Changshu, China-based steel- and pipe-maker Sutor Technology Group Limited (Sutor) on November 12 issued its financial results for the first quarter of the fiscal year 2010-11 or the third quarter of 2010 ending on September 30, reporting significant increases in gross profits, net income and earnings per share.
In the third quarter of 2010, the gross profit of Sutor was $8.4 million, compared to a gross profit of $4.4 million in the third quarter of 2009, increasing 91.4 percent. Sales revenues of $101.9 million in the quarter in question saw a 17.7 drop from $123.8 million in the same quarter of the previous year. In the third quarter of 2010, the company's net profit was $3.4 million, compared to a net profit of $500,000 in the same period of 2009.
Commenting on the results, Ms. Lifang Chen, chairwoman and CEO of Sutor, said, "In the first fiscal quarter, our orders and production output were more heavily focused on advanced PPGI products that required sophisticated processing procedures and hence more production time. The result was a lower total production volume, but products with a higher profit margin. In addition, Sutor benefited from higher commodity prices and sales prices as inflation pressures were present in the major sectors of the economy."