UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
______________
FORM
6-K
REPORT
OF FOREIGN PRIVATE ISSUER
PURSUANT
TO RULE 13a-16 OR 15d-16 UNDER
THE
SECURITIES EXCHANGE ACT OF 1934
For the
month of November 2010
Commission
File Number: 001-34541
|
CHINA CORD BLOOD
CORPORATION
|
|
(Translation
of registrant’s name into
English)
|
|
48th
Floor, Bank of China Tower
1
Garden Road
Central
Hong Kong S.A.R.
|
|
(Address
of Principal Executive
Offices)
|
Indicate
by check mark whether the registrant files or will file annual reports under
cover of Form 20-F or Form 40-F.
Form 20-F
x Form
40-F o
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted
by Regulation S-T Rule 101(b)(1): o
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted
by Regulation S-T Rule 101(b)(7): o
Indicate
by check mark whether the registrant by furnishing the information contained in
this Form is also thereby furnishing the information to the Commission pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes o No
x
If “Yes”
is marked, indicate below the file number assigned to the registrant in
connection with Rule 12g3-2(b): 82-_______________.
EXPLANATORY
NOTE
This
Report of Foreign Private Issuer on Form 6-K contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, and Section 21E
of the Securities Exchange Act of 1934. These statements relate to future events
or the Company’s future financial performance. The Company has attempted to
identify forward-looking statements by terminology including “anticipates”,
“believes”, “expects”, “can”, “continue”, “could”, “estimates”, “intends”,
“may”, “plans”, “potential”, “predict”, “should” or “will” or the negative of
these terms or other comparable terminology. These statements are only
predictions, uncertainties and other factors may cause the Company’s actual
results, levels of activity, performance or achievements to be materially
different from any future results, levels of activity, performance or
achievements expressed or implied by these forward-looking statements. The
information in this Report on Form 6-K is not intended to project future
performance of the Company. Although the Company believes that the expectations
reflected in the forward-looking statements are reasonable, the Company does not
guarantee future results, levels of activity, performance or achievements. The
Company expectations are as of the date this Report on Form 6-K is filed, and
the Company does not intend to update any of the forward-looking statements
after the date this Report on Form 6-K is filed to confirm these statements to
actual results, unless required by law.
The
forward-looking statements included in this Report on Form 6-K are subject to
risks, uncertainties and assumptions about our businesses and business
environments. These statements reflect our current views with respect to future
events and are not a guarantee of future performance. Actual results of our
operations may differ materially from information contained in the
forward-looking statements as a result of risk factors some of which include,
among other things: continued compliance with government regulations; changing
legislation or regulatory environments; requirements or changes affecting the
businesses in which the Company is engaged; industry trends, including factors
affecting supply and demand; labor and personnel relations; credit risks
affecting the Company's revenue and profitability; changes in the healthcare
industry; the Company’s ability to effectively manage its growth, including
implementing effective controls and procedures and attracting and retaining key
management and personnel; changing interpretations of generally accepted
accounting principles; general economic conditions; and other relevant risks
detailed in the Company’s filings with the Securities and Exchange
Commission.
Results
of Operations and Financial Condition
Following
this cover page are the unaudited consolidated financial results for the three
months and six months ended September 30, 2010 of China Cord Blood Corporation
(the “Company”).
CHINA CORD BLOOD
CORPORATION
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
As of
March 31 and September 30, 2010
|
|
March 31,
|
September
30,
|
||||||||||
|
2010
|
2010
|
|||||||||||
|
RMB
|
RMB
|
US$
|
||||||||||
|
(in
thousands except share data)
|
||||||||||||
|
ASSETS
|
||||||||||||
|
Current
assets
|
||||||||||||
|
Cash
and cash equivalents
|
280,835 | 338,641 | 50,615 | |||||||||
|
Accounts
receivable, less allowance for doubtful accounts
|
||||||||||||
|
(March
31, 2010: RMB8,016; September 30, 2010: RMB10,073)
|
61,349 | 56,609 | 8,461 | |||||||||
|
Inventories
|
5,070 | 6,491 | 970 | |||||||||
|
Prepaid
expenses and other receivables
|
13,137 | 10,848 | 1,621 | |||||||||
|
Deferred
tax assets
|
3,443 | 4,441 | 664 | |||||||||
|
Total
current assets
|
363,834 | 417,030 | 62,331 | |||||||||
|
Property,
plant and equipment, net
|
250,491 | 246,756 | 36,882 | |||||||||
|
Non-current
prepayments
|
151,138 | 7,260 | 1,085 | |||||||||
|
Non-current
accounts receivable, less allowance for doubtful accounts
|
||||||||||||
|
(March
31, 2010: RMB9,181; September 30, 2010: RMB15,976)
|
176,874 | 211,360 | 31,591 | |||||||||
|
Inventories
|
29,637 | 31,527 | 4,712 | |||||||||
|
Intangible
asset, net
|
26,297 | 25,812 | 3,858 | |||||||||
|
Available-for-sale
equity securities
|
48,475 | 51,462 | 7,692 | |||||||||
|
Other
investment
|
- | 137,729 | 20,586 | |||||||||
|
Deferred
tax assets
|
288 | 506 | 76 | |||||||||
|
Total
assets
|
1,047,034 | 1,129,442 | 168,813 | |||||||||
|
LIABILITIES
|
||||||||||||
|
Current
liabilities
|
||||||||||||
|
Bank
loan
|
45,000 | 45,000 | 6,726 | |||||||||
|
Accounts
payable
|
5,410 | 6,657 | 994 | |||||||||
|
Accrued
expenses and other payables
|
22,475 | 20,643 | 3,086 | |||||||||
|
Deferred
revenue
|
36,074 | 53,370 | 7,977 | |||||||||
|
Amounts
due to related parties
|
2,977 | 720 | 107 | |||||||||
|
Income
tax payable
|
4,098 | 6,920 | 1,034 | |||||||||
|
Total
current liabilities
|
116,034 | 133,310 | 19,924 | |||||||||
|
Deferred
revenue
|
93,155 | 118,601 | 17,727 | |||||||||
|
Other
non-current liabilities
|
15,978 | 20,859 | 3,118 | |||||||||
|
Deferred
tax liabilities
|
2,259 | 836 | 125 | |||||||||
|
Total
liabilities
|
227,426 | 273,606 | 40,894 | |||||||||
|
EQUITY
|
||||||||||||
|
Shareholders’
equity
|
||||||||||||
|
Ordinary
shares
|
||||||||||||
|
-
US$0.0001 par value, 250,000,000 shares authorized, 66,743,693
shares
|
||||||||||||
|
and
66,997,200 shares issued and outstanding as of March 31
and
|
||||||||||||
|
September
30, 2010, respectively
|
46 | 46 | 7 | |||||||||
|
Additional
paid-in capital
|
719,329 | 727,911 | 108,797 | |||||||||
|
Accumulated
other comprehensive income/(loss)
|
2,221 | (12,853 | ) | (1,921 | ) | |||||||
|
Retained
earnings
|
87,290 | 126,859 | 18,962 | |||||||||
|
Total
shareholders’ equity
|
808,886 | 841,963 | 125,845 | |||||||||
|
Noncontrolling
interests
|
10,722 | 13,873 | 2,074 | |||||||||
|
Total
equity
|
819,608 | 855,836 | 127,919 | |||||||||
|
Total
liabilities and equity
|
1,047,034 | 1,129,442 | 168,813 | |||||||||
CHINA CORD BLOOD
CORPORATION
UNAUDITED CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
For
the Three Months and Six Months Ended September 30, 2009 and
2010
|
Three months ended September
30,
|
Six months ended September 30, | |||||||||||||||||||||||
|
2009
|
2010
|
2009
|
2010 | |||||||||||||||||||||
|
RMB
|
RMB
|
US$
|
RMB
|
RMB
|
US$
|
|||||||||||||||||||
|
(in
thousands except per share data)
|
||||||||||||||||||||||||
|
Revenues
|
63,897 | 82,682 | 12,358 | 121,826 | 154,378 | 23,074 | ||||||||||||||||||
|
Direct
costs
|
(17,632 | ) | (19,154 | ) | (2,863 | ) | (33,888 | ) | (36,406 | ) | (5,441 | ) | ||||||||||||
|
Gross
profit
|
46,265 | 63,528 | 9,495 | 87,938 | 117,972 | 17,633 | ||||||||||||||||||
|
Operating
expenses
|
||||||||||||||||||||||||
|
Research
and development
|
- | (1,794 | ) | (268 | ) | - | (3,337 | ) | (499 | ) | ||||||||||||||
|
Sales
and marketing
|
(9,470 | ) | (11,684 | ) | (1,746 | ) | (16,512 | ) | (21,774 | ) | (3,254 | ) | ||||||||||||
|
General
and administrative
|
(12,651 | ) | (20,856 | ) | (3,117 | ) | (24,227 | ) | (40,312 | ) | (6,024 | ) | ||||||||||||
|
Total
operating expenses
|
(22,121 | ) | (34,334 | ) | (5,131 | ) | (40,739 | ) | (65,423 | ) | (9,777 | ) | ||||||||||||
|
Operating
income
|
24,144 | 29,194 | 4,364 | 47,199 | 52,549 | 7,856 | ||||||||||||||||||
|
Other
income/(expense), net
|
||||||||||||||||||||||||
|
Interest
income
|
1,723 | 1,587 | 237 | 2,755 | 4,038 | 604 | ||||||||||||||||||
|
Interest
expense
|
(657 | ) | (672 | ) | (100 | ) | (1,117 | ) | (1,278 | ) | (191 | ) | ||||||||||||
|
Exchange
gain
|
451 | 827 | 124 | 563 | 590 | 88 | ||||||||||||||||||
|
Impairment
loss on available-
|
||||||||||||||||||||||||
|
for-sale
equity securities
|
- | - | - | (21,566 | ) | - | - | |||||||||||||||||
|
Others
|
83 | 774 | 116 | 377 | 890 | 132 | ||||||||||||||||||
|
Total
other income/(expense), net
|
1,600 | 2,516 | 377 | (18,988 | ) | 4,240 | 633 | |||||||||||||||||
|
Income
before income tax
|
25,744 | 31,710 | 4,741 | 28,211 | 56,789 | 8,489 | ||||||||||||||||||
|
Income
tax expense
|
(6,367 | ) | (8,112 | ) | (1,213 | ) | (12,141 | ) | (14,222 | ) | (2,126 | ) | ||||||||||||
|
Net
income
|
19,377 | 23,598 | 3,528 | 16,070 | 42,567 | 6,363 | ||||||||||||||||||
|
Income
attributable to noncontrolling
|
||||||||||||||||||||||||
|
interests
|
(1,391 | ) | (1,616 | ) | (242 | ) | (2,676 | ) | (2,998 | ) | (448 | ) | ||||||||||||
|
Income
attributable to redeemable
|
||||||||||||||||||||||||
|
noncontrolling
interests
|
(347 | ) | - | - | (347 | ) | - | - | ||||||||||||||||
|
Net
income attributable to
|
||||||||||||||||||||||||
|
shareholders
|
17,639 | 21,982 | 3,286 | 13,047 | 39,569 |
5,915
|
||||||||||||||||||
|
Net
income per share:
|
||||||||||||||||||||||||
|
Attributable
to ordinary shares
|
||||||||||||||||||||||||
|
-Basic
|
0.29 | 0.33 | 0.05 | 0.12 | 0.59 | 0.09 | ||||||||||||||||||
|
-Diluted
|
0.27 | 0.33 | 0.05 | 0.11 | 0.58 | 0.09 | ||||||||||||||||||
|
Attributable
to redeemable
|
||||||||||||||||||||||||
|
ordinary
shares
|
||||||||||||||||||||||||
|
-Basic
|
N/A | N/A | N/A | 0.92 | N/A | N/A | ||||||||||||||||||
|
-Diluted
|
N/A | N/A | N/A | 0.92 | N/A | N/A | ||||||||||||||||||
Other
Events
On
November 24, 2010, the Company issued a press release announcing unaudited
consolidated financial results for the three months and six months ended
September 30, 2010. A copy of the press release is attached as Exhibit
99.1.
Exhibits
|
Exhibit No.
|
Description
|
|
|
99.1
|
Press
Release, dated November 24, 2010
|
SIGNATURES
Pursuant to the requirements of the
Securities Exchange Act of 1934, the Registrant has duly caused this
report to be signed on its behalf by the undersigned hereunto duly
authorized.
| CHINA CORD BLOOD CORPORATION | |||
|
|
By:
|
/s/ Albert Chen | |
| Name: | Albert Chen | ||
| Title: | Chief Financial Officer | ||
Dated: November 24, 2010
China
Cord Blood Corporation Reports
Second
Quarter and First Half Fiscal 2011 Financial Results
29.4%
Increase in 2Q11 Revenue
24.6%
Increase in 2Q11 Net Income Attributable to Shareholders
Conference
Call to be Held at 8 am ET November 24, 2010
HONG
KONG, China, November 24, 2010 -- China Cord Blood Corporation (NYSE: CO)
(“CCBC” or “the Company”), China’s leading provider of cord blood collection,
laboratory testing, hematopoietic stem cell processing, and stem cell storage
services, today announced unaudited financial results for the second quarter and
first half of fiscal 2011 ended September 30, 2010.
Second
Quarter of Fiscal 2011 Highlights
|
|
·
|
Net
revenue increased 29.4% to RMB82.7 million ($12.4
million).
|
|
|
·
|
New
subscriber sign-ups grew 22.5% to
13,932.
|
|
|
·
|
Gross
profit increased 37.3% to RMB63.5 million ($9.5
million).
|
|
|
·
|
Gross
margin expanded more than 4 percentage points to
76.8%.
|
|
|
·
|
Operating
income increased 20.9% to RMB29.2 million ($4.4
million).
|
|
|
·
|
Net
income attributable to shareholders increased 24.6% to RMB22.0 million
($3.3 million).
|
First
Half of Fiscal 2011 Highlights
|
|
·
|
Net
revenue increased 26.7% to RMB154.4 million ($23.1
million).
|
|
|
·
|
New
subscriber sign-ups grew 20.0% to
26,112.
|
|
|
·
|
Gross
profit increased 34.2% to RMB118.0 million ($17.6
million).
|
|
|
·
|
Gross
margin expanded more than 4 percentage points to
76.4%.
|
|
|
·
|
Operating
income increased 11.3% to RMB52.5 million ($7.9
million).
|
|
|
·
|
Net
income attributable to shareholders reached RMB39.6 million ($5.9
million).
|
Ms. Ting
Zheng, Chairperson and Chief Executive Officer of China Cord Blood Corporation,
commented, “We are very pleased with our solid performance in the second quarter
of fiscal 2011, which reflects our ongoing achievements to continuously
penetrate our Beijing and Guangdong market. It was also the first
time our quarterly new subscriber numbers exceeded the 13,000 mark and set
new records in terms of revenue and profit. Alongside our encouraging
sales performance, margins also improved on the back of economies of
scale and the recurring storage fee revenue of our business. We
are even more excited by the fact that the general public in Beijing and
Guangdong is becoming increasingly receptive towards umbilical cord blood stem
cells banking services. In view of China’s one-child policy,
one-license per region regime and over 1.2 million babies born in Beijing and
Guangdong each year, we are confident in setting new records for the future
quarters to come. ”
Summary
– The Quarter and First Half ended September 30, 2009 and 2010
|
Three Months
Ended
|
Six Months
Ended
|
|||||||||||||||||||||||
|
September 30,
|
September 30,
|
|||||||||||||||||||||||
|
2009
|
2010
|
2009
|
2010
|
|||||||||||||||||||||
|
RMB(‘000)
|
RMB(‘000)
|
USD(‘000)
|
RMB(‘000)
|
RMB(‘000)
|
USD(‘000)
|
|||||||||||||||||||
|
Revenue
|
63,897 | 82,682 | 12,358 | 121,826 | 154,378 | 23,074 | ||||||||||||||||||
|
Gross
Profit
|
46,265 | 63,528 | 9,495 | 87,938 | 117,972 | 17,633 | ||||||||||||||||||
|
Operating
Income
|
24,144 | 29,194 | 4,364 | 47,199 | 52,549 | 7,856 | ||||||||||||||||||
|
Net Income Attributable
to
|
||||||||||||||||||||||||
|
Shareholders
|
17,639 | 21,982 | 3,286 | 13,047 | 39,569 | 5,915 | ||||||||||||||||||
|
EPS Attributable to Ordinary
Shares
|
||||||||||||||||||||||||
|
– Basic (RMB/USD)
|
0.29 | 0.33 | 0.05 | 0.12 | 0.59 | 0.09 | ||||||||||||||||||
|
|
||||||||||||||||||||||||
|
Revenue Breakdown
(%)
|
||||||||||||||||||||||||
|
Processing
Fee
|
82.6 | % | 79.4 | % | 83.3 | % | 79.3 | % | ||||||||||||||||
|
Storage Fee
|
17.4 | % | 20.6 | % | 16.7 | % | 20.7 | % | ||||||||||||||||
|
New Subscribers
(persons)
|
11,371 | 13,932 | 21,752 | 26,112 | ||||||||||||||||||||
|
Accumulated Total Number of
Subscribers
|
||||||||||||||||||||||||
|
(persons)
|
105,812 | 155,424 | 105,812 | 155,424 | ||||||||||||||||||||
Second
Quarter Fiscal 2011 Financial Results
REVENUE.
Second quarter revenue increased 29.4% to RMB82.7 million ($12.4 million), up
from RMB63.9 million in the same period last year. Revenue from
processing fee increased by 24.4% to RMB65.6 million ($9.8 million) as the
number of new subscribers signed up during the second quarter increased by 22.5%
to 13,932. Revenue from storage fees increased 53.2% year-over-year
to RMB17.1 million ($2.6 million) and the accumulated subscriber base as of
September 30, 2010 reached 155,424, up 46.9% year-over-year. Revenue from
storage fee accounted for 20.6% of the total second quarter revenue, compared to
17.4% in the same period last year.
GROSS
PROFIT. Second quarter gross profit increased to RMB63.5 million ($9.5
million), up 37.3% from RMB46.3 million in the same period last year. Aside
from the strong revenue growth, we also benefited economies of scale
and an increase in revenue from storage fees, which resulted more than four
percentage points margin expansion to 76.8%.
OPERATING
INCOME. Operating income reached RMB29.2 million ($4.4 million), up 20.9%
from RMB24.1 million. The increase in operating income was largely attributable
to robust revenue growth and favorable margin expansion. Operating income as a
percentage of revenue stood at 35.3%, representing a steady sequential
improvement.
Research and
Development expense. Second quarter research and development expense
amounted to RMB1.8 million ($0.3 million) due to the
Company's effort aimed to improve cost structure and operational
efficiency.
Sales and
Marketing expense. Consistent with the ongoing effort to broaden market
coverage and deepen market penetration, second quarter sales and marketing
expense increased 23.4% to RMB11.7 million ($1.7 million). It also reflected the
Company’s commitment to support rising demand and sales activities. With
management’s
effective cost control effort and robust revenue growth, sales and marketing
expense as a percentage of revenue remained stable at 14.1%.
General
Administrative expense. Second quarter general administration expenses
amounted to RMB20.9 million ($3.1 million). General administrative expense as a
percentage of revenue retreated to 25.2%. Management effort to monitor and
control overall administrative expense has yielded preliminary success and
overall administrative expense remains stable on a quarter on quarter
basis.
NET INCOME
ATTRIBUTABLE TO SHAREHOLDERS. Second quarter net income attributable to
shareholders reached RMB22.0 million ($3.3 million). Net margin for
the second quarter of fiscal 2011 was 26.6% which also represented a steady
improvement sequentially. Basic earnings per share for second quarter of fiscal
2011 were RMB0.33 ($0.05).
NET CASH.
As of September 30, 2010, the Company had cash and cash equivalents of RMB338.6
million ($50.6 million), compared to RMB280.8 million as of March 31, 2010. As
of September 30, 2010, total borrowing was RMB45 million ($6.7
million).
Ms. Zheng
concluded, “Our solid track record is a strong testimony with respect to our
ability to commercialize, penetrate, and grow our business. As we
continue to penetrate the Beijing and Guangdong market, we also invested in
Shandong cord blood bank and have executed geographical expansion initiative by
securing our position for the Zhejiang province. Being the only
operator with multiple licenses reflected our competitive advantage to seize
merger and acquisition opportunities and our management team’s ability to
commercialize the cord blood banking services in new regions. As
strong growth is expected from existing Beijing municipality and Guangdong
province, and in the future Zhejiang province, we will also monitor other
emerging opportunities both inside and outside of China. ”
First
Half Fiscal 2011 Financial Results
For first
half of fiscal 2011, total revenue increased 26.7% to RMB154.4 million ($23.1
million), from RMB121.8 million last year. The increase was largely attributable
to the 20.0% increase in new subscriber numbers to 26,112 new subscribers and
the expansion in the accumulated subscriber base to 155,424 subscribers. During
the first half of the year, processing fees and storage fees grew 20.5 % and
57.6%, respectively. Gross profit in the first half of fiscal 2011 increased
34.2% to RMB118.0 million ($17.6 million) from RMB 87.9 million in the prior
year period. In the first half of fiscal 2011, operating income
increased to RMB52.5 million ($7.9 million). First half fiscal 2011 net income
attributable to shareholders was RMB39.6 million ($5.9 million). Basic earnings
per share attributable to ordinary shares were RMB0.59 ($0.09).
Financial
Outlook
The
Company reaffirms
to its previously issued guidance and expects the number of new subscribers for
the fiscal year 2011 to exceed 58,000, which would translate into at least a 30%
increase in net revenue. The management team also expects to have an
accumulated total number of at least 187,000 subscribers at the end of fiscal
2011.
Conference
Call
The
Company will hold a teleconference at 8:00 a.m. ET on Wednesday, November 24,
2010 to discuss its financial performance and give a brief overview of the
Company’s recent developments, followed by a question and answer
session. Interested parties may access the audio webcast through the
following link: http://investor.chinacordbloodcorp.com/playerlink.zhtml?c=206671&s=wm&e=3489976. A replay of the
webcast will be accessible two hours after the presentation and available for
three weeks at the same URL link above. Listeners may also access the
call by dialing 1-718-354-1231 or 1-866-519-4004 for US callers or
+852-2475-0994 for Hong Kong callers, access code: 22793903.
About
China Cord Blood Corporation
China
Cord Blood Corporation is the first and largest cord blood banking operator in
China in terms of geographical coverage and is the only cord blood bank operator
with multiple licenses. Under current PRC government
regulations, only one licensed cord blood bank operator is permitted to operate
in each licensed region and only seven licenses have been authorized as of
today. China Cord Blood Corporation provides cord blood collection, laboratory
testing, hematopoietic stem cell processing and stem cell storage
services. For more information, please visit our website at
http://www.chinacordbloodcorp.com.
Safe
Harbor Statement
This
press release contains forward-looking statements as defined by the Private
Securities Litigation Reform Act of 1995. Forward-looking statements include
statements concerning plans, objectives, goals, strategies, future events,
performance and results of operations, and underlying assumptions and other
statements that are other than statements of historical facts. These statements
are subject to uncertainties and risks including, but not limited to, product
and service demand and acceptance, changes in technology, economic conditions,
the impact of competition and pricing, government regulation, and other risks
contained in statements filed from time to time with the Securities and Exchange
Commission. All such forward-looking statements, whether written or oral, and
whether made by or on behalf of the Company, are expressly qualified by the
cautionary statements and any other cautionary statements which may accompany
the forward-looking statements. In addition, the Company disclaims any
obligation to update any forward-looking statements to reflect events or
circumstances after the date hereof.
This
announcement contains translations of certain Renminbi amounts into U.S. dollars
at specified rates solely for the convenience of readers. Unless otherwise
noted, all translations from Renminbi to U.S. dollars as of and for the periods
ended September 30, 2010 were made at the noon buying rate of RMB6.6905 to $1.00
on September 30, 2010 in the City of New York for cable transfers in Renminbi
per U.S. dollar as certified for customs purposes by the Federal Reserve Bank of
New York. China Cord Blood Corporation makes no representation that the Renminbi
or U.S. dollar amounts referred to in this press release could have been or
could be converted into U.S. dollars or Renminbi, at any particular rate or at
all.
For
more information, please contact:
China
Cord Blood Corporation
Ms.
Joeling Law
Tel:
(+852) 3605-8180
Email:
[email protected]
ICR,
LLC
In New
York: Ashley M. Ammon or Christine Duan: 1-646-277-1227
In
Beijing: Wen Lei Zheng: +86-10-6583-7510
Exhibit 1
CHINA CORD BLOOD
CORPORATION
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
As of
March 31 and September 30, 2010
|
|
March 31,
|
September
30,
|
||||||||||
|
2010
|
2010
|
|||||||||||
|
RMB
|
RMB
|
US$
|
||||||||||
|
(in
thousands except share data)
|
||||||||||||
|
ASSETS
|
||||||||||||
|
Current
assets
|
||||||||||||
|
Cash
and cash equivalents
|
280,835 | 338,641 | 50,615 | |||||||||
|
Accounts
receivable, less allowance for doubtful accounts
|
||||||||||||
|
(March
31, 2010: RMB8,016; September 30, 2010: RMB10,073)
|
61,349 | 56,609 | 8,461 | |||||||||
|
Inventories
|
5,070 | 6,491 | 970 | |||||||||
|
Prepaid
expenses and other receivables
|
13,137 | 10,848 | 1,621 | |||||||||
|
Deferred
tax assets
|
3,443 | 4,441 | 664 | |||||||||
|
Total
current assets
|
363,834 | 417,030 | 62,331 | |||||||||
|
Property,
plant and equipment, net
|
250,491 | 246,756 | 36,882 | |||||||||
|
Non-current
prepayments
|
151,138 | 7,260 | 1,085 | |||||||||
|
Non-current
accounts receivable, less allowance for doubtful accounts
|
||||||||||||
|
(March
31, 2010: RMB9,181; September 30, 2010: RMB15,976)
|
176,874 | 211,360 | 31,591 | |||||||||
|
Inventories
|
29,637 | 31,527 | 4,712 | |||||||||
|
Intangible
asset, net
|
26,297 | 25,812 | 3,858 | |||||||||
|
Available-for-sale
equity securities
|
48,475 | 51,462 | 7,692 | |||||||||
|
Other
investment
|
- | 137,729 | 20,586 | |||||||||
|
Deferred
tax assets
|
288 | 506 | 76 | |||||||||
|
Total
assets
|
1,047,034 | 1,129,442 | 168,813 | |||||||||
|
LIABILITIES
|
||||||||||||
|
Current
liabilities
|
||||||||||||
|
Bank
loan
|
45,000 | 45,000 | 6,726 | |||||||||
|
Accounts
payable
|
5,410 | 6,657 | 994 | |||||||||
|
Accrued
expenses and other payables
|
22,475 | 20,643 | 3,086 | |||||||||
|
Deferred
revenue
|
36,074 | 53,370 | 7,977 | |||||||||
|
Amounts
due to related parties
|
2,977 | 720 | 107 | |||||||||
|
Income
tax payable
|
4,098 | 6,920 | 1,034 | |||||||||
|
Total
current liabilities
|
116,034 | 133,310 | 19,924 | |||||||||
|
Deferred
revenue
|
93,155 | 118,601 | 17,727 | |||||||||
|
Other
non-current liabilities
|
15,978 | 20,859 | 3,118 | |||||||||
|
Deferred
tax liabilities
|
2,259 | 836 | 125 | |||||||||
|
Total
liabilities
|
227,426 | 273,606 | 40,894 | |||||||||
|
EQUITY
|
||||||||||||
|
Shareholders’
equity
|
||||||||||||
|
Ordinary
shares
|
||||||||||||
|
-
US$0.0001 par value, 250,000,000 shares authorized, 66,743,693
shares
|
||||||||||||
|
and
66,997,200 shares issued and outstanding as of March 31
and
|
||||||||||||
|
September
30, 2010, respectively
|
46 | 46 | 7 | |||||||||
|
Additional
paid-in capital
|
719,329 | 727,911 | 108,797 | |||||||||
|
Accumulated
other comprehensive income/(loss)
|
2,221 | (12,853 | ) | (1,921 | ) | |||||||
|
Retained
earnings
|
87,290 | 126,859 | 18,962 | |||||||||
|
Total
shareholders’ equity
|
808,886 | 841,963 | 125,845 | |||||||||
|
Noncontrolling
interests
|
10,722 | 13,873 | 2,074 | |||||||||
|
Total
equity
|
819,608 | 855,836 | 127,919 | |||||||||
|
Total
liabilities and equity
|
1,047,034 | 1,129,442 | 168,813 | |||||||||
Exhibit 2
CHINA CORD BLOOD
CORPORATION
UNAUDITED CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
For
the Three Months and Six Months Ended September 30, 2009 and
2010
|
Three months ended September
30,
|
Six months ended September 30, | |||||||||||||||||||||||
|
2009
|
2010
|
2009
|
2010 | |||||||||||||||||||||
|
RMB
|
RMB
|
US$
|
RMB
|
RMB
|
US$
|
|||||||||||||||||||
|
(in
thousands except per share data)
|
||||||||||||||||||||||||
|
Revenues
|
63,897 | 82,682 | 12,358 | 121,826 | 154,378 | 23,074 | ||||||||||||||||||
|
Direct
costs
|
(17,632 | ) | (19,154 | ) | (2,863 | ) | (33,888 | ) | (36,406 | ) | (5,441 | ) | ||||||||||||
|
Gross
profit
|
46,265 | 63,528 | 9,495 | 87,938 | 117,972 | 17,633 | ||||||||||||||||||
|
Operating
expenses
|
||||||||||||||||||||||||
|
Research
and development
|
- | (1,794 | ) | (268 | ) | - | (3,337 | ) | (499 | ) | ||||||||||||||
|
Sales
and marketing
|
(9,470 | ) | (11,684 | ) | (1,746 | ) | (16,512 | ) | (21,774 | ) | (3,254 | ) | ||||||||||||
|
General
and administrative
|
(12,651 | ) | (20,856 | ) | (3,117 | ) | (24,227 | ) | (40,312 | ) | (6,024 | ) | ||||||||||||
|
Total
operating expenses
|
(22,121 | ) | (34,334 | ) | (5,131 | ) | (40,739 | ) | (65,423 | ) | (9,777 | ) | ||||||||||||
|
Operating
income
|
24,144 | 29,194 | 4,364 | 47,199 | 52,549 | 7,856 | ||||||||||||||||||
|
Other
income/(expense), net
|
||||||||||||||||||||||||
|
Interest
income
|
1,723 | 1,587 | 237 | 2,755 | 4,038 | 604 | ||||||||||||||||||
|
Interest
expense
|
(657 | ) | (672 | ) | (100 | ) | (1,117 | ) | (1,278 | ) | (191 | ) | ||||||||||||
|
Exchange
gain
|
451 | 827 | 124 | 563 | 590 | 88 | ||||||||||||||||||
|
Impairment
loss on available-
|
||||||||||||||||||||||||
|
for-sale
equity securities
|
- | - | - | (21,566 | ) | - | - | |||||||||||||||||
|
Others
|
83 | 774 | 116 | 377 | 890 | 132 | ||||||||||||||||||
|
Total
other income/(expense), net
|
1,600 | 2,516 | 377 | (18,988 | ) | 4,240 | 633 | |||||||||||||||||
|
Income
before income tax
|
25,744 | 31,710 | 4,741 | 28,211 | 56,789 | 8,489 | ||||||||||||||||||
|
Income
tax expense
|
(6,367 | ) | (8,112 | ) | (1,213 | ) | (12,141 | ) | (14,222 | ) | (2,126 | ) | ||||||||||||
|
Net
income
|
19,377 | 23,598 | 3,528 | 16,070 | 42,567 | 6,363 | ||||||||||||||||||
|
Income
attributable to noncontrolling
|
||||||||||||||||||||||||
|
interests
|
(1,391 | ) | (1,616 | ) | (242 | ) | (2,676 | ) | (2,998 | ) | (448 | ) | ||||||||||||
|
Income
attributable to redeemable
|
||||||||||||||||||||||||
|
noncontrolling
interests
|
(347 | ) | - | - | (347 | ) | - | - | ||||||||||||||||
|
Net
income attributable to
|
||||||||||||||||||||||||
|
shareholders
|
17,639 | 21,982 | 3,286 | 13,047 | 39,569 |
5,915
|
||||||||||||||||||
|
Net
income per share:
|
||||||||||||||||||||||||
|
Attributable
to ordinary shares
|
||||||||||||||||||||||||
|
-Basic
|
0.29 | 0.33 | 0.05 | 0.12 | 0.59 | 0.09 | ||||||||||||||||||
|
-Diluted
|
0.27 | 0.33 | 0.05 | 0.11 | 0.58 | 0.09 | ||||||||||||||||||
|
Attributable
to redeemable
|
||||||||||||||||||||||||
|
ordinary
shares
|
||||||||||||||||||||||||
|
-Basic
|
N/A | N/A | N/A | 0.92 | N/A | N/A | ||||||||||||||||||
|
-Diluted
|
N/A | N/A | N/A | 0.92 | N/A | N/A | ||||||||||||||||||