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China Sky One Medical Announces Fourth Quarter and Fiscal Year 2010 Results
Date:3/15/2011

.0 million, or $2.22 per diluted share in 2009
  • Relocated corporate headquarters to Harbin Song Bei New Development District
  • Acquired rights to cultivate and produce herbs and other ingredients for use in traditional Chinese medicine (TCM) and other health food products on 74,000 acres of forested land in the Xiao Xing'an Mountain region

  • "Our full year financial results were in line with our expectations.  We saw a modest increase in our top line as we took aggressive steps to replace the two major distributors who discontinued their business relationships with us in the third quarter.  Our sales network now covers 18 provinces in mainland China and several countries and regions overseas. We are now co-operating with nationwide chain pharmacies to reach all major metropolitan areas throughout China while relying on larger regional sales agents to resell our products to smaller distributors and retail stores," said Mr. Yan-Qing Liu, Chairman and CEO of China Sky One Medical, Inc. "In 2011, we will introduce a number of new products, and we will continue to invest heavily in high margin branded drugs to support long-term sustainable growth."

    Fourth Quarter 2010 esultsIn the fourth quarter of 2010, China Sky One's total revenues decreased 10.2% to $26.8 million compared to $29.9 million in the same quarter last year. This decrease was primarily attributable to the termination of business relationships with one domestic distributor and one overseas sales agent during the third quarter of 2010.

    By product category, lower sales from patches and sprays contributed to the Company's overall year-over-year decline in revenue.  This was partially offset by increases in ointments, drops, diagnostic kits and other diversified products.

    Revenues generated from ointment products increased $2.0 million, or 38.8%, year-over-year to $7.4 million in the fourth quarter of 2010, which account for 27.4% of total revenue.
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    SOURCE China Sky One Medical, Inc.
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