Research - GeoResearch

Thursday, March 18, 2010

Estate Coffe Holdings (ECHD)

Research
Estate Coffee Holdings’ mission is to become a significant participant in the global coffee industry. The business model and strategy of the Company is to take an ownership role in all aspects of bringing coffee to market, thereby capturing margins at each step from; coffee production and purchasing; processing; exporting; roasting and; direct consumer sales. The business model allows itself to be duplicated in any country where fine coffees are grown, creating a socially responsible and viable coffee…

Image Metrics (IMGX)

Share Structure
Share structure post reverse merger The financing consisted of 8.0 million Units priced at $1.00 each which are comprised of one share of Series A Convertible Preferred Stock and one detachable Warrant to purchase one-half share of Image Metrics Common Stock at $1.50 per share. The financing included a combination of new capital and the conversion of existing debt, and Image Metrics has the right, over the next 30 days, to sell up to an additional 4.8 million…

Comments & Business Outlook
Image Metrics reported revenue of $4.0 million in its fiscal year-ended September 30, 2009 and entered fiscal 2010 with a backlog of firm contracts of over $5 million. Image Metrics’ revenue grew to $2.5 million in its first quarter ended December 31, 2009, and the Company has already recorded revenue of over $800,000 in January 2010, the first month of its fiscal 2010 second quarter. Seasonality and the variability of contract…

Semgroup Corp (SEMX)

Research
The GeoTeam is curious to learn more about the recent merger between Semgroup Corp and Coining Holding Company as it pertains to profitability. There is little detail regarding the merger as SEMX is a pink sheet stock. We will offer a an update if warranted. We are specifically intrigued by the operation of Coining Holding Company: Coining is estimated to be the largest solder preform manufacture in the world, as measured by both sales volume and units shipped. The Company is…

Spectrum Brands Inc (SPB)

Comments & Business Outlook
“This is truly a new beginning for Spectrum Brands, signifying the positive momentum of our company as we move forward on solid footing with a strong, global portfolio of brands,” said Kent Hussey, CEO of Spectrum Brands. “As a result of the successful implementation of operational and financial restructuring initiatives in recent years as well as cost savings and market share gains in some of our key product segments, we have achieved improved profitability and…

Yayi Intl Inc (YYIN)

Comments & Business Outlook
For the three months ended January 31, 2010, net sales decreased 40.8% to $3.9 million from $6.6 million for the same period of fiscal year 2009. The decrease was mainly because of a shift in product mix and reduced sales efforts in the fourth quarter of fiscal year 2009 and the first quarter of fiscal year 2010 when the Company consciously restrained its marketing activities for old products and previously planned product introductions such as goat milk tea drinks, goat…

Wednesday, March 17, 2010

Charter Communications (CCMM)

GeoSpecial Notes
Today, GeoSpecial Charter Communications announced the that it: "received the required votes from lenders to amend its existing $8.177 billion senior secured credit facilities to, among other things, allow for the creation of a new revolving facility, the extension of maturities of a portion of the facilities and the amendment of certain other terms and conditions. As a result, CCO expects to extend approximately $3 billion of existing term loan maturities to September 2016, a two-and…

Sino Assurance Inc (SNAS)

Comments & Business Outlook
PLAN OF OPERATIONS: The Company’s development has reached a critical moment. It aims to achieve steady growth in 2009 by getting its core employee guarantee business started on a clear commercial development pattern, by further elevating the market status of its engineering guarantee business as well as leading the whole Company at a relatively fast development stage. Source: SEC form 10Q (For the quarterly period ended September 30, 2009)…

Tuesday, March 16, 2010

China Clean Energy Inc (CCGY)

Research
We have been monitoring the China Clean Energy story for sometime now. We believe it is time to place CCGY on the GeoSpecial on the radar list. We originally were attracted the company due to make good arrangements: "In connection with our January 9, 2008 private placement, Tai-ming Ou, our Chief Executive Officer and Chairman, agreed to place 1,042,012 shares of common stock held by him into an escrow account, with such shares…

China Fire & Security Group (CFSG)

Comments & Business Outlook
Mr. Gangjin Li, chairman and chief executive officer of China Fire, commented, "In spite of lower than expected revenue in the fourth quarter of 2009, I am satisfied with our business momentum and with the groundwork that we laid out over the past year. Due to the larger than expected size and scope of the Wuhan Iron and Steel retrofitting project, we had a delay in the signing of the contract, from which we had projected a $10 million revenue…

China Fund Inc (CHN)

Research
China Fund Management Remains Confident: Excerpt from monthly insight report from China Fund Inc. During the short month of February (only 15 trading days in Shanghai), we circled the globe talking to investors. In each location there were questions about the ‘China Bubble’, with experts in the media predicting its imminent demise. Like Cassandra, they will be right eventually, but I see no evidence on the ground of a bubble about to…

Corphq (ANNO)

Comments & Business Outlook
First quarter December 2009 excerpts: Cost of goods sold, which consists of labor, overhead and product cost, was $3,198,663 for the quarter ended December 31, 2009, representing an increase of $274,598 or 9% as compared to $2,924,065 for the quarter ended December 31, 2008. This increase in cost of goods sold was close to the increase in revenue. However, since we commenced full scale production of Micro-Nano Silicon…

Fuqi Intl (FUQI)

Comments & Business Outlook
The Company anticipates total revenue for the 2009 fourth quarter to be approximately $175-$180 million, compared to its original fourth quarter 2009 forecast of $182.0-$191.0 million. Consolidated gross margin is expected to be in the 9%-10% range and diluted earnings per share is expected to be in the range of $0.24 to $0.28 per share compared to original diluted per share estimates of $0.55-$0.60. Mr…

Gamma Pharmaceuticals Inc Com (GMPM)

Research
On February 18, 2010, Gamma Pharmaceuticals, Inc. (“Gamma” or the “Company”) entered into an agreement to form a Joint Venture Company named Holyfield Gamma Choice, LLC (“HGC”) with Holyfield International, LLC, an entity affiliated with Boxing World Heavyweight Champion, Evander Holyfield. Mr. Holyfield is the only 4-time Boxing World Heavyweight Champion and, in unaided focus groups,…

Heckmann Corp (HEK)

Comments & Business Outlook
Mr. Richard J. Heckmann, Chairman and CEO of Heckmann Corporation, stated, “2009 presented its share of issues for our management but we have successfully turned the corner in China and will continue to maximize shareholder value through growth and expansion there." Source: Business Wire (March 11, 2010)…

Premier Power Renew Energy (PPRW)

Comments & Business Outlook
For 2010, the Company is expecting: Revenue of $105-$115 million vs. $30.8 million in 2009. Gross margin between 16%-20%. Historically, we have successfully funded the construction of our large scale projects through a combination of debt, equity and vendor partnerships, and this guidance is based on the Company’s ability to continue to do the same in 2010. This is an important and critical…

Research
Premier Power Renew Energy has caught our attention. The company reported higher net income for 2009 vs. 2008 on lower sales. However, company guidance implies revenues will explode to a range of $105-$115 million in 2010 from $30.8 million 2009. As usual their is caveat: "Historically, we have successfully funded the construction of our large scale projects through a combination of debt, equity and vendor partnerships, and this guidance is based on…

Renhuang Pharmaceuticals (RHGP)

Comments & Business Outlook
First Quarter 2019 excerpts: Although we anticipate that the cost of goods will increase due to inflationary price increases, we do not believe that such increases will be material for fiscal year 2010. We anticipate that beyond 2010, our price for raw materials and other production costs will continue to increase due to inflation. If our costs of goods increase, this may have a negative effect on our net income because, due to market conditions and competitive conditions, we may not…

Zhongpin Inc (HOGS)

Comments & Business Outlook
Mr. Warren Wang, Zhongpin's Chief Financial Officer, said, "For the year 2010, we continue to believe that Zhongpin's sales revenues should be within a range of $900 million to $940 million, with gross profit within the range of $106 million to $115 million and net income within the range of $52 million to $57 million. The resulting diluted earnings per share for the year 2010 is currently expected to be within the range of…

Monday, March 15, 2010

Asia Cork Inc (AKRK)

GeoSpecial Notes
See new GeoWire Article…

Bmp Sunstone Corp (BJGP)

Comments & Business Outlook
Non-GAAP net income was $3.6 million, or $0.07 per diluted share, compared to $4.1 million, or $0.10 per diluted share, in the fourth quarter of 2008. On a GAAP basis, the Company reported net income of $2.0 million, or $0.04 per diluted share, compared to $1.4 million, or $0.03 per diluted share, in the fourth quarter of 2008. During the fourth quarter…

Charter Communications (CCMM)

Special Situations
The GeoTeam® has nibbled at CCMM. We noticed some big trades $2.35 below the bid. We refer to this as reverse raisers; wiping out a seller. Over the years this type of price action has indicated a bullish short-term signal for the GeoTeam®. We performed further due diligence and it appears that the company reported 2009 non-GAAP EPS of around $10.00. Combining this revelation with EBITDA per share of around $…

China MediaExpress Holdings (CCME)

Research
New independent article available on CCME…

China Techfaith Wireless (CNTF)

Comments & Business Outlook
TechFaith currently expects revenue to be in the range of US$60 million to US$62 million for the first quarter of 2010. This forecast reflects TechFaith's current and preliminary view, which is subject to change. The company reported first quarter 2008 sales of $48.7 million…

Hambrecht Asia Acquisition (HMAQF)

Blank Check Activity
On March 11, 2010, the shareholders of Hambrecht Asia Acquisition Corp. approved the proposed acquisition. In addition, at the meeting, warrant holders approved the amendment to the warrant agreement to increase the exercise price per share of the warrants from $5.00 to $8.00 and to extend by one year the exercise period and to provide for the redemption of the publicly-held warrants, at the option of the holder, for $0.50 per share upon the closing…

Sunsi Energies Inc (SSIE)

Research
In October of 2009 SunSi Energies Inc. (OTCBB: SSIE), through its wholly-owned subsidiary SunSi Energies Hong Kong Ltd., executed definitive Articles of Association for the creation of a newly formed Joint Venture, which will own and operate an existing Trichlorosilane (TCS) production facility in Zibo, China. As previously announced, SunSi will own 90% of the Joint Venture Company; named Zibo SunSi Chemical Co. Ltd., specifically formed to own the assets,…

Sunday, March 14, 2010

Accuride (ACUZ)

Research
We have stumbled upon another company that has emerged from chapter 11 bankruptcy: On October 8, 2009, Accuride’s U.S. entities filed a voluntary petition for protection under Chapter 11 of the U.S. Bankruptcy Code in the District of Delaware. On February 26, 2010, the Company emerged from Chapter 11 with a new capital structure. Additional information surrounding the Company’s restructuring including details of the Plan is available at www.accurideinfo.com…

Artistry Publication (APBS)

Reverse Merger Activity
China Redstone Group goes public via a reverse merger on February 12, 2010. Company Snap Shot: A private cemetery developer and provider of cemetery products and services in Chongqing, China. All of the plots of its first cemetery development project, the 66,660 square meter Chongqing Guiyuan Cemetery I, have been sold, and it is currently developing the Chongqing Guiyuan Cemetery II on over 666,000 square meters of land. Financial Snap Shot: Reference 8k…

Saturday, March 13, 2010

Ensign Services Inc (ESVC)

Reverse Merger Activity
Ensign Services Inc. (OTCBB: ESVC) announced that it completed a reverse merger with Tin Nghia Petrol Joint Stock Company in August 2009. Management believes the reverse merger transaction is one of the first successful reverse mergers of a Vietnamese company on the U.S. stock exchanges. The Company intends to complete a name change to Timex Assets and Services Company Snap Shot: (Reminds us of CBEH in some respect). Timex A&S has 28…

Share Structure
Post Merger Share Calculation: 10,000,000: Pre reverse merger outstanding shares 45,900,000: Newly issued shares of Common Stock (August. 2009) GeoTeam® best effort calculation of total post reverse merger outstanding shares assuming full conversions: 55,900,000 Note: Pursuant to the Escrow Agreement, the Company placed 30,405,800 Acquisition Shares into an escrow account, pending the approval and registration of the Subsequent Acquisition in…

Sancon Resources Recovry (SRRY)

Research
Placed on GeoSpecial on the radar list Due to the massive environmental reforms mandated in China, the GeoTeam® is keeping a close vigil on environmentally friendly Chinese companies. That is why we are taking a look Sancon Resources Recovery, a stock we have owned in the past that never panned out for us. Sancon specializes in the collection and recovery of industrial and commercial solid wastes that it recycles into products materials re-used by customers in China to make a wide…

Friday, March 12, 2010

Solar Enertech Corp (SOEN)

Liquidity Requirements
The Company has incurred significant net losses and has had negative cash flows from operations during each period from inception through December 31, 2009 and has an accumulated deficit of approximately $72.2 million at December 31, 2009. For the three months ended December 31, 2009, the Company had operating cash flows of approximately $0.1 million and incurred a net loss of approximately $3.9 million. The Company’s consolidated financial statements have been prepared on…

Thursday, March 11, 2010

Benda Pharmaceuticals Inc (BPMA)

Investor Alert
The Company has become aware that Excalibur Limited Partnership and Excalibur Limited Partnership II (the "Plaintiffs") filed a motion for summary judgment in lieu of a complaint pursuant to CPLR § 3213 (the "Motion") with the Supreme Court of the State of New York (the "Court"), alleging that the Company has been delinquent on the payment of an aggregate sum of $600,000 and accrued interest and costs arising from the Convertible Promissory…

Research
Net revenue decreased by $2.51 million (or 12.6%) to $17.35 million for the nine months ended September 30, 2009 from $19.86 million for the nine months ended September 30, 2008, while the net revenue decreased by $0.73 million (or 11.0%) to $5.90 million for three months ended September 30, 2009 from $6.63 million for three months ended September 30, 2008 Decrease in revenue is principally…

Djsp Enterprises (DJSP)

Comments & Business Outlook
2009 Financial Highlights Revenue for the quarter increased 33.3% to $70.5 million from $52.9 million in last year's comparable period. For the year 2009, revenue increased 30.7% year over year to $260.3 million. Adjusted Net income was $12.1 million in the fourth quarter. For the 12 month period, adjusted net income was $44.6 million or $2.14* per share. Adjusted…

Golden Elephant Glas Tch (GOEG)

Research
Comments from third quarter 10Q: Our financial and operating results for the quarter ended September 30, 2009 were, and are expected to be for the foreseeable future, suboptimal due to the worldwide global economic crisis. Since many of our customers operate in industry segments that have been hardest hit by the economic crisis, such as the automotive, construction and home furnishing industries, our performance has consequently suffered. Until the amelioration of the economic crisis, particularly in the industry segments…

Renhuang Pharmaceuticals (RHGP)

Comments & Business Outlook
The Company increased the price on Shengmai Granules based on continued strong sales volume and market demand for the product. "While we had assumed a price increase for Shengmai Granules in our outlook, the ability to quickly implement this price increase reinforces our confidence in the fiscal 2010 guidance," said Mr. Shaoming Li, Renhuang's Chairman and CEO. "Renhuang remains committed to delivering the best value proposition for our customers by providing high quality healthcare products and investing in…

Smtc Corp (SMTX)

Comments & Business Outlook
"Historically, the Company has not provided specific full year financial guidance. However, in the first quarter there are signs of some economic recovery and customer inventory rebuilding. Accordingly, we are experiencing continued strong order flow from longstanding and newer customers together with a strong opening backlog, which should result in continued sequential revenue growth in the first quarter, and continuing strength through the first half of the year." stated Mr. Caldwell. Source: PR Newswire (March…

Yuhe Intl Inc (YUII)

GeoSpecial Notes
YUII is down sharply this morning on details in an 8K mentioning that its independent registered public accounting firm, that Grant Thornton is resigning as the Company’s independent registered public accounting firm effective immediately. Details: In the Company’s Annual Report on Form 10-K/A filed on June 3, 2009, the Company has concluded that certain related party loans between the Company and Shandong Yuhe Food Group Co., Ltd. have constituted…

Wednesday, March 10, 2010

A & J Venture Capital Group (AJVE)

Research
On January 10, 2010, we entered into a joint venture with an unrelated third party to form a new company called “A&J Brewery Ltd.” After the new company is set up we will own 50% of the common stock. We will jointly operate the new venture with the third party, who will be mainly responsible for the marketing, exporting, production, and management of the plant. We will be responsible for the business…

Charter Communications (CCMM)

Research
We will track Charter as it emerged from Chapter 11 on November 30, 2009. Coding as GeoSpecial on the radar. We are not sure if this restructuring story has legs. It requires more due diligence. EBITDA is $21.00 per share, but we are still attempting to get a grip on EPS. The Company has applied to NASDAQ to list its Class A common stock and believes it will be in a position to complete the listing…

China Gerui Advanced Mate (CHOP)

Comments & Business Outlook
"We are pleased with our fourth quarter and full year results," said Mr. Mingwang Lu, Chairman and Chief Executive Officer. "Our top line growth was driven by our ability to increase the volume of our sales to meet continued robust customer demand and rising average selling prices for our products. The majority of our revenues come from the domestic consumer market in China, which we believe will continue to exhibit growth. Additionally, our continued focus on operational efficiency and…

Eastern Envtl Solutions Corp (EESC)

Research
We will follow the Eastern Envtl Solutions more closely due to the following events: Announced that it will increase its disposal capacity by 25% in the first quarter of 2010 at its Harbin municipal solid waste (MSW) landfill. GlobeNewswire (March 1, 2010) Entered into a letter of intent with Veolia Environment, one of the world's leading environmental services firms, on a project to establish a power plant that would utilize recaptured landfill gas from…

Hambrecht Asia Acquisition (HMAQF)

Financial Target Agreements
5,800,000 newly issued SPAC Shares, will to be held in an escrow account by an affiliate of Honesty Group’s Hong Kong counsel, and delivered to the former shareholders of Honesty Group if the Combined Company meets certain net income targets contained in the Share Exchange Agreement. The 5,800,000 escrowed SPAC Shares will be delivered to the former shareholders of Honesty Group in 2011 and 2012 as follows: 5,000,000 SPAC Shares will…

Blank Check Activity
Hambrecht Asia Acquisition is set to vote on a business combination proposal with the Chinese subsidiaries of Honesty Group: SGOCO Technology Ltd Company Snap Shot: The company designs and manufactures SGOCO brand LCD products in China SGOCO currently sells its products via multiple channels including computer stores, distributors and specialty retailers, but is focused on developing a more vertically integrated Direct Store Delivery system, via a strategy referred to as SGOCO Clubs. SGOCO currently sells…

Liquidity Requirements
At the end of 2009, Honesty Group had $1.5 million remaining under its $7.4 million multi-year technology and manufacturing grant from Jinjiang City. Honesty Group also had $36.2 million in approved credit lines with its various banks. Because of our record of growth, profitability, and technology-based manufacturing, management is confident that the Jinjiang City government and its banking group will continue to support us with needed capital resources in the future. Two of Honesty…

Harbin Electric Inc (HRBN)

Comments & Business Outlook
Looking ahead, Mr. Yang commented, "We are ready to move the Company forward to a sustained profitability in 2010 supported by a solid platform that we have built over the past years as we expect continuous growth and leverage our strong financial position and promising portfolio of products. Although the first quarter is traditionally slower with the long Chinese new-year holiday, we do not expect this seasonality to impact our business significantly compared to the fourth quarter. We also expect that the…

Perma-Fix Environment Services (PESI)

Comments & Business Outlook
Dr. Centofanti concluded, "Looking ahead, we continue to position Perma-Fix at the forefront of the nuclear waste treatment and nuclear services industry. In addition to the opportunities in our base nuclear waste treatment business, we have identified sizeable opportunities treating higher activity wastes, as evidenced by recent shipments in the third and fourth quarters of these types of waste streams. We have also operated onsite at Hanford for over a year and we have built a solid reputation for our work…

Tuesday, March 9, 2010

Alpha Pro Tech Ltd (APT)

Comments & Business Outlook
Al Millar, President of Alpha Pro Tech, commented, "Our fourth quarter revenues and profitability continued the positive momentum that we experienced in our earlier quarters in 2009, which allowed us to deliver record results. We continued to see substantial sales growth in our REX Synfelt synthetic roof underlayment and, to a lesser extent, our house wrap products. We are currently working on opportunities with existing and new distributors, and we are optimistic about the Building Supply segment throughout 2010 and…

Asia Entertainment & Reso (AERCF)

Investor Presentations
Asia Entertainment & Resorts Nov. 2009 Investor Presentation…

Earlier Research