Greenland Technologies Reports Record First Quarter 2022 Revenue
Greenland Technologies Holding Corporation (NASDAQ: GTEC) reported a record 1Q22 revenue of $29.3 million, a 19% increase from $24.6 million in 1Q21. Net income rose 19% to $2.9 million. The gross margin improved to 21.7%, up 100 basis points. The number of transmission products sold reached 41,902 units, up 13%. Greenland secured a lease for a new assembly facility in Maryland, set for a July opening, and launched its HEVI brand for electric heavy industrial equipment. Despite pandemic-related challenges, the company remains optimistic about long-term demand.
- Revenue increased 19% to $29.3 million.
- Net income rose 19% to $2.9 million.
- Gross margin improved to 21.7%, a 100 basis point increase.
- Units sold grew 13% to 41,902 transmissions.
- Secured a lease for a new assembly facility in Maryland.
- Operating expenses increased 33% to $3.0 million.
- Basic and diluted net income per share decreased to $0.16 from $0.21.
19% Increase in 1Q22 Revenue to Record$29.3 Million Compared to 1Q2119% Increase in 1Q22 Net Income to$2.9 Million Compared to 1Q21- Cash Balance Rises
30% to$13.2 Million
EAST WINDSOR, N.J., May 16, 2022 /PRNewswire/ -- Greenland Technologies Holding Corporation (NASDAQ: GTEC) ("Greenland" or the "Company"), a technology developer and manufacturer of electric industrial vehicles and drivetrain systems for material handling machineries and vehicles, today announced its unaudited financial results for the first quarter ended March 31, 2022.
First Quarter 2022 Financial and Operating Highlights
- Total revenues were
$29.3 million , an increase of19% from$24.6 million in the same period of 2021. - Gross margin was
21.7% , an increase of 100 basis points year over year. - Net Income was
$2.9 million , an increase of19% from$2.4 million in the same period of 2021. - Number of transmission products sold was 41,902 units, an increase of
13% compared with 36,986 units in the same period of 2021.
Mr. Raymond Wang, Chief Executive Officer of Greenland Technologies Holding Corporation, commented, "We delivered our highest quarterly revenue to date, as we drove
Mr. Wang added, "Our ongoing strategic shift toward higher-value, feature-rich products helped drive a 100 basis points improvement in gross margin to
Mr. Jing Jin, Chief Financial Officer of Greenland, commented: "Demand for Greenland's transmission products remained strong, as we leverage our global brand, inventory management and performance track record to partially offset headwinds from higher raw materials and component prices, COVID-19 shutdowns, global inflation, and higher logistics costs. In addition to our strong
Recent Developments and Strategic Highlights:
- Secured Lease On Assembly Facility: Greenland has secured and fully executed a lease on its first assembly facility located in Baltimore County, Maryland. The site is over 54,000 sq ft and will produce over 500 electric heavy equipment units per year when fully operational. Maryland's Governor Larry Hogan noted, "As we continue to invest in new products and technologies, Greenland's vision and growth in electric industrial vehicles will fit in well with our state's innovative ecosystem."
- Launched of New HEVI Brand: Greenland has launched a new HEVI brand to encapsule its electric heavy industrial equipment division. This brand replaces Greenland Machinery and better exemplifies the culture and objective of introducing clean and sustainable alternatives to the industrial equipment industry.
- Passed Clean Cars Act of Maryland: Greenland supported the passing of HB1391 – Maryland Clean Cars Act of 2022 that will introduce consumer incentives for electric heavy industrial equipment purchases within the state effective July 1, 2022.
First Quarter 2022 Financial Results
Total revenues were
Costs of goods sold were
Gross profit was
Total operating expenses were
Income from operations was
Net Income was
Basic and diluted net income per ordinary share was
Conference Call
The Greenland Technologies Holding Corporation management team will host an earnings conference call at 8:00 AM on Monday, May 16, 2022, U.S. Eastern Time (8:00 PM on May 16, 2022, Beijing/Hong Kong Time).
Please register in advance for the conference using the link below and dial in 10 minutes before the conference is scheduled to begin. Conference access information will be provided upon registration.
Online Participant Registration: http://apac.directeventreg.com/registration/event/2888891
A replay of the conference call may be accessed by phone at the following numbers until May 24, 2022. To access the replay, please reference the conference ID 2888891.
Phone Number | |
International | +61 2 8199-0299 |
United States | +1 (855) 452-5696 |
China Hong Kong | +852 800963117 |
Mainland China | +86 4008209035 +86 8009880552 |
A live and archived webcast of the conference call will be available at https://ir.gtec-tech.com/.
About Greenland Technologies Holding Corporation
Greenland Technologies Holding Corporation (NASDAQ: GTEC) is a developer and a manufacturer of drivetrain systems for material handling machineries and electric vehicles, as well as electric industrial vehicles. Information on the Company's clean industrial heavy equipment division can be found at HEVI Equipment, its new clean industrial heavy equipment division. For additional more information visit https://ir.gtec-tech.com/.
Safe Harbor Statement
This press release contains statements that may constitute "forward-looking statements." Such statements reflect Greenland's current views with respect to future events and are subject to such risks and uncertainties, many of which are beyond the control of Greenland, including those set forth in the Risk Factors section of Greenland's Annual Report on Form 10-K and Definitive Proxy Statement on Schedule 14A filed with the Securities and Exchange Commission ("SEC"). Copies are available on the SEC's website, www.sec.gov. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, Greenland's expectations with respect to future performance. In addition, there is uncertainty about the further spread of the COVID-19 virus or the occurrence of another wave of cases and the impact it may have on the Company's operations, the demand for the Company's products, global supply chains and economic activity in general. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated or expected. Statements contained in this news release regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Greenland does not intend and does not assume any obligation to update these forward-looking statements, other than as required by law.
Statement Regarding Preliminary Unaudited Financial Information
The unaudited financial information set out in this earnings release is preliminary and subject to potential adjustments. Adjustments to the consolidated financial statements may be identified when audit work has been performed for the Company's year-end audit, which could result in significant differences from this preliminary unaudited financial information.
For more information, please contact:
In China:
The Blueshirt Group
Ms. Feifei Shen
Phone: +86 134-6656-6136
Email: feifei@blueshirtgroup.com
Ms. Miranda Tian
Phone: +86 135-2551-1189
Email: miranda@blueshirtgroup.com
In the United States:
The Blueshirt Group
Ms. Julia Qian
Phone: +1 973-619-3227
Email: Julia@blueshirtgroup.com
Global IR Partners
Mr. David Pasquale
Phone: +1 914-337-8801
Email: GTEC@globalirpartners.com
GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) FOR THE THREE MONTHS ENDED MARCH 31, 2022 AND 2021 (UNAUDITED, IN U.S. DOLLARS) | ||||||||
For the three months ended March 31, | ||||||||
2022 | 2021 | |||||||
REVENUES | $ | 29,306,957 | $ | 24,610,894 | ||||
COST OF GOODS SOLD | 22,938,983 | 19,506,507 | ||||||
GROSS PROFIT | 6,367,974 | 5,104,387 | ||||||
Selling expenses | 639,647 | 379,230 | ||||||
General and administrative expenses | 1,279,746 | 911,139 | ||||||
Research and development expenses | 1,082,594 | 959,545 | ||||||
Total operating expenses | $ | 3,001,987 | $ | 2,249,914 | ||||
INCOME FROM OPERATIONS | $ | 3,365,987 | $ | 2,854,473 | ||||
Interest income | 12,562 | 4,595 | ||||||
Interest expense | (105,009) | (180,189) | ||||||
Loss on disposal of property and equipment | (404) | (1,770) | ||||||
Other income | 261,032 | 288,746 | ||||||
INCOME BEFORE INCOME TAX | $ | 3,534,168 | $ | 2,965,855 | ||||
INCOME TAX | 619,370 | 522,616 | ||||||
NET INCOME | $ | 2,914,798 | $ | 2,443,239 | ||||
LESS: NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST | 1,127,746 | 314,671 | ||||||
NET INCOME ATTRIBUTABLE TO GREENLAND TECHNOLOGIES | $ | 1,787,052 | $ | 2,128,568 | ||||
OTHER COMPREHENSIVE INCOME (LOSS): | 373,910 | (258,229) | ||||||
Unrealized foreign currency translation income (loss) attributable to Greenland | 248,082 | (189,103) | ||||||
Unrealized foreign currency translation income (loss) attributable to Noncontrolling | 125,828 | (69,126) | ||||||
Comprehensive income (loss) | 2,035,134 | 1,939,465 | ||||||
Noncontrolling interest | 1,253,574 | 245,545 | ||||||
WEIGHTED AVERAGE ORDINARY SHARES OUTSTANDING: | ||||||||
Basic and diluted | 11,329,530 | 10,333,968 | ||||||
NET INCOME PER ORDINARY SHARE ATTRIBUTABLE TO OWNERS OF | ||||||||
Basic and diluted | 0.16 | 0.21 |
GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2022 AND DECEMBER 31, 2021 (IN U.S. DOLLARS) | ||||||||
March 31, | December 31, | |||||||
2022 | 2021 | |||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 6,853,839 | $ | 11,062,590 | ||||
Restricted cash | 6,330,613 | 6,738,302 | ||||||
Short Term Investment | 4,066,630 | 2,105,938 | ||||||
Notes receivable | 33,524,960 | 37,551,121 | ||||||
Accounts receivable, net of allowance for doubtful accounts of | 24,715,861 | 15,915,002 | ||||||
Inventories | 24,963,483 | 25,803,474 | ||||||
Due from related parties-current | 39,790,638 | 39,679,565 | ||||||
Advance to suppliers | 632,664 | 434,893 | ||||||
Prepayments and other current assets | 80,782 | 14,518 | ||||||
Total Current Assets | $ | 140,959,470 | $ | 139,305,403 | ||||
Non-current asset | ||||||||
Property, plant, equipment and construction in progress, net | 18,553,625 | 18,957,553 | ||||||
Land use rights, net | 4,032,128 | 4,035,198 | ||||||
Deferred tax assets | 676,622 | 141,623 | ||||||
Goodwill | 3,890 | 3,890 | ||||||
Operating lease right-of-use assets | 72,480 | 80,682 | ||||||
Other non-current assets | 42,892 | 44,093 | ||||||
Total non-current assets | $ | 23,381,637 | $ | 23,263,039 | ||||
TOTAL ASSETS | $ | 164,341,107 | $ | 162,568,442 |
GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2022 AND DECEMBER 31, 2021 (Continued) (IN U.S. DOLLARS) | ||||||||
March 31, | December 31, | |||||||
2022 | 2021 | |||||||
Current Liabilities | ||||||||
Short-term bank loans | $ | 9,595,697 | $ | 8,760,945 | ||||
Notes payable-bank acceptance notes | 37,072,247 | 42,093,061 | ||||||
Accounts payable | 32,257,872 | 29,064,132 | ||||||
Taxes payables | - | 108,058 | ||||||
Customer deposits | 443,138 | 387,919 | ||||||
Due to related parties | 2,022,459 | 3,619,459 | ||||||
Other current liabilities | 2,307,551 | 1,198,427 | ||||||
Current portion of operating lease liabilities | 33,816 | 33,308 | ||||||
Lease obligations - current | 198,954 | 197,915 | ||||||
Total current liabilities | $ | 83,931,734 | $ | 85,463,224 | ||||
Long-term liabilities | ||||||||
Lease obligations – non-current | - | - | ||||||
Long term operating lease liabilities | 38,994 | 47,614 | ||||||
Other long-term liabilities | 2,159,936 | 2,212,938 | ||||||
Total long-term liabilities | $ | 2,198,930 | $ | 2,260,552 | ||||
TOTAL LIABILITIES | $ | 86,130,664 | $ | 87,723,776 | ||||
COMMITMENTS AND CONTINGENCIES | ||||||||
EQUITY | ||||||||
Ordinary shares, no par value, unlimited shares authorized; 11,329,530 and | - | - | ||||||
Additional paid-in capital | 23,836,433 | 23,759,364 | ||||||
Statutory reserves | 3,842,331 | 3,842,331 | ||||||
Retained earnings | 35,455,748 | 33,668,696 | ||||||
Accumulated other comprehensive income (loss) | 1,262,481 | 1,014,399 | ||||||
Total shareholders' equity | $ | 64,396,993 | $ | 62,284,790 | ||||
Non-controlling interest | 13,813,450 | 12,559,876 | ||||||
TOTAL EQUITY | $ | 78,210,443 | $ | 74,844,666 | ||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 164,341,107 | $ | 162,568,442 |
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SOURCE Greenland Technologies Holding Corporation
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