HANGZHOU, China, June 29, 2018 /PRNewswire/ -- China Jo-Jo Drugstores, Inc. (NASDAQ: CJJD)
("Jo-Jo Drugstores" or the "Company"), a leading online and offline
retailer and wholesale distributor of pharmaceutical and other
healthcare products and a healthcare provider in China, today announced its financial results
for the fiscal year ended March 31,
2018.
Mr. Lei Liu, Chief Executive Officer and Chairman of Jo-Jo
Drugstores, Inc., commented, "Fiscal year 2018 has been an
important transition year for China
Jo-Jo Drugstores with revenues increased by 17.9%
year-over-year to $96.11 million. We
expanded our retail business, opening 55 new retail drugstores in
key locations, and continued to improve services in our existing
stores. While our e-commerce business continued its transition
following the suspension of OTC drug sales on e-commerce platforms
in fiscal year 2017, in the third and fourth quarters of fiscal
2018, our online pharmacy results began to stabilize as we
optimized our product range."
Mr. Liu continued, "We expect our efforts to focus on product
selection and price negotiation with suppliers to increase our
sales profit margin. Our e-commerce segment will continue its
evolution following our initiatives to cooperate with commercial
insurance companies, such as the People's Insurance Company of
China, and other active strategies. We look forward to executing
our business objectives and we believe that there is still plenty
of room for us to continue to grow at a rapid rate in the
foreseeable future."
Fiscal Year 2018 Financial Highlights
|
|
For the Fiscal
Year Ended March 31,
|
($ millions,
except per share data)
|
|
2018
|
|
2017
|
|
Change
|
Revenues
|
|
96.11
|
|
81.50
|
|
17.9%
|
Retail
drugstores
|
|
61.98
|
|
51.79
|
|
19.7%
|
Online
pharmacy
|
|
12.13
|
|
15.39
|
|
(21.2%)
|
Wholesale
|
|
22.00
|
|
14.32
|
|
53.6%
|
Gross
profit
|
|
20.13
|
|
16.63
|
|
21.0%
|
Gross
margin
|
|
20.9%
|
|
20.4%
|
|
0.5 pp*
|
Loss from
operations
|
|
(18.02)
|
|
(6.10)
|
|
195.5%
|
Net loss attributable
to Jo-Jo Drugstores
|
|
(17.06)
|
|
(5.64)
|
|
202.3%
|
Loss per
share
|
|
(0.68)
|
|
(0.28)
|
|
141.4%
|
|
*Notes: pp represents
percentage points
|
- Revenues increased by 17.9% to $96.11
million for the fiscal year ended March 31, 2018 from $81.50
million for the last fiscal year, mainly due to the increase
in retail drugstores and wholesale business, partially offset by
the decrease in online pharmacy business.
- Gross profit increased by 21.0% to $20.13 million for the fiscal year ended
March 31, 2018 from $16.63 million for the last fiscal year. Gross
margin increased by 0.5 percentage points to 20.9% from 20.4% for
the last fiscal year.
Fiscal Year ended March 31,
2018 Financial Results
Revenue
Revenue for the fiscal year ended March
31, 2018 increased by $14.61
million, or 17.9%, to $96.11
million from $81.50 million
for the last fiscal year. The increase in revenue was primarily due
to the increase in retail drugstores and wholesale business,
partially offset by the decrease in online pharmacy business.
|
|
For the Fiscal
Year Ended March 31,
|
|
|
2018
|
|
2017
|
($
millions)
|
|
Revenues
|
|
Cost of
Goods
|
|
Gross
Margin
|
|
Revenues
|
|
Cost of
Goods
|
|
Gross
Margin
|
|
Retail
drugstores
|
|
61.98
|
|
45.92
|
|
25.9%
|
|
51.79
|
|
38.09
|
|
26.5%
|
|
Online
pharmacy
|
|
12.13
|
|
10.86
|
|
10.5%
|
|
15.39
|
|
13.83
|
|
10.1%
|
|
Wholesale
|
|
22.00
|
|
19.21
|
|
12.7%
|
|
14.32
|
|
12.95
|
|
9.6%
|
|
Total
|
|
96.11
|
|
75.99
|
|
20.9%
|
|
81.50
|
|
15.39
|
|
20.4%
|
|
Revenue from the retail drugstores segment increased by
$10.19 million, or 19.7%, to
$61.98 million for the fiscal year
ended March 31, 2018 from
$51.79 million for the last fiscal
year. The increase was primarily due to the increased number of
stores, close monitoring of health products suitable to
communities, brand-name health product sales campaign in
cooperation with brand name suppliers, and value-added customer
services such as chronic disease monitoring.
Revenue from the online pharmacy segment decreased by
$3.26 million, or 21.2%, to
$12.13 million for the fiscal year
ended March 31, 2018 from
$15.39 million for the last fiscal
year. The decrease was mainly caused by a decline in our sales via
e-commerce platforms. The decline in sales was due to the
suspension of OTC drug sales on e-commerce platforms in the second
quarter of fiscal year 2017 by the CFDA. The Company is adding more
non-medical health products such as nutritional supplements into
our sales menu to counteract the decline in sales of OTC drug
category via e-commerce platforms.
Revenue from the wholesale segment increased by $7.68 million, or 53.6%, to $22.00 million for the fiscal year ended
March 31, 2018 from $14.32 million for the last fiscal year. The
increase was primarily a result of the Company's ability to resell
certain products, which our retail stores made large orders on, to
other vendors at competitive prices.
Gross profit and gross margin
Total cost of goods sold increased by $11.12 million, or 17.1%, to $75.99 million for the fiscal year ended
March 31, 2018 from $64.87 million for the last fiscal year. Gross
profit increased by $3.50 million, or
21.0%, to $20.13 million for the
fiscal year ended March 31, 2018 from
$16.63 million for the last fiscal
year. Overall gross margin increased by 0.5 percentage points to
20.9% for the fiscal year ended March 31,
2018, compared to 20.4% for the last fiscal year.
Gross margins for retail drugstores, online pharmacy and
wholesale were 25.9%, 10.5%, and 12.7%, respectively, for the
fiscal year ended March 31, 2018.
This compared to gross margins for retail drugstores, online
pharmacy and wholesale of 26.5%, 10.1%, and 9.6%, respectively, for
the last fiscal year.
Loss from operations
Sales and marketing expenses increased by $5.82 million, or 45.0%, to $18.74 million for the fiscal year ended
March 31, 2018 from $12.92 million for the last fiscal year,
primarily due to increase in labor and rent related to our store
expansions and rising local living cost.
General and administrative expenses increased by $10.14 million, or 131.9%, to $17.82 million for the fiscal year ended
March 31, 2018 from $7.68 million for the last fiscal year. The
increase in general and administrative expenses was primarily due
to the increased number of administrative staff and their
compensation, as well as additional accounts receivable and
advances to vendors allowance of $4.7
million in the fiscal year ended March 31, 2018 as compared to an increase of
$0.7 million in allowance in the year
ended March 31, 2017.
Impairment of long-lived assets was $1.58
million for the fiscal year ended March 31, 2018, compared to $2.12 million for the last fiscal year. Jiuxin
Medicine started outsourcing its logistics service to Astro Boy
Cloud Pan (Hangzhou) Storage and
Logistics Co. Ltd, Jiuxin Medicine's warehouse lease has been
terminated. As a result, approximately unamortized $1,583,186 warehouse improvement is recognized as
expense in the year ended March 31,
2018. Such impairment was made after we estimated that the
implied fair value of long-lived assets was lower than the carrying
value.
Loss from operations increased by $11.92
million, or 195.5%, to $18.02
million for the fiscal year ended March 31, 2018 from $6.10
million for the last fiscal year. Operating margin was
negative 18.8% for the fiscal year ended March 31, 2018, compared to negative 7.5% for the
last fiscal year.
Net loss
Net loss attributable to common shareholders for the fiscal year
ended March 31, 2018 was $17.06 million, or $0.68 per basic and diluted share. This compared
to net loss attributable to common shareholders of $5.64 million, $0.28 per basic and diluted share, for the last
fiscal year.
Financial Condition
As of March 31, 2018, the Company
had cash of $15.13 million, compared
to $18.36 million as of March 31, 2017. Net cash used in operating
activities was $2.07 million for the
fiscal year ended March 31, 2018,
compared to net cash provided by operating cash flow of
$1.56 million for the last fiscal
year. Net cash used in investing activities was $2.98 million for the fiscal year ended
March 31, 2018, compared to
$0.05 million for the last fiscal
year. Net cash used in financing activities was $0.77 million for the fiscal year ended
March 31, 2018, compared to net cash
provided by financing activities of $10.64
million for the last fiscal year.
About China Jo-Jo Drugstores,
Inc.
China Jo-Jo Drugstores, Inc.
("Jo-Jo Drugstores" or the "Company"), is a leading online and
offline retailer and wholesale distributor of pharmaceutical and
other healthcare products in China. Jo-Jo Drugstores currently operates
retail drugstores and an online pharmacy. It is also a wholesale
distributor of products similar to those carried in its pharmacies
and it cultivates and sells herbs used for traditional Chinese
medicine. For more information about the Company, please visit
http://www.chinajojodrugstores.com/. The Company routinely posts
important information on its website.
Forward-Looking Statements
This press release contains information about the Company's
view of its future expectations, plans and prospects that
constitute forward-looking statements. Actual results may
differ materially from historical results or those indicated by
these forward-looking statements as a result of a variety of
factors including, but not limited to, risks and uncertainties
associated with its ability to raise additional funding, its
ability to maintain and grow its business, variability of operating
results, its ability to maintain and enhance its brand, its
development and introduction of new products and services, the
successful integration of acquired companies, technologies and
assets into its portfolio of products and services, marketing and
other business development initiatives, competition in the
industry, general government regulation, economic conditions,
dependence on key personnel, the ability to attract, hire and
retain personnel who possess the technical skills and experience
necessary to meet the requirements of its clients, and its ability
to protect its intellectual property. The Company's encourages
you to review other factors that may affect its future results in
the Company's annual reports and in its other filings with the
Securities and Exchange Commission.
For more information, please contact:
Company Contact:
Frank Zhao
Chief Financial Officer
+86-571-88077108
frank.zhao@jojodrugstores.com
Steve Liu
Investor Relations Director
steve.liu@jojodrugstores.com
Investor Relations Contact:
Tina Xiao
Ascent Investor Relations LLC
+1-917-609-0333
tina.xiao@ascent-ir.com
CHINA JO-JO
DRUGSTORES, INC. AND SUBSIDIARIES
|
CONSOLIDATED BALANCE
SHEETS
|
|
|
|
March 31,
|
|
|
March 31,
|
|
|
|
2018
|
|
|
2017
|
|
ASSETS
|
|
|
|
|
|
|
CURRENT
ASSETS
|
|
|
|
|
|
|
Cash
|
|
$
|
15,132,640
|
|
|
$
|
18,364,424
|
|
Restricted
cash
|
|
|
16,319,551
|
|
|
|
9,431,386
|
|
Financial assets available for sale
|
|
|
175,140
|
|
|
|
87,068
|
|
Notes
receivable
|
|
|
279,082
|
|
|
|
253,394
|
|
Trade accounts
receivable, net of allowance for doubtful accounts of $4,561,314
and
$1,415,505, as of March 31, 2018 and 2017
respectively
|
|
|
8,322,393
|
|
|
|
8,561,596
|
|
Inventories
|
|
|
13,429,568
|
|
|
|
9,923,101
|
|
Other receivables,
net of allowance for doubtful accounts of $ 184,720 and
$26,854,
as of March 31, 2018 and 2017,
respectively
|
|
|
3,098,079
|
|
|
|
2,269,193
|
|
Advances to
suppliers, net of allowance for doubtful accounts of $3,058,092
and
$1,502,255, as of March 31, 2018 and 2017,
respectively
|
|
|
3,447,452
|
|
|
|
5,504,141
|
|
Other current
assets
|
|
|
2,116,237
|
|
|
|
1,566,155
|
|
Total current
assets
|
|
|
62,320,142
|
|
|
|
55,960,458
|
|
|
|
|
|
|
|
|
|
|
PROPERTY AND
EQUIPMENT, net
|
|
|
2,843,640
|
|
|
|
4,263,157
|
|
|
|
|
|
|
|
|
|
|
OTHER
ASSETS
|
|
|
|
|
|
|
|
|
Long-term
investment
|
|
|
40,890
|
|
|
|
46,152
|
|
Farmland
assets
|
|
|
796,286
|
|
|
|
718,787
|
|
Long term
deposits
|
|
|
2,501,968
|
|
|
|
2,294,848
|
|
Other noncurrent
assets
|
|
|
1,253,352
|
|
|
|
1,177,005
|
|
Intangible assets,
net
|
|
|
4,056,414
|
|
|
|
2,712,611
|
|
Total other
assets
|
|
|
8,648,910
|
|
|
|
6,949,403
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
73,812,692
|
|
|
$
|
67,173,018
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCK
HOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
|
|
|
|
|
Short-term loan
payable
|
|
$
|
-
|
|
|
$
|
-
|
|
Accounts payable,
trade
|
|
|
25,259,526
|
|
|
|
19,441,195
|
|
Notes
payable
|
|
|
19,180,200
|
|
|
|
12,691,575
|
|
Other
payables
|
|
|
4,272,523
|
|
|
|
2,916,283
|
|
Other payables -
related parties
|
|
|
850,342
|
|
|
|
927,052
|
|
Customer
deposits
|
|
|
4,040,867
|
|
|
|
2,675,030
|
|
Taxes
payable
|
|
|
366,040
|
|
|
|
681,939
|
|
Accrued
liabilities
|
|
|
841,993
|
|
|
|
679,350
|
|
Total current
liabilities
|
|
|
54,811,491
|
|
|
|
40,012,424
|
|
|
|
|
|
|
|
|
|
|
Purchase option and
warrants liability
|
|
|
138,796
|
|
|
|
496,217
|
|
Total
liabilities
|
|
|
54,950,287
|
|
|
|
40,508,641
|
|
|
|
|
|
|
|
|
|
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
STOCKHOLDERS'
EQUITY
|
|
|
|
|
|
|
|
|
Common stock; $0.001
par value; 250,000,000 shares authorized; 28,936,778 and
25,214,678 shares issued and outstanding as of
March 31, 2018 and March 31,
2017
|
|
|
28,937
|
|
|
|
25,215
|
|
Preferred stock;
$0.001 par value; 10,000,000 shares authorized; nil issued
and
outstanding as of March 31, 2018 and March
31,2017
|
|
|
-
|
|
|
|
-
|
|
Additional paid-in
capital
|
|
|
43,599,089
|
|
|
|
36,581,248
|
|
Statutory
reserves
|
|
|
1,309,109
|
|
|
|
1,309,109
|
|
Accumulated
deficit
|
|
|
(29,661,190)
|
|
|
|
(12,601,257)
|
|
Accumulated other
comprehensive income
|
|
|
3,586,460
|
|
|
|
1,350,062
|
|
Total stockholders'
equity
|
|
|
18,862,405
|
|
|
|
26,664,377
|
|
|
|
|
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
|
$
|
73,812,692
|
|
|
$
|
67,173,018
|
|
CHINA JO-JO
DRUGSTORES, INC. AND SUBSIDIARIES
|
CONSOLIDATED
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
|
|
|
|
For the years
ended
March 31,
|
|
|
|
2018
|
|
|
2017
|
|
REVENUES,
NET
|
|
$
|
96,112,706
|
|
|
$
|
81,499,045
|
|
|
|
|
|
|
|
|
|
|
COST OF GOODS
SOLD
|
|
|
75,987,537
|
|
|
|
64,872,127
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT
|
|
|
20,125,169
|
|
|
|
16,626,918
|
|
|
|
|
|
|
|
|
|
|
SELLING
EXPENSES
|
|
|
18,739,492
|
|
|
|
12,923,192
|
|
GENERAL AND
ADMINISTRATIVE EXPENSES
|
|
|
17,823,661
|
|
|
|
7,684,862
|
|
IMPAIRMENT OF
LONG-LIVED ASSETS
|
|
|
1,583,186
|
|
|
|
2,117,042
|
|
TOTAL OPERATING
EXPENSES
|
|
|
38,146,339
|
|
|
|
22,725,096
|
|
|
|
|
|
|
|
|
|
|
LOSS FROM
OPERATIONS
|
|
|
(18,021,170)
|
|
|
|
(6,098,178)
|
|
|
|
|
|
|
|
|
|
|
INTEREST
INCOME
|
|
|
478,976
|
|
|
|
379,790
|
|
INTEREST
EXPENSE
|
|
|
-
|
|
|
|
(1,349)
|
|
OTHER INCOME,
NET
|
|
|
201,096
|
|
|
|
19,888
|
|
CHANGE IN FAIR VALUE
OF PURCHASE OPTION AND WARRANTS
LIABILITY
|
|
|
357,421
|
|
|
|
140,032
|
|
|
|
|
|
|
|
|
|
|
LOSS BEFORE INCOME
TAXES
|
|
|
(16,983,677)
|
|
|
|
(5,559,817)
|
|
|
|
|
|
|
|
|
|
|
PROVISION FOR INCOME
TAXES
|
|
|
76,256
|
|
|
|
84,387
|
|
|
|
|
|
|
|
|
|
|
NET LOSS
|
|
|
(17,059,933)
|
|
|
|
(5,644,204)
|
|
|
|
|
|
|
|
|
|
|
OTHER COMPREHENSIVE
LOSS
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustments
|
|
|
2,236,398
|
|
|
|
(1,507,751)
|
|
|
|
|
|
|
|
|
|
|
COMPREHENSIVE
LOSS
|
|
|
(14,823,535)
|
|
|
|
(7,151,955)
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE
NUMBER OF SHARES:
|
|
|
|
|
|
|
|
|
Basic
|
|
|
25,241,748
|
|
|
|
20,396,217
|
|
Diluted
|
|
|
25,241,748
|
|
|
|
20,396,217
|
|
|
|
|
|
|
|
|
|
|
LOSS PER
SHARES:
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(0.68)
|
|
|
$
|
(0.28)
|
|
Diluted
|
|
$
|
(0.68)
|
|
|
$
|
(0.28)
|
|
CHINA JO-JO
DRUGSTORES, INC. AND SUBSIDIARIES
|
CONSOLIDATED
STATEMENTS OF CHANGES IN EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
|
|
|
|
|
|
|
|
|
|
Common
Stock
|
|
|
|
|
|
Retained
Earnings
|
|
|
other
|
|
|
Non-
|
|
|
|
|
|
|
Number of
|
|
|
|
|
|
Paid-in
|
|
|
Statutory
|
|
|
|
|
|
comprehensive
|
|
|
controlling
|
|
|
|
|
|
|
shares
|
|
|
Amount
|
|
|
capital
|
|
|
reserves
|
|
|
Unrestricted
|
|
|
income/(loss)
|
|
|
interest
|
|
|
Total
|
|
BALANCE,
March 31,
2016.
|
|
|
17,735,504
|
|
|
$
|
17,736
|
|
|
|
22,088,267
|
|
|
|
1,309,109
|
|
|
|
(6,957,053)
|
|
|
|
2,857,813
|
|
|
|
-
|
|
|
$
|
19,315,872
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock based
compensation
|
|
|
1,690,174
|
|
|
|
1,690
|
|
|
|
2,246,960
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
2,248,650
|
|
Net loss
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(5,644,204)
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(5,644,204)
|
|
Private direct
offering
financing
|
|
|
4,840,000
|
|
|
|
4,840
|
|
|
|
10,643,160
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
10,648,000
|
|
Issuance of
common
stocks in
exchange
of debts
|
|
|
949,000
|
|
|
|
949
|
|
|
|
1,602,821
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
1,603,810
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign
currency
translation
loss
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,507,751)
|
|
|
|
|
|
|
|
(1,507,751)
|
|
BALANCE,
March 31,
2017.
|
|
|
25,214,678
|
|
|
$
|
25,215
|
|
|
|
36,581,248
|
|
|
|
1,309,109
|
|
|
|
(12,601,257)
|
|
|
|
1,350,062
|
|
|
|
-
|
|
|
$
|
26,664,377
|
|
Stock based
compensation
|
|
|
3,722,100
|
|
|
|
3,722
|
|
|
|
7,017,841
|
|
|
|
-
|
|
|
|
|
|
|
|
-
|
|
|
|
-
|
|
|
|
7,021,563
|
|
Net loss
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
-
|
|
|
|
(17,059,933)
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(17,059,933)
|
|
Foreign
currency
translation
loss
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
|
|
|
2,236,398
|
|
|
|
-
|
|
|
|
2,236,398
|
|
BALANCE,
March 31,
2018.
|
|
|
28,936,778
|
|
|
|
28,937
|
|
|
|
43,599,089
|
|
|
|
1,309,109
|
|
|
|
(29,661,190)
|
|
|
|
3,586,460
|
|
|
|
-
|
|
|
|
18,862,405
|
|
CHINA JO-JO
DRUGSTORES, INC. AND SUBSIDIARIES
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
|
|
For the years
ended
March 31,
|
|
|
|
2018
|
|
|
2017
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
Net income
|
|
$
|
(17,059,933)
|
|
|
$
|
(5,644,204)
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
|
|
|
|
Bad debt direct
write-off and provision
|
|
|
4,009,636
|
|
|
|
679,271
|
|
Depreciation and
amortization
|
|
|
1,383,810
|
|
|
|
1,316,747
|
|
Impairment of
prepayment of lease use right
|
|
|
-
|
|
|
|
1,246,788
|
|
Farmland assets
impairment
|
|
|
-
|
|
|
|
761,403
|
|
Impairment of land
and road improvement
|
|
|
-
|
|
|
|
108,851
|
|
Impairment of
leasehold improvement
|
|
|
1,583,186
|
|
|
|
-
|
|
Stock based
compensation
|
|
|
7,021,563
|
|
|
|
2,248,650
|
|
Change in fair value
of purchase option derivative liability
|
|
|
(357,421)
|
|
|
|
(140,084)
|
|
Change in operating
assets:
|
|
|
|
|
|
|
|
|
Accounts receivable,
trade
|
|
|
(2,072,486)
|
|
|
|
(717,386)
|
|
Notes
receivable
|
|
|
(1,005)
|
|
|
|
(244,713)
|
|
Inventories and
biological assets
|
|
|
(2,411,209)
|
|
|
|
191,564
|
|
Other
receivables
|
|
|
(489,334)
|
|
|
|
(773,359)
|
|
Advances to
suppliers
|
|
|
1,121,006
|
|
|
|
(3,020,156)
|
|
Long term
deposit
|
|
|
15,103
|
|
|
|
-
|
|
Other current
assets
|
|
|
(377,391)
|
|
|
|
(148,983)
|
|
Other noncurrent
assets
|
|
|
36,091
|
|
|
|
35,509
|
|
Change in operating
liabilities:
|
|
|
|
|
|
|
|
|
Accounts payable,
trade
|
|
|
3,726,625
|
|
|
|
3,936,178
|
|
Other payables and
accrued liabilities
|
|
|
1,115,267
|
|
|
|
1,250,755
|
|
Customer
deposits
|
|
|
1,048,939
|
|
|
|
237,891
|
|
Taxes
payable
|
|
|
(362,513)
|
|
|
|
234,780
|
|
Net cash provided by
operating activities
|
|
|
(2,070,066)
|
|
|
|
1,559,502
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Disposal of
financial assets available for sale
|
|
|
-
|
|
|
|
445,968
|
|
Purchase of
financial assets available for sale
|
|
|
(75,513)
|
|
|
|
(89,194)
|
|
Acquisition of
equipment
|
|
|
(414,398)
|
|
|
|
(140,209)
|
|
Increase intangible
assets
|
|
|
(1,140,102)
|
|
|
|
-
|
|
Termination of a
joint venture
|
|
|
-
|
|
|
|
104,059
|
|
Investment in a joint
venture
|
|
|
-
|
|
|
|
(96,180)
|
|
Additions to
leasehold improvements
|
|
|
(1,347,489)
|
|
|
|
(270,990)
|
|
Net cash provided by
(used in) investing activities
|
|
|
(2,977,502)
|
|
|
|
(46,546)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Repayment of
short-term bank loan
|
|
|
-
|
|
|
|
(29,731)
|
|
Change in restricted
cash
|
|
|
(5,664,224)
|
|
|
|
3,519,030
|
|
Proceeds from notes
payable
|
|
|
27,461,423
|
|
|
|
24,577,096
|
|
Repayment of notes
payable
|
|
|
(22,476,740)
|
|
|
|
(28,445,215)
|
|
Changes in other
payables-related parties
|
|
|
-
|
|
|
|
375,659
|
|
Proceeds from sale of
stock and warrants
|
|
|
-
|
|
|
|
10,648,000
|
|
Repayment of other
payables-related parties
|
|
|
(91,395)
|
|
|
|
-
|
|
Net cash provided
by (used in) financing activities
|
|
|
(770,936)
|
|
|
|
10,644,839
|
|
|
|
|
|
|
|
|
|
|
EFFECT OF EXCHANGE
RATE ON CASH
|
|
|
2,586,720
|
|
|
|
(465,244)
|
|
|
|
|
|
|
|
|
|
|
(DECREASE) INCREASE
IN CASH
|
|
|
(3,231,784)
|
|
|
|
11,692,551
|
|
|
|
|
|
|
|
|
|
|
CASH, beginning of
year
|
|
|
18,364,424
|
|
|
|
6,671,873
|
|
|
|
|
|
|
|
|
|
|
CASH, end of
year
|
|
$
|
15,132,640
|
|
|
$
|
18,364,424
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION:
|
|
|
|
|
|
|
|
|
Cash paid for
interest
|
|
$
|
-
|
|
|
$
|
1,349
|
|
Cash paid for income
taxes
|
|
$
|
27,825
|
|
|
$
|
57,247
|
|
Issuance of common
stocks in exchange of debts
|
|
$
|
-
|
|
|
$
|
1,603,810
|
|
View original
content:http://www.prnewswire.com/news-releases/china-jo-jo-drugstores-reports-fiscal-year-2018-financial-results-300674619.html
SOURCE China Jo-Jo Drugstores,
Inc.