OmniaLuo, Inc.

CIK:0001161550|SEC Filings

Earnings per share - basic and diluted

9 Months Ended

Sep. 30, 2011

5.	Earnings per share - basic and diluted

The basic earnings per share is calculated using the net income and the weighted average number of shares outstanding during the reporting periods.

5,412,000 warrants issued to investors and Keating Securities, and options to purchase 1,369,840 shares of the Company’s common stock granted to the Company’s director and employees outstanding as of September 30, 2011 and 2010 have not been included in the computation of diluted earnings per share for the three and nine months then ended because of their anti-dilutive effect. Accordingly, the basic and diluted earnings per share for the three and nine months ended September 30, 2011 and 2010 are the same.

Condensed Consolidated Statements of Cash Flows (USD $)	9 Months Ended
Condensed Consolidated Statements of Cash Flows (USD $)	Sep. 30, 2011	Sep. 30, 2010
Cash flows from operating activities
Net income	$ 650,583	$ 338,055
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation	221,331	207,580
Income taxes	9,203	97,570
Allowance for doubtful accounts	43,729
Loss on disposal of property and equipment		373
Share-based compensation		63,083
Investment income	(1,826)	(1,231)
Changes in operating assets and liabilities
Trade receivables	(844,656)	(428,995)
Inventories	(320,492)	(1,218,194)
Other receivables and deposits	(1,081,176)	(87,496)
Trade payables	65,286	934,676
Other payables, deposits received and accrued expenses	548,735	(893,460)
Income tax payable	126,289
Net cash flows used in operating activities	(582,994)	(988,039)
Cash flows from investing activities
Acquisition of short-term investments	(799,261)	(1,171,671)
Proceeds from disposal of short-term investments	801,087	732,783
Proceeds from disposal of property and equipment		57
Deposit for potential acquisition		(293,410)
Acquisition of property and equipment	(25,802)	(16,069)
Net cash flows used in investing activities	(938,515)	(748,310)
Cash flows from financing activities
Proceeds from bank loans	1,537,040	3,374,215
Repayment of bank loans	(1,329,540)	(1,092,952)
Loan from a stockholder	230,471	157
Increase in restricted cash		(440,115)
Net cash flows provided by financing activities	437,971	1,841,305
Effect of foreign currency translation on cash and cash equivalents	30,162	16,039
Net (decrease) increase in cash and cash equivalents	(1,053,376)	120,995
Cash and cash equivalents - beginning of period	1,629,530	869,495
Cash and cash equivalents - end of period	576,154	990,490
Supplemental disclosures for cash flow information
Interest paid	117,271	74,331
Income taxes paid	6,681
Related Party
Cash flows from investing activities
Loan	(1,075,928)
Transaction 01
Cash flows from investing activities
Repayment of loan to a related party	161,389
Third Party
Cash flows from investing activities
Loan	(62,504)
Transaction 02
Cash flows from investing activities
Repayment of loan to a related party	$ 62,504

Condensed Consolidated Balance Sheets (USD $)	Sep. 30, 2011	Dec. 31, 2010
Current assets
Cash and cash equivalents	$ 576,154	$ 1,629,530
Trade receivables, net - Note 6	2,370,012	1,511,102
Inventories, net - Note 7	4,509,648	4,063,135
Loan to a related party - Note 8	929,450
Other receivables and deposits - Note 9	5,076,161	3,862,525
Restricted cash - Note12	468,630	455,100
Deferred tax asset	36,011	44,054
Total current assets	13,966,066	11,565,446
Property and equipment, net - Note 10	413,504	594,545
TOTAL ASSETS	14,379,570	12,159,991
Current liabilities
Short-term secured bank loan - Note 12	1,398,080	986,050
Current maturities of long-term secured bank loan - Note 13	1,077,849	280,645
Trade payables	1,495,413	1,387,804
Loan from a stockholder - Note 14	242,220	8,005
Other payables, deposits received and accrued expenses - Note 15	3,375,424	2,750,464
Income tax payable	128,348
Total current liabilities	7,717,334	5,412,968
Long-term secured bank loan - Note 13		932,955
TOTAL LIABILITIES	7,717,334	6,345,923
COMMITMENTS AND CONTINGENCIES - Note 17
STOCKHOLDERS' EQUITY
Common stock: par value $0.01 per share Authorized 40,000,000 shares; issued and outstanding 22,840,000 shares	228,400	228,400
Preferred stock: par value $0.01 per share Authorized 10,000,000 shares; none issued and outstanding
Additional paid-in capital	9,280,977	9,280,977
Statutory reserve	568,115	568,115
Accumulated other comprehensive income	1,232,583	1,034,998
Accumulated deficit	(4,647,839)	(5,298,422)
TOTAL STOCKHOLDERS' EQUITY	6,662,236	5,814,068
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 14,379,570	$ 12,159,991