XI'AN, China, April 17, 2017 /PRNewswire/ -- SkyPeople Fruit
Juice, Inc. (NASDAQ: SPU) ("SkyPeople" or "the Company"), a
producer of fruit juice concentrates, fruit juice beverages and
other fruit-related products, today announced its financial results
for the fiscal year ended December 31,
2016.
Fiscal Year 2016 Summary:
- Total revenue was $34.4
million
- Gross profit was $9.2
million
- Gross profit margin was 27%
- Net loss attributable to SkyPeople Fruit Juice, Inc.
stockholders was $5.5 million
- Cash, cash equivalents and restricted cash were $1.1 million as of December 31, 2016
"We have engaged in a rebuilding and a refocusing of our core
businesses in fiscal 2016 as evidenced by our many strategic
initiatives," said Mr. Hongke Xue, Chief Executive Officer of
SkyPeople. "However, we were still able to generate positive
operating income before taxes for the year despite a challenging
market environment due to unexpected weather conditions,
difficulties in sourcing raw materials, volatility in selling
prices and a shift in one of our core business segments."
"To help us to mitigate the risk associated with the sourcing of
our raw materials, as well as to optimize the quality of our
products, we entered into agreements to both purchase and lease
orchards for kiwi and orange fruit production. We will seek to
employ modern agricultural techniques to maximize our production
output and secure abundant raw materials fruit for our new
state-of-the-art processing facilities when they begin production.
The new orchards will also help to shield us from occasional
disruptions in our supply chain and ensure stronger competitive
positioning so as to generate stable cash flow. We also expect
important synergies to develop from our currently operational
trading center in Mei County that contains all of the working
elements needed for a successful agricultural enterprise, and in
concert with the participation of local parties, forms a powerful
agricultural center."
"We also expect important synergies from our recently acquired
businesses that will augment our existing operations. This will
enable us to be more customer-centric as we have added capabilities
which include e-commerce platforms, big data analytics, commodities
trading, innovative finance, international trade, industrial
integration, management services and on-line marketing and sales.
Our vision is to optimize our overall company performance and
profitability utilizing a consumer distribution model where our
integrated value chain generates a diversified and sustainable
revenue stream for many years to come," Mr. Xue continued.
"In broadening and deepening our business model, we are pleased
to welcome new partners to work with us on our corporate growth
plans who we believe will bring both expertise and a commitment to
succeed. We anticipate that these new stakeholders will help us to
bridge traditional growing and distribution methods with new and
high-tech means to uncover better profitability in our core
business while creating new revenue sources."
"We are excited about our outlook for 2017 since we view the
underlying demand for our products to be sound, driven by the
continuing trends of urbanization, changing demographics, higher
personal incomes and a transition towards healthy lifestyles. We
view our new end-to-end business model as constituting a blueprint
for today's modern agricultural enterprise as it will enable us to
effectively compete and succeed in a world driven by online
technology, manufacturing efficiencies, risk management and
increasing consumer awareness. We appreciate the support of
our shareholders as we engage in building a dynamic world-class
company that can capitalize on today's opportunities while being
positioned for tomorrow's growth," Mr. Hongke Xue concluded.
Full Year 2016 Financial Results
Revenue for the twelve months ended December 31, 2016 was $34.4 million, a decrease of 60%, as compared to
$86.4 million for fiscal 2015. This
decrease was primarily due to a decrease in sales in four out of
five of our fruit-based business segments.
Fiscal Year Revenue by Segment (in thousands)
(In $000's, except
%'s)
|
Year Ended Dec.
31,
|
|
|
|
2016
|
|
2015
|
|
% of
change
|
Concentrated apple
juice and apple aroma
|
7,708
|
|
19,806
|
|
(61%)
|
Concentrated
kiwifruit juice and kiwi puree
|
725
|
|
9,203
|
|
(92%)
|
Concentrated pear
juice
|
9,262
|
|
13,426
|
|
(31%)
|
Fruit juice
beverages
|
14,768
|
|
44,004
|
|
(66%)
|
Other – fruit related
products
|
1,944
|
|
1
|
|
1,943%
|
Total
|
34,407
|
|
86,440
|
|
(60%)
|
Revenue by Segment. Sales from apple-related products
were $7.7 million for fiscal 2016, a
61% decrease from sales of $19.8
million for fiscal 2015. During fiscal 2016, the Company
sold 7,705 tons of concentrated apple juice and apple aroma, a 53%
decrease from the 16,537 tons of apple-related products sold in
fiscal 2015. In fiscal 2016, international demand of concentrated
apple juice from China continued
to drop, which negatively affected this business segment, since
most of our concentrated apple juice was sold either directly or
indirectly to the international market. Because of the negative
trends in the international market, and lower operating margins,
our YingKou and Huludao Wonder factories did not operate their
apple juice production facilities in fiscal 2016 which resulted in
a lower inventory of concentrated apple juice.
Sales from concentrated kiwifruit juice and kiwifruit puree were
$0.7 million for fiscal 2016, a 92%
decrease from sales of $9.2 million
in fiscal 2015. The decrease was primarily a result of the
decreased volume of products sold in fiscal 2016 as compared to
fiscal 2015. During fiscal 2016, the Company sold 327 tons of
concentrated pear juice, a 95% decrease from the 6,598 tons of
concentrated kiwifruit juice and kiwifruit puree sold in fiscal
2015.
Sales of concentrated pear juice were $9.3 million in fiscal 2016, a 31% decrease from
sales of $13.4 million in fiscal
2015. During fiscal 2016, the Company sold 11,107 tons of
concentrated pear juice, an 11% decrease from the 12,409 tons of
concentrated pear juice sold in fiscal 2015. Due to
unexpected weather conditions in the 2015 pear harvest season, the
amount of available raw material supplies was low in early 2016. As
a result of these weather conditions, the squeezing season started
later than usual, and the production amount was lower.
Sales from our fruit juice beverages segment were $14.8 million in fiscal 2016, a 66% decrease from
sales of $44.0 million for fiscal
2015. The decline in revenues was primarily due to a decrease in
the in-store demand of our products as a result of heavy
competition in the Chinese market as consumers increased their
fruit juice beverage purchases through the on-line home delivery of
groceries instead of through the traditional in-store supermarkets
in which we sell our products.
Sales from our other - fruit related products segment were
$1.9 million for fiscal 2016, an
increase from sales of $1,000 for
fiscal 2015. The amount of sales in this business segment is
expected to be unstable and is generally not indicative of this
segment's future sales.
Gross Profit. Gross profit was $9.2 million in fiscal 2016, a decrease of 65%
from $26.1 million in fiscal 2015,
mainly due to the decrease in revenue. The year-over-year decrease
in total gross profit was only slightly offset by an increase in
gross profit in the apple-related and other – fruit related product
business segments. The gross profit margin was 27% in fiscal 2016
as compared to 30% for fiscal 2015.
|
Year Ended December
31,
|
(In $000's, except
%'s)
|
2016
|
|
2015
|
|
Gross
profit
|
|
Gross
margin
|
|
Gross
profit
|
|
Gross
margin
|
Concentrated apple
juice and
apple aroma
|
1,985
|
|
26%
|
|
1,635
|
|
8%
|
Concentrated
kiwifruit juice
and kiwi puree
|
62
|
|
9%
|
|
1,544
|
|
17%
|
Concentrated pear
juice
|
2,101
|
|
23%
|
|
4,764
|
|
35%
|
Fruit juice
beverages
|
4,692
|
|
32%
|
|
18,181
|
|
41%
|
Other – fruit related
products
|
333
|
|
17%
|
|
1
|
|
100%
|
Total
|
9,173
|
|
27%
|
|
26,125
|
|
30%
|
Operating expenses for fiscal 2016 decreased by 57% to
$6.9 million, or 20% of sales,
compared to $15.9 million, or 18% of sales for fiscal 2015.
General and administrative expenses decreased 53% to $5.0 million in fiscal 2016 from $10.7 million for fiscal 2015, mainly due to the
decrease in our employee headcount during fiscal 2016 as a result
of lower production and increased competitive market conditions in
China. Selling expenses decreased
63% to $1.9 million in fiscal 2016
from $5.2 million in fiscal 2015,
mainly due to the reduced amount of sales generated during fiscal
2016.
Loss from continuing operations after taxes for fiscal 2016 was
$0.8 million, as compared to income
from continuing operations of $2.9
million for fiscal 2015. The decrease in income from
operations was mainly due to a 60% decrease in revenue, which was
partially offset by a decrease in total operating expenses.
Net loss attributable to SkyPeople Fruit Juice shareholders for
the fiscal year 2016 was $5.5
million, as compared to net income of $2.9 million in fiscal 2015, while diluted loss
per share from continued operations was $0.19 for fiscal 2016 as compared to diluted
earnings per share from continued operations of $0.11 for fiscal 2015.
Financial Condition
As of December 31, 2016, the
Company had $1.1 million in cash,
cash equivalents and restricted cash, reduced from $53.1 million as of fiscal year end 2015. The
Company had working capital of $24.7
million as of fiscal year end 2016 as compared to working
capital of $42.3 million as of fiscal
year end 2015. As of December 31,
2016, the Company had total liabilities of $91.5 million, which included $29.4 million in short-term bank loans and
$14.5 million in capital lease
obligations. Stockholders' equity attributable to SkyPeople Fruit
Juice was $135.0 million as of fiscal
year end 2016 as compared to $178.1
million as of fiscal year end 2015.
During fiscal 2016, net cash used in the Company's operating
activities was $34.4 million, as
compared to a positive cash inflow of $104.3
million in fiscal 2015. Net cash used in investing
activities were $21.0 million for
fiscal 2016 as compared to net cash used in investing activities of
$20.8 million in fiscal 2015. In
fiscal 2016, cash used in the Company's financing activities was
$24.1 million as compared to cash
used in the Company's financing activities of $60.4 million in fiscal 2015. The Company expects
projected cash flows from operations, anticipated cash receipts,
cash on hand, and trade credit will provide the necessary capital
to meet its projected operating cash requirements for at least the
next twelve months, which does not take into account any potential
expenditures related to the potential expansion of our current
production capacity.
Project Updates
The Company entered into a Letter of Intent with the People's
Government of Suizhong County fruit to establish a fruit and
vegetable industry chain and processing zone in Suizhong County,
Liaoning Province, China. The Company has made partial payment to
acquire the land use right from the local government, purchase
equipment and build facilities. As of the date of this report, the
Company has finished construction of an office building, dormitory,
refrigeration storage facility and a warehouse. However, due to
heavy competition in the concentrated fruit juice business in
China, construction work on this
project is currently suspended.
The Company is developing an orange processing and distribution
center pursuant to its investment/service agreement with the Yidu
Municipal People's Government in Hubei
Province, China. Pursuant
to the agreement, the Company will be responsible for an investment
amount of approximately $48 million
which will be mainly used to establish the distribution center and
the orange processing facility on project land of approximately 280
mu (approximately 46 acres). Also, the Company and the Yidu
Municipal People's Government has agreed to discuss the investment
amount and location associated with establishing an R&D center
and an orange plantation. On November 23,
2015, the Company started the construction of the Yidu
project. The Company plans to finish the construction of the
infrastructure of office building, R&D center, fruit juice
production facility, cold storage facility and other construction
work in the second quarter of 2017. The orange plantation is
planned to be operational in the second quarter of 2017 and the
distribution center is planned to be completed by the fourth
quarter of 2017.
The Company is developing a kiwi processing and trading center
pursuant to its investment agreement with the Managing Committee of
Mei County National Kiwi Fruit Wholesale Trading Center, which has
been authorized by the People's Government of Mei County,
China. Pursuant to the agreement,
the Company will be responsible for construction and financing with
an investment amount of approximately $72
million for buildings and equipment on a total planned area
of 286 mu (approximately 47 acres). As of the date of
this report, the Company is in the process of building fruit juice
production lines, a vegetable and fruit flash freeze facility, an
R&D center and an office building. The Company plans to
complete the construction of these facilities in the second quarter
of 2017.
As of the date of this report, the Mei County National Kiwi
Fruit Wholesale Trading Center has started normal operations. There
are a number of enterprises operating in the trading center
including 12 express delivery companies, 12 logistic companies,
four on-line sales companies, two packing companies and three
agriculture companies. In addition, all government departments that
are relevant to the operations of the Mei County National Kiwi
Fruit Wholesale Trading Center have moved into the trading center.
The Company is expected to have completed its investment in the
trading center in the second quarter of 2017, and believes that it
will generate income from the trading center through various means,
such as generating profit in the agricultural trading
area.
Recent Events
On April 13, 2017, the Company
announced that it has entered into a definitive agreement with
institutional investors to purchase shares of common stock for
aggregate gross proceeds of $2,672,500 in a registered direct offering. The
closing of the offering is expected to take place on or before
April 17, 2017, subject to the
satisfaction of customary closing conditions. The Company intends
to use the net proceeds from the transaction to fund working
capital and other general corporate purposes.
On April 12, 2017, the Company
announced that on April 10, 2017,
Xi'an Hedetang E-Commerce Co., Ltd. ("Hedetang E-Commerce"), an
indirect holding company of SkyPeople Fruit Juice, Inc., signed a
one-year service agreement to market its products on the open
platform Xunqin Mall with Shenzhen Weipin Zhiyuan Information
Technology Co., Ltd. ("Shenzhen Weipin"), one of whose shareholders
is China Continent Insurance. The brands to be marketed are the
Company's Hedetang and Hede Jiachuan products. The Company
believes that joining Xunqin Mall can help the Company to grow
faster, improve operating efficiencies and promote regional
sales.
On March 23, 2017, the Company
announced that on March 20, 2017, its
wholly owned subsidiaries, Hedetang Foods (China) Co. Ltd. ("Hedetang China") and
Hedetang Farm Products Trading Market (Mei County) Co. Ltd.,
("Hedetang Farm") entered into an agreement with Xi'an Taizhan
Financial Management Co., Ltd. ("Taizhan") to jointly establish a
new company currently named China Agricultural Commodity Trading
Market Co., Ltd. (the "China Agricultural Commodity Trading
Center") in Mei County, Shaanxi
Province, China. Once
established, the China Agricultural Commodity Trading Center will
become an innovative platform that promotes agricultural e-commerce
trading, industrial integration and modernization, and financial
innovation.
On March 17, 2017, the Company
announced that on March 13, 2017, the
Board of Directors approved Future World Trading (Hong Kong) Limited's, a wholly owned
subsidiary of the company, acquisition of Shaanxi Quangoutong
E-commerce Inc. ("Quangoutong"), an e-commerce company and a wholly
owned subsidiary of SkyPeople International Holdings
Group Limited, which is the major shareholder of the Company. The
relevant agreement was signed on March 16,
2017. Quangoutong owns certain permits and licenses from
local governments in China to
conduct certain on-line financial service businesses in
China. The purchase price for
Quangoutong will be nominal as it has divested itself of several of
its traditional businesses and all of its assets and debts. The
FinTech industry is an emerging sector that utilizes computer
programs and innovative technology to support the delivery of
payment and financial services. The Company believes that the
acquisition of Quangoutong will bring an innovative business
development and sales model to SkyPeople.
On March 15, 2017, the Company
announced that on March 13, 2017,
Xi'an Hedetang E-Commerce Co., Ltd. ("Hedetang E-Commerce"), an
indirect holding company of SkyPeople Fruit Juice, Inc. signed a
one-year business agreement with the Jiangsu Nongmuren Agricultural
Products ("Nongmuren") e-commerce Platform. Earlier this
month, Hedetang Foods joined the China Aigo O2O Technology Inc.'s
Aigo Integrity Alliance and is receiving orders from that platform
now. The Company believes that cooperation with Nongmuren could
attract hundreds of thousands of registered users on the platform
each month, and accelerate an update of its marketing channels from
traditional manufacturing and sales to 'manufacturing plus
Internet' and 'traditional sales plus e-commerce'.
On March 6, 2017, the Company
announced that on March 1, 2017,
Hedetang Foods (China) Co., Ltd.
("Hedetang Foods"), a wholly-owned subsidiary of SkyPeople Fruit
Juice, Inc., signed a one-year business agreement with China Aigo
O2O Technology Inc. (Beijing) and
joined the latter's Aigo Integrity Alliance. The Aigo
Integrity Alliance is a smart Online to Offline (O2O) platform
owned by China Aigo O2O Technology (Beijing), which is the most valued subsidiary
of the Aigo Network Technology Co. The Aigo Integrity Alliance has
invested heavily to build an O2O platform and developed five
unique, world-leading patented technologies in the Mobile Internet
arena.
About SkyPeople Fruit Juice, Inc.
SkyPeople Fruit Juice, Inc., a Florida company, through its wholly-owned
subsidiary Pacific Industry Holding Group Co., Ltd. ("Pacific"), a
Vanuatu company, and SkyPeople
Juice International Holding (HK) Ltd., a company organized under
the laws of Hong Kong Special Administrative Region of the People's Republic of China and a wholly
owned subsidiary of Pacific, holds 99.78% ownership interest in
SkyPeople Juice Group Co., Ltd. ("SkyPeople (China)"). SkyPeople (China), together with its operating
subsidiaries in China, is engaged
in the production and sales of fruit juice concentrates, fruit
beverages, and other fruit related products in the PRC and overseas
markets. Its fruit juice concentrates are sold to domestic
customers and exported directly or via distributors. Fruit juice
concentrates are used as a basic ingredient component in the food
industry. Its brands, "Hedetang" and "SkyPeople," which are
registered trademarks in the PRC, are positioned as high quality,
healthy and nutritious end-use juice beverages. For more
information, please visit http://www.skypeoplefruitjuice.com.
Safe Harbor Statement
Certain of the statements made in this press release are
"forward-looking statements" within the meaning and protections of
Section 27A of the Securities Act of 1933, as amended and Section
21E of the Securities Exchange Act of 1934, as amended, or the
Exchange Act. Forward-looking statements include statements with
respect to our beliefs, plans, objectives, goals, expectations,
anticipations, assumptions, estimates, intentions, and future
performance, and involve known and unknown risks, uncertainties and
other factors, which may be beyond our control, and which may cause
the actual results, performance, capital, ownership or achievements
of the Company to be materially different from future results,
performance or achievements expressed or implied by such
forward-looking statements. All statements other than statements of
historical fact are statements that could be forward-looking
statements. You can identify these forward-looking statements
through our use of words such as "may," "will," "anticipate,"
"assume," "should," "indicate," "would," "believe," "contemplate,"
"expect," "estimate," "continue," "plan," "point to," "project,"
"could," "intend," "target" and other similar words and expressions
of the future.
All written or oral forward-looking statements attributable
to us are expressly qualified in their entirety by this cautionary
notice, including, without limitation, those risks and
uncertainties described in our annual report on Form 10-K for the
year ended December 31, 2016 and
otherwise in our SEC reports and filings, including the final
prospectus for our offering. Such reports are available upon
request from the Company, or from the Securities and Exchange
Commission, including through the SEC's Internet website at
http://www.sec.gov. We have no obligation and do not undertake to
update, revise or correct any of the forward-looking statements
after the date hereof, or after the respective dates on which any
such statements otherwise are made.
-Financial Tables Follow-
SKYPEOPLE FRUIT
JUICE, INC.
|
CONSOLIDATED
BALANCE SHEETS
|
|
|
|
|
|
December 31,
|
|
|
2016
|
|
|
2015
|
|
|
|
|
|
|
CURRENT
ASSETS
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
1,143,585
|
|
|
$
|
50,006,914
|
Restricted
cash
|
|
|
-
|
|
|
|
3,079,956
|
Accounts receivable,
net of allowance of $4,843,809 and
$2,407,160 as of December 31, 2016 and 2015,
respectively
|
|
|
7,325,773
|
|
|
|
50,062,300
|
Other
receivables
|
|
|
28,417,194
|
|
|
|
265,079
|
Inventories
|
|
|
3,041,300
|
|
|
|
3,444,740
|
Deferred tax
assets
|
|
|
3,566,442
|
|
|
|
2,326,194
|
Advances to suppliers
and other current assets
|
|
|
58,132,189
|
|
|
|
3,809,970
|
TOTAL CURRENT
ASSETS
|
|
|
101,626,483
|
|
|
|
112,995,153
|
|
|
|
|
|
|
|
|
PROPERTY, PLANT AND
EQUIPMENT, NET
|
|
|
81,523,569
|
|
|
|
83,124,874
|
LAND USE RIGHT,
NET
|
|
|
31,854,360
|
|
|
|
25,690,291
|
LONG TERM
ASSETS
|
|
|
2,789,390
|
|
|
|
2,979,857
|
DEPOSITS
|
|
|
43,867,228
|
|
|
|
45,321,919
|
Related party
receivables
|
|
|
-
|
|
|
|
290,976
|
TOTAL
ASSETS
|
|
$
|
261,661,030
|
|
|
$
|
270,403,070
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
16,569,988
|
|
|
$
|
18,332,502
|
Accrued
expenses
|
|
|
27,449,664
|
|
|
|
17,356,081
|
Income tax
payable
|
|
|
3,590,084
|
|
|
|
1,153,194
|
Advances from
customers
|
|
|
696
|
|
|
|
369,992
|
Short-term bank
loans
|
|
|
29,364,279
|
|
|
|
33,506,838
|
TOTAL CURRENT
LIABILITIES
|
|
|
76,974,711
|
|
|
|
70,718,607
|
|
|
|
|
|
|
|
|
NON-CURRENT
LIABILITIES
|
|
|
|
|
|
|
|
Obligations under
capital leases
|
|
|
14,494,003
|
|
|
|
16,720,307
|
TOTAL NON-CURRENT
LIABILITIES
|
|
|
14,494,003
|
|
|
|
16,720,307
|
TOTAL
LIABILITIES
|
|
|
91,468,714
|
|
|
|
87,438,914
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SkyPeople Fruit
Juice, Inc, Stockholders' equity
|
|
|
|
|
|
|
|
Series B Preferred
stock, $0.001 par value; 10,000,000 shares
authorized; None issued and outstanding as of
December
31, 2016 and 2015, respectively
|
|
|
-
|
|
|
|
-
|
Common stock, $0.001
par value; 8,333,333 shares
authorized; 4,061,090 and 27,161,499* shares
issued and
outstanding as of December 31, 2016 and
2015,
respectively
|
|
|
4,061
|
|
|
|
27,161
|
Additional paid-in
capital
|
|
|
105,366,887
|
|
|
|
59,189,860
|
Retained
earnings
|
|
|
100,237,011
|
|
|
|
105,782,482
|
Accumulated other
comprehensive income (loss)
|
|
|
(70,579,747)
|
|
|
|
13,069,031
|
Total SkyPeople Fruit
Juice, Inc. stockholders' equity
|
|
|
135,028,212
|
|
|
|
178,068,534
|
Non-controlling
interests
|
|
|
35,164,104
|
|
|
|
4,895,622
|
TOTAL
EQUITY
|
|
|
170,192,316
|
|
|
|
182,964,156
|
TOTAL LIABILITIES AND
EQUITY
|
|
$
|
261,661,030
|
|
|
$
|
270,403,070
|
|
|
|
|
|
|
|
|
* The amount of
shares is given prior to the Company's 1-for-8 reverse stock split
on March 10, 2016.
|
The accompanying notes in the 2016 10-K are an integral part of
these consolidated financial statements.
SKYPEOPLE FRUIT
JUICE, INC.
|
CONSOLIDATED
STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(LOSS)
|
|
|
|
|
|
For the Year
Ended
December 31,
|
|
|
2016
|
|
|
2015
|
Revenue
|
|
$
|
34,407,422
|
|
|
$
|
86,440,402
|
Cost of goods
sold
|
|
|
25,233,950
|
|
|
|
60,315,601
|
Gross
profit
|
|
|
9,173,472
|
|
|
|
26,124,801
|
|
|
|
|
|
|
|
|
Operating
Expenses
|
|
|
|
|
|
|
|
General and
administrative expenses
|
|
|
5,010,222
|
|
|
|
10,684,077
|
Selling
expenses
|
|
|
1,932,148
|
|
|
|
5,196,657
|
Total operating
expenses
|
|
|
6,942,370
|
|
|
|
15,880,734
|
|
|
|
|
|
|
|
|
Income from
operations
|
|
|
2,231,102
|
|
|
|
10,244,067
|
|
|
|
|
|
|
|
|
Other income
(expenses)
|
|
|
|
|
|
|
|
Investment
income
|
|
|
13,475
|
|
|
|
-
|
Interest
income
|
|
|
158,730
|
|
|
|
351,915
|
Subsidy
income
|
|
|
16,738
|
|
|
|
1,204,649
|
Interest
expenses
|
|
|
(1,659,300)
|
|
|
|
(3,885,018)
|
Other income
(expenses)
|
|
|
207,386
|
|
|
|
(1,413)
|
Total other
expenses
|
|
|
(1,262,971)
|
|
|
|
(2,329,867)
|
|
|
|
|
|
|
|
|
Income from
Continuing Operations before Income Tax
|
|
|
968,131
|
|
|
|
7,914,200
|
Income tax
provision
|
|
|
1,601,967
|
|
|
|
4,267,350
|
Income
(loss) from Continuing Operations before
Minority Interest
|
|
|
(633,836)
|
|
|
|
3,646,850
|
|
|
|
|
|
|
|
|
Less: Net income
(loss) attributable to non-controlling interests
|
|
|
(126,448)
|
|
|
|
(698,115)
|
|
|
|
|
|
|
|
|
Income
(loss) from Continuing Operations
|
|
|
(760,284)
|
|
|
|
2,948,735
|
|
|
|
|
|
|
|
|
Discontinued
Operations
|
|
|
|
|
|
|
|
Loss from
discontinued operations
|
|
|
(4,785,187)
|
|
|
|
-
|
NET INCOME
(LOSS) ATTRIBUTABLE TO
SKYPEOPLE FRUIT JUICE, INC. STOCKHOLDERS
|
|
$
|
(5,545,471)
|
|
|
$
|
2,948,735
|
|
|
|
|
|
|
|
|
Other
comprehensive income (loss)
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
$
|
(4,599,934)
|
|
|
$
|
(4,401,140)
|
Comprehensive
income
|
|
|
(10,018,957)
|
|
|
|
(754,290)
|
Comprehensive expense
attributable to non-controlling
interests
|
|
|
(19,674,513)
|
|
|
|
(136,372)
|
COMPREHENSIVE
INCOME ATTRIBUTABLE TO
SKYPEOPLE
FRUIT JUICE,
INC.
STOCKHOLDERS
|
|
$
|
(29,693,470)
|
|
|
$
|
(890,662)
|
Earnings per
share:
|
|
|
|
|
|
|
|
Basic and diluted earnings
(loss) per share from continued operation
|
|
$
|
(0.19)
|
|
|
$
|
0.11
|
Basic and diluted earnings
(loss) per share from discontinued operation
|
|
|
(1.22)
|
|
|
|
-
|
Basic and diluted earnings
(loss) per share from net income
|
|
|
(1.41)
|
|
|
|
0.11
|
|
|
|
|
|
|
|
|
Weighted average
number of shares outstanding
|
|
|
|
|
|
|
|
Basic and
diluted*
|
|
|
3,933,999
|
|
|
|
26,828,166
|
|
|
|
|
|
|
|
|
* The amount of
shares is given prior to the Company's 1-for-8 reverse stock split
on March 10, 2016.
|
The accompanying notes in the 2016 10-K are an integral part of
these consolidated financial statements.
SKYPEOPLE FRUIT
JUICE, INC.
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
|
|
|
|
For the fiscal
year
|
|
|
2016
|
|
|
2015
|
|
|
|
|
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
Net income
(loss)
|
|
$
|
(5,419,023)
|
|
$
|
|
3,646,850
|
Adjustments to
reconcile net income to net cash provided by
operating activities
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
5,426,089
|
|
|
|
7,617,752
|
Deferred income tax
assets
|
|
|
(1,240,248)
|
|
|
|
1,410,690
|
Bad debt
provision
|
|
|
3,070,944
|
|
|
|
2,531,850
|
Inventory
markdown
|
|
|
-
|
|
|
|
32,440
|
Impairment
loss
|
|
|
3,203,523
|
|
|
|
2,383,991
|
Gain on sale of
assets
|
|
|
-
|
|
|
|
(126,752)
|
Changes in operating
assets and liabilities
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
35,449,683
|
|
|
|
11,841,355
|
Other
receivable
|
|
|
(29,268,821)
|
|
|
|
20,687,724
|
Advances to suppliers
and other current assets
|
|
|
(56,580,699)
|
|
|
|
(3,537,529)
|
Inventories
|
|
|
190,337
|
|
|
|
426,456
|
Accounts
payable
|
|
|
8,114,987
|
|
|
|
55,414,623
|
Accrued
expenses
|
|
|
2,038,938
|
|
|
|
(85,776)
|
Income tax
payable
|
|
|
937,915
|
|
|
|
2,094,800)
|
Advances from
customers
|
|
|
(358,999)
|
|
|
|
(75,686)
|
Net cash provided by
operating activities
|
|
|
(34,435,374)
|
|
|
|
104,262,788
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
|
|
(8,730,051)
|
|
|
|
(279,691)
|
Purchase of
intangible assets
|
|
|
(9,329,762)
|
|
|
|
-
|
Prepayment for other
assets
|
|
|
(2,977,045)
|
|
|
|
(20,530,471)
|
Prepayments for
deposit on equipment
|
|
|
-
|
|
|
|
-
|
Net cash used in
investing activities
|
|
|
(21,036,858)
|
|
|
|
(20,810,162)
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
Issue of common
stock
|
|
|
17,355,246
|
|
|
|
-
|
Reverse split of
common stock
|
|
|
(40,884,860)
|
|
|
|
-
|
Decrease (Increased)
in restricted cash
|
|
|
2,994,460
|
|
|
|
3,239,496
|
(Repayment) Proceeds
from short-term notes
|
|
|
-
|
|
|
|
(8,098,740)
|
Proceeds from related
party loan
|
|
|
(8,269,592)
|
|
|
|
(306,049)
|
Proceeds from
short-term bank loans
|
|
|
-
|
|
|
|
(828,505)
|
Repayment of
short-term bank loans
|
|
|
(2,078,155)
|
|
|
|
7,249,797
|
Proceeds (repayments)
long term debt
|
|
|
(1,202,289)
|
|
|
|
-
|
Payment for capital
lease
|
|
|
7,982,400
|
|
|
|
(78)
|
Repayment of related
party loans
|
|
|
-
|
|
|
|
(61,667,195)
|
Net cash provided by
(used in) financing activities
|
|
|
(24,102,790)
|
|
|
|
(60,411,274)
|
|
|
|
|
|
|
|
|
Effect of change in
exchange rate
|
|
|
30,711,693
|
|
|
|
1,835,260
|
|
|
|
|
|
|
|
|
NET INCREASE
(DECREASE) IN CASH AND CASH EQUIVALENTS
|
|
|
(48,863,329)
|
|
|
|
24,876,612
|
Cash and cash
equivalents, beginning of year
|
|
|
50,006,914
|
|
|
|
25,130,302
|
Cash and cash
equivalents, end of year
|
|
$
|
1,143,585
|
|
$
|
|
50,006,914
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL
DISCLOSURES OF CASH FLOW INFORMATION
|
|
|
|
|
|
|
|
Cash paid for
interest
|
|
$
|
833,690
|
|
$
|
|
3,885,018
|
Cash paid for income
taxes
|
|
$
|
2,707,227
|
|
$
|
|
4,267,350
|
|
|
|
|
|
|
|
|
SUPPLEMENTARY
DISCLOSURE OF SIGNIFICANT NON-CASH TRANSACTION
|
|
|
|
|
|
|
|
Transferred from
other assets to property, plant and
equipment and construction in process
|
|
$
|
60,838,131
|
|
$
|
|
-
|
Equipment acquired by
capital lease
|
|
$
|
-
|
|
$
|
|
-
|
The accompanying notes in the 2016 10-K are an integral part of
these consolidated financial statements.
For more information, please contact:
COMPANY
Cindy Liu, Investor Relations
Manager
SkyPeople Fruit Juice, Inc.
Tel: China + 86 -
29-8837-7161
Email: skypeople_annie@163.com
Web: http://www.skypeoplefruitjuice.com
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/skypeople-fruit-juice-reports-fiscal-year-2016-financial-results-300440406.html
SOURCE SkyPeople Fruit Juice, Inc.