Source: fibre2fashion news desk - india
China Linen Textile Industry Ltd, one of China's leading linen fabric and linen yarn producers and exporters, announced financial results for the first quarter ended March 31, 2011.
Q1 2011 revenues increased 79% to $15.8 million.
Q1 2011 gross profit increased 109% to $5.7 million, gross margin up 507 basis points to 36.0%
Q1 2011 net income increased 50% to $3.2 million; diluted EPS of $0.46 vs. $0.36 a year ago.
The first quarter of this year was marked by continued growth in revenues and net income, which benefitted from both volume increases and price improvements. We successfully expanded the sales and distribution channels for our linen fabric and yarn during the past year and utilized new capacity brought on-line through the Lanxi Tianxianfang Linen Co. acquisition. We also began to realize cost saving benefits from the integration of this business
Through the addition of a bleaching factory and our recently upgraded linen yarn dyeing facility, we are becoming a vertically integrated linen producer, which enables to us to capture more of the value chain while meeting increasing demand for our products both in China and abroad. International sales comprised 58% of revenues and were driven by growth in India and Turkey, including new markets such as Spain and Thailand, while higher domestic demand for linen products also drove revenue growth.