The Company generated $12.2 million in net cash flow from operating activities in the first nine months of 2011, compared to $25.6 million in the comparable year ago period. The decrease in cash provided by operating activities was primarily due to the decline in net income in the nine months ended September 30, 2011 as compared to the year-ago period.
Cash flows used in investing activities were approximately $35.5 million for the nine months ended September 30, 2011, compared to $7.8 million in the same period of 2010. Major cash flows in investing activities primarily related to the Company's expenditures of approximately $22.7 million as related to its new facilities located in the High-Tech Development Zone of Song Bei District in Harbin, China.
Cash flows provided from financing activities were zero for the nine months ended September 30, 2011, compared to approximately $94,000 for the same period in 2010.
Management believes that capital is sufficient to take advantage of new investment opportunities and to meet future liquidity and capital needs.
Recent DevelopmentsIn the third quarter of 2011, the Company's wholly-owned subsidiary, Harbin Tian Di Ren Medical Science and Technology Company (TDR) acquired the 50-year land use rights covering approximately 85,000 square meters of land located in the High-Tech Development Zone of Song Bei District in Harbin, China, for total consideration of approximately $7.5 million. The Company intends to build an R&D center, an injection manufacturing facility, a logistics center, and an office building on the land during the first phase of development, which the Company currently expects to complete by mid-2012 at an estimated cost of completion of approximately $45 million to $49 million. As of September 30, 2011, the Company has invested approximately $22.8 million in the construction project.
Conference CallChina Sky One will conduct a con
|SOURCE China Sky One Medical, Inc.|
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