Greenland Technologies (US:GTEC)2021-08-10 16:00Financial Performance - Revenues for Q2 2021 reached $28.20 million, a 70.6% increase from $16.58 million in Q2 2020[23] - Gross profit for the six months ended June 30, 2021, was $10.81 million, up 125.5% from $4.81 million in the same period of 2020[23] - Net income for Q2 2021 was $3.15 million, compared to $1.47 million in Q2 2020, representing a 113.5% increase[23] - The company reported a comprehensive income of $3.37 million for Q2 2021, compared to $1.30 million in Q2 2020[24] - Net income for the six months ended June 30, 2021, was $5,595,562, compared to $1,799,591 for the same period in 2020, representing a significant increase[31] - For the three months ended June 30, 2021, net income attributable to Greenland Corporation was $2,780,753, compared to $1,259,097 for the same period in 2020, representing a year-over-year increase of approximately 121%[185] - Basic and diluted earnings per share for the three months ended June 30, 2021, were $0.26, up from $0.13 in the same period of 2020, indicating a 100% increase[185] Assets and Liabilities - Total current assets as of June 30, 2021, were $132.11 million, an increase from $107.64 million as of December 31, 2020[15] - Total liabilities increased to $90.77 million as of June 30, 2021, compared to $81.32 million at the end of 2020[19] - Total shareholders' equity increased to $58.48 million as of June 30, 2021, from $44.89 million at the end of 2020[19] - The company’s total assets at the end of the reporting period were $65,108,855, reflecting growth in its operational capacity[35] - Accounts receivable as of June 30, 2021, totaled $21,516,802, an increase from $13,395,080 as of December 31, 2020[125] - Total accounts payable increased to $28,300,234 as of June 30, 2021, from $22,005,260 as of December 31, 2020, a significant increase of 28.6%[145] Cash Flow - Cash and cash equivalents rose to $10.76 million from $7.16 million as of December 31, 2020[15] - Cash flows from operating activities showed a net cash used of $778,421 for the six months ended June 30, 2021, compared to $4,828,297 provided in the same period of 2020[31] - The company reported a net cash provided by financing activities of $12,068,922 for the six months ended June 30, 2021, compared to a net cash used of $3,060,087 in the same period of 2020[35] Research and Development - Research and development expenses for the six months ended June 30, 2021, were $1.96 million, up 89.0% from $1.04 million in the same period of 2020[23] - Research and development costs for the six months ended June 30, 2021, totaled approximately $1.96 million, up from $1.04 million for the same period in 2020, indicating an increase of about 88.8%[94] Market Expansion and Product Development - The company has launched new electric industrial vehicles, including the GEL1800 electric loader and GEX-8000 electric excavator, expanding its product line into the electric vehicle market[39] - Greenland launched a new division focused on the electric industrial vehicle market in December 2020, with plans to deliver its first electric vehicle products in Q4 2021[43] - The company introduced the GEF-series lithium-powered electric vehicle forklift truck in July 2021, positioning itself as a pioneer in the electric forklift market[43] - The company has been focusing on expanding its market presence in China, particularly in the logistics and material handling sectors[40] Shareholder Information - As of June 30, 2021, Cenntro Holding Limited owned 69.60% of Greenland's outstanding ordinary shares, indicating a significant shareholder concentration[47] - As of June 30, 2021, there were 11,448,327 ordinary shares issued and outstanding, an increase from 10,225,142 as of December 31, 2020, representing a growth of approximately 11.9%[161] Economic and Political Risks - The company is subject to economic and political risks associated with its operations in the PRC, which may affect its financial condition and results[111] - The company has not experienced any losses in cash accounts maintained with state-owned banks in the PRC, despite the lack of insurance coverage[112] Currency and Exchange Rates - The RMB to USD exchange rate improved from 7.0851 for the six months ended June 30, 2020, to 6.4566 for the same period in 2021, reflecting a strengthening of the RMB[64] Other Financial Metrics - The effective tax rate on income before income taxes for the six months ended June 30, 2021, was 14.08%, lower than the PRC tax rate of 25.0% due to the China Super R&D deduction[188] - The company has not identified any suppliers representing more than 10% of total purchases for the six months ended June 30, 2021[123] - The company has not identified any material subsequent events that would require adjustments to the financial statements or disclosures[208]