FUZHOU, China, Nov. 16, 2021 /PRNewswire/ -- Pingtan
Marine Enterprise Ltd. (Nasdaq: PME) ("Pingtan" or the
"Company"), a fishing company based in the People's Republic of China (PRC), today
announced financial results for its third quarter and
nine months ended September
30,2021.
Third Quarter 2021 Financial
Highlights (Year-on-Year Comparisons)
- Revenue was $36.1 million, increased by
133.7%from$15.4 million.
- Gross loss was $4.1 million compared to gross profit
of $1.7million.
- Net income was $2.9 million,
compared to net income of $0.8 million.
- Net income attributable to ordinary shareholders of the Company
was $2.6 million, or $0.03per
basic and diluted share, compared to
net income attributable to ordinary shareholders of the
Company of $0.7 million, or
$0.01 per basic and diluted
share.
Management Comments
Mr. Xinrong Zhuo, Chairman and
CEO of the Company, commented, "We are glad to report an over 130%
increase in revenue and an over 110% increase in sales volume for
the third quarter of 2021.However, with the number of global
COVID-19 cases surpassing 250 million as of today, the recent
COVID-19 outbreak in many regions of China had certain impact on Pingtan and the
Company was faced with a situation of a growth in revenue and sales
volume but a decline in gross margin. Although we remain on the
sidelines of the follow-up market situation in 2021, we are
confident in the sustainable development of China's fishery industry. We believe that for
companies like Pingtan that focuses on pelagic fishery development,
our advantages will become more apparent as the market gradually
recovers."
Factors Affecting Pingtan's Results of Operations
COVID-19 pandemic
In December 2019, a novel strain
of coronavirus (COVID-19) surfaced in the PRC. In reaction to this
outbreak, many provinces and municipalities in the PRC activated
the highest Level-I Response to the emergency public health
incident. As a result, business activities in the PRC were
significantly affected.
Emergency quarantine measures and travel restrictions have had a
significant impact on many sectors across the PRC, which has also
adversely affected the Company's operations. To reduce the impact
on production and operation, the Company implemented certain safety
measures to allow us to gradually resume work in mid-February. For
the employees who left Fuzhou
during the Spring Festival holiday and could not return to
Fuzhou as scheduled, or those who
could only resume work after satisfying the 14-day quarantine
requirement, the Company provided paid leave. Since resuming work
in mid-February, the Company have been using a shift system and
adopted additional health and safety procedures to protect its
employees. With these measures, the Company was able to maintain
sales and operations from mid-February to mid-March. On
March 23, 2020, the Company resumed
normal operations and is conducting business as usual with health
and safety procedures to protect employees. Management is focused
on mitigating the effects of COVID-19 on its business operations
while protecting the employees' health and safety. the Company will
continue to actively monitor the situation and may take further
actions that alter its business operations, as may be required by
local authorities or that the Company determines are in the best
interests of its employees, customers, partners, suppliers and
other stakeholders.
Some of the Company's customers are fish processing plants that
export processed fish products to foreign countries. These
customers reduced or postponed their purchases from the Company in
the initial stage of the pandemic, but since the middle of the
second quarter of 2020, they have adjusted their business
strategies in relation to exportation or domestic sale. Because of
the reduction or postponement, the Company's unit selling price
decreased, its inventory levels increased, and accounts receivables
were not timely paid as anticipated.
The COVID-19 pandemic continues to cause major disruptions to
businesses and markets worldwide as the virus spreads or a
resurgence in certain jurisdictions. The effects of the outbreak
are still evolving, and the ultimate severity and duration of the
pandemic and the implications on global economic conditions remains
uncertain. Therefore, the extent of the impact of the pandemic on
its financial condition and results of operations is still highly
uncertain and will depend on future developments, such as the
ultimate duration and scope of the outbreak, its impact on the
Company's customers and exporters, how quickly normal economic
conditions, operations, and the demand for its products can resume
and whether the pandemic leads to recessionary conditions in the
PRC, United States, or
globally.
While the Company anticipates its results of operations
will continue to be impacted by this pandemic for the remainder of
the year, the Company is unable to reasonably estimate the extent
of the impact on its full-year results of operations, its liquidity
or its overall financial position.
The Company's Fishing Fleet
As of September 30, 2021, of the
Company's 142vessels, 100 were located in international waters, 12
were located in the Bay of Bengal in India, 13 were located in the PRC and17 were
located in the Arafura Sea in Indonesia and not in operation. The Company
has another 1 krill fishing vessel located in the shipbuilding
factory in China that was
suspended for construction and the Company has initiated
negotiations with the shipbuilding company for the purpose of
terminating the vessel construction contract.
Third Quarter 2021Selected
Financial Highlights
($ in millions,
except shares and per share data)
|
Three Months
endedSeptember30,
|
|
2021
|
2020
|
|
|
|
Revenue
|
$36.1
|
$15.4
|
Cost of
Revenue
|
$40.2
|
$13.8
|
Gross
Profit
|
$(4.1)
|
$1.7
|
Gross
Margin
|
(11.3) %
|
10.7%
|
Net Income
(Loss)
|
$2.9
|
$0.8
|
Basic Weighted
Average Shares Outstanding
|
86.4
|
79.1
|
Diluted Weighted
Average Shares Outstanding
|
86.8
|
79.1
|
Basic and Diluted EPS
(in $)
|
$0.03
|
$0.01
|
Balance Sheet Highlights
($ in millions,
except for book value per share)
|
9/30/2021
|
12/31/2020
|
|
|
|
|
|
Cash and Cash
Equivalents
|
$15.8
|
$0.7
|
|
Total Current
Assets
|
$125.6
|
$114.2
|
|
Total
Assets
|
$563.0
|
$463.5
|
|
Total Current
Liabilities
|
$227.8
|
$133.4
|
|
Long-term bank loans,
non-current portion
|
$250.1
|
$245.1
|
|
Total
Liabilities
|
$478.1
|
$378.5
|
|
Shareholders'
Equity
|
$85.0
|
$85.0
|
|
Total Liabilities and
Shareholders' Equity
|
$563.0
|
$463.5
|
|
Consolidated Financial and Operating Review
Revenue& Sales volume
Revenue for the three months ended September30, 2021was
$36.1million, an increase of
$20,655,591, or133.7%, from
$15.4million for the same period in
2020. Sales volume increased by 110.1% to30.9 million KG in
the three months ended September 30, 2021from
14.7 million KG in the same period of 2020.Average unit sale
price increased 11.4% in the three months ended September30, 2021as
compared to the three months ended September 30, 2020.
For the nine months ended September 30, 2021, the Company's
revenues were $101.3 million compared
to $56.2 million in the nine months
of 2020, an increase of $45,057,751,
or 80.1%. Sales volumes increased by 43.7% to 71.8 million KG in
the nine months ended September 30,
2020, from 50 million KG in the same period of 2020. Average
unit sale price increased25.9% in the nine months ended
September 30, 2021as compared to the
nine months ended September 30,
2020.
For the three and nine months ended September 30, 2021, the increase in revenue was
primarily attributable to the different sales mix, average unit
sale price increased, and increase in sales volume as more vessels
were in operation.
Gross Margin
The Company's gross margin was (11.3) % for the three
months ended September 30, 2021, compared to gross margin of
10.7% in the prior year period. The decrease was due to the
increase in unit production cost of fish.
For the nine months ended September
30, 2021, gross margin was (5.2) %, compared to gross margin
of 17.0% in the same period of 2020. The decrease in gross
margin for the nine months ended September
30, 2021 was primarily due to more vessels were put into
operation, which drove up refueling costs and other related costs
of revenue, and the purchase cost of fishery products.
Selling Expenses
For the three months ended September 30, 2021, selling
expenses were $2.0 million
compared to $1.3 million in the
prior year period. The increase was primarily due to
the increase in insurance, storage fees and customs
clearance charge, shipping and handling fees, adverting and other
miscellaneous selling expense.
For the nine months ended September
30, 2021, selling expenses were $5.1million compared to $3.3million in the same period of 2020. The
increase was due to the increase in insurance, storage
fees and customs clearance charge, and adverting, partially offset
by the decrease in Shipping and handling fees and other
miscellaneous selling expense.
General & Administrative Expenses
For the three months ended September 30,
2021, general and administrative expenses were $2.2 million, compared to $1.6 million in the prior year
period. The increase was mainly due to the increase in
depreciation, professional fees and rent and related administrative
service charge.
For the nine months ended September
30, 2021, general and administrative expenses were
$6.1 million, compared to
$5.2 million in the prior year
period. The increase was mainly due to increase in professional
fees, bad debt expense, travel and entertainment and other general
and administrative expenses, partially offset by the decrease in
depreciation.
Net Income (Loss)
Net Income for the three months ended September 30,
2021 was $2.9million, compared
to net income of $0.8 million in the same period of 2020.
Net loss for the nine months ended September 30,
2021 was $9.7 million, compared
to net income of $7.5 million in
the same period of 2020.
Net Income (Loss) Attributable to
Ordinary Shareholders of the Company
Net income attributable to ordinary shareholders of the
Company for the three months ended September 30,
2021 was $2.6 million, or
$0.03 per basic and diluted
share, compared to net income attributable to owners of the
Company of $0.7million, or
$0.01 per basic and diluted
share, in the same period of 2020.
Net loss attributable to ordinary shareholders of the
Company for the nine months ended September 30,
2021 was $9.5 million, or
$(0.11) per basic and diluted share, compared to net income
attributable to owners of the Company of $6.8 million, or $0.09per basic and diluted share, in the same
period of 2020.
About Pingtan
Pingtan is a fishing company engaging in ocean fishing through
its subsidiary, Fujian Provincial Pingtan County Ocean Fishing
Group Co., Ltd., or Pingtan Fishing.
Business Risks and Forward-Looking Statements
This press release may contain forward-looking statements that
are subject to the safe harbors created under the Securities Act of
1933 and the Securities Exchange Act of 1934, as amended. Words
such as "estimate," "project," "forecast," "plan," "believe,"
"may," "expect," "anticipate," "intend," "planned," "potential,"
"can," "expectation" and similar expressions, or the negative of
those expressions, may identify forward-looking statements.
Although forward-looking statements reflect the good faith judgment
of our management, such statements can only be based on facts and
factors currently known by us. Consequently, forward-looking
statements are inherently subject to risks and uncertainties and
actual results and outcomes may differ materially from the results
and outcomes discussed in or anticipated by the forward-looking
statements. Risks include anticipated growth and growth strategies;
need for additional capital and the availability of financing;
locating or re-locating vessels, in foreign waters and related
license requirements; our ability to successfully manage
relationships with customers, distributors and other important
relationships; actions taken by government regulators, such as the
Indonesian moratorium; technological changes; competition; demand
for our products and services; the deterioration of general
economic conditions, whether internationally, nationally or in the
local markets in which we operate; the impact of the current
coronavirus (COVID-19) pandemic; legislative or regulatory changes
that may adversely affect our business; operational, mechanical,
climatic or other unanticipated issues that adversely affect the
production capacity of the Company's fishing vessels and their
ability to generate expected annual revenue and net income; and
other risk factors contained in Pingtan's SEC filings available at
www.sec.gov, including Pingtan's most recent Annual Report on Form
10-K, Quarterly Reports on Form 10-Q. Readers are cautioned not to
place undue reliance on any forward-looking statements, which speak
only as of the date on which they are made. Pingtan undertakes no
obligation to update or revise any forward-looking statements for
any reason.
CONTACT:
LiMing Yung (Michael)
Chief Financial Officer
Pingtan Marine Enterprise Ltd.
Tel: +86 591 87271753
michaelyung@ptmarine.net
Maggie Li
Investor Relations Manager
Pingtan Marine Enterprise Ltd.
Tel: +86 591 8727 1753
mli@ptmarine.net
INVESTOR RELATIONS
PureRock Communications Limited
PTmarine@pure-rock.com
PINGTAN MARINE
ENTERPRISE LTD. AND SUBSIDIARIES
|
UNAUDITED
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOME
|
(IN U.S.
DOLLARS)
|
|
|
|
For the Three Months Ended
September 30,
|
|
|
For the Nine Months Ended
September 30,
|
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REVENUE
|
|
$
|
36,103,674
|
|
|
$
|
15,448,083
|
|
|
$
|
101,275,967
|
|
|
$
|
56,218,216
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COST OF
REVENUE
|
|
|
40,165,352
|
|
|
|
13,787,521
|
|
|
|
106,530,518
|
|
|
|
46,641,884
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS (LOSS)
PROFIT
|
|
|
(4,061,678)
|
|
|
|
1,660,562
|
|
|
|
(5,254,551)
|
|
|
|
9,576,332
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING EXPENSES
(INCOME):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling
|
|
|
1,976,187
|
|
|
|
1,333,927
|
|
|
|
5,112,982
|
|
|
|
3,282,097
|
|
General and
administrative
|
|
|
1,172,102
|
|
|
|
809,988
|
|
|
|
4,904,109
|
|
|
|
2,875,463
|
|
General and
administrative - depreciation
|
|
|
1,001,961
|
|
|
|
773,812
|
|
|
|
1,146,815
|
|
|
|
2,274,579
|
|
Subsidy
|
|
|
(16,284,032)
|
|
|
|
(4,440,731)
|
|
|
|
(19,887,829)
|
|
|
|
(12,778,819)
|
|
Impairment
loss
|
|
|
495,857
|
|
|
|
-
|
|
|
|
1,471,223
|
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Operating
(INCOME)
|
|
|
(11,637,925)
|
|
|
|
(1,523,004)
|
|
|
|
(7,252,700)
|
|
|
|
(4,346,680)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME FROM
OPERATIONS
|
|
|
7,576,247
|
|
|
|
3,183,566
|
|
|
|
1,998,149
|
|
|
|
13,923,012
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSE):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
|
23,276
|
|
|
|
973,265
|
|
|
|
72,729
|
|
|
|
3,335,877
|
|
Interest
(expense)
|
|
|
(4,055,798)
|
|
|
|
(4,036,524)
|
|
|
|
(11,720,712)
|
|
|
|
(9,871,949)
|
|
Foreign currency
transaction gain (loss)
|
|
|
(365,513)
|
|
|
|
747,678
|
|
|
|
184,148
|
|
|
|
402,987
|
|
Gain from cost method
investment
|
|
|
38
|
|
|
|
764
|
|
|
|
605,216
|
|
|
|
133,517
|
|
(Loss) on equity
method investment
|
|
|
(308,921)
|
|
|
|
(82,586)
|
|
|
|
(765,101)
|
|
|
|
(351,129)
|
|
Other income
(expense)
|
|
|
(5)
|
|
|
|
(4,468)
|
|
|
|
(76,861)
|
|
|
|
(34,924)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other
(Expense), net
|
|
|
(4,706,923)
|
|
|
|
(2,401,871)
|
|
|
|
(11,700,581)
|
|
|
|
(6,385,621)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME (LOSS) BEFORE
INCOME TAXES
|
|
|
2,869,324
|
|
|
|
781,695
|
|
|
|
(9,702,432)
|
|
|
|
7,537,391
|
|
INCOME
TAXES
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
NET INCOME
(LOSS)
|
|
$
|
2,869,324
|
|
|
$
|
781,695
|
|
|
$
|
(9,702,432)
|
|
|
$
|
7,537,391
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LESS: NET INCOME
(LOSS) ATTRIBUTABLE TO THE NON-CONTROLLING INTEREST
|
|
|
284,700
|
|
|
|
92,511
|
|
|
|
(546,791)
|
|
|
|
759,527
|
|
NET INCOME (LOSS)
ATTRIBUTABLE TO ORDINARY SHAREHOLDERS OF THE COMPANY BEFORE
PREFERRED DIVIDENDS
|
|
|
2,584,624
|
|
|
|
689,184
|
|
|
|
(9,155,641)
|
|
|
|
6,777,864
|
|
LESS: PREFERRED SHARE
DIVIDENDS
|
|
|
-
|
|
|
|
-
|
|
|
|
(300,000)
|
|
|
|
-
|
|
NET INCOME (LOSS)
ATTRIBUTABLE TO ORDINARY SHAREHOLDERS OF THE COMPANY
|
|
$
|
2,584,624
|
|
|
$
|
689,184
|
|
|
$
|
(9,455,641)
|
|
|
$
|
6,777,864
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COMPREHENSIVE INCOME
(LOSS):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME
(LOSS)
|
|
|
2,869,324
|
|
|
|
781,695
|
|
|
|
(9,702,432)
|
|
|
|
7,537,391
|
|
OTHER COMPREHENSIVE
(LOSS) INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized foreign
currency translation gain
|
|
|
4,111,818
|
|
|
|
5,700,836
|
|
|
|
3,083,162
|
|
|
|
3,846,221
|
|
COMPREHENSIVE INCOME
(LOSS)
|
|
|
6,981,142
|
|
|
|
6,482,531
|
|
|
|
(6,619,270)
|
|
|
|
11,383,612
|
|
LESS: COMPREHENSIVE
INCOME (LOSS) ATTRIBUTABLE TO THE NON-CONTROLLING
INTEREST
|
|
|
613,410
|
|
|
|
556,889
|
|
|
|
(282,897)
|
|
|
|
1,075,369
|
|
COMPREHENSIVE (LOSS)
INCOME ATTRIBUTABLE TO ORDINARY SHAREHOLDERS OF THE
COMPANY
|
|
$
|
6,367,732
|
|
|
$
|
5,925,642
|
|
|
$
|
(6,336,373)
|
|
|
$
|
10,308,243
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) PER
ORDINARY SHARE ATTRIBUTABLE TO ORDINARY SHAREHOLDERS OF THE
COMPANY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.03
|
|
|
$
|
0.01
|
|
|
$
|
(0.11)
|
|
|
$
|
0.09
|
|
Diluted
|
|
$
|
0.03
|
|
|
$
|
0.01
|
|
|
$
|
(0.11)
|
|
|
$
|
0.09
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE
ORDINARY SHARES OUTSTANDING:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
86,389,548
|
|
|
|
79,071,363
|
|
|
|
83,854,623
|
|
|
|
79,060,490
|
|
Diluted
|
|
|
86,797,148
|
|
|
|
79,071,363
|
|
|
|
83,854,623
|
|
|
|
79,060,490
|
|
PINGTAN MARINE
ENTERPRISE LTD. AND SUBSIDIARIES
|
CONSOLIDATED
BALANCE SHEETS
|
(IN U.S.
DOLLARS)
|
|
|
|
September 30,
|
|
|
December 31,
|
|
|
|
2021
|
|
|
2020
|
|
|
|
(Unaudited)
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
CURRENT
ASSETS:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
15,756,293
|
|
|
$
|
691,933
|
|
Restricted
cash
|
|
|
13,018,350
|
|
|
|
9,912,666
|
|
Accounts receivable,
net
|
|
|
21,823,247
|
|
|
|
31,946,561
|
|
Inventories,
net
|
|
|
72,839,826
|
|
|
|
67,611,136
|
|
Prepaid
expenses
|
|
|
1,517,569
|
|
|
|
170,706
|
|
Prepaid expenses -
related party
|
|
|
-
|
|
|
|
2,015,357
|
|
Other
receivables
|
|
|
606,298
|
|
|
|
1,901,094
|
|
|
|
|
|
|
|
|
|
|
Total Current
Assets
|
|
|
125,561,583
|
|
|
|
114,249,453
|
|
|
|
|
|
|
|
|
|
|
OTHER
ASSETS:
|
|
|
|
|
|
|
|
|
Cost method
investment
|
|
|
3,238,042
|
|
|
|
3,218,440
|
|
Equity method
investment
|
|
|
29,107,193
|
|
|
|
29,689,813
|
|
Prepayment for
long-term assets
|
|
|
98,454,667
|
|
|
|
66,083,041
|
|
Right-of-use
asset
|
|
|
559,296
|
|
|
|
64,220
|
|
Property, plant and
equipment, net
|
|
|
306,123,374
|
|
|
|
250,155,011
|
|
|
|
|
|
|
|
|
|
|
Total Other
Assets
|
|
|
437,482,572
|
|
|
|
349,210,525
|
|
|
|
|
|
|
|
|
|
|
Total
Assets
|
|
$
|
563,044,155
|
|
|
$
|
463,459,978
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES:
|
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
38,929,872
|
|
|
$
|
18,792,983
|
|
Accounts payable -
related parties
|
|
|
10,427,554
|
|
|
|
9,966,708
|
|
Short-term bank
loans
|
|
|
55,509,298
|
|
|
|
52,414,596
|
|
Long-term bank loans
- current portion
|
|
|
70,676,635
|
|
|
|
39,987,577
|
|
Accrued liabilities
and other payables
|
|
|
20,914,632
|
|
|
|
12,151,633
|
|
Lease liability-
current
|
|
|
398,909
|
|
|
|
32,349
|
|
Due to related
parties
|
|
|
30,973,032
|
|
|
|
18,354
|
|
|
|
|
|
|
|
|
|
|
Total Current
Liabilities
|
|
|
227,829,932
|
|
|
|
133,364,200
|
|
|
|
|
|
|
|
|
|
|
OTHER
LIABILITIES:
|
|
|
|
|
|
|
|
|
Lease
liability
|
|
|
128,036
|
|
|
|
-
|
|
Long-term bank loans
- non-current portion
|
|
|
250,126,251
|
|
|
|
245,116,088
|
|
Total
Liabilities
|
|
|
478,084,219
|
|
|
|
378,480,288
|
|
|
|
|
|
|
|
|
|
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY:
|
|
|
|
|
|
|
|
|
Equity attributable
to ordinary shareholders of the Company:
|
|
|
|
|
|
|
|
|
Preferred shares
($0.001 par value; 5,000,000 shares authorized; no shares issued
and outstanding at September 30, 2021
and December 31, 2020)
|
|
|
-
|
|
|
|
-
|
|
Ordinary shares
($0.001 par value; 125,000,000 shares authorized; 85,940,965 and
79,302,428 shares issued and outstanding
at September 30, 2021 and December 31, 2020)
|
|
|
85,941
|
|
|
|
79,302
|
|
Additional paid-in
capital
|
|
|
88,938,870
|
|
|
|
82,045,993
|
|
(Deficit)
|
|
|
(28,050,396)
|
|
|
|
(18,594,755)
|
|
Statutory
reserve
|
|
|
15,751,712
|
|
|
|
15,751,712
|
|
Accumulated other
comprehensive (loss)
|
|
|
(6,749,605)
|
|
|
|
(9,568,873)
|
|
Total equity
attributable to ordinary shareholders of the Company
|
|
|
69,976,522
|
|
|
|
69,713,379
|
|
Non-controlling
interest
|
|
|
14,983,414
|
|
|
|
15,266,311
|
|
Total Shareholders'
Equity
|
|
|
84,959,936
|
|
|
|
84,979,690
|
|
Total Liabilities and
Shareholders' Equity
|
|
$
|
563,044,155
|
|
|
$
|
463,459,978
|
|
PINGTAN MARINE
ENTERPRISE LTD. AND SUBSIDIARIES
|
UNAUDITED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(IN U.S.
DOLLARS)
|
|
|
|
For the Nine Months Ended
September 30,
|
|
|
|
2021
|
|
|
2020
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
Net (loss)
income
|
|
$
|
(9,702,432)
|
|
|
$
|
7,537,391
|
|
Adjustments to
reconcile net income from operations to net cash provided by (used
in) operating activities:
|
|
|
|
|
|
|
|
|
Depreciation
|
|
|
12,510,131
|
|
|
|
10,616,935
|
|
Bad debt
expense
|
|
|
756,463
|
|
|
|
245,498
|
|
(Decrease)
increase in inventory allowance
|
|
|
740,084
|
|
|
|
1,711,666
|
|
Loss on equity method
investment
|
|
|
765,101
|
|
|
|
351,129
|
|
Common stock issuance
for professional fee
|
|
|
-
|
|
|
|
25,974
|
|
Impairment loss for
fishing vessels
|
|
|
1,471,223
|
|
|
|
-
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
9,583,745
|
|
|
|
(5,191,192)
|
|
Inventories
|
|
|
(5,567,403)
|
|
|
|
(35,027,650)
|
|
Prepaid
expenses
|
|
|
(1,350,006)
|
|
|
|
(432,033)
|
|
Prepaid expenses -
related party
|
|
|
2,032,018
|
|
|
|
-
|
|
Other
receivables
|
|
|
1,309,201
|
|
|
|
(328,396)
|
|
Accounts
payable
|
|
|
20,065,745
|
|
|
|
(4,641,514)
|
|
Accounts payable -
related parties
|
|
|
401,008
|
|
|
|
218,739
|
|
Accrued liabilities
and other payables
|
|
|
8,070,980
|
|
|
|
1,553,556
|
|
Accrued liabilities
and other payables - related party
|
|
|
29,568,507
|
|
|
|
-
|
|
Advance from
customers
|
|
|
636,865
|
|
|
|
(619,235)
|
|
Due to related
parties
|
|
|
77,476
|
|
|
|
140,210
|
|
|
|
|
|
|
|
|
|
|
NET CASH PROVIDED BY
(USED IN) OPERATING ACTIVITIES
|
|
|
71,368,706
|
|
|
|
(23,838,922)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Purchase of property,
plant and equipment
|
|
|
(32,038,302)
|
|
|
|
(93,357,444)
|
|
Prepayment made for
long-term assets
|
|
|
(68,553,308)
|
|
|
|
-
|
|
Proceeds from
government grants for fishing vessel construction
|
|
|
-
|
|
|
|
28,962,913
|
|
|
|
|
|
|
|
|
|
|
NET CASH USED IN
INVESTING ACTIVITIES
|
|
|
(100,591,610)
|
|
|
|
(64,394,531)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Proceeds of
short-term bank loans
|
|
|
44,812,560
|
|
|
|
81,811,291
|
|
Repayments of
short-term bank loans
|
|
|
(42,031,091)
|
|
|
|
(42,908,020)
|
|
Proceeds from
long-term bank loans
|
|
|
78,720,177
|
|
|
|
104,640,414
|
|
Repayments of
long-term bank loans
|
|
|
(44,683,935)
|
|
|
|
(46,325,253)
|
|
Proceeds from
issuance of ordinary shares
|
|
|
4,351,243
|
|
|
|
|
|
Proceeds from
issuance of series A preferred shares
|
|
|
3,698,273
|
|
|
|
-
|
|
Proceeds from related
party
|
|
|
1,450,000
|
|
|
|
|
|
Repurchase of
preferred shares
|
|
|
(1,450,000)
|
|
|
|
|
|
Loans issued to
related parties
|
|
|
|
|
|
|
(160,070,480)
|
|
Repayments of loans
issued to related parties
|
|
|
-
|
|
|
|
157,692,576
|
|
|
|
|
|
|
|
|
|
|
NET CASH PROVIDED BY
FINANCING ACTIVITIES
|
|
|
44,867,227
|
|
|
|
94,840,528
|
|
|
|
|
|
|
|
|
|
|
EFFECT OF EXCHANGE
RATE ON CASH, CASH EQUIVALENTS AND RESTRICTED CASH
|
|
|
2,525,721
|
|
|
|
935,670
|
|
|
|
|
|
|
|
|
|
|
NET INCREASE IN CASH,
CASH EQUIVALENTS AND RESTRICTED CASH
|
|
|
18,170,044
|
|
|
|
7,542,745
|
|
|
|
|
|
|
|
|
|
|
CASH, CASH
EQUIVALENTS AND RESTRICTED CASH - beginning of period
|
|
|
10,604,599
|
|
|
|
10,092,205
|
|
|
|
|
|
|
|
|
|
|
CASH, CASH
EQUIVALENTS AND RESTRICTED - end of period
|
|
$
|
28,774,643
|
|
|
$
|
17,634,950
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION:
|
|
|
|
|
|
|
|
|
Cash paid
for:
|
|
|
|
|
|
|
|
|
Interest
|
|
$
|
13,191,936
|
|
|
$
|
11,012,593
|
|
Income
taxes
|
|
$
|
-
|
|
|
$
|
-
|
|
|
|
|
|
|
|
|
|
|
RECONCILIATION TO
AMOUNTS ON CONSOLIDATED BALANCE SHEETS:
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
15,756,293
|
|
|
|
3,397,018
|
|
Restricted
cash
|
|
|
13,018,350
|
|
|
|
14,237,932
|
|
TOTAL CASH, CASH
EQUIVALENTS AND RESTRICTED CASH
|
|
$
|
28,774,643
|
|
|
$
|
17,634,950
|
|
NON-CASH INVESTING
AND FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Acquisition of
property and equipment paid by related party on behalf
|
|
$
|
(32,038,302)
|
|
|
|
-
|
|
Acquisition of
property and equipment by decreasing prepayment for long-term
assets
|
|
$
|
-
|
|
|
$
|
(20,594,592)
|
|
View original
content:https://www.prnewswire.com/news-releases/pingtan-marine-enterprise-reports-financial-results-for-the-third-quarter-and-nine-months-ended-september-30-2021-301425832.html
SOURCE Pingtan Marine Enterprise Ltd.