Exhibit 99.1
SORL Auto Parts Reports Third-Quarter 2015 Financial Results
ZHEJIANG, China, Nov. 16, 2015 -- SORL Auto Parts, Inc. (SORL) ("SORL" or the "Company"), a leading manufacturer and distributor of automotive brake systems as well as other key safety-related auto parts in China, announced today its unaudited financial results for the third quarter and nine-month periods ended September 30, 2015.
Third Quarter 2015 Financial Highlights
| · | Net Sales were $50.3 million in the third quarter of 2015 compared to $58.7 million in the third quarter of 2014; |
| · | Gross margin for the third quarter of 2015 increased to 27.2%, compared with a gross margin of 26.3% for the same period of 2014; |
| · | Net Income attributable to stockholders was $2.0 million, or $0.11 per basic and diluted share; |
| · | Cash and cash equivalents at September 30, 2015 were $5.7 million with a current ratio of 3:1 ; |
| · | Annual guidance was reduced to net sales of approximately $217 million and net income of approximately $11.5 million. |
Ms. Jinrui Yu, SORL's Chief Operating Officer, stated, "Our broad portfolio of innovative products and strong network have enabled us to weather ongoing challenges in the domestic and international markets. Heavy-duty trucks sales continued to suffer a decrease of 26% for the third quarter, mainly due to reduced volume in the construction of real estate development and infrastructure projects in China. Weak truck sales not only negatively affected OEM sectors, but also resulted in a decline in the demand for replacement auto parts in the aftermarket segment. Similarly, an overall decline in production and sales of commercial vehicles in developed countries and other developing nations impacted our international sales.”
“We continue to focus on the development of new, higher-margin products and upgrading our traditional brake products to capture greater market share and position us for future growth. In the meantime, we are controlling our costs, lowering inventory levels to match market demand, and optimizing our production capabilities to enhance efficiencies and improve our cost per unit. As a result of these efforts and the strong value proposition provided by our innovative products, we were able to increase our gross margin during this difficult quarter and maintain our position as a margin leader in the industry.
“Looking ahead, we believe that recent actions taken by the Chinese government to stimulate the economy through lower interest rates, a reduced bank reserve ratio and increased investments in infrastructure should increase demand for commercial vehicles and our braking systems." Ms. Yu concluded.
Third Quarter 2015 Financial Performance
Net sales for the third quarter of 2015 were $50.3 million compared with $58.7 million in the third quarter of 2014. Revenues from the Company's domestic OEM customers decreased to $20.1 million from $24.0 million in the third quarter of 2014. Sales from China's domestic aftermarket decreased to $15.3 million in the third quarter of 2015 from $17.2 million in the same quarter of 2014. Revenues from international markets declined to $14.9 million, compared to $17.5 million in the third quarter of 2014, mainly due to lower sales associated with the currency depreciation in some countries, including Europe.
SORL's commercial vehicle brake sales decreased to $40.4 million, which represented 80.3% of total sales in the third quarter of 2015; compared to $48.1 million and 81.9% in the third quarter in 2014. Sales of commercial vehicle brake products, which were negatively impacted by the decline of heavy duty truck sales in China, declined 16.0% year-over-year, compared to a 26% decrease in overall unit sales for the heavy-duty truck market in the third quarter of 2015. The Company's passenger vehicle brake sales declined slightly to $9.9 million, which accounted for 19.7% of total sales in the third quarter of 2015, compared with sales of $10.6 million and 18.1% in the third quarter of 2014.
Gross profit for the third quarter of 2015 was $13.7 million compared with $15.5 million for the third quarter of 2014. Gross margin for the third quarter of 2015 was 27.2%, compared with a gross margin of 26.3% in the same quarter of 2014, which is primarily due to a shift in product mix during the third quarter of 2015.
Operating expenses increased to $12.7 million in the third quarter of 2015, from $11.9 million in the third quarter of 2014. As a percentage of revenue, operating expenses were 25.3% in the third quarter of 2015, compared with 20.2% in the third quarter of 2014. The increase in operating expenses and operating expenses as percentage of net sales in the third quarter of 2015 was mainly attributable to higher administrative fees and lower revenue.
| · | Selling and distribution expenses were $4.8 million, or 9.6% of quarterly revenues, compared with $5.9 million, or 10.0% in the same quarter of 2014. Lower selling and distribution expenses were primarily the result of a lower volume of shipments during the third quarter of 2015. |
| · | General and administrative ("G&A") expenses for the third quarter of 2015 were $5.6 million, or 11.2% of revenue, compared with $3.8 million, or 6.4% in the third quarter of 2014. The increase in G&A expenses and G&A expense as a percentage of net sales was mainly due to higher personnel and administrative expenses and lower revenue in the third quarter of 2015. |
| · | Research and development ("R&D") expenses were $2.3 million in the third quarter of 2015 compared with $2.2 million in the third quarter of 2014. As a percentage of revenue, R&D was 4.5% in the third quarter of 2015, compared with 3.8% of revenue in the third quarter of 2014. The Company continues to focus on the development of new, higher-margin, electronically controlled products and upgrading the Company's traditional brake products to capture greater market share. |
Interest expenses were $395,121 in the third quarter of 2015 compared to $403,482 in the third quarter of 2014.
Income before provision for income taxes was $2.8 million for the third quarter of 2015 compared to $3.6 million for the third quarter of 2014. The decrease in income before taxes was primarily due to higher operating expenses and lower revenue in the third quarter of 2015 compared with the third quarter of 2014. Pretax income margin was 5.7% in the third quarter of 2015, compared with 6.1% in the third quarter of 2014.
The provision for income taxes was $0.4 million, or a 14.3% tax rate, in the third quarter of 2015, compared to $0.4 million, or an 11.0% tax rate, for the third quarter in 2014.
Net income attributable to stockholders for the third quarter of 2015 was $2.0 million, or $0.11 per basic and diluted share, compared with $2.9 million, or $0.15 on per basic and diluted share, in the third quarter of 2014.
Nine-Month 2015 Financial Performance
Net sales for the first nine months of 2015 decreased to $161.8 million from $174.4 million for the first nine months of 2014. Revenues from the Company's China OEM customers decreased to $74.4 million from $84.5 million in the same period in 2014. Revenues from China's domestic aftermarket decreased to $41.7 million from $43.1 million in the first nine months of 2014. Revenues from international markets decreased to $45.7 million from $46.8 million in the first nine months of 2014.
Gross profit for the first nine months of 2015 decreased to $44.0 million from $49.4 million in the same period in 2014. Gross margin for the first nine months of 2015 decreased to 27.2% from 28.3% for the first nine months of 2014.
Operating income for the first nine months of 2015 decreased to $8.6 million from $14.1 million in the same period in 2014. Operating margin was 5.3% for the first nine months of 2015 compared to 8.1% in first nine months of 2014.
Net income attributable to stockholders for the first nine months of 2015 was $7.4 million, or $0.38 per basic and diluted share, compared with $9.8 million, or $0.51 per basic and diluted share, in the same period in 2014.
Balance Sheet
As of September 30, 2015, the Company had cash and cash equivalents of $5.7 million, compared to $14 million as of December 31, 2014. Short-term investments, in bank savings accounts, were $87.0 million, up from $34.8 million as of December 31, 2014. Inventories were reduced to $68.1 million from $84.2 million as of December 31, 2014. Short-term bank loans were $22.0 million, up from $9.5 million as of December 31, 2014. Total stockholders’ equity was $198.2 million at September 30, 2015 compared to $198.7 million at December 31, 2014. The Company had working capital of $165.7 million at September 30, 2015, with a current ratio of 3:1.
Cash-flow from operating activities for the first nine months of 2015 was $39.0 million, a significantincrease from $11.4 million in the same period of 2014. Capital expenditures decreased to $2.4 million in the first nine months of 2015, from $3.0 million in the same period of 2014. The Company generated strong free cash-flow of $36.6 million for the first nine months of 2015.
Recent Events
On October 30, 2015, the Company’s board of directors received a preliminary, non-binding proposal letter, from certain members of executive management and the board of directors to acquire all of the outstanding shares of the Company not owned by them or their affiliates for US$2.84 per share in cash. These parties currently own approximately 58.8 percent of the total outstanding common shares of SORL in aggregate.
Business Outlook
In light of weak third quarter results, management has decided to reduce its previous guidance for fiscal year 2015 to net sales of approximately $217 million and net income attributable to common stockholders of approximately $11.5 million. These targets are based on the Company's current views on the operating and market conditions, which are subject to change.
Conference Call
Management will host a conference call on Monday, November 16, 2015 at 8:00 A.M. EST/ 9:00 P.M. Beijing Time to discuss its 2015 third quarter financial results. Listeners may access the call by dialing U.S. toll free number +1-877-407-0778, +1-201-689-8565 for international callers, and Mainland China toll free number +86-400-120-2840. A live webcast of the conference call will also be available athttp://www.sorl.cn.
A replay of the call will be available shortly after the conference call through 11:59 P.M. EST on December 16, 2015, or 12:59 A.M. Beijing Time on December 17, 2015. The replay dial-in numbers are: U.S. toll free number +1-877-660-6853, or the international number is +1-201-612-7415; using Conference ID "13624738" to access the replay.
About SORL Auto Parts, Inc.
As a global tier one supplier of brake and control systems to the commercial vehicle industry, SORL Auto Parts, Inc. is the market leader for commercial vehicles brake systems, such as trucks and buses in China. The Company distributes products both within China and internationally under the SORL trademark. SORL is listed among the top 100 auto component suppliers in China, with a product range that includes 65 categories with over 2000 specifications in brake systems and others. The Company has four authorized international sales centers in UAE, India, the United States and Europe. SORL is working to establish a broader global sales network. For more information, please visit http://www.sorl.cn .
Safe Harbor Statement
This press release may include certain statements that are not descriptions of historical facts, but are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the use of forward-looking terminology such as "expects," "anticipates," "believes," "targets," "goals," "projects," "intends," "plans," "seeks," "estimates," "may," "will," "should" or similar expressions. These forward-looking statements may also include statements about the Company's proposed discussions related to its business or growth strategy, which are subject to change. Such information is based upon expectations of the Company's management that were reasonable when made, but may prove to be incorrect. All of such assumptions are inherently subject to uncertainties and contingencies beyond the Company's control and upon assumptions with respect to future business decisions, which are subject to change. The Company does not undertake to update the forward-looking statements contained in this press release. These risks and uncertainties may include, but are not limited to general political, economic and business conditions which may impact the demand for commercial vehicles or passenger vehicles in China and the other significant markets where the Company's products are sold, uncertainty regarding such political, economic and business conditions, trends in consumer debt levels and bad debt write-offs, general uncertainty related to possible recessions, natural disasters, the political stability of China and the impact of any of those events on demand for commercial or passenger vehicles, changes in consumer confidence, new product development and introduction, competitive products and pricing, seasonality, availability of alternative sources of supply in the case of the loss of any significant supplier or any supplier's inability to fulfill the Company's orders, cost of labor and raw materials, the loss of or curtailed sales to significant customers, the Company's dependence on key employees and officers, the ability to secure and protect trademarks, patents and other intellectual property rights, potential effects of competition in the Company's business, the dependency of the Company upon the normal operation of its sole manufacturing facility, potential effect of the economic and currency instability in China and countries to which the Company sold its products, the ability of the Company to successfully manage its expenses on a continuing basis, the continued availability to the Company of financing and credit on favorable terms, business disruptions, disease, general risks associated with doing business in China or other countries including, without limitation, foreign trade policies, import duties, tariffs, quotas, political and economic stability, and the other factors discussed in the Company's Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. For additional information regarding known material factors that could cause the Company's results to differ from its projected results, please see its filings with the SEC, including its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) athttp://www.sec.gov.
Contact Information
Raymond Lin
+86.139.6777.6556
+86.577.6581.7721
ljf@sorl.com.cn
Phyllis Huang
+86.151.6770.5972
+86.577.6581.7721
phyllis@sorl.com.cn
Investor Relations
sorl@compassbell.com
- Tables Follow -
SORL Auto Parts, Inc. and Subsidiaries
Consolidated Balance Sheets
September 30, 2015 and December 31, 2014
| | | | | | | |
| | | September 30, 2015 | | | December 31, 2014 | |
| | | (Unaudited) | | | | |
| Assets | | | | | | | | |
| Current Assets | | | | | | | | |
| Cash and cash equivalents | | US$ | 5,742,833 | | | US$ | 14,009,597 | |
| Accounts receivable, net | | | 66,155,023 | | | | 68,171,387 | |
| Bank acceptance notes from customers | | | 11,479,383 | | | | 17,626,704 | |
| Short term investments | | | 87,021,944 | | | | 34,838,757 | |
| Inventories | | | 68,082,837 | | | | 84,186,766 | |
| Prepayments, including US$0 and US$83,206 due from related parties at September 30, 2015 and December 31, 2014, respectively | | | 4,928,389 | | | | 4,663,002 | |
| Current portion of prepaid capital lease interest | | | 139,433 | | | | 282,280 | |
| Other current assets | | | 1,236,503 | | | | 1,282,182 | |
| Deferred tax assets | | | 3,579,607 | | | | 1,868,371 | |
| Total Current Assets | | | 248,365,952 | | | | 226,929,046 | |
| | | | | | | | | |
| Property, plant and equipment, net | | | 39,231,690 | | | | 43,550,927 | |
| Land use rights, net | | | 13,598,612 | | | | 14,421,729 | |
| Intangible assets, net | | | 27,319 | | | | 37,661 | |
| Security deposits on lease agreement | | | 1,796,578 | | | | 1,867,719 | |
| Non-current portion of prepaid capital lease interest | | | 7,339 | | | | 99,180 | |
| Total Non-Current Assets | | | 54,661,538 | | | | 59,977,216 | |
| Total Assets | | US$ | 303,027,490 | | | US$ | 286,906,262 | |
| | | | | | | | | |
| Liabilities and Equity | | | | | | | | |
| Current Liabilities | | | | | | | | |
| Accounts payable and bank acceptance notes to vendors, including US$2,067,365 and US$136,609 due to related parties at September 30, 2015 and December 31, 2014, respectively | | US$ | 14,978,233 | | | US$ | 13,867,316 | |
| Deposit received from customers | | | 26,299,643 | | | | 19,045,172 | |
| Short term bank loans | | | 22,042,744 | | | | 9,539,476 | |
| Income tax payable | | | 1,474,677 | | | | 1,101,103 | |
| Accrued expenses | | | 11,843,133 | | | | 13,561,163 | |
| Current portion of capital lease obligations | | | 3,593,156 | | | | 3,735,438 | |
| Other current liabilities, including US$117,067 and US$17,681 due to related parties at September 30, 2015 and December 31, 2014, respectively | | | 2,403,786 | | | | 2,131,527 | |
| Total Current Liabilities | | | 82,635,372 | | | | 62,981,195 | |
| | | | | | | | | |
| Non-Current Liabilities | | | | | | | | |
| Non-current portion of capital lease obligations | | | 898,289 | | | | 3,735,437 | |
| Total Non-Current Liabilities | | | 898,289 | | | | 3,735,437 | |
| Total Liabilities | | | 83,533,661 | | | | 66,716,632 | |
| | | | | | | | | |
| Equity | | | | | | | | |
| Preferred stock - no par value; 1,000,000 authorized; none issued and outstanding as of September 30, 2015 and December 31, 2014 | | | - | | | | - | |
| Common stock - US$0.002 par value; 50,000,000 authorized, | | | | | | | | |
| 19,304,921 issued and outstanding as of September 30, 2015 and December 31, 2014 | | | 38,609 | | | | 38,609 | |
| Additional paid-in capital | | | 42,199,014 | | | | 42,199,014 | |
| Reserves | | | 12,767,531 | | | | 12,019,532 | |
| Accumulated other comprehensive income | | | 19,620,317 | | | | 27,516,206 | |
| Retained earnings | | | 123,547,436 | | | | 116,935,053 | |
| Total SORL Auto Parts, Inc. Stockholders' Equity | | | 198,172,907 | | | | 198,708,414 | |
| Non-controlling Interest In Subsidiaries | | | 21,320,922 | | | | 21,481,216 | |
| Total Equity | | | 219,493,829 | | | | 220,189,630 | |
| Total Liabilities and Equity | | US$ | 303,027,490 | | | US$ | 286,906,262 | |
SORL Auto Parts, Inc. and Subsidiaries
Consolidated Statements of Income and Comprehensive Income
For The Three and Nine Months Ended September 30, 2015 and 2014 (Unaudited)
| | | Three Months Ended September 30, | | | Nine Months Ended September 30, | |
| | | 2015 | | | 2014 | | | 2015 | | | 2014 | |
| | | | | | | | | | | | | |
| Net sales | | US$ | 50,323,832 | | | US$ | 58,702,505 | | | US$ | 161,796,676 | | | US$ | 174,419,540 | |
| Include: sales to related parties | | | 2,171,824 | | | | 534,195 | | | | 4,241,472 | | | | 2,169,778 | |
| Cost of sales | | | 36,622,501 | | | | 43,240,746 | | | | 117,835,825 | | | | 125,056,960 | |
| Gross profit | | | 13,701,331 | | | | 15,461,759 | | | | 43,960,851 | | | | 49,362,580 | |
| | | | | | | | | | | | | | | | | |
| Expenses: | | | | | | | | | | | | | | | | |
| Selling and distribution expenses | | | 4,813,129 | | | | 5,871,463 | | | | 15,250,216 | | | | 18,050,068 | |
| General and administrative expenses | | | 5,634,735 | | | | 3,759,307 | | | | 15,784,330 | | | | 12,786,335 | |
| Research and development expenses | | | 2,261,665 | | | | 2,242,620 | | | | 5,831,756 | | | | 5,934,377 | |
| Total operating expenses | | | 12,709,529 | | | | 11,873,390 | | | | 36,866,302 | | | | 36,770,780 | |
| | | | | | | | | | | | | | | | | |
| Other operating income | | | 463,198 | | | | 545,752 | | | | 1,532,006 | | | | 1,471,014 | |
| | | | | | | | | | | | | | | | | |
| Income from operations | | | 1,455,000 | | | | 4,134,121 | | | | 8,626,555 | | | | 14,062,814 | |
| | | | | | | | | | | | | | | | | |
| Interest income | | | 162,770 | | | | 26,204 | | | | 683,561 | | | | 86,839 | |
| Other income | | | 1,825,177 | | | | 100,534 | | | | 2,616,586 | | | | 352,130 | |
| Interest expenses | | | (395,121 | ) | | | (403,482 | ) | | | (804,321 | ) | | | (1,126,212 | ) |
| Other expenses | | | (198,828 | ) | | | (301,641 | ) | | | (807,407 | ) | | | (1,011,795 | ) |
| | | | | | | | | | | | | | | | | |
| Income before provision for income taxes | | | 2,848,998 | | | | 3,555,736 | | | | 10,314,974 | | | | 12,363,776 | |
| | | | | | | | | | | | | | | | | |
| Provision for income taxes | | | 427,905 | | | | 391,988 | | | | 2,220,327 | | | | 1,556,433 | |
| | | | | | | | | | | | | | | | | |
| Net income | | US$ | 2,421,093 | | | US$ | 3,163,748 | | | US$ | 8,094,647 | | | US$ | 10,807,343 | |
| | | | | | | | | | | | | | | | | |
| Net income attributable to non-controlling interest in subsidiaries | | | 373,067 | | | | 262,813 | | | | 734,265 | | | | 1,003,631 | |
| | | | | | | | | | | | | | | | | |
| Net income attributable to common stockholders | | US$ | 2,048,026 | | | US$ | 2,900,935 | | | US$ | 7,360,382 | | | US$ | 9,803,712 | |
| | | | | | | | | | | | | | | | | |
| Comprehensive income: | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
| Net income | | US$ | 2,421,093 | | | US$ | 3,163,748 | | | US$ | 8,094,647 | | | US$ | 10,807,343 | |
| Foreign currency translation adjustments | | | (8,972,031 | ) | | | (108,081 | ) | | | (8,790,448 | ) | | | 4,224,775 | |
| Comprehensive income (loss) | | | (6,550,938 | ) | | | 3,055,667 | | | | (695,801 | ) | | | 15,032,118 | |
| Comprehensive income (loss) attributable to non-controlling interest in subsidiaries | | | (524,189 | ) | | | 193,652 | | | | (160,294 | ) | | | 1,336,705 | |
| Comprehensive income (loss) attributable to common stockholders | | US$ | (6,026,749 | ) | | US$ | 2,862,015 | | | US$ | (535,507 | ) | | US$ | 13,695,413 | |
| | | | | | | | | | | | | | | | | |
| Weighted average common share - basic | | | 19,304,921 | | | | 19,304,921 | | | | 19,304,921 | | | | 19,304,921 | |
| | | | | | | | | | | | | | | | | |
| Weighted average common share - diluted | | | 19,304,921 | | | | 19,304,921 | | | | 19,304,921 | | | | 19,304,921 | |
| | | | | | | | | | | | | | | | | |
| EPS - basic | | US$ | 0.11 | | | US$ | 0.15 | | | US$ | 0.38 | | | US$ | 0.51 | |
| | | | | | | | | | | | | | | | | |
| EPS - diluted | | US$ | 0.11 | | | US$ | 0.15 | | | US$ | 0.38 | | | US$ | 0.51 | |
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
SORL Auto Parts, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
For The Nine Months Ended September 30, 2015 and 2014 (Unaudited)
| | | Nine Months Ended September 30, | |
| | | 2015 | | | 2014 | |
| | | | | | | |
| Cash Flows From Operating Activities | | | | | | | | |
| Net Income | | US$ | 8,094,647 | | | US$ | 10,807,343 | |
| Adjustments to reconcile net income to net cash from operating activities | | | | | | | | |
| | | | | | | | | |
| Allowance for doubtful accounts | | | 6,817,520 | | | | 1,697,068 | |
| Depreciation and amortization | | | 5,765,138 | | | | 5,597,867 | |
| Deferred income tax | | | (1,838,158 | ) | | | (405,594 | ) |
| (Gain) or loss on disposal of property and equipment | | | (44,486 | ) | | | 35,655 | |
| Changes in assets and liabilities | | | | | | | | |
| Accounts receivable | | | (7,700,931 | ) | | | (7,790,502 | ) |
| Bank acceptance notes from customers | | | 5,653,836 | | | | 6,153,022 | |
| Other currents assets | | | (8,665 | ) | | | 755,849 | |
| Inventories | | | 13,369,960 | | | | (3,305,061 | ) |
| Prepayments | | | (536,193 | ) | | | (2,716,212 | ) |
| Prepaid capital lease interest | | | 227,367 | | | | 362,790 | |
| Accounts payable and bank acceptance notes to vendors | | | 1,381,794 | | | | (4,895,398 | ) |
| Income tax payable | | | 434,069 | | | | (26,461 | ) |
| Deposits received from customers | | | 8,243,799 | | | | 1,506,420 | |
| Other current liabilities and accrued expenses | | | (874,410 | ) | | | 3,630,457 | |
| Net Cash Flows Provided By Operating Activities | | | 38,985,287 | | | | 11,407,243 | |
| | | | | | | | | |
| Cash Flows From Investing Activities | | | | | | | | |
| Change in short term investments | | | (54,985,353 | ) | | | - | |
| Acquisition of property and equipment | | | (2,440,511 | ) | | | (2,994,571 | ) |
| Proceeds of disposal of property and equipment | | | 48,956 | | | | 57,339 | |
| Net Cash Flows (Used In) Investing Activities | | | (57,376,908 | ) | | | (2,937,232 | ) |
| | | | | | | | | |
| Cash Flows From Financing Activities | | | | | | | | |
| Proceeds from bank loans | | | 32,886,768 | | | | 28,383,953 | |
| Repayment of bank loans | | | (19,626,376 | ) | | | (24,924,952 | ) |
| Repayment of capital lease | | | (2,780,713 | ) | | | (2,776,407 | ) |
| Net Cash Flows Provided By Financing Activities | | | 10,479,679 | | | | 682,594 | |
| | | | | | | | | |
| Effects on changes in foreign exchange rate | | | (354,822 | ) | | | 507,759 | |
| | | | | | | | | |
| Net change in cash and cash equivalents | | | (8,266,764 | ) | | | 9,660,364 | |
| | | | | | | | | |
| Cash and cash equivalents- beginning of the period | | | 14,009,597 | | | | 28,241,983 | |
| | | | | | | | | |
| Cash and cash equivalents - end of the period | | US$ | 5,742,833 | | | US$ | 37,902,347 | |
| | | | | | | | | |
| Supplemental Cash Flow Disclosures | | | | | | | | |
| Interest paid | | US$ | 815,839 | | | US$ | 1,126,215 | |
| Income taxes paid | | US$ | 3,624,319 | | | US$ | 1,983,823 | |
