China Green Energy Industries, Inc.

CIK:0001448776|SEC Filings

Consolidated Statements of Operations and Comprehensive Income (Loss) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2012	Sep. 30, 2011	Sep. 30, 2012	Sep. 30, 2011
Revenues	$ 7,439,499	$ 7,086,769	$ 27,149,060	$ 18,279,917
Cost of revenues	(6,252,646)	(6,188,981)	(22,168,017)	(15,273,859)
Gross profit	1,186,853	897,788	4,981,043	3,006,058
Operating expenses
General and administrative expenses	(921,499)	(1,779,919)	(2,276,062)	(3,452,626)
Selling expenses	(404,814)	(151,599)	(1,228,333)	(811,593)
Total operating expenses	(1,326,313)	(1,931,518)	(3,504,395)	(4,264,219)
Income (loss) from operations	(139,460)	(1,033,730)	1,476,648	(1,258,161)
Non-operating income (expense)
Interest income	34,529	120,091	121,083	359,188
Interest expense	(201,485)	(209,698)	(669,825)	(539,051)
Other income, net	54,467	54,767	37,744	(9,208)
Total non-operating (expense)	(112,489)	(34,840)	(510,998)	(189,071)
Income (loss) before income taxes	(251,949)	(1,068,570)	965,650	(1,447,232)
Income tax expense (benefit)	(67,254)	(194,140)	0	(232,727)
Net income (loss)	(184,695)	(874,430)	965,650	(1,214,505)
Other comprehensive income (loss)
Foreign currency translation adjustments	(8,480)	64,855	18,434	170,865
Total comprehensive income (loss)	$ (193,175)	$ (809,575)	$ 984,084	$ (1,043,640)
Earnings (loss) per share
- Basic	$ (0.01)	$ (0.04)	$ 0.04	$ (0.05)
- Diluted	$ (0.01)	$ (0.04)	$ 0.04	$ (0.05)
Weighted average number of shares outstanding
- Basic	23,625,911	23,625,911	23,625,911	23,567,940
- Diluted	23,625,911	23,625,911	23,625,911	23,567,940

Consolidated Statements of Cash Flows (USD $)	9 Months Ended
Consolidated Statements of Cash Flows (USD $)	Sep. 30, 2012	Sep. 30, 2011
Cash flows from operating activities
Net income (loss)	$ 965,650	$ (1,214,505)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization	951,696	597,960
Change in allowance for doubtful accounts	50,398	947,223
Change in allowance for inventory reserve	108,681	0
Change in allowance for loans	(48,841)	0
Change in deferred tax assets	(240,758)	(232,727)
Services paid by shares	0	193,000
Changes in operating assets and liabilities:
Accounts receivable	3,078,055	1,040,620
Prepayments to suppliers	(5,715,848)	(1,853,824)
Inventories	(2,216,261)	(2,756,147)
Other current assets	0	786,272
Accounts payables	1,200,547	(499,329)
Accrued liabilities and other payables	932,476	(554,474)
Income taxes payable	233,267	(64,523)
Total adjustments	(1,666,588)	(2,395,949)
Net cash used in operating activities	(700,938)	(3,610,454)
Cash flows from investing activities
Increase in restricted cash	(2,597,519)	(6,429,500)
Change in amounts due from related parties	41,739	0
Payments to acquire property, plant and equipment	(2,105,924)	(1,039,306)
Collections of loans to a related party	1,586,375	0
Collections of loans to third parties	0	71,148
Payments to acquire intangible assets	0	(2,207,204)
Net cash used in investing activities	(3,075,329)	(9,604,862)
Cash flows from financing activities
Change in amount due to related parties	(60,886)	486,081
Proceeds from short-term bank loans	5,760,680	13,231,680
Repayments of short-term bank loans	(6,236,260)	(12,615,680)
Increase in bills payable	5,348,301	11,473,000
Net cash provided by financing activities	4,811,835	12,575,081
Effect of foreign currency translation on cash and cash equivalents	4,499	152,749
Net increase (decrease) in cash and cash equivalents	1,040,067	(487,486)
Cash and cash equivalents - beginning of period	1,013,733	1,080,787
Cash and cash equivalents - end of period	2,053,800	593,301
Supplemental disclosures for cash flow information
Interest paid	669,825	539,051
Income taxes paid	$ 4,792	$ 18,666

Consolidated Balance Sheets (USD $)	Sep. 30, 2012	Dec. 31, 2011
Current assets
Cash and cash equivalents	$ 2,053,800	$ 1,013,733
Restricted cash	13,247,810	10,597,967
Accounts receivable, net	6,623,964	9,701,036
Prepayments to suppliers	10,883,229	5,156,586
Inventories, net	6,812,360	4,682,271
Loans to third parties, net	3,369,586	3,352,514
Loans to a related party, net	1,656,257	3,177,885
Amounts due from a related party, net	354,931	393,390
Deferred tax assets	143,783	166,378
Other current assets	11,845	0
Total current assets	45,157,565	38,241,760
Long-term equity investment	172,637	171,763
Property, plant and equipment, net	8,924,862	7,596,807
Intangible assets, net	2,881,675	2,984,900
Land use rights, net	1,040,727	1,052,814
Deferred tax assets	343,276	78,826
TOTAL ASSETS	58,520,742	50,126,870
Current liabilities
Accounts payable	10,925,770	9,676,706
Bills payable	25,469,270	20,022,395
Accrued liabilities and other payables	3,380,196	2,435,993
Income taxes payable	2,491,278	2,246,718
Amounts due to related parties	789,500	846,039
Short-term bank loans	10,756,148	11,174,523
Total current liabilities	53,812,162	46,402,374
TOTAL LIABILITIES	53,812,162	46,402,374
COMMITMENTS AND CONTINGENCIES	0	0
STOCKHOLDERS' EQUITY
Preferred stock, $0.0001 par value 50,000,000 shares authorized; none issued and outstanding	0	0
Common stock, $0.0001 par value 100,000,000 shares authorized; 23,625,911 shares issued and outstanding at September 30, 2012 and December 31, 2011	2,362	2,362
Additional paid-in capital	1,502,165	1,502,165
Accumulated other comprehensive income	409,507	391,073
Retained earnings	2,794,546	1,828,896
TOTAL STOCKHOLDERS' EQUITY	4,708,580	3,724,496
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 58,520,742	$ 50,126,870