-- Tables Attached --
Agria Corporation
Consolidated Statements of Operations
(In thousands of RMB, except per share and per ADS data)
(Unaudited)
Three months ended Six months ended
30-June 30-June 30-June 30-June
2007 2008 2007 2008
Revenue:
Corn seeds 40,867 62,989 133,853 164,897
Sheep breeding products 90,851 46,744 110,599 51,211
Seedlings 28,995 33,529 34,955 41,602
----------- ----------- ----------- -----------
Total revenue 160,713 143,262 279,407 257,710
----------- ----------- ----------- -----------
Cost of revenue:
Corn seeds (27,138) (44,013) (80,395) (105,772)
Sheep breeding products (24,207) (18,573) (30,543) (27,169)
Seedlings (9,526) (16,369) (10,679) (17,536)
----------- ----------- ----------- -----------
Total cost of revenue (60,871) (78,955) (121,617) (150,477)
----------- ----------- ----------- -----------
Gross profit 99,842 64,307 157,790 107,233
Operating expense
(Note 1):
Selling expenses (4,377) (4,592) (7,937) (8,606)
General and
administrative
expenses (1,917) (733,312) (3,562) (822,160)
Research and
development expenses (512) (3,185) (1,025) (6,362)
----------- ----------- ----------- -----------
Total operating
expenses (6,806) (741,089) (12,524) (837,128)
----------- ----------- ----------- -----------
Operating profit/(loss) 93,036 (676,782) 145,266 (729,895)
Interest income 71 7,856 150 18,427
Interest expense (839) (379) (2,239) (831)
Exchange loss -- (5,083) -- (10,273)
Other income 174 990 174 993
Other expense -- (138) -- (4,329)
----------- ----------- ----------- -----------
Income/(loss) before
income tax 92,442 (673,536) 143,351 (725,908)
Income tax -- (13,655) -- (19,288)
----------- ----------- ----------- -----------
Net income/(loss) 92,442 (687,191) 143,351 (745,196)
=========== =========== =========== ===========
Earnings/(loss) per
share:
-Basic RMB0.92 RMB(5.44) RMB1.43 RMB(5.90)
-Diluted RMB0.92 RMB(5.44) RMB1.43 RMB(5.90)
=========== =========== =========== ===========
Weighted average number of ordinary shares outstanding:
-Basic 100,000,000 126,400,000 100,000,000 126,400,000
-Diluted 100,237,363 126,400,000 100,119,337 126,400,000
Earnings/(loss) per ADS
(Note 2):
-Basic RMB1.85 RMB(10.87) RMB2.87 RMB(11.79)
-Diluted RMB1.84 RMB(10.87) RMB2.86 RMB(11.79)
=========== =========== =========== ===========
Note 1:
P3A cash payment
included in G&A
expense -- (62,340) -- (126,992)
=========== =========== =========== ===========
Share based
compensation expense
is included in:
General and
administrative
expenses -- (650,280) -- (658,676)
Research and
development expenses -- (6) -- (12)
Cost of revenue -- (75) -- (156)
----------- ----------- ----------- -----------
Total (Note a) -- (650,361) -- (658,844)
=========== =========== =========== ===========
Note a: Included in share-based compensation expense is an amount of
RMB640,000, which relates to the P3A Payment.
Note 2: Each ADS represents two ordinary shares.
Agria Corporation
Consolidated Statements of Operations
(In thousands of US$, except per share and per ADS data)
(Unaudited)
Three months ended Six months ended
30-June 30-June
2008 2008
Revenue:
Corn seeds 9,183 24,041
Sheep breeding products 6,815 7,466
Seedlings 4,888 6,065
------------------ ------------------
Total revenue 20,886 37,572
------------------ ------------------
Cost of revenue:
Corn seeds (6,417) (15,421)
Sheep breeding products (2,708) (3,961)
Seedlings (2,386) (2,556)
------------------ ------------------
Total cost of revenue (11,511) (21,938)
------------------ ------------------
Gross profit 9,375 15,634
Operating expense (Note 1):
Selling expenses (669) (1,255)
General and administrative expenses (106,911) (119,864)
Research and development expenses (464) (927)
------------------ ------------------
Total operating expenses (108,044) (122,046)
------------------ ------------------
Operating loss (98,669) (106,412)
Interest income 1,145 2,686
Interest expense (55) (121)
Exchange loss (741) (1,498)
Other income 144 145
Other expense (20) (631)
------------------ ------------------
Loss before income tax (98,196) (105,831)
Income tax (1,991) (2,812)
------------------ ------------------
Net loss (100,187) (108,643)
================== ==================
Loss per share:
-Basic US$(0.79) US$(0.86)
-Diluted US$(0.79) US$(0.86)
================== ==================
Weighted average number of ordinary shares outstanding:
-Basic 126,400,000 126,400,000
-Diluted 126,400,000 126,400,000
Loss per ADS (Note 2):
-Basic US$(1.59) US$(1.72)
-Diluted US$(1.59) US$(1.72)
================== ==================
Note 1:
P3A cash payment included in G&A
expense (9,089) (18,514)
================== ==================
Share based compensation expense
is included in:
General and administrative
expenses (94,805) (96,029)
Research and development
expenses (1) (2)
Cost of revenue (11) (23)
------------------ ------------------
Total (Note a) (94,817) (96,054)
================== ==================
Note a: Included in share-based compensation expense is an amount of
US$93,307, which relates to the P3A Payment.
Note 2: Each ADS represents two ordinary shares.
Agria Corporation
Reconciliation of Non-GAAP measures
(In thousands of RMB, except per share and per ADS data)
(Unaudited)
Three months ended Six months ended
30-June 30-June 30-June 30-June
2007 2008 2007 2008
Net income/(loss) 92,442 (687,191) 143,351 (745,196)
Non-cash compensation
expense (Note 1) -- 712,701 -- 785,836
----------- ---------- ----------- ----------
Non-GAAP net income 92,442 25,510 143,351 40,640
=========== ========== =========== ==========
Net income/(loss) per ADS -
basic RMB1.85 RMB(10.87) RMB2.87 RMB(11.79)
Net income/(loss) per ADS -
diluted RMB1.84 RMB(10.87) RMB2.86 RMB(11.79)
=========== ========== =========== ==========
Non-GAAP net income per ADS
- basic RMB1.85 RMB0.40 RMB2.87 RMB0.64
Non-GAAP net income per ADS
- diluted RMB1.84 RMB0.40 RMB2.86 RMB0.64
=========== ========== =========== ==========
Weighted average shares
used in calculating
non-GAAP basic net income
per ADS 50,000,000 63,200,000 50,000,000 63,200,000
Weighted average shares
used in calculating
non-GAAP diluted net
income per ADS 50,118,682 63,219,482 50,059,669 63,209,741
Agria Corporation
Reconciliation of Non-GAAP measures
(In thousands of US$, except per share and per ADS data)
(Unaudited)
Three Six
months ended months ended
30-June 30-June
2008 2008
Net loss (100,187) (108,643)
Non-cash compensation expense (Note 1) 103,906 114,568
------------ ------------
Non-GAAP net income 3,719 5,925
============ ============
Net loss per ADS - basic US$(1.59) US$(1.72)
Net loss per ADS - diluted US$(1.59) US$(1.72)
============ ============
Non-GAAP net income per ADS - basic US$0.06 US$0.09
Non-GAAP net income per ADS - diluted US$0.06 US$0.09
============ ============
Weighted average shares used in calculating
non-GAAP basic net income per ADS 63,200,000 63,200,000
Weighted average shares used in calculating
non-GAAP diluted net income per ADS 63,219,482 63,209,741
Note 1: Non-cash compensation in the 3 and 6 month periods of 2008 includes
compensation charge of RMB 702,340 (US$102,396) and RMB 766,992
(US$111,821), respectively, related to the P3A Payment.
Note 2: Each ADS represents two common shares.
Agria Corporation
Consolidated Balance Sheets
(In thousands)
(Audited) (Audited) (Unaudited)
31-Dec 31-Dec 30-June
2006 2007 2008
(RMB) (RMB) (US$)
ASSETS
Current assets:
Cash and cash equivalents 42,782 1,387,153 187,315
Accounts receivable (net of
allowance for doubtful accounts) 156,440 200,757 23,366
Inventories 58,007 59,937 5,013
Prepayments and other current assets 22,584 48,626 8,224
Amounts due from related parties 1,059 557 587
------------ ----------- -----------
Total current assets 280,872 1,697,030 224,505
------------ ----------- -----------
Non-current assets:
Property, plant and equipment, net 40,126 65,680 11,494
Investment 205 205 30
Intangible assets, net 74,437 189,499 48,192
Non-current prepayments -- 14,127 1,190
Deferred tax assets -- 529 77
Other assets, net 94,836 104,466 14,545
------------ ----------- -----------
Total non-current assets 209,604 374,506 75,528
------------ ----------- -----------
Total assets 490,476 2,071,536 300,033
============ =========== ===========
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Short-term bank borrowings 36,900 15,160 1,283
Long-term bank borrowing, current
portion 1,500 -- --
Accounts payable 27,161 9,011 149
Accrued expenses and other
liabilities 14,907 31,471 5,633
Deferred revenue -- 1,122 --
Amount due to a shareholder 29,992 -- --
Amounts due to related parties 16,884 212 --
------------ ----------- -----------
Total current liabilities 127,344 56,976 7,065
------------ ----------- -----------
Non-current liabilities:
Deferred tax liability -- 157,561 25,783
Amounts due to related parties 8,996 8,792 1,282
------------ ----------- -----------
Total non-current liabilities 8,996 166,353 27,065
------------ ----------- -----------
Total liabilities 136,340 223,329 34,130
------------ ----------- -----------
Shareholders’ equity:
Paid-up capital -- -- --
Additional paid-in capital 8,098 1,561,933 343,454
Statutory reserves 76,953 76,953 11,352
Accumulated other comprehensive loss -- (9,421) (12,150)
Retained earnings / (accumulated
loss) 269,085 218,742 (76,753)
------------ ----------- -----------
Total shareholders’ equity 354,136 1,848,207 265,903
------------ ----------- -----------
Total liabilities and shareholders’
equity 490,476 2,071,536 300,033
============ =========== ===========
Contact Information: Contacts: In China: Matt Feng Investor Relations China Tel: 133-1130-0320 matt.feng@agriacorp.com In the U.S.: David Pasquale Senior Vice President U.S. Tel: +914-337-1117 david.pasquale@agriacorp.com