China Wind Systems Inc
Corporate Profile
January 15, 2009
China Wind Systems, Inc. engages in the design, manufacture, and distribution of a line of textile dyeing and finishing machinery, and auxiliary equipment to the wind power and railway, and heavy vehicle manufacturing industries in China. Its textile dyeing machines are used in dyeing yarns. In addition, it engages in the design, manufacture, and sale of electrical power equipment comprising spiral plate heat exchanger, cross-tube gas cooler, cloth-type dust collector, and desulphurization regeneration towers for coke plants and coal-fired power stations. The company was founded in 1995 and is based in Wuxi City, China.
Strong Financial Growth
3Q08 revenue increased 47.1% yoy to $11.8 million. Net income equaled $1.4 million, or $0.03 per share. Revenue from forged rolled rings for wind power and other industries increased to $5.3 million, or 44.7% of net revenue. The Company reaffirmed FY08 guidance, projecting revenue of $45 million and net income exceeding $7 million. The Company expects to produce 20,000 tons of forged products in 2009, generating up to $40 million in revenue from that product line. In late Oct and early Nov, CWSI closed a PIPE issuing 3,125,000 shares and for proceeds of $1.25 million. It is completing the installation of equipment related to its phase one expansion which has a capacity of 40,000 tons of rolled rings, flanges, shafts and gear rims. Production is expected in the near-term.
