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China Kanghui Holdings Reports Third Quarter 2011 Financial Results
Date:11/9/2011

ncial Officer of Kanghui, commented, "Our strong third quarter performance demonstrates the resiliency of Kanghui's balanced and diversified revenue model, pursuant to which the decrease in our international sales were fully covered by our strong growth in domestic and OEM sales.  We continued to benefit from firm pricing in our proprietary products and achieved strong gross profits.  Considering the strong demand for our products and our increasing market share, we feel confident about our future prospects for the remainder of 2011 and beyond."

Third Quarter 2011 Financial and Operating Results Net revenue increased by 26.9% year-over-year to RMB80.7 million ($12.7 million) in the third quarter of 2011 from RMB63.6 million in the corresponding period of the prior year.  Net revenue from trauma products increased by 22.8% year-over-year to RMB48.5 million ($7.6 million) in the third quarter of 2011 from RMB39.5 million in the corresponding period of the prior year. Net revenue from spine products increased by 34.4% year-over-year to RMB25.4 million ($4.0 million) in the third quarter of 2011 from RMB18.9 million in the corresponding period of the prior year. Net revenue from OEM products increased by 30.8% year-over-year to RMB6.8 million ($1.1 million) in the third quarter of 2011 from RMB5.2 million in the corresponding period of the prior year. Domestic sales of proprietary products increased by 36.5% year-over-year to RMB64.0 million ($10.0 million) in the third quarter of 2011 from RMB46.9 million in the corresponding period of the prior year, while international sales of proprietary products decreased by 13.9% year-over-year to RMB9.9 million ($1.6 million) in the third quarter of 2011 from RMB11.5 million in the corresponding period of the prior year.

In the third quarter of 2011, cost of revenue increased by 23.5% to RMB22.1 million ($3.5 million) from RMB17.9 million in the corresponding period of the prior year. Gross profi
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SOURCE China Kanghui Holdings
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