TAI'AN, China, April 28, 2017 /PRNewswire/ -- China Customer
Relations Centers, Inc. (NASDAQ: CCRC) ("CCRC" or the "Company"), a
leading call center business process outsourcing ("BPO") service
provider in China, today announced
its financial results for the six and twelve months ended
December 31, 2016.
Second Half 2016 Financial Highlights (all comparisons to prior
year unless noted)
- Revenues increased by 13.6% to $38.3
million driven by continued expansion of
business.
- Gross margin increased by 4.1 percentage points to 25.1%.
- Net income increased by 25.6% to $3.7
million.
- Earnings per share increased by 10.3% to $0.20, versus $0.18
for the same period of last year.
Full Year 2016 Financial Highlights
- Revenues increased by 22.5% to $72.7
million driven by continued expansion of
business.
- Gross margin expanded by 6.0 percentage points to 27.0% while
operating margin increased by 3.0 percentage points to 11.8%, due
to improved operating efficiency and the non-renewal of less
profitable customer contracts.
- Net income increased by 73.4% to $8.3
million. Earnings per share increased by 50.0% to
$0.45.
Mr. Gary Wang, Chairman and Chief
Executive Officer of CCRC, commented, "2016 turned out to be
another strong year for CCRC with revenues and net income
increasing by 22.5% and 73.4%, respectively, highlighting
continuing momentum in our business. While our relationships with
key existing clients, such as the provincial subsidiaries of China
Mobile and China Telecom, remained steady and strong in 2016, our
expanding footprint and increasing publicity post our successful
IPO in late 2015 allowed us to keep attracting new clients and
extend growth momentum in 2016 and into 2017. Looking ahead, we
firmly believe that CCRC is poised to capture its fair share of the
quickly evolving Chinese call center BPO market."
Six Months Ended December, 2016 Unaudited Financial
Results
|
|
For the Six Months
Ended December 31,
|
($ millions,
except per share data
|
|
2016
|
|
2015
|
|
%
Change
|
Revenues
|
|
$38.3
|
|
$33.7
|
|
13.6%
|
Gross
profit
|
|
$9.6
|
|
$7.1
|
|
35.9%
|
Gross
margin
|
|
25.1%
|
|
21.0%
|
|
4.1 pp
|
Operating
income
|
|
$3.4
|
|
$3.3
|
|
3.7%
|
Operating
margin
|
|
8.9%
|
|
9.7%
|
|
(0.8 pp)
|
Net income
|
|
$3.7
|
|
$3.0
|
|
25.6%
|
EPS
|
|
$0.20
|
|
$0.18
|
|
10.3%
|
Revenues
For the six months ended December 31,
2016, revenues increased by $4.6
million, or 13.6%, to $38.3
million from $33.7 million for
the same period last year. This increase was mainly driven by the
growth of our BPO business with increased sales to our existing BPO
clients and sales to new BPO clients.
Cost of revenue
Cost of revenues consists primarily of salaries, payroll taxes
and employee benefits costs of our customer service associates and
other operations personnel. Cost of revenues also includes direct
communications costs, rent expense, information technology costs,
and facilities support. Cost of revenues increased by $2.0 million, or 7.7%, to $28.7 million for the six months ended
December 31, 2016 from $26.6 million for the same period last year. As a
percentage of revenues, cost of revenues was 74.9% for the six
months ended December 31, 2016,
compared to 79.0% for the same period last year.
Gross profit and gross margin
Gross profit increased by $2.5
million, or 35.9%, to $9.6
million for the six months ended December 31, 2016 from $7.1 million for the same period last year. Gross
margin increased by 4.1 percentage points to 25.1% for the six
months ended December 31, 2016 from
21.0% for the same period last year. The increase in gross margin
was primarily due to improvement in overall operating efficiency
and the termination of certain less profitable customer
contracts.
Selling, general and administrative expense
Selling, general and administrative expenses increased by
$2.4 million, or 63.6%, to
$6.2 million for the six months ended
December 31, 2016 from $3.8 million for the same period last year. The
increase in selling, general and administrative expenses was a
result of higher payroll and bonus expenses paid to the
administrative personnel and the management team, and increase in
our research and development activities. We anticipate that our
administrative expenses, particularly those related to support
personnel costs, professional fees, as well as Sarbanes-Oxley
compliance, will continue to increase in 2017 due to becoming a
public company.
Operating income and operating margin
Income from operations increased by $0.1
million, or 3.7%, to $3.4
million for the six months ended December 31, 2016 from $3.3 million for the same period last year. The
increase in operating income was mainly driven by an increase in
revenues as a result of expansion of our BPO business and
improvement in gross margin as a result of improvement in overall
operating efficiency. Operating margin was 8.9% for the six months
ended December 31, 2016, compared to
9.7% for the same period last year.
Government grants
We received government grants, which are discretionary and
unpredictable in nature, of $0.4
million during the six months ended December 31, 2016, compared to $0.6 million during the same period of last year.
Government grants as a percentage of net income were 9.6% for the
six months ended December 31, 2016,
compared to 21.2% for the same period of last year.
Income taxes
Provision for income taxes was $0.4
million for the six months ended December 31, 2016, compared to $0.8 million for the same period of last year. We
were entitled to a preferential enterprise income tax ("EIT") rate
of 15% in 2015 and 2016. The standard enterprise income tax rate in
China is 25%.
Net income
Net income increased by $0.7
million, or 25.6%, to $3.7
million for the six months ended December 31, 2016 from $3.0 million for the same period last year.
Earnings per basic and diluted share was $0.20 for the six months ended December 31, 2016, compared to $0.18 for the same period of last year.
Full Year 2016 Financial Results
|
|
For the Twelve
Months Ended December 31,
|
($ millions,
except per share data)
|
|
2016
|
|
2015
|
|
%
Change
|
Revenues
|
|
$72.7
|
|
$59.4
|
|
22.5%
|
Gross
profit
|
|
$19.6
|
|
$12.5
|
|
57.6%
|
Gross
margin
|
|
27.0%
|
|
21.0%
|
|
6.0 pp
|
Operating
income
|
|
$8.6
|
|
$5.2
|
|
64.4%
|
Operating
margin
|
|
11.8%
|
|
8.8%
|
|
3.0 pp
|
Net income
|
|
$8.3
|
|
$4.8
|
|
73.4%
|
EPS
|
|
$0.45
|
|
$0.30
|
|
50.0%
|
Revenues
For the year of 2016, revenues increased by $13.4 million, or 22.5%, to $72.7 million from $59.4
million for 2015. This increase was mainly driven by the
growth of our BPO business with increased sales to our existing BPO
clients and sales to new BPO clients. Revenues generated from
inbound calling, outbound calling and other services accounted for
78%, 14%, and 8% of total revenues in 2016.
The provincial subsidiaries of China Mobile and China Telecom
remained the two largest customers and accounted for 34% and 14%,
respectively, of total revenues in 2016. Top 5 customers accounted
for 71% of revenues in 2016.
Cost of revenue
Cost of revenues consists primarily of salaries, payroll taxes
and employee benefits costs of our customer service associates and
other operations personnel. Cost of revenues also includes direct
communications costs, rent expense, information technology costs,
and facilities support. Cost of revenues increased by $6.2 million, or 13.2%, to $53.1 million for the year of 2016 from
$46.9 million for 2015. As a
percentage of revenues, cost of revenues was 73.0% for the year of
2016, compared to 79.0% for 2015.
Gross profit and gross margin
Gross profit increased by $7.2
million, or 57.6%, to $19.6
million for the year of 2016 from $12.5 million for 2015. Gross margin increased by
6.0 percentage points to 27.0% for the year of 2016 from 21.0% for
2015. The increase in gross margin was primarily due to improvement
in overall operating efficiency and the termination of certain less
profitable businesses.
Selling, general and administrative expense
Selling, general and administrative expenses increased by
$3.8 million, or 52.7%, to
$11.1 million for the year of 2016
from $7.3 million for 2015. The
increase in selling, general and administrative expenses was a
result of higher payroll and bonus expenses paid to the
administrative personnel and the management team and increase in
our research and development activities. We anticipate that our
administrative expenses, particularly those related to support
personnel costs, professional fees, as well as Sarbanes-Oxley
compliance, will continue to increase in 2017 due to becoming a
public company. We expect to incur additional expenses of between
$0.5 million and $1 million per year
that we did not experience as a private company.
Operating income and operating margin
Income from operations increased by $3.4
million, or 64.4%, to $8.6
million for the year of 2016 from $5.2 million for 2015. Operating margin was 11.8%
for the year of 2016, compared to 8.8% for 2015. The increase in
operating income and operating margin was mainly driven by an
increase in revenues as a result of expansion of our BPO business
and improvement in gross margin as a result of improvement in
overall operating efficiency.
Government grants
We received government grants, which are discretionary and
unpredictable in nature, of $0.8
million during 2016, compared to $1.0
million during 2015. Government grants as a percentage of
net income were 9.7% for the year of 2016, compared to 21.5% for
2015.
Income taxes
Provision for income taxes was $1.4
million for the year of 2016, an increase of $0.2 million, or 13.6%, from $1.3 million for 2015. We were entitled to a
preferential enterprise income tax ("EIT") rate of 15% in 2015 and
2016. The standard enterprise income tax rate in China is 25%.
Net income
Net income increased by $3.5
million, or 73.4%, to $8.3
million for the year of 2016 from $4.8 million for 2015. The increase in net income
was a result of our increased revenues and higher gross margin,
offset by increased selling, general and administrative expenses
and decreased government grants in 2016. Earnings per basic and
diluted share was $0.45 for the year
of 2016, compared to $0.30 for
2015.
Financial Conditions
As of December 31, 2016, the
Company had cash of $15.9 million,
compared to $13.6 million at
December 31, 2015. Total working
capital was $22.7 million as of
December 31, 2016, compared to
$16.1 million at the end of 2015.
Net cash provided by operating activities was $5.7 million for the year of 2016, compared to
$6.0 million for 2015. Net cash used
in investing activities was $1.0
million for the year of 2016, compared to $2.0 million for 2015. Net cash used in financing
activities was $1.5 million for the
year of 2016, compared to net cash provided by financing activities
of $4.8 million for 2015.
Recent Developments
On December 15, 2016, The Company
held its 2016 Annual Meeting of Shareholders at its headquarters in
Taian City, Shandong Province. The Company's shareholders: 1)
ratified the appointment of MaloneBailey, LLC as its independent
registered public accounting firm for the fiscal year of 2016; and
2) elected Jie Xu and Tianjun Zhang as Class I Directors, Weixin Wang and Owens Meng as Class II
Directors, and Gary Wang,
David Wang and Guoan Xu as Class III Directors.
On November 12, 2016, the Company
entered into a Share Subscription Agreement to acquire a minority
equity interest in Beijing Ling Ban Future Technology Co. Ltd.
("Ling Ban") for a cash
consideration of RMB 18 million.
Additionally, the Company and Ling
Ban agreed to establish a new joint venture, Beijing Ling
Ban Intelligent Online Services Co., Ltd. ("Ling Ban Online"), with the Company contributing
an additional RMB 12 million in cash
in exchange for a minority equity interest in Ling Ban Online. Ling Ban is an emerging
startup focusing on automatic speech recognition-related technology
development and applications.
In July 2016, Hebei Taiying
Communication BPO Co., Ltd. ("HTCC,"), its parent company Shandong
Taiying Technology Co., Ltd. ("Taiying"), and Beijing Jiate
Information Technology Co., Ltd. ("Jiate") entered into an
investment agreement, pursuant to which Jiate will contribute
RMB4,900,000 (approximately
$706,000) into HTCC in order to
obtain a 49% equity interest in HTCC. Based on the agreement, all
the parties agreed to complete the registration process with local
administrative department within 30 days after the agreement was
signed and Jiate is entitled to HTCC's earnings after injecting the
first portion of investment in the amount of RMB2,450,000 (approximately $356,000) prior to February 1, 2017. The registration process was
completed on July 11, 2016 and HTCC
received the capital contribution of $356,000 on January 31,
2017.
Notice
Rounding amounts and percentages: Certain amounts and
percentages included in this press release have been rounded for
ease of presentation. Percentage figures included in this press
release have not in all cases been calculated on the basis of such
rounded figures, but on the basis of such amounts prior to
rounding. For this reason, certain percentage amounts in this press
release may vary from those obtained by performing the same
calculations using the figures in the financial statements. In
addition, certain other amounts that appear in this press release
may not sum due to rounding.
About China Customer Relations Centers, Inc.
The Company is a BPO service provider focusing on the complex,
voice-based segment of customer care services, including:
- customer relationship management;
- technical support;
- sales;
- customer retention;
- marketing surveys; and
- research.
The Company's service is currently delivered from 11 call
centers throughout China, that
enable us to service clients throughout Shandong province (Taian City, Yantai City,
Jinan City), Jiangsu province (Taizhou City, Huaqiao City,
Huaian City), Anhui province
(Hefei City), Hebei province (Yanjiao City), the Xinjiang
Uygur Autonomous Region (Changju City), the Guangxi Zhuang
Autonomous Region (Nanning City), Jiangxi province (Nanchang City), Chongqing (Yongchuan City), Beijing centrally-administered City, and
Henan province (Zhengzhou City), with a capacity approximately
of 11,057 seats.
Forward-Looking Statement
This press release contains forward-looking statements as
defined by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements that are other than
statements of historical facts. When the Company uses words such as
"may," "will," "intend," "should," "believe," "expect,"
"anticipate," "project," "estimate" or similar expressions that do
not relate solely to historical matters, it is making
forward-looking statements. Specifically, the Company's
statements regarding its continued growth and business outlook, are
forward-looking statements. Forward-looking statements are
not guarantees of future performance and involve risks and
uncertainties that may cause the actual results to differ
materially from the Company's expectations discussed in the
forward-looking statements. These statements are subject to
uncertainties and risks including, but not limited to, the
following: the Company's goals and strategies; the Company's
future business development; product and service demand and
acceptance; changes in technology; economic conditions; the growth
of the call center business process outsourcing market in
China; reputation and brand; the
impact of competition and pricing; government regulations;
fluctuations in general economic and business conditions in
China and assumptions underlying
or related to any of the foregoing and other risks contained in
reports filed by the Company with the Securities and Exchange
Commission. For these reasons, among others, investors are
cautioned not to place undue reliance upon any forward-looking
statements in this press release. Additional factors are discussed
in the Company's filings with the U.S. Securities and Exchange
Commission, which are available for review at www.sec.gov. The
Company undertakes no obligation to publicly revise these
forward‐looking statements to reflect events or circumstances that
arise after the date hereof.
For more information, please contact:
Tony Tian, CFA
Weitian Group LLC
Email: tony.tian@weitian-ir.com
Phone: +1-732-910-9692
CHINA CUSTOMER
RELATIONS CENTERS, INC. AND SUBSIDIARIES CONSOLIDATED
BALANCE SHEETS
|
|
|
|
December 31,
|
|
|
December 31,
|
|
|
|
2016
|
|
|
2015
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
Cash
|
|
$
|
15,947,268
|
|
|
$
|
13,623,849
|
|
Accounts receivable,
net
|
|
|
13,595,396
|
|
|
|
8,852,024
|
|
Accounts receivable -
related party
|
|
|
-
|
|
|
|
353,513
|
|
Notes receivable,
current
|
|
|
547,259
|
|
|
|
125,687
|
|
Prepayments
|
|
|
504,780
|
|
|
|
708,549
|
|
Due from related
parties
|
|
|
248,866
|
|
|
|
675,623
|
|
Deferred tax assets,
current
|
|
|
69,864
|
|
|
|
-
|
|
Other current
assets
|
|
|
1,041,923
|
|
|
|
1,045,932
|
|
Total current
assets
|
|
|
31,955,356
|
|
|
|
25,385,177
|
|
Restricted
cash
|
|
|
500,000
|
|
|
|
500,000
|
|
Notes receivable –
related party, non-current
|
|
|
907,297
|
|
|
|
970,620
|
|
Property and
equipment, net
|
|
|
4,360,976
|
|
|
|
4,129,561
|
|
Deferred tax assets,
non-current
|
|
|
-
|
|
|
|
23,974
|
|
Total non-current
assets
|
|
|
5,768,273
|
|
|
|
5,624,155
|
|
Total
assets
|
|
$
|
37,723,629
|
|
|
$
|
31,009,332
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
664,838
|
|
|
$
|
310,216
|
|
Accounts payable -
related party
|
|
|
129,489
|
|
|
|
-
|
|
Accrued liabilities
and other payables
|
|
|
3,603,471
|
|
|
|
3,333,960
|
|
Deferred
revenue
|
|
|
607,160
|
|
|
|
-
|
|
Wages
payable
|
|
|
2,885,735
|
|
|
|
2,803,294
|
|
Income taxes
payable
|
|
|
883,654
|
|
|
|
1,014,595
|
|
Short term
loans
|
|
|
-
|
|
|
|
1,748,479
|
|
Due to related
parties
|
|
|
446,050
|
|
|
|
-
|
|
Deferred tax
liabilities, current
|
|
|
-
|
|
|
|
35,273
|
|
Total current
liabilities
|
|
|
9,220,397
|
|
|
|
9,245,817
|
|
Total liabilities
|
|
|
9,220,397
|
|
|
|
9,245,817
|
|
Shareholders'
equity
|
|
|
|
|
|
|
|
|
Common shares, $0.001
par value, 100,000,000 shares authorized, 18,329,600 shares issued
and outstanding as of December 31, 2016 and 2015
|
|
|
18,330
|
|
|
|
18,330
|
|
Additional paid-in
capital
|
|
|
11,178,774
|
|
|
|
11,178,774
|
|
Retained
earnings
|
|
|
17,226,261
|
|
|
|
9,728,228
|
|
Statutory
reserves
|
|
|
2,067,835
|
|
|
|
1,288,617
|
|
Accumulated other
comprehensive loss
|
|
|
(1,987,968)
|
|
|
|
(450,434)
|
|
Total shareholders'
equity
|
|
|
28,503,232
|
|
|
|
21,763,515
|
|
Total liabilities and
shareholders' equity
|
|
$
|
37,723,629
|
|
|
$
|
31,009,332
|
|
CHINA CUSTOMER
RELATIONS CENTERS, INC. AND SUBSIDIARIES CONSOLIDATED
STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
|
|
|
|
For The Years
Ended December 31,
|
|
|
|
2016
|
|
|
2015
|
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
|
Revenues,
net
|
|
$
|
72,731,706
|
|
|
$
|
59,350,721
|
|
|
$
|
42,661,732
|
|
Revenues - related
party
|
|
|
-
|
|
|
|
-
|
|
|
|
11,407
|
|
Total
revenues
|
|
|
72,731,706
|
|
|
|
59,350,721
|
|
|
|
42,673,139
|
|
Cost of
revenues
|
|
|
53,098,552
|
|
|
|
46,891,617
|
|
|
|
35,188,331
|
|
Gross
profit
|
|
|
19,633,154
|
|
|
|
12,459,104
|
|
|
|
7,484,808
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general
& administrative expenses
|
|
|
11,082,106
|
|
|
|
7,259,279
|
|
|
|
5,779,600
|
|
Total operating
expenses
|
|
|
11,082,106
|
|
|
|
7,259,279
|
|
|
|
5,779,600
|
|
Income from
operations
|
|
|
8,551,048
|
|
|
|
5,199,825
|
|
|
|
1,705,208
|
|
Other income
(expenses):
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
(50,383)
|
|
|
|
(278,363)
|
|
|
|
(552,894)
|
|
Government
grants
|
|
|
801,125
|
|
|
|
1,027,581
|
|
|
|
1,439,186
|
|
Other
income
|
|
|
479,387
|
|
|
|
225,306
|
|
|
|
64,873
|
|
Other
expense
|
|
|
(55,003)
|
|
|
|
(124,273)
|
|
|
|
(238,413)
|
|
Total other
income
|
|
|
1,175,126
|
|
|
|
850,051
|
|
|
|
712,752
|
|
Income before
provision for income taxes
|
|
|
9,726,174
|
|
|
|
6,049,876
|
|
|
|
2,417,960
|
|
Income tax
provision
|
|
|
1,448,923
|
|
|
|
1,275,633
|
|
|
|
635,859
|
|
Net
income
|
|
$
|
8,277,251
|
|
|
$
|
4,774,243
|
|
|
$
|
1,782,101
|
|
Comprehensive
income
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
8,277,251
|
|
|
$
|
4,774,243
|
|
|
$
|
1,782,101
|
|
Other comprehensive
income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
|
(1,537,534)
|
|
|
|
(684,590)
|
|
|
|
27,280
|
|
Total
comprehensive income
|
|
$
|
6,739,717
|
|
|
$
|
4,089,653
|
|
|
$
|
1,809,381
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
common share
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.45
|
|
|
$
|
0.30
|
|
|
$
|
0.11
|
|
Diluted
|
|
$
|
0.45
|
|
|
$
|
0.30
|
|
|
$
|
0.11
|
|
Weighted average
common shares outstanding
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
18,329,600
|
|
|
|
16,015,079
|
|
|
|
15,586,865
|
|
Diluted
|
|
|
18,329,600
|
|
|
|
16,015,079
|
|
|
|
15,586,865
|
|
CHINA CUSTOMER
RELATIONS CENTERS, INC. AND SUBSIDIARIES CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
For years ended
December 31,
|
|
2016
|
|
2015
|
|
2014
|
|
|
|
|
|
|
Cash flows from
operating activities
|
|
|
|
|
|
Net income
|
$
|
8,277,251
|
|
$
|
4,774,243
|
|
$
|
1,782,101
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
1,542,352
|
|
|
1,340,961
|
|
|
1,342,258
|
Allowance for
doubtful accounts
|
|
805,870
|
|
|
-
|
|
|
145,076
|
Gain on disposal of
property and equipment
|
|
-
|
|
|
-
|
|
|
(11,948)
|
Deferred income
taxes
|
|
(84,067)
|
|
|
(172,000)
|
|
|
109,657
|
Changes in assets and
liabilities:
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
(5,561,722)
|
|
|
(2,499,956)
|
|
|
(3,251,749)
|
Accounts receivable -
related party
|
|
-
|
|
|
-
|
|
|
(11,407)
|
Due from related
parties
|
|
-
|
|
|
(114,670)
|
|
|
468,555
|
Due to related
parties
|
|
-
|
|
|
(2,394)
|
|
|
3,493
|
Prepayments
|
|
(767,516)
|
|
|
(447,311)
|
|
|
(489,918)
|
Other current
assets
|
|
(63,669)
|
|
|
191,536
|
|
|
(234,429)
|
Accounts
payable
|
|
193,639
|
|
|
113,033
|
|
|
18,998
|
Accounts payable -
related party
|
|
25,276
|
|
|
-
|
|
|
-
|
Wage
payable
|
|
277,335
|
|
|
908,720
|
|
|
267,931
|
Income taxes
payable
|
|
(67,681)
|
|
|
586,931
|
|
|
106,833
|
Deferred
revenue
|
|
634,644
|
|
|
-
|
|
|
-
|
Accrued liabilities
and other payables
|
|
454,572
|
|
|
1,277,678
|
|
|
250,276
|
Net cash provided
by operating activities
|
|
5,666,284
|
|
|
5,956,771
|
|
|
495,727
|
Cash flows from
investing activities
|
|
|
|
|
|
|
|
|
Purchase of property
and equipment
|
|
(478,775)
|
|
|
(1,614,696)
|
|
|
(965,118)
|
Change of restricted
cash
|
|
-
|
|
|
(500,000)
|
|
|
-
|
Proceeds from sale of
property and equipment
|
|
-
|
|
|
-
|
|
|
14,363
|
Loans to third
parties
|
|
(563,896)
|
|
|
-
|
|
|
(132,742)
|
Repayment from third
parties
|
|
-
|
|
|
-
|
|
|
130,172
|
Advance to related
parties
|
|
(18,210)
|
|
|
(930,536)
|
|
|
(1,986,421)
|
Repayment from
related parties
|
|
40,011
|
|
|
1,095,087
|
|
|
1,633,073
|
Net cash used in
investing activities
|
|
(1,020,870)
|
|
|
(1,950,145)
|
|
|
(1,306,673)
|
Cash flows from
financing activities
|
|
|
|
|
|
|
|
|
Proceeds from
issuances of common shares
|
|
-
|
|
|
8,497,024
|
|
|
1,174,380
|
Capital contribution
from owners
|
|
-
|
|
|
-
|
|
|
3,340,396
|
Proceeds from related
parties
|
|
-
|
|
|
-
|
|
|
32,543
|
Repayment to related
parties
|
|
-
|
|
|
-
|
|
|
(3,749,916)
|
Borrowings from short
term loan
|
|
-
|
|
|
3,800,367
|
|
|
7,386,830
|
Repayment of short
term loans
|
|
(1,510,962)
|
|
|
(7,478,890)
|
|
|
(8,001,883)
|
Net cash provided
by (used in) financing activities
|
|
(1,510,962)
|
|
|
4,818,501
|
|
|
182,350
|
Effect of exchange
rate changes on cash and cash equivalents
|
|
(811,033)
|
|
|
(298,288)
|
|
|
11,043
|
Net change in cash
and cash equivalents
|
|
2,323,419
|
|
|
8,526,839
|
|
|
(617,553)
|
Cash and cash
equivalents, beginning of the year
|
|
13,623,849
|
|
|
5,097,010
|
|
|
5,714,563
|
Cash and cash
equivalents, end of the year
|
$
|
15,947,268
|
|
$
|
13,623,849
|
|
$
|
5,097,010
|
Supplemental cash
flow information
|
|
|
|
|
|
|
|
|
Interest paid
|
$
|
50,383
|
|
$
|
278,363
|
|
$
|
552,894
|
Income taxes paid
|
$
|
1,558,290
|
|
$
|
915,895
|
|
$
|
490,318
|
Non-cash investing
and financing activities
|
|
|
|
|
|
|
|
|
Transfer from
prepayments to property and equipment
|
$
|
932,192
|
|
$
|
405,924
|
|
$
|
289,806
|
Liabilities assumed
in connection with purchase of property and equipment
|
$
|
672,715
|
|
$
|
23,900
|
|
$
|
68,839
|
Short term loan
reclassified to due to related party
|
$
|
203,048
|
|
|
|
|
|
|
Operating expenses
paid by related parties
|
$
|
107,634
|
|
|
|
|
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/china-customer-relations-centers-inc-announces-second-half-and-full-year-2016-financial-results-300448227.html
SOURCE China Customer Relations Centers, Inc.