China HGS Real Estate Reports Higher Revenue, Lower Income
Shares in the real estate developer inched up 1 cent Thursday after the company posted its financial results for the fiscal year.
Shares in China HGS Real Estate Inc. (Nasdaq: HGSH) inched up 1 cent on the day to $1.02 after the company reported a revenue increase for the full fiscal year ended September.
The regional real estate developer based in Hanzhong, said in its report today that its revenue for the 12 months reached $65.5 million, up 12 percent year-over-year.
"For the Company's long-term real estate development projects," the company's statement read, "the related revenue recognized from percentage of completion method was approximately $36.7 million, which accounted for 56% of total revenue in fiscal 2018 and increased 174% from the revenue recognized from percentage completion method in fiscal 2017."
Net income during the same period decreased to $5.2 million, or 17 percent, with per share earnings at 12 cents, down 2 cents from fiscal 2017.
Operating expenses were $3.4 million compared with $3.7 million a year ago, China HGS said. Costs of real estate sales increased by $3 million to $48.6 million for the year.
The company said it had $3.3 million in cash as of Sept. 30, with total assets, including real estate under development, at $368.4 million.
China HGS, operating since 1995, focuses on the development and sales of high-rise, residential buildings, and apartment complexes in China's third- and fourth-tier cities.