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China Yongxin Pharmaceuticals Reports First Quarter 2010 Financial Results
Date:5/24/2010

CHANGCHUN, China and LOS ANGELES, May 24 /PRNewswire-Asia/ -- China Yongxin Pharmaceuticals Inc. (OTC Bulletin Board: CYXN) ("the Company"), one of the leading health products distribution and retail sales companies in China, today announced its financial results for the first quarter ending March 31, 2010.

Revenues for the first quarter of 2010 were $10.68 million, a 16.3% increase from $9.18 million for the same period of 2009. Revenues from retail drug stores for the first quarter of 2010 were $3.99 million, an increase of 19.5% compared to $3.34 million for the first quarter of 2009. Revenues from the wholesale pharmaceutical distribution business for the first quarter of 2010 were $7.69 million, an increase of 7.0% from $7.19 million for the first quarter of 2009.

A substantial portion of the increase in sales was attributable to the Chinese government's national medical insurance program and its provision for National Essential Drug List which drugs are allowed for healthcare reimbursement by recipients. Approximately 95% of Yongxin's drugs are included in the National Essential Drug List.

The cost of goods sold for the first quarter of 2010 was $8.28 million, an increase of 1.8% compared to $6.95 million for the first quarter of 2009. The slight increase was due to the increased sales of seasonal medications driven by market demand, such as cold medicine and antibiotics, the sales of which typically increase
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SOURCE China Yongxin Pharmaceuticals Inc.
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