Shineco, Inc. (NASDAQ: TYHT) rose following Q3 results. Shineco posted Q3 earnings of $0.21 per share on sales of $13.3 million.
The Beijing-based producer and distributor of Chinese herbal medicines, organic agricultural produce, specialized textiles, and other health and well-being focused plant-based products in China, reported that revenues increased by 68.0% to $13.34 million for the three months ended March 31, 2018 from $7.94 million for the same period last year.
Gross profit increased by 102.2% to $5.26 million from $2.60 million for the same period last year. Gross margin increased by 6.7 percentage points to 39.4% from 32.8% for the same period of last year.
Net income attributable to Shineco increased by 136.8% to $4.55 million, or $0.21 per basic and diluted share,from $1.92 million, or $0.09 per basic and diluted share, for the same period last year.
The increases in net income and earnings per share were primarily due to an increase in gross profit, partially offset by an increase in general and administrative expenses.
CEO Mr. Yuying Zhang commented, "We are delighted that our increased capital spending in 2017 has translated into increased profitability in 2018. Our business in Xinjiang factory has turned a profit, and our sales in Shandong have remained stable. This is reflected in our financial results."
Shineco shares hurtled higher 48 cents to begin Friday at $2.18
