NEW YORK and SHANDONG, China, March 3 /PRNewswire-Asia-FirstCall/ -- Gulf Resources, Inc. (Nasdaq: GFRE) ("Gulf Resources" or the "Company"), a leading manufacturer of bromine, crude salt and specialty chemical products in China, today announced fiscal year 2010 financial guidance.
Based on the current business outlook, the Company now anticipates revenue to range from $128 million to $131 million and net income to range from $36 million and $38 million for the fiscal year 2010. This represents growth in revenue of 16% to 19% and growth in net income of 18% to 24% compared to fiscal year 2009. This guidance does not take into account the impact of potential acquisitions.
"As business and economic conditions continue to evolve for many of our customers in China, we continue to see strong demand for bromine, crude salt, and other specialty chemical products in 2010," said Mr. Xiaobin Liu, CEO of Gulf Resources. "Additionally, we have sufficient cash flow and we will continually look for appropriate acquisition targets, and the new chemical additives production line for waste water treatment is expected to start production in the second half of 2010. Although we cannot accurately predict the market price and sales volume for the full year, we believe our increased production capacity and product portfolio will contribute to double-digit growth in 2010."
About Gulf Resources, Inc.
Gulf Resources, Inc. operates through two wholly-owned subsidiaries, Shouguang City Haoyuan Chemical Company Limited ("SCHC") and Shouguang Yuxin Chemical Industry Co., Limited ("SYCI"). The Company believes that it is one of the largest producers of bromine in China. Elemental Bromine is used to manufacture a wide variety of compounds utilized in industry and agriculture. Through SYCI, the Company manufactures chemical products utilized in a variety of applications, including oil & gas field explorations and as papermaking chemical agents. For more information about the Company, please visit http://www.gulfresourcesinc.cn .
Certain statements in this news release contain forward-looking information about Gulf Resources and its subsidiaries business and products within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. The actual results may differ materially depending on a number of risk factors including, but not limited to, the general economic and business conditions in the PRC, future product development and production capabilities, shipments to end customers, market acceptance of new and existing products, additional competition from existing and new competitors for bromine and other oilfield and power production chemicals, changes in technology, the ability to make future bromine asset purchases, and various other factors beyond its control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks factors detailed in the Company's reports filed with the Securities and Exchange Commission. Gulf Resources undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
For further information, please contact: Gulf Resources, Inc. David Wang, VP of Finance Email: [email protected] Helen Xu Email: [email protected] Web: http://www.gulfresourcesinc.cn CCG Investor Relations Inc. Linda Salo, Sr. Financial Writer Phone: +1-646-922-0894 Email: [email protected] Crocker Coulson, President Phone: +1-646-213-1915 (New York) Email: [email protected] Web: http://www.ccgirasia.com
SOURCE Gulf Resources, Inc.