Vantone Intl (VNTI) research, news, and more from GeoInvesting

Company description

Mon, 06 Dec 2010 05:00:00 GMT

Vantone International Group, Inc. is a distributor of commodities and insurance agency services through Vantone insurance online shop in the People's Republic of China (PRC).

Reverse Merger Filing

Comments & Business Outlook

Wed, 22 Feb 2012 05:00:00 GMT

	For The Three Months Ended December 31,						For The Nine Months Ended December 31,
	2011			2010			2011			2010
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Revenues
Products sold	$	16,981		$	1,290,537		$	36,494		$	3,206,455
Sales discount for products		(33	)		(608,535	)		(6,507	)		(961,013	)
Insurance service rendered		3,361			4,737			6,296			23,173
VIP membership fees		1,315			253,785			253,226			514,844
Network service fees		1,083			1,031			3,214			2,039
Financing interests		362,196			40,896			1,003,068			40,896
Total Revenues		384,903			982,451			1,295,791			2,826,394

Cost of Goods Sold
Products sold		33,850			243,719			39,839			831,530
Insurance service rendered		1,742			2,287			4,311			17,821
VIP membership cost		72			13,852			13,865			28,080
Network service cost		59			56			175			111
Financing cost		20,283			2,150			56,172			2,150
Total Cost of Goods Sold		56,006			262,064			114,362			879,692

Gross Profit		328,897			720,387			1,181,429			1,946,702

Operating Expenses
Selling expenses		7,920			6,063			48,323			11,460
Loss on disposal of fixed assets		3,292			-			3,868			2,677
Bad debt recoveries		(55,038	)		(2,442	)		(68,465	)		(350,165	)
Allowance for credit loans		5,713			16,592			282,920			16,592
General and administrative expenses		319,110			375,885			1,003,321			854,510
Total Operating Expenses		280,997			396,098			1,269,967			535,074

Income (Loss) From Operations		47,900			324,289			(88,538	)		1,411,628

Other Income
Interest income, net		3,289			4,520			9,305			10,264
Other income (expenses ), net		71,097			-			37,946			(110	)
Total Other Income		74,386			4,520			47,251			10,154

Income (Loss) Before Taxes		122,286			328,809			(41,287	)		1,421,782
Provision for Income Taxes		(4,854	)		159,220			20,874			355,640
Income (Loss) Before Noncontrolling Interest		127,140			169,589			(62,161	)		1,066,142

Less: Net loss attributable to the noncontrolling interest		(733	)		(4,016	)		(9,598	)		(11,468	)

Net Income (Loss) Attributable to Vantone International
Group, Inc.	$	127,873		$	173,605		$	(52,563	)	$	1,077,610

Net Income (Loss) Per Common Share:
- Basic and Diluted	$	0.004		$	0.01		$	(0.002	)	$	0.04

Weighted Common Shares Outstanding
- Basic and Diluted		30,001,000			29,981,370			30,001,000			29,981,370

For the three months ended December 31, 2011, our revenues, net were $384,903 as compared to $982,451 for the three months ended December 31, 2010, a decrease of $597,548 or 61%. The primary reason for the decrease in revenues resulted from the decrease of products sold income for the three months ended December 31, 2011 as compared to the same period in 2010. Commencing April 2011, we devoted to open our physical stores, as a result, we have closed our Vantone online website and stopped online member registration. It led to a significant decrease in sales products and VIP membership fees for the three months ended December 31, 2011 as compared to the same period in 2010. Despite the fact that we realized more profit through the providing small financing loans service, such increase had been offset fully by the decrease in revenues from our products sales and VIP membership fees in the current period. As a result, our revenues decreased substantially for the three months ended December 31, 2011 as compared to the same period in 2010.

Comments & Business Outlook

Sun, 20 Nov 2011 05:00:00 GMT

Vantone International Group, Inc. and Subsidiaries 　

Consolidated Statements of Operations

	For The Three Months Ended September 30,						For The Six Months Ended September 30,
	2011			2010			2011			2010
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Revenues
Products sold	$	7,065		$	1,497,448		$	19,513		$	1,563,440
Sales discount for products		(1,725	)		-			(6,474	)		-
Insurance service rendered		1,134			9,562			2,935			18,436
VIP membership fees		71,750			34,742			251,911			261,059
Network service fees		1,072			-			2,131			1,008
Financing interests		289,887			-			640,872			-
Total Revenues		369,183			1,541,752			910,888			1,843,943

Cost of Goods Sold
Products sold		1,524			556,281			5,989			587,811
Insurance service rendered		1,090			8,982			2,569			15,534
VIP membership cost		3,942			1,894			13,793			14,228
Network service cost		58			-			116			55
Financing cost		16,234			-			35,889			-
Total Cost of Goods Sold		22,848			567,157			58,356			617,628

Gross Profit		346,335			974,595			852,532			1,226,315

Operating Expenses
Selling expenses		12,772			4,127			40,403			5,397
Loss on disposal of fixed assets		576			2,677			576			2,677
Bad debt recoveries		(85	)		(256,882	)		(13,427	)		(347,723	)
Allowance for credit loans recoveries		210,982			-			277,207			-
General and administrative expenses		356,424			236,442			684,211			478,625
Total Operating Expenses		580,669			(13,636	)		988,970			138,976

(Loss) Income From Operations		(234,334	)		988,231			(136,438	)		1,087,339

Other Income
Interest income, net		3,649			3,122			6,016			5,744
Other income (expenses), net		11,243			(4	)		(33,151	)		(110	)
Total Other Income (Expenses)		14,892			3,118			(27,135	)		5,634

(Loss) Income Before Taxes		(219,442	)		991,349			(163,573	)		1,092,973
Provision for Income Taxes		(17,209	)		155,025			25,728			196,420
(Loss) Income Before Noncontrolling Interest		(202,233	)		836,324			(189,301	)		896,553

Less: Net loss attributable to the noncontrolling interest		(5,008	)		(3,901	)		(8,865	)		(7,452	)

Net (Loss) Income Attributable to Vantone International
Group, Inc.	$	(197,225	)	$	840,225		$	(180,436	)	$	904,005

Net (Loss) Income Per Common Share:
- Basic and Diluted	$	(0.01	)	$	0.03		$	(0.01	)	$	0.03

Weighted Common Shares Outstanding
- Basic and Diluted		30,001,000			29,971,000			30,001,000			29,971,000

Comments & Business Outlook

Tue, 23 Aug 2011 04:00:00 GMT

Vantone International Group, Inc. and Subsidiaries
Consolidated Statements of Operations

	For The Three Months Ended June 30,
	2011			2010
	(Unaudited)			(Unaudited)
Revenues
Products sold	$	12,448		$	65,992
Sales discount for products		(4,749	)		-
Insurance service rendered		1,801			8,874
VIP membership fees		180,161			226,317
Network service fees		1,059			1,008
Financing interests		350,985			-
Total Revenues, Net		541,705			302,191

Cost of Goods Sold
Products sold		4,465			31,530
Insurance service rendered		1,479			6,552
VIP membership cost		9,851			12,334
Network service cost		58			55
Financing cost		19,655			-
Total Cost of Goods Sold		35,508			50,471

Gross Profit		506,197			251,720

Operating Expenses
Selling expenses		27,631			1,270
Bad debt recoveries		(13,342	)		(90,841	)
Allowance for credit loans		66,225			-
General and administrative expenses		327,787			242,183
Total Operating Expenses		408,301			152,612

Income From Operations		97,896			99,108

Other (Expenses) Income
Interest income, net		2,367			2,622
Other expenses, net		(44,394	)		(106	)
Total Other (Expenses) Income		(42,027	)		2,516

Income Before Taxes		55,869			101,624
Provision for Income Taxes		42,937			41,395
Income Before Noncontrolling Interest		12,932			60,229

Less: net loss attributable to the noncontrolling interest		(3,857	)		(3,551	)

Net Income Attributable to Vantone International Group, Inc.	$	16,789		$	63,780

Net Income Per Common Share:
- Basic and Diluted	$	0.00		$	0.00

Weighted Common Shares Outstanding
- Basic and Diluted		30,001,000			29,941,000

Comments & Business Outlook

Mon, 21 Feb 2011 05:00:00 GMT

Vantone International Group, Inc. and Subsidiaries

Consolidated Statements of Operations

	For Fiscal Three Months Ended December 31,						For Fiscal Nine Months Ended December 31,
	2010			2009			2010			2009
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Revenues
Products sold	$	1,290,537		$	480,309		$	3,206,455		$	4,407,340
Sales discount for products		(608,535	)		-			(961,013	)		-
Insurance service rendered		4,737			24,087			23,173			270,119
Franchise joining fees		-			439			-			2,196
VIP membership fees		253,785			-			514,844			-
Network service fees		1,031			-			2,039			-
Financing interests		40,896			-			40,896			-
Total Revenues		982,451			504,835			2,826,394			4,679,655

Cost of Goods Sold
Products sold		243,719			302,673			831,530			2,651,825
Insurance service rendered		2,287			20,303			17,821			264,048
Franchise joining cost		-			22			-			120
VIP membership cost		13,852			-			28,080			-
Network service cost		56			-			111			-
Financing cost		2,150			-			2,150		-
Total Cost of Goods Sold		262,064			322,998			879,692			2,915,993

Gross Profit		720,387			181,837			1,946,702			1,763,662

Operating Expenses
Selling expenses		6,063			82,857			11,460			287,488
Loss on fixed assets disposal		-			6,043			2,677			6,043
Bad debt recoveries		(2,442	)		-			(350,165	)		-
Provision for loan losses		16,592			-			16,592			-
General and administrative expenses		375,885			286,442			854,510			951,339
Total Operating Expenses		396,098			375,342			535,074			1,244,870

Income (Loss) From Operations		324,289			(193,505	)		1,411,628			518,792

Other Income
Interest income, net		4,520			1,492			10,264			4,932
Other income (expenses), net		-			106,501			(110	)		107,462
Total Other Income		4,520			107,993			10,154			112,394

Income (Loss) Before Taxes		328,809			(85,512	)		1,421,782			631,186
Provision for Income Taxes		159,220			12,508			355,640			252,375
Income Before Non-controlling Interest		169,589			(98,020	)		1,066,142			378,811

Less: Net loss attributable to the non-controlling interest		(4,016	)		(4,423	)		(11,468	)		(14,647	)

Net Income (Loss) Attributable to
Vantone International Group, Inc.	$	173,605		$	(93,597	)	$	1,077,610		$	393,458

Net Income (Loss) Per Common Share:
- Basic and Diluted	$	0.01		$	(0.00	)	$	0.04		$	0.01

Weighted Common Shares Outstanding *
- Basic and Diluted		29,981,370			29,901,000			29,981,370		29,901,000

*: As restated to show recapitalization.

Liquidity Requirements

Mon, 21 Feb 2011 05:00:00 GMT

Our business plans contemplates that we will expand our current VIP and Network Service members, increase our service infrastructure, and expand our e-commerce platform to distribute daily commodities, beauty and healthcare products, consumer electronics, home appliances, and insurance products. Implementation of this plan will require significant funds.

Deal Flow

Mon, 21 Feb 2011 05:00:00 GMT

On January 28th, 2011, the Company signed an Engagement Agreement with ICM Capital Market Ltd, ICM Capital Market Ltd, will act as the lead or managing, or co-managing underwriter or investment banker or advisor in connection with the proposed public offering consisting of one share of common stock and one common stock purchase warrant of the Vantone International Group.

Comments & Business Outlook

Mon, 06 Dec 2010 05:00:00 GMT

Three months ended September 30, 2010 highlights:

Net revenue increased $1,239,561 or 410% to $1,541,752 for the three months ended September 30, 2010 from $302,191 for the three months ended June 30, 2010. The increase in revenues is mainly due to cancelling our traditional sales agent operation model and establishing an insurance B2C e-commerce trade platform named "Vantone Insurance Online Shop" (Vantone Shop) in April 2010 and starting to distribute commodities on the Vantone Shop in June 2010.

Revenue of VIP membership fees and Network service fees is our new profit center. Our Vantone shop attracted 20,707 VIP Memberships and 741 Network Service Memberships for the six months ended September 30, 2010. Therefore we received $1,048,664 in VIP membership and Network service fees. Based on the fact that the VIP memberships have a one year term and Network Service Memberships are permanent, we recognized $261,059 and $1,008 in revenue, respectively, for the six months ended September 30, 2010. And we deferred the remainder for recognition during the remainder of the terms of the memberships and over the remaining life of Kang Ping Vantone.
Gross profit increased 287% to $974,595 for the three months ended September 30, 2010 from $251,720 for the three months ended June 30, 2010. Gross profit increased, due to the significant recent changes in our business operations, the new products which we distribute on our Vantone shop involve low cost and high gross margin, and this product sales revenue constituted 97% of our revenue for the three months ended September 30, 2010.
Our operating expenses declined $166,248 to ($13,636) for the three months ended September 30, 2010 from $152,612 for the three months ended June 30, 2010. The decrease primarily due to reverse a bad debt expense of $256,882 taken in a prior period when we collected the receivable against which we had reserved.
Net income increased $776,445 to $840,225 for the three months ended September 30, 2010 from $63,780 for the three months ended June 30, 2010, mainly due to large amount of products sales in this quarter, and we continue controlling our cost and operating expenses.
Basic and diluted earnings per common share increased $0.03 to $0.03 per share for the three months ended September 30, 2010 from $0.00 per share for the three months ended June 30, 2010. Our higher net income causes the increase of basic and diluted earnings per common share.

Mr. Honggang Yu, the founder and chief executive officer of Vantone International, said, "Our strong increases in net income for the three months ended September 30, 2010 reflect a success in the operation of our innovative business model of '2 + E' ('2' includes development, manufacturing and distribution of purifying equipment, and the insurance agency service; 'E' stands for e-commerce marketing channel and commodities sold through e-commerce, we distribute many other commodities on e-commerce Vantone Shop flexibly according to our customers' demand and competitor situation, such commodities like household appliances, feminine hygiene products, cosmetics and skin care products, healthcare food). Also indicate a big demand of insurance agent and their clients towards the flexibility sales policy of 'buy commodity, exchange for insurance, gift, commodities or cash.' We continue to bring in talents to strengthen our financial structure and corporate governance."

The Company's cash ended September 30, 2010 was approximately $9.50 million.
The Company's current liability and total liability as of September 30, 2010 was $1.89 million and $1.92 million as compared to $1.4 million and $1.4 million as of March 31, 2010, respectively.

Mr. Yu continued, "I believe our results for the three months ended September 30, 2010 represent a very good performance in a higher growth quarter. The consistency of our operating performance results from our established business model and effective execution. On April 1, 2010, we went into the e-commerce business, by which we conduct all our businesses including the functional purification equipment, insurance agency service and commodities distribution. With the online insurance agent marketing system and distributors' management system, we approve insurance agent's registration and give memberships. Thereafter, agents can lay out the text and graphics of 'E' commodity according to the actual demand of their clients in blog space on websites, do exchange ordering for clients and fund settlement according to 'buy commodity, exchange for insurance, gift, commodities or cash.' For every successful transaction, company will return bonus points to the member. We control their purchase, sales, fund settlement on e-commerce platform and return bonus points to them. We believe our '2 + E' business model can achieve a complement advantages between insurance and commodities client base, so as to the insurance and commodities sales channel to build a insurance agent sales force of '2 + E' businesses in Chinese insurance market."

Mr. Yu concluded, "For next step, we will set up a few insurance branches to enhance our agents' management, at the same time, turn insurance agents or members into our distributors by attracting their investment and lending to them as well, to set up a marketing channel composed by e-commerce and entity shop. Then we control our insurance agents, insurance branches, and distributors depending on Vantone Shop online management platform and the electronic information technology.

"China's economic outlook continues to be encouraging, and replying on the experienced sales skills, marketing ideas and clients base of insurance agent, the sales performance of 'E' commodity should increase. With the first foreign-owned enterprise business license of small financing company obtained from China on September 27, 2010, our '2 + E' becomes '3 + E' and continue to enhance our insurance agent sales force, increase the quantity of distributors, and make a channel competitive advantages consisted by small financing

The Company's cash ended September 30, 2010 was approximately $9.50 million.
The Company's current liability and total liability as of September 30, 2010 was $1.89 million and $1.92 million as compared to $1.4 million and $1.4 million as of March 31, 2010, respectively.