XI'AN, China, Aug. 15, 2017 /PRNewswire/ -- Future FinTech
Group Inc. (NASDAQ: FTFT) ("Future FinTech" or "the Company"), a
financial technology company and integrated producer of
fruit-related products, today announced its financial results for
the second quarter ended June 30,
2017.
Second Quarter 2017 Summary:
- Total revenue was $2.8
million
- Gross profit was $1.3
million
- Gross profit margin was 47%
- Net loss attributable to Future FinTech was $2.5 million
- Cash, cash equivalents and restricted cash was $4.4 million as of June
30, 2017
"We reported a decline in our financial results relative to the
year ago quarter attributable to a difficult market environment
resulting from a business contraction in all of our fruit product
segments. A reduction in market demand, competitive pressures and
an erosion in pricing caused a contraction in demand for our core
fruit-related product segments," said Mr. Hongke Xue, Chief
Executive Officer of Future FinTech. "Although our fruit products
business is currently facing challenges, we believe that our
mission to lead the company into a new direction by utilizing
sophisticated fintech capabilities to build a highly integrated
agricultural enterprise will create a wide spectrum of growth
opportunities."
"A key growth initiative is our development of a kiwi processing
and trading center in Mei County coupled with the lease of 3,292
acres of kiwi orchards and planned purchase of an additional 833
acres of kiwi orchards that will enable us to source our own supply
and maintain our high quality standards. We are also adding a new
fruit segment to our product platform by leasing 1,317 acres of
orange orchards in Yidu, Hubei
Province to be integrated with the development of new
state-of-the-art orange processing facilities. We plan to utilize
fintech, e-commerce and best-in-class agricultural practices to
integrate production and distribution in order to maximize our
return on investment for these key initiatives," continued Mr.
Hongke Xue.
"We are excited about the potential breadth of opportunities as
well as our strategic approach to create sustainable value from our
investments in fintech, e-commerce, commodities trading and
in-house agricultural sourcing. Our vision is to augment our fruit
juice and beverage sales and distribution with high margin fintech
growth opportunities so as to generate diversified sources of cash
flow for many years to come," Mr. Hongke Xue concluded.
Second Quarter 2017 Financial Results
Revenue for the three months ended June
30, 2017 was $2.8 million, as
compared to revenue of $10.2 million
for the same period of 2016. This decrease was primarily due to a
decrease in sales in all of the Company's fruit-related product
segments.
Fiscal Year
Revenue by Segment (in thousands)
|
|
(In $000's, except
%'s)
|
Quarter Ended June
30,
|
|
|
|
2017
|
|
2016
|
|
% of
change
|
Concentrated apple
juice and apple aroma
|
31
|
|
1,880
|
|
(98%)
|
Concentrated
kiwifruit juice and kiwi puree
|
117
|
|
431
|
|
(73%)
|
Concentrated pear
juice
|
113
|
|
957
|
|
(88%)
|
Fruit juice
beverages
|
2,504
|
|
5,457
|
|
(54%)
|
Others
|
12
|
|
1,504
|
|
(99%)
|
Total
|
2,777
|
|
10,229
|
|
(73%)
|
Revenue by Segment
Sales from apple-related products were $0.03 million for the three months ended
June 30, 2017, as compared to sales
of $1.9 million for the same period
of 2016. This decrease was primarily due to a sharp decrease in the
unit price of the apple-related products in the international
market and a decrease in sales volume due to heavy competition.
During the second quarter of 2017, the Company sold approximately
460 tons of concentrated apple juice and apple aroma as compared to
1,219 tons in the same period of 2016. Most of the Company's
concentrated apple juice was sold directly or indirectly to the
international market. Over the past three years, the purchase price
of fresh apples has increased but the sales price of concentrated
apple related products has remained low. 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 and the six months ended
June 30, 2017, which resulted in a
lower inventory of concentrated apple juice and required the
Company to purchase supply from third-party manufacturers to meet
demand.
Sales from concentrated kiwifruit juice and kiwifruit puree were
$0.1 million for the second quarter
of 2017, as compared to sales of $0.4
million for the same period of 2016. The decline was due to
a decrease in products sold in the current quarter as compared to
same period of 2016 due to lower market demand.
Sales of concentrated pear juice were $0.1 million for the second quarter of 2017, as
compared to sales of $1.0 million for
the same period of 2016. The decline was due to a decrease in the
unit price of the concentrated pear juice and a decrease in sales
volume due to lower customer demand. The Company sold 1,149 and
1,314 tons of concentrated pear juice during the second quarters of
2017 and 2016, respectively.
Sales from our fruit juice beverages segment were $2.5 million for the second quarter of 2017, as
compared to sales of $5.5 million for
the same period of 2016. The decline was primarily due to a
decrease in sales volume as a result of heavy competition in the
China market.
Sales from our others products segment were $0.01 million for the second quarter of 2017, as
compared to sales of $1.5 million for
the same period of 2016. The sale from other products for the three
months ended June 30, 2016 was
concentrated orange juice. The Company does not expect continued
sales from other products as customers' orders related to other
products are currently small and unpredictable.
Gross Profit. Consolidated gross profit was $1.3 million for the second quarter of 2017, as
compared to $3.2 million for the same
period of 2016, mainly due to the decrease in sales from all of the
Company's fruit-related segments. The consolidated gross profit
margin was 47% for the second quarter of 2017 as compared to 31%
for the same period of 2016 primarily due to the higher
period-over-period weighting of the fruit juice beverages segment
relative to each period's total gross margin. The gross profit
margin of concentrated apple juice segment for the second quarters
of 2017 and 2016 were 10% and 17%, respectively. The decrease in
gross margin was mainly due to a decrease in the sales price of
concentrated apple juice in the international market. The gross
profit margin of the concentrated kiwifruit juice and kiwifruit
puree segment for the second quarters of 2017 and 2016 were 31% and
7%, respectively, primarily due to an increase in sales price of
concentrated kiwifruit juice and kiwifruit puree in the current
quarter. The gross profit margin of the concentrated pear juice
segment for the second quarters of 2017 and 2016 were 19% and 23%,
respectively, with the decrease in the current quarter primarily
due to the higher costs of raw materials. The gross profit margin
of the fruit juice beverages segment for the second quarters of
2017 and 2016 were 49% and 48%, respectively. The gross profit
margin of the other products segment for the second quarters of
2017 and 2016 was 50% and 3%, respectively, as the Company
purchased concentrated orange juice that was sold to their
customers in the second quarter of 2016, and which resulted in a
lower margin during that period.
|
Quarter Ended June
30,
|
(In $000's, except
%'s)
|
2017
|
|
2016
|
|
Gross
profit
|
|
Gross
margin
|
|
Gross
profit
|
|
Gross
margin
|
Concentrated apple
juice and apple aroma
|
3
|
|
10%
|
|
320
|
|
17%
|
Concentrated
kiwifruit juice and kiwi puree
|
36
|
|
31%
|
|
32
|
|
7%
|
Concentrated pear
juice
|
21
|
|
19%
|
|
216
|
|
23%
|
Fruit juice
beverages
|
1,226
|
|
49%
|
|
2,600
|
|
48%
|
Others
|
6
|
|
50%
|
|
43
|
|
3%
|
Total
|
1,292
|
|
47%
|
|
3,211
|
|
31%
|
NFM = Not meaningful figure
Operating expenses for the three months ended June 30, 2017 were $3.4
million, as compared to $1.8
million for the same period of 2016. General and
administrative expenses increased to $3.1
million for the second quarter of 2017 as compared to
$1.0 million for the same period of
2016, mainly due to an increase in the amortization of leasing
expenses associated with the kiwi orchard that the Company leased
in Mei County and the city of Yidu. The Company has amortized
$1.5 million as leasing expenses for
the three months ended June 30, 2017.
The Company began the amortization of land lease rights in Hedetang
Foods Industry (Yidu) Co, Shaanxi Guoweimei Kiwi Deep Processing
Company and Trading Market Mei County beginning in the fourth
quarter of 2016. Selling expenses decreased to $0.3 million for the second quarter of 2017, as
compared to $0.8 million for the same
period of in 2016, mainly due to the reduced amount of sales in the
current quarter.
Net loss attributable to Future FinTech shareholders for the
second quarter of 2017 was $2.5
million, as compared to net income of $0.4
million for the same period of 2016. Diluted loss per share
from continued operations was $0.49 for the second quarter of 2017 as
compared to diluted earnings per share of $0.12 for the same period of 2016.
Financial Condition
As of June 30, 2017, the Company
had $4.4 million in cash, cash
equivalents and restricted cash, an increase from $1.1 million as of December 31, 2016. The Company had working
capital of $22.1 million as of
June 30, 2017 as compared to working
capital of $24.7 million as of
December 31, 2016. As of June 30, 2017, the Company had total liabilities
of $93.6 million, which included
$30.1 million in short-term bank
loans and $16.9 million in capital
lease obligations. Stockholders' equity attributable to Future
FinTech was $132.3 million as of
June 30, 2017 as compared to
$135.0 million as of December 31, 2016.
During the six months ended June 30,
2017, net cash provided by the Company's operating
activities was $0.1 million, as
compared to net cash provided by operating activities of
$6.6 million for the same period of
2016. The decrease in cash flow provided by operating activities
was primarily due to a decrease in net income of $4.3 million. During the six months ended
June 30, 2017 and June 30, 2016, the Company's investing activities
used net cash of $1.2 million and
$32.3 million, respectively. The
Company made a refundable deposit of about $30 million pursuant to the letter of intent to
purchase kiwifruits orchard during the first six months ended
June 30, 2016. During the six months
ended June 30, 2017, our financing
activities generated net cash inflow of $5.0
million as compared to net cash inflow of $22.9 million in the same period of 2016. The
decrease in cash inflow from financing activities was mainly due to
a decrease in capital contributions of $14.0
million. 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 possible expansion of its 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 release, the
Company has finished construction of an office building, dormitory,
refrigeration storage facility and a warehouse. However, due to
heavy competition in the concentrated apple 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. As the Chinese government recently tightened environment
regulations, the Company is in the process of adapting to the new
standards and the project has been delayed. Although the schedule
for completion could change, the Company currently plans to finish
the construction of infrastructure to include an office building,
R&D center, fruit juice production facility, cold storage
facility and other construction work in the fourth quarter of 2017.
Although the schedule for completion could change, the orange
plantation is currently planned to be operational in the fourth
quarter of 2017 and the distribution center is currently planned to
be completed by the second quarter of 2018.
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. Although the schedule for
completion could change, the Company currently plans to complete
the construction of these facilities in the fourth quarter of
2017.
As of the date of this release, 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, four 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.
Currently Mei County National Kiwi Fruit Wholesale Trading is
building a data platform for agricultural products in the western
part of China, an agricultural
business incubator, and online-to-offline agricultural products
trading center. To meet this requirement, the Company is upgrading
its software and the project has been delayed. The Company is
expected to have completed its investment in the trading center in
the fourth quarter of 2017, and believes that it will generate
income from the trading center through various means, such as
rental income from cold storage and shops, and income from logistic
services.
As part of the Mei County National Kiwi Fruit Wholesale Trading
Center project, on April 19, 2013, we
established Shaanxi Guoweimei Kiwi Deep Processing Co., Ltd. to
engage in the business of producing kiwi fruit juice, kiwi puree,
cider beverages, and related products. The total estimated
investment is RMB 294 million (or
approximately $47.6 million). As the
Chinese government recently tightened environment regulations, the
Company is in the process of adapting to the new standards and the
project has been delayed. The Company is building fruit juice
production lines, a vegetable and fruit flash freeze facility, an
R&D center and an office building. Although the schedule for
completion could change, the Company currently plans to complete
construction in the second quarter of 2018.
Recent Events
On June 6, 2017, the Company filed
a Certificate of Amendment with the Secretary of State for the
State of Florida to amend and
restate its articles of incorporation to change its name from
SkyPeople Fruit Juice, Inc. to Future FinTech Group Inc. The name
change was approved by the Company's Board of Directors on
March 30, 2017 and by shareholders
holding a majority of the Company's issued and outstanding capital
stock on March 31, 2017. In addition,
effective as of June 6, 2017, the
Company's bylaws were amended and restated to reflect the name
change. As of June 12, 2017, the
Company's common stock ceased trading under the ticker symbol "SPU"
and began trading under the ticker symbol "FTFT" and will continue
to trade on the Nasdaq Exchange.
About Future FinTech Group Inc.
Future FinTech Group Inc. ("Future FinTech" or the "Company"),
is an agricultural products company that utilizes financial
technology solutions to operate and grow its businesses. The
Company is engaged in the production and sales of fruit juice
concentrates, fruit beverages, and other fruit related products in
China and certain overseas
markets. The Company's fruit juice concentrates are sold to
domestic customers and exported directly or via distributors. Its
fruit juice products, "Hedetang" and "SkyPeople," are healthy and
nutritious beverages and sold primarily in China. The Company intends to vertically
integrate its operations through its long-term lease and pending
acquisition of agricultural orchards that are located in highly
productive growing areas in China.
The Company leverages e-commerce and new technology platforms and
is building a regional agricultural products commodities market
with the goal to become a leader in agricultural finance
technology. For more information, please visit
http://www.ftft.top/.
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-
FUTURE FINTECH
GROUP INC.
CONSOLIDATED
BALANCE SHEETS
|
|
June
30,
|
|
December 31,
|
|
2017
|
|
2016
|
|
(Unaudited)
|
|
(Audited)
|
CURRENT
ASSETS
|
|
|
|
Cash and cash
equivalents
|
$
|
4,417,789
|
|
$
|
1,143,585
|
Accounts
receivable, net of allowance of $4,843,809 as of June 30, 2017 and
December 31, 2016, respectively
|
|
449,039
|
|
|
7,325,773
|
Other
receivables
|
|
29,814,516
|
|
|
28,417,194
|
Inventories
|
|
3,728,962
|
|
|
3,041,300
|
Deferred tax
assets
|
|
3,566,442
|
|
|
3,566,442
|
Advances to suppliers
and other current assets
|
|
56,835,838
|
|
|
58,132,189
|
TOTAL CURRENT
ASSETS
|
|
98,812,586
|
|
|
101,626,483
|
|
|
|
|
|
|
PROPERTY, PLANT AND
EQUIPMENT, NET
|
|
83,145,461
|
|
|
81,523,569
|
LAND USE RIGHT,
NET
|
|
32,354,442
|
|
|
31,854,360
|
LONG TERM
ASSETS
|
|
2,856,342
|
|
|
2,789,390
|
DEPOSITS
|
|
45,120,875
|
|
|
43,867,228
|
TOTAL
ASSETS
|
$
|
262,289,706
|
|
$
|
261,661,030
|
|
|
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
|
|
Accounts
payable
|
$
|
12,310,298
|
|
$
|
16,569,988
|
Accrued
expenses
|
|
34,339,736
|
|
|
27,449,664
|
Income tax
payable
|
|
-
|
|
|
3,590,084
|
Advances from
customers
|
|
24,363
|
|
|
696
|
Short-term bank
loans
|
|
30,069,084
|
|
|
29,364,279
|
TOTAL CURRENT
LIABILITIES
|
|
76,743,481
|
|
|
76,974,711
|
|
|
|
|
|
|
NON-CURRENT
LIABILITIES
|
|
-
|
|
|
|
Obligations under
capital leases
|
|
16,891,465
|
|
|
14,494,003
|
TOTAL NON-CURRENT
LIABILITIES
|
|
16,891,465
|
|
|
14,494,003
|
TOTAL
LIABILITIES
|
|
93,634,946
|
|
|
91,468,714
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
Future Fintech Group
Inc., Stockholders' equity
|
|
|
|
|
|
Series B Preferred
stock, $0.001 par value; 10,000,000 shares authorized; None issued
and outstanding as of June 30, 2017 and December 31, 2016,
respectively
|
|
-
|
|
|
-
|
Common stock, $0.001
par value; 8,333,333 shares authorized; 5,173,187 and 4,061,090
shares issued and outstanding as of June 30, 2017 and December 31,
2016, respectively
|
|
5,173
|
|
|
4,061
|
Additional paid-in
capital
|
|
111,386,729
|
|
|
105,366,887
|
Retained
earnings
|
|
95,051,082
|
|
|
100,237,011
|
Accumulated other
comprehensive loss
|
|
(74,096,086)
|
|
|
(70,579,747)
|
Total Future FinTech
Group Inc. stockholders' equity
|
|
132,346,898
|
|
|
135,028,212
|
Non-controlling
interests
|
|
36,307,862
|
|
|
35,164,104
|
TOTAL
EQUITY
|
|
168,654,760
|
|
|
170,192,316
|
TOTAL LIABILITIES AND
EQUITY
|
$
|
262,289,706
|
|
$
|
261,661,030
|
|
The accompanying
notes in the 2017 second quarter 10-Q as filed with the SEC are an
integral part of these consolidated financial statements
|
FUTURE FINTECH
GROUP INC.
CONSOLIDATED
STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(LOSS)
(Unaudited)
|
|
|
Three Months
Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
Revenue
|
$
|
2,776,872
|
|
$
|
10,229,298
|
|
$
|
5,735,706
|
|
$
|
15,665,606
|
Cost of goods
sold
|
|
1,484,129
|
|
|
7,018,326
|
|
|
3,908,349
|
|
|
12,411,810
|
Gross
profit
|
|
1,292,743
|
|
|
3,210,972
|
|
|
1,827,357
|
|
|
3,253,796
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Expenses
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative expenses
|
|
3,077,013
|
|
|
1,007,113
|
|
|
5,932,342
|
|
|
1,687,057
|
Selling
expenses
|
|
311,078
|
|
|
750,690
|
|
|
505,957
|
|
|
1,611,830
|
Total operating
expenses
|
|
3,388,091
|
|
|
1,757,803
|
|
|
6,438,299
|
|
|
3,298,887
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
(2,095,348)
|
|
|
1,453,169
|
|
|
(4,610,942)
|
|
|
(45,091)
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
1,139
|
|
|
15,599
|
|
|
2,179
|
|
|
146,623
|
Subsidy
income
|
|
342,124
|
|
|
18,701
|
|
|
342,124
|
|
|
550,146
|
Interest
expenses
|
|
(595,313)
|
|
|
(790,694)
|
|
|
(626,109)
|
|
|
(999,359)
|
Consulting fee
related to capital lease
|
|
(312,356)
|
|
|
71,936
|
|
|
(140,209)
|
|
|
62,777
|
Total other
expenses
|
|
(564,406)
|
|
|
(684,458)
|
|
|
(422,015)
|
|
|
(239,813)
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income tax
|
|
(2,659,754)
|
|
|
768,711
|
|
|
(5,032,957)
|
|
|
(284,904)
|
Income tax
provision
|
|
198,663
|
|
|
633,829
|
|
|
260,085
|
|
|
633,829
|
Net income
(loss)
|
|
(2,858,417)
|
|
|
134,882
|
|
|
(5,293,042)
|
|
|
(918,733)
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Net loss
(income) attributable to non-controlling interests
|
|
370,419
|
|
|
249,929
|
|
|
(203,821)
|
|
|
237,464
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS)
ATTRIBUTABLE TO FUTURE FINTECH GROUP, INC.
|
|
(2,487,998)
|
|
|
384,811
|
|
|
(5,089,221)
|
|
|
(681,269)
|
|
|
|
|
|
|
|
|
|
|
|
|
Discontinued
Operations
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
discontinued operations
|
|
(48,023)
|
|
|
-
|
|
|
(96,708)
|
|
|
-
|
NET INCOME (LOSS) ATTRIBUTABLE
TO FUTURE FINTECH GROUP, INC.
|
|
(2,536,021)
|
|
|
384,811
|
|
|
(5,185,929)
|
|
|
(681,269)
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
(loss)
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
1,612,180
|
|
|
(12,277,105)
|
|
|
2,238,236
|
|
|
8,421,541
|
Comprehensive income
(loss)
|
|
(1,246,237)
|
|
|
(12,142,223)
|
|
|
(3,054,806)
|
|
|
7,502,808
|
Comprehensive income
(loss) attributable to non-controlling interests
|
|
(618,546)
|
|
|
7,046,862
|
|
|
(743,443)
|
|
|
2,049,453
|
COMPREHENSIVE INCOME
(LOSS) ATTRIBUTABLE TO FUTURE FINTECH GROUP, INC.
|
$
|
(1,864,783)
|
|
$
|
(5,095,361)
|
|
$
|
(3,798,249)
|
|
$
|
9,552,261
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) per
share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic income (loss)
per share from continued operations
|
|
(0.49)
|
|
|
0.12
|
|
|
(1.12)
|
|
|
(0.18)
|
Basic income (loss) per share from discontinued
operations
|
|
(0.01)
|
|
|
-
|
|
|
(0.02)
|
|
|
-
|
Basic income (loss)
per share from net income
|
|
(0.50)
|
|
|
0.12
|
|
|
(1.14)
|
|
|
(0.18)
|
Diluted income (loss) per
share:
|
|
|
|
|
|
|
|
|
|
|
|
Diluted income (loss)
per share from continued operations
|
|
(0.49)
|
|
|
0.12
|
|
|
(1.11)
|
|
|
(0.18)
|
Diluted income (loss)
per share from discontinued operations
|
|
(0.01)
|
|
|
-
|
|
|
(0.02)
|
|
|
-
|
Diluted income (loss)
per share from net income
|
|
(0.50)
|
|
|
0.12
|
|
|
(1.12)
|
|
|
(0.18)
|
Weighted average
number of shares outstanding
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
4,537,240
|
|
|
3,807,611
|
|
|
4,537,240
|
|
|
3,807,611
|
Diluted
|
|
4,599,740
|
|
|
3,807,611
|
|
|
4,599,740
|
|
|
3,807,611
|
|
The accompanying
notes in the 2017 second quarter 10-Q as filed with the SEC are an
integral part of these consolidated financial
statements.
|
FUTURE FINTECH
GROUP INC.
CONSOLIDATED
STATEMENTS OF CASH FLOWS
(Unaudited)
|
|
For the six months ended June
30,
|
|
2017
|
|
2016
|
|
|
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
Net loss
|
$
|
(5,185,929)
|
|
$
|
(918,733)
|
Adjustments to reconcile net
income to net cash provided by operating
activities
|
|
|
|
|
|
Minority Interest
|
|
(203,821)
|
|
|
(237,464)
|
Depreciation and amortization
|
|
1,581,819
|
|
|
2,513,321
|
Changes in operating
assets and liabilities
|
|
-
|
|
|
-
|
Accounts
receivable
|
|
6,954,731
|
|
|
19,139,955
|
Other
receivable
|
|
(1,176,722)
|
|
|
(2,976,550)
|
Advances to suppliers
and other current assets
|
|
2,946,991
|
|
|
(11,265,461)
|
Inventories
|
|
(606,137)
|
|
|
(233,562)
|
Accounts
payable
|
|
(4,706,261)
|
|
|
1,116,836
|
Accrued
expenses
|
|
1,254,603
|
|
|
284,774
|
Income tax
payable
|
|
(796,119)
|
|
|
(1,146,977)
|
Advances from
customers
|
|
23,322
|
|
|
41,843
|
Net cash provided by
(used in) operating activities
|
|
86,477
|
|
|
6,555,446
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
|
(990,799)
|
|
|
(10,125)
|
Proceeds from
disposal of plant, property and equipment
|
|
-
|
|
|
190,185
|
Prepayment for other
assets
|
|
(197,956)
|
|
|
(1,336,259)
|
Prepayments for
deposit on equipment
|
|
-
|
|
|
(31,163,680)
|
Net cash used in
investing activities
|
|
(1,188,755)
|
|
|
(32,319,879)
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
Issue of common
stock
|
|
2,679,779
|
|
|
16,641,291
|
Proceeds from
short-term notes
|
|
-
|
|
|
61,267
|
(Repayment) proceed of related party loans
|
|
263,020
|
|
|
(87,267)
|
Repayment of short-term bank loans
|
|
-
|
|
|
(594,290)
|
(Repayment) proceed of long term debt
|
|
2,021,142
|
|
|
(1,229,949)
|
Payment for capital lease
|
|
-
|
|
|
7,982,400
|
Net cash
provided by financing activities
|
|
4,963,941
|
|
|
22,773,452
|
|
|
|
|
|
|
Effect of change in
exchange rate
|
|
(587,459)
|
|
|
(6,272,151)
|
|
|
|
|
|
|
NET (DECREASE) INCREASE IN CASH
AND CASH EQUIVALENTS
|
|
3,274,204
|
|
|
(9,263,132)
|
Cash and cash
equivalents, beginning of period
|
|
1,143,585
|
|
|
50,006,914
|
Cash and cash
equivalents, end of period
|
$
|
4,417,789
|
|
$
|
40,743,782
|
|
|
|
|
|
|
SUPPLEMENTAL
DISCLOSURES OF CASH FLOW INFORMATION
|
|
|
|
|
|
Cash paid for
interest
|
$
|
562,761
|
|
$
|
208,665
|
Cash paid for income
taxes
|
$
|
260,085
|
|
$
|
1,259,559
|
|
|
|
|
|
|
SUPPLEMENTARY
DISCLOSURE OF SIGNIFICANT NON-CASH TRANSACTION
|
|
|
|
|
|
Transferred from
other assets to property, plant and equipment and construction
in process
|
$
|
197,956
|
|
$
|
2,342,127
|
Equipment acquired by
capital lease
|
$
|
-
|
|
$
|
-
|
|
The accompanying
notes in the 2017 second quarter 10-Q as filed with the SEC are an
integral part of these consolidated financial statements
|
For more information, please contact:
COMPANY
Cindy Liu, Investor
Relations Manager
Future FinTech Group Inc.
Tel: China + 86 -
29-8837-7161
Email: skypeople_annie@163.com
Web: http://www.ftft.top
View original
content:http://www.prnewswire.com/news-releases/future-fintech-group-reports-second-quarter-2017-financial-results-300504012.html
SOURCE Future FinTech Group Inc.