BEIJING, Aug. 6, 2013 /PRNewswire/ -- General Steel
Holdings, Inc. ("General Steel" or the "Company") (NYSE: GSI), a
leading non-state-owned steel producer in China, today announced financial results for
the first quarter ended March 31,
2013. The Company will file its Form 10-Q for the quarter
ended March 31, 2013 with the
Securities and Exchange Commission after market closes on
Tuesday, August 6, 2013.
"We are very pleased the first quarter marked significant
milestones in our returning to profitability and quarterly
reporting," said Henry Yu, Chairman
and Chief Executive Officer of General Steel. "Despite the
challenging macro environment, we were able to forge ahead with our
strategies and operations, as we increased shipment, gained market
share in our key market in Western
China, improved internal purchasing, and won additional
credit support from our suppliers."
"During the first quarter, we also began construction of an
additional continuous advanced-rebar-rolling production line with
capacity of 1.2 million metric tons scheduled to commence
production in the fourth quarter of 2013. This is in addition to
our newly-completed 900,000 seismic-grade rebar-rolling production
line that had already started trial productions in July. We believe
the expanded capacity will further lower our production costs,
thereby further improve our bottom line and market competitiveness
in the second half of 2013."
First Quarter 2013 Financial
Information
- Sales increased by 0.5% year-over-year to $651.3 million, from $648.0 million in the first quarter of 2012.
- Sales volume increased by 11.0% year-over-year to approximately
1.3 million metric tons, compared with 1.2 million metric tons in
the first quarter of 2012.
- Gross profit totaled $4.1
million, or 0.6% of revenue, compared with $5.6 million, or 0.9% of revenue in the first
quarter of 2012.
- Operating income turned positive to $37.0 million, compared with an operating loss of
$(13.0) million in the first quarter
of 2012.
- Net income attributable to the Company was $3.1 million, or $0.06 per diluted share, compared with a net loss
of $(34.8) million, or $(0.63) per diluted share in the first quarter of
2012.
- Operating cash inflow improved to $3.9
million, compared with a net outflow of $(167.0) million in the first quarter of
2012.
- As of March 31, 2013, the Company
had cash and restricted cash of $336.0
million.
John Chen, Chief Financial
Officer of General Steel, commented, "The profitable financial
results in the first quarter is a solid start for the new year, as
we continued to grow sales, drive operational efficiencies, and
lower finance expenses. Benefiting from a year-over-year
improvement of nearly 600 basis points in our net margin and
disciplined cash management, we were able to generate positive
operating cash flow during the quarter. We anticipate a notable
improvement in our overall gross margin in the second half of 2013,
as our newly added rolling line will reduce unit production cost by
up to approximately RMB 70 per metric
ton, and as such, we feel confident that we can further build on
the momentum achieved in the first quarter and generate healthy
profits and cash flows in the second half of this year."
First Quarter 2013 Financial and Operating Results
Total Sales
Total sales for the first quarter of 2013 increased 0.5%
year-over-year to $651.3 million,
compared with $648.0 million in the
first quarter of 2012. The year-over-year revenue increases were
primarily attributable to increased sales volume, partially offset
by a decrease in the average selling price of rebar.
- Total sales volume in the first quarter of 2013 was 1.3 million
metric tons, an increase of 11.0% compared with 1.2 million metric
tons in the first quarter of 2012.
- The average selling price of rebar decreased 12.5% to
approximately $515.3 in the first
quarter of 2013 from approximately $588.7 in the same period of 2012.
Gross Profit and Gross Margin
Gross profit for the quarter totaled $4.1
million, compared with $5.6
million in the first quarter of 2012. The decrease in gross
profit was mainly attributable to a steeper decrease in average
selling price, with the gross margin decreased to 0.6% of total
sales in the first quarter of 2013, compared with 0.9% the same
period a year ago.
Operating Expenses and Operating Income
Selling, general and administrative expenses for the first
quarter of 2013 increased 1.7% to $19.0
million, compared to $18.6
million in the first quarter of 2012. General and
administrative expenses increased to $10.9
million, compared with $9.7
million in the same period of 2012, due to increased expense
in human resources and higher facility maintenance expense. Selling
expenses decreased by 9.6% to $8.1
million, compared to $8.9
million in the same period of 2012. The decrease in selling
expense was primary attributable to a savings in a special fund
related to the sales of our products, which was no long imposed by
the PRC tax authorities in 2013, while $1.3
million of the special fund was imposed in the first quarter
of 2012.
The Company recognized other operating income of $51.9 million due to change in the fair value of
profit sharing liability during the first quarter of 2013, compared
with $0 in the same period of last
year. On April 29, 2011, the
Company's subsidiary, Longmen Joint Venture entered into a capital
lease agreement with Shaanxi Steel and Shaanxi Coal for the use of
new equipment. The profit sharing liability is recognized initially
at its estimated fair value at the lease commencement date, and the
value of the profit sharing liability is reassessed each reporting
period with any change in fair value accounted for on a prospective
basis. As such, and in consideration of the recent changes in
China economic situation, the fair
value of the Company's profit sharing liability has been reduced as
compared to its previous estimates, and the Company recognized a
gain of $51.9 million
accordingly.
Correspondingly, income from operations for the first quarter of
2013 totaled $37.0 million, compared
with a loss from operations of $(13.0)
million in the first quarter of 2012.
Finance Expense
Finance and interest expense in the first quarter of 2013 was
$30.0 million, of which, $10.2 million was the non-cash interest expense
on capital lease as compared with $10.8
million in the same period of 2012, and $19.8 million was the interest expense on bank
loans and discounted note receivables as compared with $37.5 million in the first quarter of 2012. The
decrease in interest expense on bank loans and discounted note
receivables was primarily attributable to less bank loans,
benefiting from positive operating cash flow and financing support
from suppliers during the first quarter of 2013.
Net Income and Net Income per Share
Net income attributable to General Steel for the first quarter
of 2013 was $3.1 million, or
$0.06 per diluted share, based on
54.8 million weighted average shares outstanding. This compares to
a net loss of $(34.8) million, or
$(0.63) per diluted share, based on
55.5 million weighted average shares outstanding in the first
quarter of 2012.
Balance Sheet
As of March 31, 2013, the Company
had cash and restricted cash of approximately $336.0 million, compared to $369.9 million as of December 31, 2012. The Company had an inventory
balance of approximately $247.9
million as of March 31, 2013,
compared to $212.7 million as of
December 31, 2012. As of March 31, 2013, the Company had total liabilities
of approximately $2.9 billion.
Outlook
"Looking ahead, we will continue to execute on our strategy to
further upgrade our production capabilities, improve operating
efficiencies and further strengthen our competitiveness in
Western China. In addition, we
will also explore other strategic opportunities to expand our scale
and scope in the steel industry. Lastly, we intend to pursue other
strategies and initiatives to enhance shareholder value, which may
include restarting our share repurchase program. We aim to enhance
shareholders' wealth, and we would like to thank our shareholders
for their continued support," Mr. Yu concluded.
Conference Call and Webcast:
General Steel will hold a corresponding conference call and live
webcast at 8:00 a.m. EDT on
Tuesday, August 6, 2013 (which
corresponds to 8:00 p.m. Beijing/Hong Kong Time on Tuesday, August 6, 2013) to discuss the results
and answer questions from investors. Listeners may access the
call by dialing 1-800-860-2442 in the U.S., and 1-412-858-4600
internationally.
The call will be also be available as a live, listen-only
webcast under the "Events and Presentations" page on the "Investor
Relations" section of the Company's website at
http://www.mzcan.com/us/GSI/irwebsite/index.php?mod=event.
Following the live webcast, an online archive will be available for
90 days.
About General Steel Holdings, Inc.
General Steel Holdings, Inc., headquartered in Beijing, China, produces a variety of steel
products including rebar, high-speed wire and spiral-weld pipe. The
Company has operations in China's
Shaanxi and Guangdong provinces, Inner Mongolia Autonomous
Region and Tianjin municipality
with seven million metric tons of crude steel production capacity
under management. For more information, please visit
www.gshi-steel.com.
To be added to the General Steel email list to receive Company
news, or to request a hard copy of the Company's Annual Report on
Form 10-K, please send your request to
generalsteel@asiabridgegroup.com.
Forward-Looking Statements
This press release may contain certain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. These statements are based on management's
current expectations or beliefs about future events and financial,
political and social trends and assumptions it has made based on
information currently available to it. The Company cannot assure
that any expectations, forecasts or assumptions made by management
in preparing these forward-looking statements will prove accurate,
or that any projections will be realized. Actual results could
differ materially from those projected in the forward-looking
statements as a result of inaccurate assumptions or a number of
risks and uncertainties. These risks and uncertainties are set
forth in the Company's filings under the Securities Act of 1933 and
the Securities Exchange Act of 1934 under "Risk Factors" and
elsewhere, and include: (a) those risks and uncertainties related
to general economic conditions in China, including regulatory factors that may
affect such economic conditions; (b) whether the Company is able to
manage its planned growth efficiently and operate profitable
operations, including whether its management will be able to
identify, hire, train, retain, motivate and manage required
personnel or that management will be able to successfully manage
and exploit existing and potential market opportunities; (c)
whether the Company is able to generate sufficient revenues or
obtain financing to sustain and grow its operations; (d) whether
the Company is able to successfully fulfill our primary
requirements for cash; and (e) other risks, including those
disclosed in the Company's Form 10-K, filed with the SEC.
Forward-looking statements contained herein speak only as of the
date of this release. The Company does not undertake any obligation
to update or revise publicly any forward-looking statements,
whether to reflect new information, future events or
otherwise.
Contact Us
General Steel Holdings, Inc.
In China:
Jenny Wang
Tel: +86-10-5775-7691
Email: jenny.wang@gshi-steel.com
In the US:
Joyce Sung
Tel: +1-347-534-1435
Email: joyce.sung@gshi-steel.com
Asia Bridge Capital Limited
Carene Toh
Tel: +1-888-957-3362
Email: generalsteel@asiabridgegroup.com
GENERAL STEEL
HOLDINGS, INC. AND SUBSIDIARIES
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
AS OF MARCH 31, 2013
AND DECEMBER 31, 2012
|
(UNAUDITED)
|
(In
thousands)
|
|
|
|
|
|
|
March 31,
|
|
December
31,
|
|
|
|
2013
|
|
2012
|
CURRENT
ASSETS:
|
|
|
|
|
|
|
Cash
|
$
|
65,799
|
|
$
|
46,467
|
|
Restricted
cash
|
|
270,167
|
|
|
323,420
|
|
Notes
receivable
|
|
118,527
|
|
|
145,502
|
|
Restricted
notes receivable
|
|
260,531
|
|
|
357,900
|
|
Loans
receivable
|
|
6,000
|
|
|
69,319
|
|
Accounts
receivable, net
|
|
17,154
|
|
|
6,695
|
|
Accounts
receivable - related parties
|
|
8,231
|
|
|
14,966
|
|
Other
receivables, net
|
|
11,455
|
|
|
8,407
|
|
Other
receivables - related parties
|
|
89,015
|
|
|
68,382
|
|
Inventories
|
|
247,930
|
|
|
212,671
|
|
Advances on
inventory purchase
|
|
57,341
|
|
|
79,715
|
|
Advances on
inventory purchase - related parties
|
|
5,259
|
|
|
46,416
|
|
Prepaid
expense
|
|
1,494
|
|
|
450
|
|
Prepaid
taxes
|
|
23,202
|
|
|
24,116
|
|
Short-term
investment
|
|
2,633
|
|
|
2,619
|
TOTAL CURRENT
ASSETS
|
|
|
1,184,738
|
|
|
1,407,045
|
|
|
|
|
|
|
|
|
|
PLANT AND
EQUIPMENT, net
|
|
1,172,318
|
|
|
1,167,836
|
|
|
|
|
|
|
|
|
|
OTHER
ASSETS:
|
|
|
|
|
|
|
Advances on
equipment purchase
|
|
14,549
|
|
|
6,499
|
|
Long-term other
receivable
|
|
43,252
|
|
|
43,008
|
Investment in
unconsolidated entities
|
958
|
1,166
|
|
Long-term
deferred expense
|
|
|
|
807
|
|
|
1,062
|
|
Intangible
assets, net of accumulated amortization
|
|
23,976
|
|
|
24,066
|
TOTAL OTHER
ASSETS
|
|
|
83,542
|
|
|
75,801
|
|
|
|
|
|
|
|
|
|
TOTAL
ASSETS
|
|
|
$
|
2,440,598
|
|
$
|
2,650,682
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
DEFICIENCY
|
|
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES:
|
|
|
|
|
|
|
Short term
notes payable
|
$
|
785,519
|
|
$
|
983,813
|
|
Accounts
payable
|
|
411,776
|
|
|
352,052
|
|
Accounts
payable - related parties
|
|
154,492
|
|
|
177,432
|
|
Short term
loans - bank
|
|
117,124
|
|
|
147,124
|
|
Short term
loans - others
|
|
148,023
|
|
|
147,323
|
|
Short term
loans - related parties
|
|
104,390
|
|
|
79,557
|
|
Current
maturities of long-term loans - related party
Other payables
and accrued liabilities
|
|
59,984
56,785
|
|
|
54,885
54,589
|
|
Other payable -
related parties
|
|
82,232
|
|
|
73,025
|
|
Customer
deposits
|
|
104,609
|
|
|
125,890
|
|
Customer
deposits - related parties
|
|
12,649
|
|
|
21,998
|
|
Deposit due to
sales representatives
|
|
40,484
|
|
|
33,870
|
|
Deposit due to
sales representatives - related parties
|
|
1,772
|
|
|
1,238
|
|
Taxes
payable
|
|
12,334
|
|
|
16,674
|
|
Deferred lease
income, current
|
|
2,132
|
|
|
2,120
|
|
TOTAL CURRENT
LIABILITIES
|
|
2,094,305
|
|
|
2,271,590
|
|
|
|
|
|
|
|
|
|
NON-CURRENT
LIABILITIES:
|
|
|
|
|
|
|
Long-term loans
- related party
|
|
33,516
|
|
|
38,088
|
|
Long-term other
payable - related party
|
|
43,252
|
|
|
43,008
|
Deferred lease income,
noncurrent
|
74,971
|
75,079
|
|
Capital lease
obligations, noncurrent
|
|
337,075
|
|
|
330,099
|
|
Profit sharing
liability, noncurrent
|
|
283,831
|
|
|
328,827
|
|
Other
noncurrent liabilities
|
|
1,373
|
|
|
|
|
TOTAL
NON-CURRENT LIABILITIES
|
|
774,018
|
|
|
815,101
|
|
|
|
|
|
|
|
|
|
TOTAL
LIABILITIES
|
|
|
|
2,868,323
|
|
|
3,086,691
|
|
|
|
|
|
|
|
|
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DEFICIENCY:
|
|
|
|
|
|
|
Preferred stock,
$0.001 par value, 50,000,000
shares authorized,
3,092,899 shares issued and
outstanding as of
March 31, 2013 and December
31, 2012
|
|
3
|
|
|
3
|
|
Common stock, $0.001
par value, 200,000,000
shares authorized,
57,444,738 and 57,269,838
shares issued,
54,972,432 and 54,797,532 shares
outstanding as of
March 31, 2013 and December
31, 2012
|
|
57
|
|
|
57
|
|
Treasury stock, at
cost, 2,472,306 and
2,472,306
shares as of March 31,
2013 and December 31,
2012
|
|
(4,199)
|
|
|
(4,199)
|
|
Paid-in-capital
|
|
105,958
|
|
|
105,714
|
|
Statutory
reserves
|
|
6,103
|
|
|
6,076
|
|
Accumulated
deficits
|
|
(378,679)
|
|
|
(381,782)
|
|
Accumulated
other comprehensive income
|
|
8,621
|
|
|
10,185
|
|
TOTAL GENERAL STEEL
HOLDINGS, INC. DEFICIENCY
|
|
|
(262,135)
|
|
|
(263,946)
|
|
|
|
|
|
|
|
|
|
NONCONTROLLING
INTERESTS
|
|
(165,590)
|
|
|
(172,063)
|
|
TOTAL
DEFICIENCY
|
|
|
(427,725)
|
|
|
(436,009)
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES AND
DEFICIENCY
|
|
|
$
|
2,440,598
|
|
$
|
2,650,682
|
GENERAL STEEL
HOLDINGS, INC. AND SUBSIDIARIES
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS AND
|
COMPREHENSIVE INCOME
(LOSS)
|
FOR THE THREE MONTHS
ENDED MARCH 31, 2013 AND 2012
|
(UNAUDITED)
|
(In thousands, except
per share data)
|
|
|
|
|
|
2013
|
|
2012
|
SALES
|
|
$
|
502,431
|
|
$
|
383,797
|
|
|
|
|
|
|
|
SALES - RELATED
PARTIES
|
|
|
148,860
|
|
|
264,244
|
TOTAL
SALES
|
|
|
651,291
|
|
|
648,041
|
|
|
|
|
|
|
|
COST OF GOODS
SOLD
|
|
|
498,626
|
|
|
381,726
|
|
|
|
|
|
|
|
COST OF GOODS SOLD -
RELATED PARTIES
|
|
|
148,598
|
|
|
260,685
|
TOTAL COST OF
GOODS SOLD
|
|
|
647,224
|
|
|
642,411
|
|
|
|
|
|
|
|
GROSS PROFIT
(LOSS)
|
|
|
4,067
|
|
|
5,630
|
|
|
|
|
|
|
|
SELLING, GENERAL
AND
ADMINISTRATIVE
EXPENSES
|
|
|
(18,955)
|
|
|
(18,629)
|
CHANGE IN FAIR VALUE
OF PROFIT
SHARING
LIABILITY
|
|
|
51,892
|
|
|
|
|
|
|
|
|
|
|
INCOME (LOSS) FROM
OPERATIONS
|
|
|
37,004
|
|
|
(12,999)
|
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSE)
|
|
|
|
|
|
|
Interest
income
|
|
|
2,439
|
|
|
5,556
|
Finance/interest expense
|
|
|
(29,970)
|
|
|
(48,366)
|
Change in fair
value of derivative liabilities
|
|
|
1
|
|
|
(13)
|
Gain (loss) on
disposal of equipment
|
|
|
331
|
|
|
(119)
|
Income from
equity investments
|
|
|
(42)
|
|
|
(43)
|
Foreign
currency transaction gain
|
|
|
28
|
|
|
385
|
Lease
income
|
|
|
532
|
|
|
530
|
Other
non-operating expense, net
|
|
|
268
|
|
|
(143)
|
Other expense,
net
|
|
|
(26,413)
|
|
|
(42,213)
|
|
|
|
|
|
|
|
INCOME (LOSS) BEFORE
PROVISION FOR
INCOME TAXES AND
NONCONTROLLING
INTEREST
|
|
|
10,591
|
|
|
(55,212)
|
|
|
|
|
|
|
|
PROVISION FOR INCOME
TAXES
|
|
|
|
|
|
|
Current
|
|
|
71
|
|
|
367
|
Deferred
|
|
|
-
|
|
|
169
|
Provision for
income taxes
|
|
|
71
|
|
|
536
|
|
|
|
|
|
|
|
NET INCOME
(LOSS)
|
|
|
10,520
|
|
|
(55,748)
|
|
|
|
|
|
|
|
Less: Net income
(loss) attributable to
noncontrolling
interest
|
|
|
7,417
|
|
|
(20,964)
|
|
|
|
|
|
|
|
NET INCOME (LOSS)
ATTRIBUTABLE TO
GENERAL STEEL
HOLDINGS, INC.
|
|
$
|
3,103
|
|
$
|
(34,784)
|
|
|
|
|
|
|
|
NET INCOME
(LOSS)
|
|
$
|
10,520
|
|
$
|
(55,748)
|
OTHER COMPREHENSIVE
LOSS
|
|
|
|
|
|
|
Foreign
currency translation adjustments
|
|
|
(2,526)
|
|
|
(1,469)
|
|
|
|
|
|
|
|
COMPREHENSIVE INCOME
(LOSS)
|
|
|
7,994
|
|
|
(57,217)
|
|
|
|
|
|
|
|
Less: Comprehensive
income (loss) attributable to
noncontrolling
interest
|
|
|
6,455
|
|
|
(21,440)
|
|
|
|
|
|
|
|
COMPREHENSIVE INCOME
(LOSS)
ATTRIBUTABLE TO
GENERAL STEEL
HOLDINGS,
INC.
|
|
$
|
1,539
|
|
$
|
(35,777)
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE
NUMBER OF SHARES
|
|
|
|
|
|
|
Basic and
Diluted
|
|
|
54,805
|
|
|
55,520
|
|
|
|
|
|
|
|
EARNINGS (LOSS) PER
SHARE
|
|
|
|
|
|
|
Basic and
Diluted
|
|
$
|
0.06
|
|
$
|
(0.63)
|
GENERAL STEEL HOLDINGS, INC. AND SUBSIDIARIES
|
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
FOR THE THREE MONTHS
ENDED MARCH 31, 2013 AND 2012
(UNAUDITED)
|
(In
thousands)
|
|
|
|
Three months ended
March 31,
|
|
2013
|
|
2012
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
Net income
(loss)
|
$
|
10,520
|
|
$
|
(55,748)
|
|
Adjustments to
reconcile net income (loss) to cash provided by (used in) operating
activities:
|
|
|
|
|
|
|
|
Depreciation,
amortization and depletion
|
|
21,358
|
|
|
20,559
|
|
|
Change in fair value
of derivative liabilities
|
|
(1)
|
|
|
13
|
|
|
(Gain) loss on
disposal of equipment
|
|
(331)
|
|
|
119
|
|
|
Provision for
doubtful accounts
|
|
(42)
|
|
|
5
|
|
|
Reservation of mine
maintenance fee
|
|
45
|
|
|
254
|
|
|
Stock issued for
services and compensation
|
|
245
|
|
|
262
|
|
|
Amortization of
deferred financing cost on capital lease
|
|
10,208
|
|
|
10,839
|
|
|
Loss from equity
investments
|
|
42
|
|
|
43
|
|
|
Foreign currency
transaction gain
|
|
(28)
|
|
|
(385)
|
|
|
Deferred tax
assets
|
|
-
|
|
|
169
|
|
|
Deferred lease
income
|
|
(532)
|
|
|
(530)
|
|
|
Changes in fair value
of profit sharing liability
|
|
(51,892)
|
|
|
|
|
Changes in operating
assets and liabilities
|
|
|
|
|
|
|
|
Notes
receivable
|
|
27,752
|
|
|
22,048
|
|
|
Accounts
receivable
|
|
(9,426)
|
|
|
(5,887)
|
|
|
Accounts receivable -
related parties
|
|
6,808
|
|
|
(32,374)
|
|
|
Other
receivables
|
|
(2,826)
|
|
|
3,371
|
|
|
Other receivables -
related parties
|
|
(20,212)
|
|
|
(5,999)
|
|
|
Inventories
|
|
(37,526)
|
|
|
(61,814)
|
|
|
Advances on inventory
purchases
|
|
22,786
|
|
|
(36,580)
|
|
|
Advances on inventory
purchases - related parties
|
|
(46,883)
|
|
|
(68,061)
|
|
|
Prepaid expense and
other
|
|
(1,039)
|
|
|
32
|
|
|
Long-term deferred
expense
|
|
260
|
|
|
88
|
|
|
Prepaid
taxes
|
|
1,049
|
|
|
5,513
|
|
|
Accounts
payable
|
|
57,648
|
|
|
(104,700)
|
|
|
Accounts payable -
related parties
|
|
39,661
|
|
|
103,918
|
|
|
Other payables and
accrued liabilities
|
|
1,887
|
|
|
(5,924)
|
|
|
Other payables -
related parties
|
|
8,789
|
|
|
72,220
|
|
|
Customer
deposits
|
|
(21,956)
|
|
|
(10,653)
|
|
|
Customer deposits -
related parties
|
|
(9,457)
|
|
|
(11,467)
|
|
|
Taxes
payable
|
|
(4,427)
|
|
|
(6,355)
|
|
|
Other noncurrent
liabilities
|
|
1,370
|
|
|
-
|
|
|
|
Net cash provided by
(used in) operating activities
|
|
3,850
|
|
|
(167,024)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
|
|
Restricted
cash
|
|
54,991
|
|
|
(54,126)
|
|
Loans to related
parties
|
|
-
|
|
|
(65,359)
|
|
Cash proceeds from
(made to) short term investment
|
|
-
|
|
|
79
|
|
Cash proceeds from
sales of equipment
|
|
4
|
|
|
-
|
|
Equipment purchase
and intangible assets
|
|
(24,093)
|
|
|
(10,729)
|
|
Effect on cash due to
deconsolidating of a subsidiary
|
|
-
|
|
|
(2,977)
|
|
|
|
Net cash provided by
(used in) investing activities
|
|
30,902
|
|
|
(133,112)
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FINANCING
ACTIVITIES:
|
|
|
|
|
|
|
Restricted notes
receivable
|
|
99,224
|
|
|
(19,891)
|
|
Borrowings on short
term notes payable
|
|
289,548
|
|
|
467,269
|
|
Payments on short
term notes payable
|
|
(493,064)
|
|
|
(341,435)
|
|
Borrowings on short
term loans - bank
|
|
32,563
|
|
|
150,252
|
|
Payments on short
term loans - bank
|
|
(63,315)
|
|
|
(87,102)
|
|
Borrowings on short
term loan - others
|
|
21,296
|
|
|
119,089
|
|
Payments on short
term loans - others
|
|
(21,432)
|
|
|
(65,486)
|
|
Borrowings on short
term loan - related parties
|
|
142,999
|
|
|
85,197
|
|
Payments on short
term loans - related parties
|
|
(30,430)
|
|
|
(54,453)
|
|
Deposits due to sales
representatives
|
|
6,411
|
|
|
10,481
|
|
Deposit due to sales
representatives - related parties
|
|
526
|
|
|
286
|
|
|
|
Net cash provided by
(used in) financing activities
|
|
(15,674)
|
|
|
264,207
|
|
|
|
|
|
|
|
|
|
|
EFFECTS OF EXCHANGE
RATE CHANGE IN CASH
|
|
254
|
|
|
429
|
INCREASE (DECREASE)
IN CASH
|
|
19,332
|
|
|
(35,500)
|
CASH, beginning of
period
|
|
46,467
|
|
|
120,016
|
CASH, end of
period
|
$
|
65,799
|
|
$
|
84,516
|
SOURCE General Steel Holdings, Inc.