China Shengda Packaging Group Inc.

CIK:0001421561|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($)

3 Months Ended

6 Months Ended

Jun. 30, 2015

Jun. 30, 2014

Jun. 30, 2015

Jun. 30, 2014

Revenues

$ 39,703,201

$ 37,237,538

$ 77,630,620

$ 69,527,517

Cost of goods sold

34,374,054

30,742,764

67,294,930

58,899,444

Gross profit

5,329,147

6,494,774

10,335,690

10,628,073

Operating expenses

Selling expenses

1,523,667

1,614,033

3,389,105

3,463,962

General and administrative expenses

3,940,021

3,168,636

7,157,482

6,011,684

(Income) loss from disposal of property, plant and equipment

(87,538)

(5,104)

(87,538)

636,341

Total operating expenses

5,376,150

4,777,565

10,459,049

10,111,987

Other income (expenses)

Interest income

87,237

43,623

210,399

541,442

Interest expense

(218,716)

(354,923)

(410,505)

(678,608)

Subsidy income

552

214,193

13,568

214,193

Total other income (expenses)

(130,927)

(97,107)

(186,538)

77,027

Non-operating expense (income)

Non-operating expense (income)

2,108

55,040

123,999

(61,046)

Total Non-operating Income (Expense)

2,108

55,040

123,999

(61,046)

(Loss) income before income tax expense and noncontrolling interest

(180,038)

1,565,062

(433,896)

654,159

Income tax (benefit) expense

(132,196)

506,886

(286,245)

179,803

Net (loss) income

(47,842)

1,058,176

(147,651)

474,356

Less: net (loss) attributable to noncontrolling interest

(172,448)

(9,531)

(208,662)

(55,659)

Net income attributable to company's common stockholders

$ 124,606

$ 1,067,707

$ 61,011

$ 530,015

Basic and diluted earnings per share (1)

^[1]

$ 0.02

$ 0.14

$ 0.01

$ 0.07

Weighted-average number of shares outstanding - basic and diluted (1)

^[1]

7,758,168

Comprehensive income:

Net (loss) income

$ (47,842)

$ 1,058,176

$ (147,651)

$ 474,356

Foreign currency translation adjustment

583,851

132,342

1,055,160

(884,446)

Comprehensive income (loss)

536,009

1,190,518

907,509

(410,090)

Less: comprehensive (loss) attributable to noncontrolling interest

(173,057)

(9,973)

(209,427)

(55,762)

Net comprehensive (loss) income attributable to the Companys common stockholders

$ 709,066

$ 1,200,491

$ 1,116,936

$ (354,328)

[1]	(1) All per share amounts and shares outstanding for all periods have been retroactively restated to reflect China Shengda Packaging Group Inc.'s 1-for-5 reverse stock split, which was effect on May 18, 2015.

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities
Net (loss) income	$ (147,651)	$ 474,356
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization expenses	3,740,846	3,913,433
Deferred tax	(949,492)	(726,504)
Change in operating assets and liabilities:
Restricted cash	1,227,000	(324,200)
Accounts and notes receivable	(3,192,096)	3,343,059
Inventories	(4,892,140)	(1,246,982)
Prepayments and other receivables	(1,644,438)	(1,316,122)
Accounts and notes payable	7,842,297	1,934,610
Amount due from(to) related party	385,946	(199,440)
Accrued expenses and other payables	1,671,235	244,698
Tax payables	(212,805)	1,102,166
Net cash provided by operating activities	3,828,702	7,199,074
Cash flows from investing activities
Purchase of property, plant and equipment	(4,463,668)	(2,565,687)
Proceeds from disposal of property, plant and equipment	278,120	175,615
Net cash (used in) investing activities	(4,185,548)	(2,390,072)
Cash flows from financing activities
Proceeds from short-term loans	3,500,000	10,998,480
Proceeds from long-term loans	0	4,497,226
Repayment of short-term loans	(3,500,000)	(10,187,980)
Repayment of long-term loans	0	(4,497,226)
Restricted cash	0	(2,690,860)
Net cash flows (used in) financing activities	0	(1,880,360)
Effect of foreign currency exchange rate fluctuation on cash and cash equivalents	99,271	(46,752)
Net changes in cash and cash equivalents	(257,575)	2,881,890
Cash and cash equivalents, beginning of year	10,909,547	6,569,495
Cash and cash equivalents, end of year	10,651,972	9,451,385
Cash paid during the year for:
Interest paid	385,786	509,851
Income taxes paid	392,621	982,735
Non-cash financing transactions:
Property, plant and equipment and inventory injected by noncontrolling interest	$ 3,137,995	$ 0

CONSOLIDATED BALANCE SHEETS - USD ($)

Jun. 30, 2015

Dec. 31, 2014

Current assets

Cash and cash equivalents

$ 10,651,972

$ 10,909,547

Restricted cash

12,659,820

13,764,420

Accounts and notes receivable, net

43,968,476

40,385,615

Inventories

22,043,281

16,197,839

Prepayments and other receivables

3,750,134

1,714,052

Amount due from related parties

230,098

51,093

Deductible value added tax payable

865,139

867,869

Total current assets

94,168,920

83,890,435

Non-current assets

Property, plant and equipment, net

76,001,975

72,274,052

Land use right

11,624,648

11,650,850

Deferred tax assets

3,945,552

2,965,241

Goodwill

182,036

180,373

Total assets

185,923,131

170,960,951

Current liabilities

Accounts and notes payable

50,689,405

41,954,268

Amounts due to related parties

3,554,905

2,961,704

Accrued expenses and other payables

4,743,444

2,964,988

Taxes payable

1,619,446

1,826,922

Short-term loans

3,500,000

Current portion of long-term loans

4,500,000

Total current liabilities

68,607,200

53,207,882

Non-current liabilities

Long-term loans

4,500,000

Total liabilities

68,607,200

57,707,882

Commitment and contingencies

Stockholders' equity

Common stock (US$0.001 par value, 38,000,000 shares authorized, 7,758,168 shares issued and outstanding at June 30, 2015 and December 31, 2014) (1)

^[1]

7,758

Additional paid-in capital

43,067,497

Appropriated retained earnings

8,713,159

8,293,281

Unappropriated retained earnings

49,535,257

49,894,124

Accumulated other comprehensive income

12,834,475

11,778,550

Total equity for stockholders of China Shengda Packaging

114,158,146

113,041,210

Noncontrolling interest

3,157,785

211,859

Total equity

117,315,931

113,253,069

Total liabilities and equity

$ 185,923,131

$ 170,960,951

[1]	(1) All per share amounts and shares outstanding for all periods have been retroactively restated to reflect China Shengda Packaging Group Inc.'s 1-for-5 reverse stock split, which was effect on May 18, 2015.