Deyu Agriculture Provides Fourth Quarter Outlook
BEIJING, Dec. 16, 2010 /PRNewswire-FirstCall/ – Deyu Agriculture Corp. (OTC Bulletin Board: DEYU), a vertically integrated producer, processor, marketer and distributor of organic and other agricultural products made from corn and grains, today provided its revenue and earnings outlook for the fourth quarter and fiscal year ending December 31, 2010.
For the fourth quarter of 2010, the Company expects revenue to be in the range of $31.5 to $35.0 million and net income available to common stockholders to be in the range of $3.5 to $4.5 million.
For the fiscal year ending December 31, 2010, the Company expects revenue to be in the range of $85.4 to $88.9 million and net income available to common stockholders to be in the range of $11.0 to $12.0 million.
“Our expected strong results for the quarter are due to the combination of higher sequential and year-over-year corn and grain volumes and the addition of revenues from our recent agreements with Deyufarm Innovation Food Co.,” said Mr. Jianming Hao, Chairman and Chief Executive Officer of Deyu Agriculture. “As 2010 comes to a close and we look ahead to fiscal year 2011, we expect our growth to be driven by the launch of a wide range of branded instant organic grain products including instant grain noodles, ready-to-eat grain rice, instant grain beverages and instant grain soups. As Chinese consumers are becoming increasingly health and nutrition conscious, demand for high quality organic grain food is growing rapidly. In addition, we expect to continue to grow our corn products segment as demand remains strong from our existing customer base.”
“Overall, we are optimistic about our business prospects and look forward to capitalizing on the attractive growth opportunities in the markets we serve,” concluded Mr. Hao.
About Deyu Agriculture Corp.
Deyu Agriculture Corp. is a vertically integrated producer, processor, marketer and distributor of organic and other agricultural products made from corn and grains operating in the Shanxi Province of the People’s Republic of China. Deyu has access to over 100,000 acres of farmland in the Shanxi Province for breeding, cultivating, processing, warehousing, and distributing grain and corn products. Deyu has an extensive retail distribution network of more than 8,500 retail stores across China.
Deyu Agriculture’s web site is located at www.deyuagri.com.
Safe Harbor Statements
This press release contains forward-looking statements made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward looking statements are based upon the current plans, estimates and projections of Deyu Agriculture’s management and are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. Such statements include, among others, those concerning market and industry segment growth and demand and acceptance of new and existing products; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in China, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. Therefore, you should not place undue reliance on these forward-looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: business conditions in China, general economic conditions; geopolitical events and regulatory changes, availability of capital, changes in the agricultural industry, the Company’s ability to maintain its competitive position. Additional Information regarding risks can be found in the Company’s Quarterly Report on Form 10-Q and in the Company’s recently filed Prospectus filed pursuant to Rule 424(b)(3) with the SEC.
SOURCE Deyu Agriculture Corp.