Correction: Kandi Technologies Reports Fourth Quarter and Full Year 2015 Financial Results

March 14, 2016 4:37 PM EDT | Source: Kandi Technologies, Corp.

- Q4 EV parts sales increased 51.6% YoY to $57.5 million
- 2015 EV parts sales increased 68.4%
YoY to $196.1 million
-
Q4 the JV Company sold 12,100 EV products, a 231.0% increase YoY
- 2015 the JV Company sold 24,220 EV products, a 121.5% increase
YoY
-
Q4 Non-GAAP net income increased 250.9% YoY to $13.9 million, or $0.30 EPS
-Full year Non-GAAP net income increased 1
00.9% YoY to $28.5 million, or $0.61 EPS

Jinhua, China--(Newsfile Corp. - March 14, 2016) - Kandi Technologies Group, Inc. (NASDAQ GS: KNDI) (the "Company," "we" or "Kandi"), announced a correction to its press release issued on Monday, March 14, 2016 entitled, "Kandi Technologies Reports Fourth Quarter and Full Year 2015 Financial Results."

In the press release issued at 7:00 am ET, the year-over-year percentage changes for Net Revenues, Gross Profit, and Net Income included in the full year 2015 income statement table under the JV Company Financial Results were miscalculated. The correct calculation included in the income statement table of the JV Company is as follows:

  2015 2014 Y-o-Y%
Net Revenues (US$mln) $362.7 $215.5 68.3%
Gross Profit (US$mln) $59.6 $41.9 42.4%
Gross Margin 16.4% 19.4% -
Net Income $23.3 $7.5 209.9%
% of Net revenues 6.4% 3.5% -

 

The complete press release with corrected information is as follows:

Kandi Technologies Group, Inc. (NASDAQ GS: KNDI) (the "Company," "we" or "Kandi"), today announced its financial results for the fourth quarter and year ended December 31, 2015

Fourth Quarter Highlights

  • Total revenues grew 11.2% to $58.8 million for the fourth quarter of 2015, from $52.9 million for the same period of 2014.
  • Electric Vehicle ("EV") parts sales increased 51.6% to $57.5 million for the fourth quarter of 2015, compared with $37.9 million in the same period of 2014.
  • Kandi Electric Vehicles Group Co., Ltd. (the "JV Company"), sold 12,100 EV products in the fourth quarter, a 231.0% increase compared with the same period last year. Total EV products sales comprised 6,474 EV products to the Micro Public Transportation ("MPT") program and 5,626 EV products through the distribution channel under the direct sales program.
  • GAAP net income for the fourth quarter of 2015 was $0.8 million, or $0.02 per fully diluted share, compared with $1.7 million, or $0.07 per fully diluted share in the same period of 2014.
  • Non-GAAP adjusted net income , which excludes stock award expenses and changes in the fair value of financial derivatives, was $13.9 million in the fourth quarter of 2015, compared with $4.0 million of the same period of 2014. Non-GAAP adjusted earnings per share1 was approximately $0.30 per fully diluted share for the fourth quarter of 2015 compared with $0.09 per fully diluted share for the same quarter of 2014.

Full Year 2015 Highlights

  • Total revenues grew 18.1% to $201.1 million in 2015, from $170.2 million in 2014.
  • EV parts sales increased 68.4% to $196.1 million in 2015, compared with $116.4 million in 2014.
  • The JV Company sold 24,220 EV products in 2015, a 121.5% increase compared with 2014. Total EV products sales comprised 14,947 EV products to the MPT program and 9,273 EV products through the distribution channel under the direct sales program.
  • GAAP net income in 2015 was $14.7 million, or $0.31 per fully diluted share, compared with $12.3 million, or $0.29 per fully diluted share in 2014.
  • Non-GAAP adjusted net income1, which excludes stock award expenses and changes in the fair value of financial derivatives, was $28.5 million in 2015, compared with $14.2 million in 2014. Non-GAAP adjusted earnings per share1 was approximately $0.61 per fully diluted share for the full year of 2015 compared with $0.33 per fully diluted share for the same quarter of 2014.
  • Working capital surplus was $59.9 million as of December 31, 2015. Cash, cash equivalents and restricted cash totaled $32.9 million as of December 31, 2015.

__________________________

1Non-GAAP measures, including the Non-GAAP net income and Non-GAAP EPS are defined as the financial measures excluding the change of the fair value of financial derivatives and the effects of the stock award expense. We supply non-GAAP information because we believe it allows our investors to obtain a clearer understanding of our operations.  Any non-GAAP measures should not be considered as a substitute for, and should only be read in conjunction with, measures of financial performance prepared in accordance with GAAP.

"Our outstanding results in 2015 include exceeding revenue and EV sales targets with the JV Company by selling 24,220 EV products, a 121.5% increase year-over-year," commented Mr. Hu Xiaoming, Chairman and Chief Executive Officer of Kandi, "As the JV Company became China's top seller for pure EV products in 2015, its EV products received extremely positive market recognition, highlighted by model K17 named as China 2015 Pure Electric Passenger Vehicle of the Year at the 6th Global New Energy Vehicle Conference. The direct sales program was launched in the second quarter and achieved 9,273 in EV products sales in 2015 through the distribution channel under this program, accounting for 38.3% of total EV products sold during the year. We are confident in being able to increase the contribution of direct sales as a percentage of total sales in 2016."

"China's government has continued to strongly support the growth of the EV industry," Mr. Hu continued. "Most recently through an industry-wide subsidy investigation, the government is committed to maintaining the healthy development of the EV industry, which will benefit scaled EV products manufacturers like the JV Company. Meanwhile, the central government has extended its continuous support and confidence in developing the new energy vehicle (NEV) industry by enacting additional policies, including reducing traffic controls and purchase quotas on NEVs, encouraging government purchases and promoting EV car-share programs. By focusing on our unique growth engines, which are the rapid expansion of the Micro Public Transportation program and the direct sales program through the distribution channel, we look forward to leading the growth of China's EV industry in 2016."

"Our significant achievements in 2015 include excellent financial results, particularly with sales and gross margin meeting our expectation," added Mr. Wang Cheng (Henry), Chief Financial Officer of Kandi, "During the year, key milestones, including the successful launch of the direct sales program and the expansion of the MPT program to 16 cities were accomplished. With a solid foundation built for our EV business, we believe that the Company will continue to achieve strong financial performance in 2016."

Fourth Quarter and Full Year 2015 Financial Results

Net Revenues and Gross Profit

  4Q15 3Q15 4Q14 Q-o-Q% Y-o-Y%
Net Revenues (US$mln) $58.8 $50.5 $52.9 16.4% 11.2%
Gross Profit (US$mln) $8.4 $7.1 $5.8 18.6% 45.2%
Gross Margin 14.4% 14.1% 11.0% - -

 

Net revenues for the fourth quarter increased 16.4% sequentially, and 11.2% from the year-ago period. The increase in net revenues was mainly due to growth of EV products sales from the JV Company. Gross margin in the fourth quarter increased to 14.4%, compared with 11.0% in the same quarter last year. Margin increase was a result of cost control from battery packing production.

  2015 2014 Y-o-Y%
Net Revenues (US$mln) $201.1 $170.2 18.1%
Gross Profit (US$mln) $28.4 $23.4 21.4%
Gross Margin 14.1% 13.7% -

 

Net revenues for the full year 2015 increased 18.1% from 2014. The increase in net revenues was mainly due to growth of EV products sales from the JV Company. Gross margin for the full year 2015 increased to 14.1%, compared with 13.7% in 2014. Margin increase was a result of cost control from battery packing production.

Operating Income (Loss)

  4Q15 3Q15 4Q14 Q-o-Q% Y-o-Y%
Operating Expenses (US$mln) $13.9 $9.6 $3.0 45.0% 367.4%
Operating Income (Loss) (US$mln) ($5.4) ($2.4) $2.8 121.9% -290.1%
Operating Margin -9.2% -4.8% 5.4% - -
Operating Income (Loss) (US$mln) (Non-GAAP) $4.4 $4.6 $4.9 -4.0% -9.2%

 

Total operating expenses in the fourth quarter were $13.9 million, compared with $3.0 million in the same quarter of 2014. The increase in total operating expenses was due to increased stock compensation expense, which was $9.8 million in the fourth quarter, compared with $2.0 million in the same quarter last year. Excluding stock compensation, operation expenses in the fourth quarter of 2015 were $4.0 million, compared with $1.0 million in the same quarter last year. The increase was mainly due to research and development expenses for new EV product models, such as K12 and K17, and for new battery packs, as well as the accrual for compensation expense.

  2015 2014 Y-o-Y%
Operating Expenses (US$mln) $32.4 $18.2 78.3%
Operating Income (Loss) (US$mln) ($4.0) $5.2 -175.4%
Operating Margin -2.0% 3.1% -163.8%
Operating Income (Loss) (US$mln) (Non-GAAP) $18.4 $13.7 34.5%

 

Total operating expenses in 2015 were $32.4 million, compared with $18.2 million in 2014. The significant increase in total operating expenses was due to increased stock compensation expense in 2015, which was $22.4 million, compared with $8.5 million in 2014. Excluding stock compensation, operation expenses in 2015 were $10.0 million, slightly higher than $9.7 million in 2014.

GAAP Net Income

  4Q15 3Q15 4Q14 Q-o-Q% Y-o-Y%
Net Income (US$mln) $0.8 $2.3 $1.7 -67.3% -54.1%
Earnings per Weighted Average Common Share $0.02 $0.05 $0.07 - -
Earnings per Weighted Average Diluted Share $0.02 $0.05 $0.07 - -
Stock award expenses $9.8 $7.0 $2.0 39.7% 390.6%
Change of the fair value of financial derivatives $3.3 ($3.0) $0.3 -207.7% 1058.7%
Non-GAAP net income from continuing operations $13.9 $6.3 $4.0 119.4% 250.9%

 

Net income was $0.8 million in the fourth quarter, compared with $1.7 million in the same quarter of 2014. Net income was affected by significant increases in stock compensation expense and the change of the fair value of financial derivatives, which together were $10.8 million more in the fourth quarter of 2015 than in the fourth quarter of 2014. Non-GAAP net income in the fourth quarter was $13.9 million, a 250.9% increase from $4.0 million in the same quarter of 2014, mainly due to revenue growth, margin improvement, and the increased net income contribution from the JV Company.

  2015 2014 Y-o-Y%
Net Income (US$mln) $14.7 $12.3 19.5%
Earnings per Weighted Average Common Share $0.31 $0.29 -
Earnings per Weighted Average Diluted Share $0.31 $0.29 -
Stock award expenses $22.4 $8.5 164.7%
Change of the fair value of financial derivatives ($8.5) ($6.5) 30.4%
Non-GAAP net income from continuing operations $28.5 $14.2 100.9%

 

Net income in 2015 was $14.7 million, compared with $12.3 million in 2014. The increase in net income was mainly due to revenue growth and margin improvement, increased net income contribution from the JV Company, and gain from financial derivatives, offset by the increase from stock compensation expense. Non-GAAP net income in 2015 was $28.5 million, a 100.9% increase from $14.2 million in 2014, mainly due to revenue growth, margin improvement, and increased net income contribution from the JV Company.

JV Company Financial Results

In the fourth quarter, the JV Company sold 12,100 EV products, a 231.0% increase from the same period last year. Total EV product sales comprised 6,474 EV products to the MPT program and 5,626 EV products through the distribution channel under the direct sales program, with the latter being a significant sequential increase over the 3,004 EV products sold through the distribution channel under the direct sales program in the third quarter.

The condensed financial income statement of the JV Company in the fourth quarter is as below:

  4Q15 3Q15 4Q14 Q-o-Q% Y-o-Y%
Net Revenues (US$mln) $164.8 $98.4 $88.8 67.3% 85.6%
Gross Profit (US$mln) $27.7 $13.3 $27.9 107.7% -1.0%
Gross Margin 16.8% 13.5% 31.5% - -
Net Income $19.3 $1.6 $0.7 1098.9% 2497.5%
% of Net revenues 11.7% 1.6% 0.8% - -

 

For the full year 2015, the JV Company sold 24,220 EV products, a 121.5% increase from 2014. Total EV product sales comprised 14,947 EV products to the MPT program and 9,273 EV products through the distribution channel. Total EV products sold in 2015 included 11,801 units of model K10, 10,472 units of model K11, 1,945 units of model K17 and 2 units of model K30.

The condensed financial income statement of the JV Company in full year 2015 is as below:

  2015 2014 Y-o-Y%
Net Revenues (US$mln) $362.7 $215.5 68.3%
Gross Profit (US$mln) $59.6 $41.9 42.4%
Gross Margin 16.4% 19.4% -
Net Income $23.3 $7.5 209.9%
% of Net revenues 6.4% 3.5% -

 

Gross margin for the full year 2015 was 16.4% compared with 19.4% in 2014. The margin decrease in 2015 was mainly due to the product price decline and the lower selling price to a strategic partner during the year.

Kandi's investments in the JV Company are accounted for under the equity method of accounting, as Kandi has a 50% ownership interest in the JV Company. As a result, Kandi recorded 50% of the JV Company's profit for $9.7 million for the fourth quarter and $11.7 million for the full year 2015. After eliminating intra-entity profits and losses, Kandi's share of the after tax profit of the JV Company was $9.9 million for the fourth quarter and $11.8 million for the full year of 2015.

Outlook

For the first quarter of 2016, Kandi expects net revenues to be in the range of $46.0 million to $48.0 million, with gross margin in the range of 13.5% to 14.5%. For full year 2016, Kandi expects net revenues to be in the range of $270 million to $300 million.

The Company also expects the JV Company to deliver a total of 35,000 or more EV products in the full year of 2016.

This outlook reflects the current view of the management, which is subject to change.

Fourth Quarter and Full Year 2015 Conference Call Details

The Company has scheduled a conference call and live webcast to discuss the financial results at 8:00 AM (U.S. Eastern time) on March 14, 2016 (8:00 PM Beijing time on March 14, 2016). Mr. Hu Xiaoming, Chief Executive Officer and Mr. Wang Cheng (Henry), Chief Financial Officer, will deliver prepared remarks, followed by a question and answer session.

The dial-in details for the conference call are as follows:

  • Toll-free dial-in number: +1 877-407-3982
  • International dial-in number: +1 201-493-6780
  • Conference ID: 13631514
  • Webcast and replay: http://public.viavid.com/index.php?id=118533

The live audio webcast of the call can also be accessed by visiting Kandi's Investor Relations website at http://ir.kandivehicle.com. An archive of the webcast will be available on the Company's website following the live call.

About Kandi Technologies Group, Inc.

Kandi Technologies Group, Inc. (KNDI), headquartered in Jinhua, Zhejiang Province, is engaged in the research and development, manufacturing and sales of various vehicle products. Kandi has established itself as one of China's leading manufacturers of pure electric vehicle ("EV") products (through its joint venture), EV parts and off-road vehicles. More information can be viewed at the Company's corporate website at http://www.kandivehicle.com. The Company routinely posts important information on its website.

Safe Harbor Statement

This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

Follow us on Twitter: @ Kandi_Group

Company Contact:

Ms. Kewa Luo
Kandi Technologies Group, Inc.
Phone: 1-212-551-3610
Email: IR@kandigroup.com

IR Contact:
The Piacente Group
Phone: 1-212-481-2050
Email: kandi@tpg-ir.com

- Tables Below -

KANDI TECHNOLOGIES GROUP, INC.
AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS

    December 31, 2015     December 31, 2014  
ASSETS            
Current assets            
Cash and cash equivalents $  16,738,559   $  26,379,460  
Restricted cash   16,172,009     13,000,731  
Short term investment   1,613,727     -  
Accounts receivable   8,136,421     15,736,805  
Inventories (net of provision for slow moving inventory of 485,901 and 315,584 as of December 31, 2015 and December 31, 2014, respectively   17,773,679     15,403,840  
Notes receivable   13,033,315     9,060,441  
Other receivables   332,922     238,567  
Prepayments and prepaid expense   181,534     120,761  
Due from employees   34,434     34,475  
Advances to suppliers   71,794     6,901,505  
Amount due from JV Company, net   76,172,471     51,450,612  
Amount due from related party   40,606,162     -  
Deferred taxes assets   -     -  
TOTAL CURRENT ASSETS   190,867,027     138,327,197  
             
LONG-TERM ASSETS            
Plant and equipment, net   20,525,126     26,215,356  
Land use rights, net   12,935,121     15,649,152  
Construction in progress   54,368,753     58,510,051  
Long Term Investment   1,463,182     -  
Investment in JV Company   90,337,899     83,309,095  
Goodwill   322,591     322,591  
Intangible assets   495,306     577,401  
Other long term assets   154,019     162,509  
TOTAL Long-Term Assets   180,601,997     184,746,155  
             
TOTAL ASSETS $  371,469,024   $  323,073,352  
             
CURRENT LIABILITIES            
Accounts payables $  73,957,969   $  45,772,481  
Other payables and accrued expenses   9,544,909     5,101,740  
Short-term loans   36,656,553     35,589,502  
Customer deposits   94,026     2,630,723  
Notes payable   3,850,478     5,702,121  
Income tax payable   624,276     1,835,685  
Due to employees   9,423     15,787  
Deferred taxes liabilities   2,374,924     230,864  
Financial derivate - liability   3,823,590     2,245,610  
Deferred income   13,726     -  
Total Current Liabilities   130,949,874     99,124,513  
             
LONG-TERM LIABILITIES            
Deferred taxes liabilities   1,593,582     2,266,725  
Financial derivate - liability   -     10,097,275  
Total Long-Term Liabilities   1,593,582     12,364,000  
             
TOTAL LIABILITIES   132,543,456     111,488,513  
             
STOCKHOLDER'S EQUITY            
Common stock, $0.001 par value; 100,000,000 shares authorized; 46,964,855 and 46,274,855 shares issued and outstanding at December 31,2015 and December 31,2014, respectively   46,965     46,275  
Additional paid-in capital   212,564,334     190,258,037  
Retained earnings (the restricted portion is $4,172,324 and $4,172,324 at   31,055,919     16,390,424  
December 31,2015 and December 31,2014, respectively)            
Accumulated other comprehensive income(loss)   (4,741,650 )   4,890,103  
TOTAL STOCKHOLDERS' EQUITY   238,925,568     211,584,839  
             
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $  371,469,024   $  323,073,352  

 

KANDI TECHNOLOGIES GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND
COMPREHENSIVE INCOME (LOSS)

  December 31, 2015     % of
Revenue
    December 31, 2014     % of
Revenue
    December 31, 2013     % of
Revenue
 
REVENUES, NET $  201,069,173     100.0%   $  170,229,006     100.0%   $  94,536,045     100.0%  
                                     
COST OF GOODS SOLD   172,649,955     85.9%     146,825,073     86.3%     72,793,517     77.0%  
                                     
GROSS PROFIT   28,419,218     14.1%     23,403,933     13.7%     21,742,528     23.0%  
                                     
OPERATING EXPENSES:                                    
Research and development   3,482,511     1.7%     2,755,637     1.6%     3,728,730     3.9%  
Selling and marketing   633,863     0.3%     1,345,588     0.8%     399,504     0.4%  
General and administrative   28,255,267     14.1%     14,058,548     8.3%     16,056,107     17.0%  
Total Operating Expenses   32,371,641     16.1%     18,159,773     10.7%     20,184,341     21.4%  
                                     
INCOME(LOSS) FROM OPERATIONS   (3,952,423 )   -2.0%     5,244,160     3.1%     1,558,187     1.6%  
                                     
OTHER INCOME(EXPENSE):                                    
Interest income   3,138,717     1.6%     1,701,121     1.0%     1,516,477     1.6%  
Interest expense   (2,214,635 )   -1.1%     (3,480,646 )   -2.0%     (4,395,353 )   -4.6%  
Change in fair value of financial instruments   8,519,295     4.2%     6,531,308     3.8%     (16,647,283 )   -17.6%  
Government grants   1,645,032     0.8%     288,498     0.2%     228,396     0.2%  
Share of profit (loss) in associated companies   -     0.0%     (54,308 )   0.0%     (69,056 )   -0.1%  
Share of profit after tax of JV   11,841,855     5.9%     4,490,266     2.6%     (2,414,354 )   -2.6%  
Other income, net   1,814,882     0.9%     (34,649 )   0.0%     676,257     0.7%  
Total other income, net   24,745,146     12.3%     9,441,590     5.5%     (21,104,916 )   -22.3%  
                                     
INCOME BEFORE INCOME TAXES   20,792,723     10.3%     14,685,750     8.6%     (19,546,729 )   -20.7%  
                                     
INCOME TAX EXPENSE   (6,127,228 )   -3.0%     (2,414,412 )   -1.4%     (1,593,994 )   -1.7%  
                                     
NET INCOME   14,665,495     7.3%     12,271,338     7.2%     (21,140,723 )   -22.4%  
                                     
OTHER COMPREHENSIVE INCOME                                    
Foreign currency translation   (9,631,753 )         (2,725,143 )         2,112,902        
                                     
COMPREHENSIVE INCOME(LOSS) $  5,033,742         $  9,546,195         $  (19,027,821 )      
                                     
WEIGHTED AVERAGE SHARES OUTSTANDING BASIC   46,744,718           42,583,495           34,707,973        
WEIGHTED AVERAGE SHARES OUTSTANDING DILUTED   46,925,554           42,715,818           34,707,973        
                                     
NET INCOME PER SHARE, BASIC $  0.31         $  0.29         $  (0.61 )      
NET INCOME PER SHARE, DILUTED $  0.31         $  0.29         $  (0.61 )      

 

KANDI TECHNOLOGIES GROUP, INC.
AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

    December 31, 2015     December 31, 2014     December 31, 2013  
                   
CASH FLOWS FROM OPERATING ACTIVITIES:                  
Net income(loss)   $  14,665,495   $  12,271,338   $  (21,140,723 )
Adjustments to reconcile net income to net cash provided by operating activities                  
Depreciation and amortization   5,788,780     5,571,465     7,708,923  
Assets Impairments   194,366     -     355,876  
Deferred taxes   1,446,345     1,579,855     876,255  
Change in fair value of financial instruments   (8,519,295 )   (6,531,308 )   16,647,283  
Loss (income) in investment in associated companies   -     54,308     69,056  
Share of profit after tax of JV Company   (11,841,855 )   (4,490,266 )   2,414,354  
Decrease in reserve for fixed assets   -     (302,023 )   -  
Stock Compensation cost   22,306,987     -     -  
                   
Changes in operating assets and liabilities, net of effects of acquisition:                  
(Increase) Decrease In:                  
Accounts receivable   7,052,626     15,445,962     3,251,168  
Inventories   (3,497,460 )   (6,280,502 )   (1,287,045 )
Other receivables   (193,954 )   315,071     (38,491 )
Due from employee   (7,596 )   5,139     10,797  
Prepayments and prepaid expenses   6,664,779     (5,360,637 )   (3,810,447 )
Amount due from JV Company   (28,519,360 )   (48,593,522 )   (2,877,972 )
                   
Increase (Decrease) In:                  
Accounts payable   31,814,545     23,095,825     13,699,528  
Other payables and accrued liabilities   5,300,095     2,694,689     (746,838 )
Customer deposits   (2,496,382 )   2,588,830     (254,151 )
Income Tax payable   (1,039,187 )   482,020     651,124  
Due from related party   (42,249,905 )   -     (841,251 )
Net cash (used in ) provided by operating activities $  (3,130,976 ) $  (7,453,756 ) $  14,687,446  
                   
CASH FLOWS FROM INVESTING ACTIVITIES:                  
(Purchases)/Disposal of plant and equipment, net   (827,059 )   (2,101,355 )   (158,830 )
(Purchases)/Disposal of land use rights and other intangible assets   1,589,165     (1,668,534 )   -  
(Purchases)/Disposal of construction in progress   1,128,443     (50,891,170 )   (16,134 )
Deposit for acquisition   -     -     (39,673,000 )
Disposal of associated company   -     (96,299 )   64,535,177  
Issuance of notes receivable   (131,852,319 )   (24,705,489 )   (4,174,247 )
Repayment of notes receivable   127,226,115     29,354,592     311,844  
Long Term Investment   (1,522,411 )   -     (80,668,972 )
Short Term Investment   (1,679,051 )   -     -  
Cash acquired in acquisition   -     -     -  
Net cash provided by (used in) investing activities $  (5,937,117 ) $  (50,108,255 ) $  (59,844,162 )
                   
CASH FLOWS FROM FINANCING ACTIVITIES:                  
Restricted cash   (4,006,346 )   (13,010,291 )   16,135,044  
Proceeds from short-term bank loans   50,640,214     48,306,743     52,918,845  
Repayments of short-term bank loans   (47,595,391 )   (46,517,604 )   (52,596,170 )
Proceeds from notes payable   13,781,830     18,718,944     83,251,992  
Repayment of notes payable   (15,398,471 )   (29,602,112 )   (92,609,593 )
Proceeds from bond payable   -     -     12,907,035  
Repayment of bond payable   -     (13,011,917 )   (12,907,035 )
Fund raising through issuing common stock and warrants   0     78,358,991     26,387,498  
Option exercise, stock awards & other financing   -     8,431,247     9,659,103  
Warrant exercise   -     21,101,039     3,171,259  
Common stock issued for acquisition, net of cost of capital   -     -     -  
Net cash (used in) provided by financing activities $  (2,578,164 ) $  72,775,040   $  46,317,978  
          -        
NET INCREASE IN CASH AND CASH EQUIVALENTS   (11,646,257 )   15,213,029     1,161,262  
Effect of exchange rate changes on cash   2,005,356     (1,595,938 )   (533,989 )
Cash and cash equivalents at beginning of year   26,379,460     12,762,369     12,135,096  
                   
CASH AND CASH EQUIVALENTS AT END OF PERIOD   16,738,559     26,379,460     12,762,369  

 

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