China BCT Pharmacy Group, Inc.

CIK:0001399356|SEC Filings

Earnings per Share

3 Months Ended

Mar. 31, 2013

5.	Earnings per share

Basic earnings per share has been computed using the weighted average number of common shares outstanding. Potential dilutive shares are excluded from the computation of earnings per share as average market price of the Company’s common stock did not exceed the weighted average exercise price of such options, warrants, and preferred shares, and to have included them would have been anti-dilutive. Accordingly, the basic and diluted earnings per share are the same.

Consolidated Statements of Cash Flows (Unaudited) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Cash flows from operating activities
Net income	$ 4,589,581	$ 8,905,121
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	616,936	403,214
Deferred taxes	(34,297)	14,985
Share-based compensation expense	166,006	139,440
Change in fair value of warrant liabilities		42,724
Changes in operating assets and liabilities:
Accounts receivable	(2,240,590)	(18,488,308)
Bills receivable	(28,193)	(134,011)
Other receivables, prepayments and deposits	(8,481,572)	(3,019,841)
Inventories	(3,261,763)	(5,456,370)
Accounts payable	10,673,024	20,191,721
Other payables and accrued expenses	274,654	(1,396,331)
Retirement benefit costs	(2,056)	2,188
Income taxes payable	390,197	343,717
Total adjustments	(1,927,654)	(7,356,872)
Net cash flows provided by operating activities	2,661,927	1,548,249
Cash flows from investing activities
Additions to property, plant and equipment	(1,551,568)	(1,053,384)
Proceeds from disposal of property, plant and equipment	557
Payments to acquire for intangible assets		(334)
Change in long-term deposits	318,160	(158,230)
Net cash flows used in investing activities	(1,232,851)	(1,211,948)
Cash flows from financing activities
Repayments to related companies	(45,488)	(3,495)
Change in restricted cash	(180,192)	356,159
Change in bills payable	103,824	(712,319)
Repayments (to) from directors	(65,626)	2,943
Repayments of bank loans	(21,541)	(19,447)
Net cash flows used in financing activities	(209,023)	(376,159)
Effect of foreign currency translation on cash and cash equivalents	(26,437)	151,116
Net increase in cash and cash equivalents	1,193,616	111,258
Cash and cash equivalents - beginning of period	21,608,989	31,479,528
Cash and cash equivalents - end of period	22,802,605	31,590,786
Cash paid for:
Interest	341,792	125,497
Income taxes	838,507	2,773,856
Non-cash financing and investing activities
Dividends and accretion on preferred stock	$ 1,341,386	$ 1,167,011

Consolidated Balance Sheets (USD $)	Mar. 31, 2013	Dec. 31, 2012
Current assets
Cash and cash equivalents	$ 22,802,605	$ 21,608,989
Restricted cash	9,211,428	8,981,747
Accounts receivable, net	149,371,343	146,186,381
Bills receivable	102,868	74,246
Amounts due from related companies	298,945	264,939
Other receivables, prepayments and deposits	16,281,620	7,751,059
Inventories	16,941,030	13,602,065
Deferred income taxes	1,289,702	1,055,490
Total current assets	216,299,541	199,524,916
Property, plant and equipment, net	23,680,215	22,513,944
Land use rights, net	13,338,622	13,351,239
Long-term deposits	7,450,560	7,726,504
Goodwill	497,695	495,566
Other intangible assets, net	395,488	417,482
Deferred income taxes	721,930	911,245
Other investment	31,840	31,666
Total assets	262,415,891	244,972,562
Current liabilities
Accounts payable	50,622,373	39,723,026
Bills payable	10,582,454	10,421,288
Other payables and accrued expenses	6,099,436	5,802,561
Amounts due to directors	64,737	129,700
Amounts due to related companies	364,551	375,460
Income taxes payable	1,229,631	834,554
Bank loans, current portion	16,042,908	15,953,308
Other loans	189,289	178,438
Retirement benefit costs, current portion	69,194	65,502
Total current liabilities	85,264,573	73,483,837
Bank loans	90,547	113,420
Retirement benefit costs	157,923	162,420
Total liabilities	85,513,043	73,759,677
Commitments and contingencies
Convertible, redeemable preferred stock
Series A convertible redeemable preferred stock: $0.001 par value; 20,000,000 shares authorized; 9,375,000 shares issued and outstanding	38,289,083	36,947,697
Stockholders' equity
Common stock: $0.001 par value 150,000,000 shares authorized ; 38,154,340 shares issued and outstanding	38,154	38,154
Additional paid-in-capital	19,077,230	18,911,224
Statutory and other reserves	8,048,691	8,048,691
Accumulated other comprehensive income	10,961,917	10,027,541
Retained earnings	100,487,773	97,239,578
Total stockholders' equity	138,613,765	134,265,188
Total liabilities and stockholders' equity	$ 262,415,891	$ 244,972,562