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China Pharma Holdings, Inc. Reports Full Year 2011 Financial Results
Date:3/15/2012

strategy." 

Full Year ResultsRevenues for the year ended December 31, 2011 were $81.2 million, up 9% from revenues of $74.4 million for the year ended December 31, 2010, reflecting higher sales in three out of four product categories. 

The "Digestive Diseases" product group remains the Company's fastest growing revenue category in 2011, with sales increasing 33% to $12.4 million from $9.3 million in 2010.  The strong performance of the Digestive Diseases product group primarily reflects incremental revenue from Tiopronin, and Compound Ammonium Glycyrrhetate, both prescribed for the treatment of Hepatitis and liver dysfunction diseases.  Sales of "Anti-Viro/Infection & Respiratory" products, the Company's largest revenue category during 2011, grew 18% to $32.0 million from $27.1 million in 2010. The "CNS Cerebral and Cadio Vascular" product group ("CNS") generated sales of $25.8 million in 2011, representing an increase of 8% compared to sales of $23.9 million in 2010. We expect the upcoming new CNS products (namely Candesartan and Rosuvastatin) will further support the profitability and sales in this category once launched. Sales from the "Other" product category was $11.0 million in 2011 compared to $14.1 million in 2010, a decrease of 22%,  as all products in this category encountered stronger competition this year compared to the last year.

Gross profit for the year ended December 31, 2011 was $29.0 million, compared to gross profit of $30.3 million in 2010, a decrease of 4%. Gross margin was 36% in 2011, compared to 41% for 2010, a decrease of five percentage points, reflecting pricing pressure during the year.

Selling, general and administrative expenses in 2011 were $7.2 million, or 8.8% of sales, compared to $5.6 million, or 7.5% of sales, in 2010.  For the year ended December 31, 2011, the Company's bad debt expense was $0.1 million, compared to a bad debt expense of $0.5 million in 2010. '/>"/>

SOURCE China Pharma Holdings, Inc.
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