China Tracker - Details for Skystar Bio-Pharmaceutical (SKBI)

 Skystar Bio-Pharmaceutical
Shares Outstanding (MRQ): 7.16 mill
New Shares / Dilution (TTM): 0.02 mill0.30%
New Shares / Dilution (since Dec 31, 2008): 3.51 mill96.25% 
Cash (MRQ): 5.05 mill14,092.60%
Account Receivables (MRQ): 3.98 mill11,111.72%
Account Receivables (Q/Q): -1.79 mill-31.05%
Long-Term Debt (MRQ): 1.33 mill3,712.81%
Revenue Growth (Q/Q): 28.35% 
Revenue Growth (Y/Y): 10.06% 
Net Income Growth (Q/Q): -4.10% 
Net Income Growth (Y/Y): -48.33%
EPS Growth (Y/Y): -48.48%
Net Margin (Q/Q): 12.6% (16.9%)-4.30% 
Net Margin (Y/Y): 12.6% (26.9%)-14.30% 
EPS | P/E (2 MRQ Projection): $0.650.01
CFPS | P/CF (2 MRQ Projection): -$1.10-0.00
Price/Sales (2 MRQ Projection): 0.00
Price/Book (MRQ): 0.00
Auditor: Crowe Horwath
 
 Forward Projections (Fiscal Year)
EPS | P/E (Estimates updated 2011-08-23): $0.950.01
 Basic Facts and History (show more)
Reporting Type: U.S. Company (10-K Filings) 
Going Public: Reverse Merger on 2005-11-07 
Uplisting to Senior Exchange: on 2009-06-26 at $7.85 (-99.94% since Uplisting)

 Business Outlook

The increase in research and development costs is necessary to remain competitive as the Company believes that it can no longer rely on making significant pre-payments for raw materials to protect its gross margins in the long term. We maintain a long term strategy for achieving sustained growth and profitability by periodically developing new high gross margin products according to demand and expanding manufacturing capability and distribution. In order to preserve market share and expand into new territories, we have not raised our sales prices as we believe our customers would not be able to absorb pricing increases in this environment and such an increase would erode our market share.

The fundamental challenge for Skystar is to utilize our industry expertise in staying on top of customer needs while maintaining profitability for our shareholders. China's overall market demand for animal based protein and the evolving commercial animal husbandry industry has not diminished and will drive the long term demand for our products, our growth, and our profitability for years to come. With this in mind, we believe that Skystar has taken the necessary measures to maintain our position as a market leader while weathering negative near term events. We value our shareholders and believe that we have positioned Skystar for long term growth in spite of a challenging operating environment.

In light of the current economic environment, we are taking a conservative approach to financial guidance for fiscal year 2011. The Company confidently expects to generate full fiscal revenue in the range of $52.0 million to $55.0 million.

(Source: Marketwire, 2011-08-22)

The Company reiterates fiscal year 2011 revenue guidance to be in the range of $60 million to $63 million for the full year.

(Source: Marketwire, 2011-05-23)

Presently, Skystar anticipates delivering top line revenue in the range of $60.0 to $63.0 million with a gross margin of 50% to 55% for 2011.

"The Company is still in the process of closing the Kunshan based probiotics micro-organism manufacturing plant in Jiangsu province. The Company as of current has invested roughly $8 million in connection with the acquisition. As of October 2010 the Company has received the title of land use right for the facility. Skystar expects the final stages related to clearing all necessary government approvals to close this acquisition to be completed within the first half of fiscal 2011. Skystar forecasts this production facility will contribute approximately $35 million to $39 million in 5 years."

Skystar in 2010 saw significant inflation pressures building in China. However, the Company had been able to secure favorable pricing by prepaying for raw materials to major suppliers. The Company anticipates that inflationary pressures will continue in 2011. As a result, the Company is continuing with its buy-forward strategy to suppliers in order to have better control of costs for raw materials.

"We are excited with the momentum that Skystar has built as a leader in China's animal healthcare space and as the only U.S. listed pureplay animal healthcare stock. We fully anticipate our current acquisitions and expanded manufacturing facilities to ramp up, bear fruit and further improve Skystar's profitability."

(Source: Marketwire, 2011-04-12)

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 Analyst Coverage (show more)
2011-05-24Rodman & RenshawReiterationOutperform$15.00
2011-04-12Rodman & RenshawReiterationOutperform$15.00
2011-01-06WBB SecuritiesReiterationSell Short$5.00
2010-11-16Rodman & RenshawReiterationOutperform$15.00
2010-11-16Hudson SecuritiesReiterationBuy$14.00

SKBI is currently followed by 3 analysts. 2 give the stock a positive rating, 0 rate it neutral and 1 give it a negative rating. The average price target is 11.33, which implies 226,566.66% upside from current price.


    see all Analyst Ratings

 Recent Financings
2009-07-02Priced$18.17 mill2.80 mill shares$6.49

 Investor Presentations
2010-05-17 (HTML)   VIEW
2010-03-16 (HTML)   VIEW
SKBI
Agriculture
SCORE
6
READ: Score Cards Explained
SAFETY/RISK SCORE
HIGH RISK
DETAILS: Safety/Risk Model for SKBI
Current Price:  $0.01
F10k Day (2007-08-13): -99.96%$12.00
2009 Close: -99.96%$10.10
2010 Close: -99.95%$9.73
2011 Close: -99.82%$2.74
High (2012-02-15): -99.85%$3.24
Low (2012-09-21): -99.68%$1.52
Exchange: PNK
Market Capitalization: 0.04 mill
Total Shares: 7.16 mill
Float: n/a
Avg Volume: 24.50 k
Short Interest: 138.60 k
Short Ratio: 2.32%5.7 d
Last Quarter: 2011-06-30
Revenue (MRQ): 9.10 mill
Net Income (MRQ): 1.15 mill
Op. Cash Flow (MRQ): 2.37 mill
all financial data provided without warranty