3. MyFitness Planner really moves you
4. MyFitness Planner Really Moves You
5. More Screen Time Linked to Poor Fitness in Girls
6. Neuroactive Bike: America's First And Only Mind-Body Fitness Equipment Used For The Ultimate Brain Fitness Gym Program Launched This Month At Lady Of America Fitness Center
7. SOKO Fitness & Spa Group, Inc. Announces Participation in the ICR XChange Conference
8. New SMHEART LINK(TM) Technology Allows iPhones to Double as Fitness Monitors
9. Universal Music Enterprises (UMe) and Body By Jake Global Create the Worlds First Digital Fitness Music Label
10. MAKE IT FIT(TM) Offers Virtually Free Fitness Service to All Mississippi Residents on Make Mississippi Fit Day
11. Resolve for Results: 10 Tips From Equinox Fitness Club to Help You Keep Your Resolutions in 09
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/26/2016)... Charlotte, NC (PRWEB) , ... June 26, 2016 , ... Brent Kasmer, a legally blind ... able to be personalized through a fitness app. The fitness app plans to fix the ... solutions currently only offer a one size fits all type program , They ...
(Date:6/25/2016)... ... June 25, 2016 , ... "With 30 hand-drawn hand gesture ... said Christina Austin - CEO of Pixel Film Studios. , ProHand Cartoon’s package ... Final Cut Pro X . Simply select a ProHand generator and drag it ...
(Date:6/25/2016)... ... ... Conventional wisdom preaches the benefits of moderation, whether it’s a matter of ... too high can result in disappointment, perhaps even self-loathing. However, those who set the ... Research from PsychTests.com reveals that behind the tendency to set low expectations ...
(Date:6/24/2016)... (PRWEB) , ... June 24, 2016 , ... ... Conference and Scientific Sessions in Dallas that it will receive two significant new ... the grants came as PHA marked its 25th anniversary by recognizing patients, medical ...
(Date:6/24/2016)... ... ... People across the U.S. are sharpening their pencils and honing their writing skills ... patients and their families pay tribute to a genetic counselor by nominating him or ... Counselors (NSGC) Annual Education Conference (AEC) this September. , In April, Genome magazine ...
Breaking Medicine News(10 mins):
(Date:6/24/2016)... Dublin - ... " Global Markets for Spectroscopy Equipment" report ... This report focuses on the global market of ... applications in various applications. The report deals with spectroscopy ... industries: pharmaceutical and biotechnology, food and beverage, and environmental ...
(Date:6/24/2016)... 24, 2016 The Academy of Managed Care ... that would allow biopharmaceutical companies to more easily ... make formulary and coverage decisions, a move that addresses ... medicines. The recommendations address restrictions in the ... the drug label, a prohibition that hinders decision makers ...
(Date:6/24/2016)... SAN CLEMENTE, Calif. , June 24, 2016  American Respiratory ... testing company, is now able to perform sophisticated lung assessments in ... Medical Technologies , Inc. Patients are no longer ... to ndd,s EasyOne PRO ® , ARL patients like Jeanne R. ... testing done in the comfort of her own home. ...
Breaking Medicine Technology: