ELOCITY NETWORKS CORP

CIK:0001029802|SEC Filings

Statements of Operations (USD $)	3 Months Ended
Statements of Operations (USD $)	Mar. 31, 2015	Mar. 31, 2014
REVENUES:
Sales	$ 5,850,335us-gaap_SalesRevenueNet	$ 8,015,860us-gaap_SalesRevenueNet
Cost of goods sold	(5,293,100)us-gaap_CostOfGoodsAndServicesSold	(7,098,744)us-gaap_CostOfGoodsAndServicesSold
GROSS PROFIT	557,235us-gaap_GrossProfit	917,116us-gaap_GrossProfit
OPERATING EXPENSES:
Selling Expense	642,945us-gaap_SellingExpense	596,470us-gaap_SellingExpense
General and administrative	742,910us-gaap_GeneralAndAdministrativeExpense	327,710us-gaap_GeneralAndAdministrativeExpense
TOTAL OPERATING EXPENSES	1,385,855us-gaap_OperatingExpenses	924,180us-gaap_OperatingExpenses
Income (Loss) from continuing operations	(828,620)us-gaap_OperatingIncomeLoss	(7,064)us-gaap_OperatingIncomeLoss
OTHER INCOME (EXPENSE):
Other Income		14,308us-gaap_OtherIncome
Other expense	(1,710)us-gaap_OtherExpenses
Interest income	62us-gaap_InterestAndOtherIncome	60us-gaap_InterestAndOtherIncome
Interest expense	(85,239)us-gaap_InterestExpense	(51,109)us-gaap_InterestExpense
Government Grants	155,988us-gaap_OtherNonoperatingIncome	239,132us-gaap_OtherNonoperatingIncome
TOTAL OTHER INCOME (LOSS) & EXPENSES	69,101us-gaap_OtherOperatingIncomeExpenseNet	202,391us-gaap_OtherOperatingIncomeExpenseNet
INCOME(LOSS) FROM CONTINUING OPERATIONS BEFOR INCOME TAXES	(759,519)	195,327
Income tax expense	43,327us-gaap_IncomeTaxExpenseBenefit	80,615us-gaap_IncomeTaxExpenseBenefit
NET Income/ (loss)	(802,846)us-gaap_NetIncomeLoss	114,712us-gaap_NetIncomeLoss
- Foreign currency translation gain/(loss)	29,185	(31,194)
COMPREHENSIVE (LOSS)	$ (773,661)us-gaap_ComprehensiveIncomeNetOfTax	$ 83,518us-gaap_ComprehensiveIncomeNetOfTax
Income/(Loss) per common share:
Basic	$ (0.39)us-gaap_EarningsPerShareBasic	$ 0.06us-gaap_EarningsPerShareBasic
Fully diluted	$ (0.15)us-gaap_EarningsPerShareDiluted	$ 0.06us-gaap_EarningsPerShareDiluted
Basic	2,065,564	1,998,049
Fully diluted	5,439,447	1,998,049

Statements of Cash Flows (USD $)	3 Months Ended
Statements of Cash Flows (USD $)	Mar. 31, 2015	Mar. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Income (loss)	$ (802,846)us-gaap_NetIncomeLoss	$ 114,712us-gaap_NetIncomeLoss
Adjustments to reconcile net income to net Cash provided by (used in) operating activities:
Depreciation and Amortization	87,925us-gaap_DepreciationAndAmortization	59,425us-gaap_DepreciationAndAmortization
Bad debt expense	395,005
(Increase) decrease in operating assets:
Accounts receivable	6,283,260	(884,262)
Inventories	(1,275,717)us-gaap_IncreaseDecreaseInInventories	1,035,267us-gaap_IncreaseDecreaseInInventories
Other receivable	(172,092)
Prepaid expenses and other current assets	1,123,187	326,376
Related party receivable	1,114,279
Accounts payable	(6,728,883)	(2,689,030)
Other payables and accrued liabilities	(81,527)	(509,719)
Tax payable	423,259	164,677
Customer deposit	(9,939)
NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES	355,911	(2,382,555)
CASH FLOWS FROM INVESTING ACTIVITIES
(Increase)/decrease in Construction in Progress	355,466
Purchase of property and equipment	(358,977)	(10,225)
NET CASH PROVIDED (USED IN) INVESTING ACTIVITIES	(3,511)	(10,225)
Repayments of short-term loans	(2,152,527)
Advance from related party	572,916us-gaap_ProceedsFromRelatedPartyDebt	3,699,006us-gaap_ProceedsFromRelatedPartyDebt
Proceeds from notes payable - related party		251,546
Due to stockholders	19,420
Proceeds from long-term loan	412,499
Net cash provided by (used in) Financing Activities	(1,147,692)	3,950,552
Foreign currency translation adjustment	31,016	(11,736)
Net increase /(decrease) in cash & cash equivalents for the periods	(764,276)	1,546,036
CASH AND CASH EQUIVALENTS:
Beginning of period	801,356	40,217
End of period	37,080	1,586,253
Supplemental disclosures of cash flow information:
Interest received	149us-gaap_ProceedsFromInterestReceived
Interest paid	71,147us-gaap_InterestPaid	41,091us-gaap_InterestPaid
Income taxes paid	259,829us-gaap_IncomeTaxesPaid	164us-gaap_IncomeTaxesPaid
Supplementary disclosure of non-cash financing activity:
Conversion of debt and accrued interests to equity	$ 358,978

Balance Sheets (USD $)	Mar. 31, 2015	Dec. 31, 2014
CURRENT ASSETS
Cash and cash equivalents	$ 37,080	$ 801,356
Accounts receivable, Net	34,757,522us-gaap_AccountsReceivableNetCurrent	41,433,191us-gaap_AccountsReceivableNetCurrent
Other Receivable, Net	757,612	585,520
Advance to Supplies	4,112,748us-gaap_AdvancesOnInventoryPurchases	5,857,017us-gaap_AdvancesOnInventoryPurchases
Inventories	3,134,891us-gaap_InventoryNet	1,859,173us-gaap_InventoryNet
Prepaid Expense	142,739us-gaap_PrepaidExpenseCurrent	89,558us-gaap_PrepaidExpenseCurrent
Refundable tax	2,347,120us-gaap_IncomeTaxesReceivable	1,779,485us-gaap_IncomeTaxesReceivable
Related party receivable		1,114,279
TOTAL CURRENT ASSETS	45,289,712us-gaap_AssetsCurrent	53,519,579us-gaap_AssetsCurrent
Noncurrent Assets
Investment	163,690us-gaap_Investments	162,906us-gaap_Investments
Property, Plant & Equipment, Net	3,668,320us-gaap_PropertyPlantAndEquipmentNet	3,366,085us-gaap_PropertyPlantAndEquipmentNet
Construction in Progress	3,044us-gaap_ConstructionInProgressGross	356,793us-gaap_ConstructionInProgressGross
Intangible Assets, Net	301,063us-gaap_OtherIntangibleAssetsNet	307,614us-gaap_OtherIntangibleAssetsNet
Other Long-term Asset Deposit	55,592us-gaap_OtherAssetsNoncurrent	55,326us-gaap_OtherAssetsNoncurrent
Long term amortization	280us-gaap_DeferredSetUpCostsNoncurrent	1,115us-gaap_DeferredSetUpCostsNoncurrent
TOTAL NON-CURRENT ASSETS	4,191,989us-gaap_AssetsNoncurrent	4,249,839us-gaap_AssetsNoncurrent
TOTAL ASSETS	49,481,701us-gaap_Assets	57,769,418us-gaap_Assets
CURRENT LIABILITIES
Accounts payable and Accrued Expenses	33,854,910us-gaap_AccountsPayableCurrent	40,583,792us-gaap_AccountsPayableCurrent
Short-term loans	2,807,287us-gaap_NotesPayableToBankCurrent	4,936,059us-gaap_NotesPayableToBankCurrent
Customer Deposit	757,457us-gaap_CustomerDepositsCurrent	767,396us-gaap_CustomerDepositsCurrent
Taxes Payable	1,783,383us-gaap_TaxesPayableCurrent	1,360,123us-gaap_TaxesPayableCurrent
Other Payables	1,647,621us-gaap_OtherLiabilitiesCurrent	841,156us-gaap_OtherLiabilitiesCurrent
Due to Related Parties	2,178,390us-gaap_DueToRelatedPartiesCurrent	1,941,527us-gaap_DueToRelatedPartiesCurrent
Accrued liabilities and payroll tax liabilities	362,837us-gaap_AccruedLiabilitiesCurrent	1,262,399us-gaap_AccruedLiabilitiesCurrent
Long term debt, current portion	379,761us-gaap_LongTermDebtCurrent	377,942us-gaap_LongTermDebtCurrent
TOTAL CURRENT LIABILITIES	43,771,646us-gaap_LiabilitiesCurrent	52,070,394us-gaap_LiabilitiesCurrent
LONG TERM LIABILITIES
Long term bank loan	756,249us-gaap_LongTermLoansFromBank	342,103us-gaap_LongTermLoansFromBank
Total long term liabilities	756,249us-gaap_LiabilitiesNoncurrent	342,103us-gaap_LiabilitiesNoncurrent
TOTAL LIABILITIES	44,527,895us-gaap_Liabilities	52,412,497us-gaap_Liabilities
STOCKHOLDERS' EQUITY
Common stock, par value $.001, 100,000,000 shares authorized, 2,089,016 and 1,998,049 shares issued and outstanding as of March 31, 2015 and December 31, 2014, respectively	2,089us-gaap_CommonStockValueOutstanding	1,998us-gaap_CommonStockValueOutstanding
Preferred stock, 200,000,000 shares authorized, designated as Series A and Series B
Additional paid-in capital	4,208,272us-gaap_AdditionalPaidInCapital	3,837,817us-gaap_AdditionalPaidInCapital
Statutory reserve	170,950us-gaap_RetainedEarningsAppropriated	170,950us-gaap_RetainedEarningsAppropriated
Retained earnings	71,078	873,924
Accumulated other comprehensive income	489,304	460,119
TOTAL STOCKHOLDERS' EQUITY	4,953,806us-gaap_StockholdersEquity	5,356,921us-gaap_StockholdersEquity
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	49,481,701	57,769,418
Preferred Stock Series A
Preferred stock, 200,000,000 shares authorized, designated as Series A and Series B
Series A; par value $.001; 2,000,000 shares authorized, 13,150 shares issued and outstanding as of March 31, 2015 and December 31, 2015 respectively. Series B par value $0.001, voting; 50,000,000 shares authorized, 12,100,000 shares issued and outstanding as of March 31, 2015 and December 31, 2014 respectively	13	13
Preferred Stock Series B
Preferred stock, 200,000,000 shares authorized, designated as Series A and Series B
Series A; par value $.001; 2,000,000 shares authorized, 13,150 shares issued and outstanding as of March 31, 2015 and December 31, 2015 respectively. Series B par value $0.001, voting; 50,000,000 shares authorized, 12,100,000 shares issued and outstanding as of March 31, 2015 and December 31, 2014 respectively	$ 12,100	$ 12,100