ZHEJIANG, CHINA--(Marketwire - February 11, 2010) - Chisen Electric Corporation (OTCBB: CIEC) (the "Company") a leading lead-acid motive battery producer for the electric bicycle market in the People's Republic of China, announced today that it continued to experience strong sales of its battery products in the third quarter ended December 31, 2009.
The Company reported that revenues in the 2009 third quarter increased 102% to $47,237,000 from $23,421,000 in the third quarter last year. Net income in the period grew to $2,211,000 from $1,619,000 in the third quarter of 2008, a 36% gain. 2009 third quarter EPS, based on 50,000,000 shares outstanding, increased to $0.044 from $0.032 in the same period last year.
Through the first nine months of 2009, the Company said revenues grew 56% to $127,104,000 compared with $81,234,000 in the first nine months of 2008. Net income in the first nine months of 2009 was $9,157,000, or $0.18 per share, up 20% compared with $7,575,000, or $0.15 per share, in the prior year period.
The Company said it continued to benefit from its strong relationships with leading electrical bicycle-makers in the PRC as well as its network of exclusive distributors now in 27 provinces throughout China. Although average unit selling prices of the Company's batteries were down 6% in the quarter and 18% through the first nine months of 2009, primarily due to the competitive environment, the Company continued to benefit from strong electric bicycle sales in China and achieved a 56% increase in sales volume through December 31.
Mr. Xu Kecheng, Chairman of the Board, and CEO of the Company, stated, "We remain excited by the continued rapid growth of the Chinese electric bicycle market, which has spurred increased sales of the Company's well made, reasonably priced battery products. The Company anticipates continuing growth in electric bicycle sales, as consumers see them as a highly practical and pollution free means of transportation and there also is continuing strong support for battery powered bicycles from the PRC government. Chisen's experience and expertise in the lead-acid battery market should permit continuing expansion of its product range as well as its customer base."
This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations or beliefs, including, statements concerning the Company's operations, financial performance and condition. For this purpose, statements that are not statements of historical fact may be deemed to be forward-looking statements. The Company cautions that these statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety important factors, including, but not limited to, the impact of competitive conditions and effectiveness of marketing; changes in laws and regulations; fluctuations in costs of production, financing and other factors as discussed in the Company's reports filed with the Securities and Exchange Commission from time to time, In addition, the Company disclaims any obligation to update any forward-looking statement to reflect events or circumstances after the date hereof. No securities regulatory authority has either approved or disapproved the contents of this new release. This release is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and that will contain detailed information about the company and management, as well as financial statements. The Company filings with the US Securities and Exchange Commission, including the annual report for the fiscal year ended March 31, 2009 on Form 10-K, can be viewed on EDGAR Online or www.sec.gov.