Financial Highlight
- Total revenue was
$34.08 million for the six months endedDecember 31, 2021 . - Revenue from senior care services increased by 70.42% to
$4.09 million for the six months endedDecember 31, 2021 , from$2.40 million for the six months endedDecember 31, 2020 . - Cash and cash equivalents were
$59.32 million and$52.41 million as ofDecember 31, 2021 andJune 30, 2021 , respectively.
For six months ended | |||||||||
($ millions, except per share data, differences due to rounding) | 2021 | 2020 | % Change | ||||||
Total revenue | $ | 34.08 | $ | 44.09 | (22.70 | %) | |||
Total cost of revenue | $ | 23.41 | $ | 28.31 | (17.31 | %) | |||
Gross profit | $ | 10.67 | $ | 15.78 | (32.38 | %) | |||
Net (loss) income | ($ | 0.61 | ) | $ | 8.90 | (106.85 | %) | ||
Net income (loss) per share – basic and diluted | ($ | 0.02 | ) | $ | 0.32 | (106.25 | %) |
Mr.
“Despite the environment causing earnings to be less than prior year, in the second half of 2021, our business remained to be stable. Compared to the second half of 2020 when
“We remain confident in our ability to improve earnings going forward as not only our fundamentals remain strong, we are also implementing our expansionary strategic plans in big health and metaverse segments in order to hedge against the uncertainties around the pandemic and China’s strategy on COVID-19 containment.”
“The outlook of E-Home is promising. In 2022, although the COVID-19 pandemic continues all over the country, our revenue for the first quarter 2022 is more than
Financial Results for Half-Year Ended
Revenue
Our total revenue was
Such decrease was due to the decrease of
Such decreases were primarily due to the lockdown in many cities in
The decreases were partially offset by an increase of
Cost of revenue
Our cost of revenue decreased by
Sales and marketing expenses
Our sales and marketing expenses increased by
General and administrative expenses
Our general and administrative expenses increased by 508.70%, to
Income from operations
As a result of the foregoing, we recorded income from operations of
Net (loss) income
As a result of the cumulative effect of the factors described above, we generated a net loss of
Cash and cash equivalents
As of
Net income (loss) per share – basic and diluted
Basic and diluted net loss per share was
On
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About
Established in 2014,
After years of development, the Company has formed two main services and four auxiliary services targeting at individual consumers (ToC) and business clients (ToB). 1) The ToC business focuses on nanny, sister-in-law, home-based elderly care and cleaning, and family comprehensive service supplemented by other housekeeping services. At present, it has successfully connected with metaverse technology to realize metaverse-based customer service as well as training of domestic workers. The ToB business focuses on public cleaning and cleaning robotic equipment. Four auxiliary services include 1) docking and application of metaverse technology to housekeeping and cleaning industries; 2) online and offline sales of medicine and health food (including nannies and nursing workers); 3) training on nannies and nursing workers to engage in health care in physical stores; 4) human resources (flexible employment).
E-Home has become a modern enterprise of comprehensive service for family life. The Company always adheres to the business philosophy of "solving every issue of customers with heart", and to the code of conduct of "doing everything well with heart". The Company aims to set the benchmark of the household service industry. For more information, visit the Company's website at http://www.ej111.com/ir.html.
Forward-Looking Statements
All statements other than statements of historical fact in this announcement are forward-looking statements in nature within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions are intended to identify such forward-looking statements. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to consider risk factors, including those described in the Company's filings with the
For more information, please contact:
Investor Relations
Email: xcm@ej111.com
Phone: +86 15359908086
Email: IR@changqingconsulting.com
Phone: +1 571-464-9470 (from
+86 13811768559 (from
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN
As of 2021 (unaudited) | As of 2021 | |||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 59,321,982 | $ | 52,410,472 | ||||
Accounts receivable, net | 881,529 | 826,683 | ||||||
Inventory | 35,296 | 246,778 | ||||||
Prepayment and other current assets | 12,111,020 | 12,282,665 | ||||||
Total current assets | 72,349,827 | 65,766,598 | ||||||
Non-current assets | ||||||||
Property, plant and equipment, net | 295,274 | 303,488 | ||||||
Intangible assets, net | 30,867 | 36,031 | ||||||
Long-term investment | 941,073 | - | ||||||
Operating lease - right-of-use assets, net | 4,174,588 | 4,262,736 | ||||||
Finance lease - right-of-use assets, net | 1,270,449 | 1,346,728 | ||||||
Long-term prepayments and other non-current assets | 392,114 | 1,934,955 | ||||||
31,369 | - | |||||||
Deferred income tax assets | 524,536 | 704,262 | ||||||
Total Non-current assets | 7,660,270 | 8,588,200 | ||||||
TOTAL ASSETS | $ | 80,010,097 | $ | 74,354,798 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities | ||||||||
Accounts payable and accrued expenses | $ | 5,583,473 | $ | 4,357,553 | ||||
Advances from customers | 2,967,388 | 2,993,656 | ||||||
Taxes payable | 239,185 | 2,220 | ||||||
Current maturities of operating lease liabilities | 25,336 | 87,103 | ||||||
Current maturities of finance lease liabilities | 61,362 | 59,098 | ||||||
Total current liabilities | 8,876,744 | 7,499,630 | ||||||
Long-term portion of operating lease liabilities | 2,187,674 | 2,147,252 | ||||||
Long-term portion of finance lease liabilities | 417,474 | 442,670 | ||||||
Convertible note | 3,502,650 | - | ||||||
TOTAL LIABILITIES | 14,984,542 | 10,089,552 | ||||||
Commitments and contingencies | - | - | ||||||
SHAREHOLDERS’ EQUITY | ||||||||
Ordinary shares, | 3,359 | 3,359 | ||||||
Additional paid-in capital | 26,185,836 | 25,542,531 | ||||||
Statutory reserve | 664,100 | 664,100 | ||||||
Retained earnings | 36,198,148 | 36,804,282 | ||||||
Accumulated other comprehensive income(loss) | 1,994,065 | 1,298,015 | ||||||
Total equity attributable to shareholders | 65,045,508 | 64,312,287 | ||||||
Non-controlling interest | (19,953 | ) | (47,041 | ) | ||||
TOTAL SHAREHOLDERS’ EQUITY | 65,025,555 | 64,265,246 | ||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 80,010,097 | $ | 74,354,798 |
CONDENSED CONSOLIDATED STATEMENTS OF INCOME/(LOSS) AND COMPREHENSIVE INCOME/(LOSS)
(IN
(UNAUDITED)
For the six months ended | ||||||||
2021 | 2020 | |||||||
Revenue | ||||||||
Installation and maintenance | $ | 21,979,399 | $ | 32,055,964 | ||||
Housekeeping | 8,009,015 | 9,630,598 | ||||||
Senior care | 4,091,068 | 2,404,491 | ||||||
Total revenue | 34,079,482 | 44,091,053 | ||||||
Cost of revenue | ||||||||
Installation and maintenance | 14,693,065 | 19,837,880 | ||||||
Housekeeping | 6,687,377 | 7,358,322 | ||||||
Senior care | 2,027,637 | 1,110,011 | ||||||
Total cost of revenue | 23,408,079 | 28,306,213 | ||||||
Gross profit | 10,671,403 | 15,784,840 | ||||||
Operating expenses | ||||||||
Sales and marketing expenses | 4,357,836 | 3,027,223 | ||||||
General and administrative expenses | 5,602,754 | 919,089 | ||||||
Total operating expenses | 9,960,590 | 3,946,312 | ||||||
Income from operations | 710,813 | 11,838,528 | ||||||
Other income (expenses) | ||||||||
Interest income | 90,907 | 49,333 | ||||||
Interest expenses | (23,793 | ) | (12,820 | ) | ||||
Amortization of financing cost | (20,322 | ) | - | |||||
Foreign currency exchange (loss)/ gain, net | (6,920 | ) | - | |||||
Total other income (expenses), net | 39,872 | 36,513 | ||||||
Income before income taxes | 750,685 | 11,875,041 | ||||||
Income tax expense | (1,356,819 | ) | (2,970,179 | ) | ||||
Net (loss) income | $ | (606,134 | ) | $ | 8,904,862 | |||
Including: | ||||||||
Net (loss) income attributable to the Company’s shareholders | (606,134 | ) | 8,906,124 | |||||
Net loss attributable to minority interests | - | (1,262 | ) | |||||
Net (loss) income | $ | (606,134 | ) | $ | 8,904,862 | |||
Other comprehensive income | ||||||||
Foreign currency translation adjustment, net of nil tax | 696,050 | 3,080,618 | ||||||
Total comprehensive income | $ | 89,916 | $ | 11,985,480 | ||||
Net income per share—basic and diluted | (0.02 | ) | 0.32 | |||||
Weighted average number of ordinary shares outstanding—basic and diluted | 33,581,556 | 28,000,000 |
CHINA SXT PHARMACEUTICALS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(IN
(UNAUDITED)
For the six months ended | ||||||||
2021 | 2020 | |||||||
Cash provided by operating activities | ||||||||
Net income | $ | (606,134 | ) | $ | 8,904,862 | |||
Deferred tax expense | 187,553 | (349,219 | ) | |||||
Interest expense | 23,793 | 12,820 | ||||||
Depreciation and amortization | 40,411 | 13,229 | ||||||
Amortization of right-of-use assets | 248,518 | 337,753 | ||||||
Convertible note - Amortization of financing cost | 20,322 | - | ||||||
Changes in operating assets and liabilities | ||||||||
Accounts receivables, net | (43,555 | ) | 271,831 | |||||
Inventories | 213,049 | - | ||||||
Prepayment and other current assets | 2,279,543 | 619,103 | ||||||
Long-term prepayments and other non-current assets | 1,556,045 | (378,193 | ) | |||||
Accounts payable and accrued expenses | (2,370,396 | ) | 4,713,298 | |||||
Taxes payable | 235,060 | 1,820,328 | ||||||
Cash provided by operating activities | 1,784,209 | 15,965,812 | ||||||
Investing Activities | ||||||||
Purchases of equipment and vehicles | (22,680 | ) | - | |||||
Long-term investment | (941,073 | ) | - | |||||
Right-of-use-asset costs | (103,641 | ) | (244,859 | ) | ||||
Consideration paid to former non-controlling shareholders of HAPPY | (54,462 | ) | - | |||||
Refund for potential acquisitions | 1,000,000 | - | ||||||
Cash used in investing activities | (121,856 | ) | (244,859 | ) | ||||
Financing Activities | ||||||||
Proceeds from convertible note | 5,275,000 | |||||||
Payment of convertible note issuance cost | (667,920 | ) | - | |||||
Cash provided by financing activities | 4,607,080 | - | ||||||
Net increase in cash and cash equivalents | 6,276,880 | 15,720,953 | ||||||
Effects of currency translation | 634,630 | 2,777,922 | ||||||
Cash and cash equivalents at beginning of period | 52,410,472 | 25,022,199 | ||||||
Cash and cash equivalents at end of period | $ | 59,321,982 | $ | 43,521,074 | ||||
SUPPLEMENTAL DISCLOSURES | ||||||||
Income taxes paid | $ | 616,604 | $ | 1,509,091 | ||||
Interest paid | $ | 23,793 | $ | 12,820 |
Source:
2022 GlobeNewswire, Inc., source