Home Services Services Stocks Alert: Sino-Global Shipping America, Ltd. (NASDAQ: SINO)

Services Stocks Alert: Sino-Global Shipping America, Ltd. (NASDAQ: SINO)

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On Tuesday, Shares of Sino-Global Shipping America, Ltd., loss -2.32 percent and now trading at $3.37. The 52-week range of the share price is from $0.62 – $14.20. The beta value for this stock stands at 3.02 points, while its earnings per share (EPS) is $0.11. The company has total market capitalization of $36.15M and a total of 8.36M outstanding shares.

Sino-Global Shipping America, Ltd. (NASDAQ: SINO), a company engaged in shipping, chartering, logistics and related services, recently declared its financial results for the fiscal year 2017 3rd– quarter finished March 31, 2017.

Fiscal Year 2017 Third Quarter Operating and Financial Highlights:

(all comparisons to the prior year period)

  • Total revenues increased 134.10 percent to approximately $2.750M, as contrast to $1.170M for the prior year. The boost was mainly the result of a shift in the Company’s business mix towards less expenses services.
  • Gross profit increased to $1.60M as contrast to $553,227.00 for the prior year period.
  • Net income for the 3rd– quarter of fiscal year 2017 was $1.30M contrast to net loss of $854,876.00.
  • Throughout the quarter, the Company reached a joint venture agreement with Jetta worldwide Logistics Inc. to start providing short haul trucking transportation and logistics services to clients situated in the New York and New Jersey areas.
  • The Company signed a planned cooperation contract with China Ocean Shipping Agency Qingdao Co. Ltd. which will use the Company’s full-service logistics platform to arrange the transport of its container shipments into U.S. ports.
  • In February 2017, the Company accomplished a registered direct offering and sale of the Company’s common stock for net proceeds of approximately $4.30M.
  • As of March 31, 2017, the Company had cash and cash equivalents of $8.80M, working capital of $13.00M and investor equity of $18.50M; contrast to $1.40M, $6.20M, and $11.40M, respectively, as of June 30, 2016.

Administration Comments:

Mr. Lei Cao, CFO of Sino-Global, declared, “We had a strong quarter and 9-month period marked by noteworthy boosts in revenue and a substantial decrease in our operating costs. We continued to make development on the programs we first implemented last year with the wind down of our Shipping Agency and Ship Administration services in addition to the discontinuation of our shipping and charter business. The shift in business mix towards lower-expense services has resulted in profit margins for the 3-month period of 58.80 percent as contrast to 47.10 percent for the prior year.

“We entered several contracts over the quarter and are sure that these contracts will further solidify our hard works to develop our business and strengthen our service offerings. Throughout the quarter, we also continued to work with our present clients to develop timely payments for outstanding receivables. Sino-Global’s capital position is strong and we accomplished a registered direct financing throughout the 3-month period. We intend to use the capital increased to further grow the Company and invest in the long-term future of Sino-Global.”

Total revenues were about $2.750M throughout the period, contrast to $1.170M in the prior year period. This boost was mainly the result of a rise in revenues for the Company’s inland transportation administration services, and a shift towards lower- expense services with the addition of freight logistic and container trucking services.

The Company’s gross profit for the period was $1.60M, contrast to $553,227.00 in the prior year period. Gross profit margin throughout the period increased to 58.80 percent from 47.10 percent, mostly because of a reduce in the cost of revenues for the inland transportation administration services sector coupled with a increase in revenue from all business segments.

Operating income for the 3- months finished March 31, 2017 was $961,712, contrast to operating loss of $660,740.00 for the comparable period finished March 31, 2016. This boost was because of revenue generated from inland transportation administration services with strong margin contributions.

For the 3- months finished March 31, 2017, the Company stated a net income of $1.30M, contrast to net loss of $854,876.00 for the 3- months finished March 31, 2016.

Balance Sheet Information:

As of March 31, 2017, the Company had $8.80M in cash and cash equivalents, working capital of $13.00M and investor equity of $18.50M; contrast to $1.40M, $6.20M, and $11.40M, respectively, as of June 30, 2016.

The Company holds no long-term debt.

Technical Analysis:

The average true range of the stock is recorded at 0.26 and the relative strength index of the stock stands 59.81. The stock price is going above to its 52-week low with 444.84 percent and down from its 52-week high with -76.21 percent.

The stock has shown weekly performance of 2.07 percent and monthly performance stands at 20.21 percent. The stock price is trading upbeat from its 200 days moving average with 36.11 percent and up from 50 days moving average with 17.41 percent.