updated 4/28/2011 2:17:12 PM ET 2011-04-28T18:17:12

NEW YORK and HARBIN, China, April 28, 2011 (GLOBE NEWSWIRE) -- American Jianye Greentech Holdings, Ltd. (OTCBB:AJGH), a leading China-based developer, manufacturer and distributor of alcohol-based automobile fuels and civil-use fuels, including methanol, ethanol, and blended fuels, today announced financial results for the year ended December 31, 2010.

2010 financial highlights:

  • Revenue of $92.8 million versus $9.7 million for 2009
  • Gross profit of $12.4 million versus $1.3 million for 2009
  • Net income of $8.8 million, or $0.28 per share, versus $943,342, or $0.03 per share in 2009

Mr. Haipeng Wang, Chairman and Chief Executive Officer, stated, "We are extremely pleased to report an 853% increase in sales to $92.8 million. Not only have we achieved strong year-over-year growth, we but we also achieved strong sequential growth each quarter in 2010. These impressive results clearly illustrate the growing demand for our high-quality, alcohol-based fuels. These fuels are lower cost than petroleum fuels and burn with higher efficiency as well as significantly lower toxic waste emissions due to our proprietary and patented catalysts. Most important, unlike conventional fuel blends that are unable to exceed 15% alcohol content, our fuels can go up to 85% alcohol without any modification to the automobile engine or gas station equipment."

"In response to the growing demand for our fuels, we are in the process of building two new production facilities. These facilities are strategically located in the north, within Tieling, and in the south, within Guangxi. These two production facilities will have combined capacity of more than 400,000 tons per year. Once operating at full capacity, we believe these facilities can support close to $200 million per year each, with 10% operating profit margins. We expect the Guangxi facility to commence operations during the first half of 2011, followed by the Tieling facility, which should commence operations by the end of 2011."

Revenue for the year ended December 31, 2010 was $92.8 million, compared to $9.7 million for the year ended December 31, 2009. Gross profit was $12.4 million for the year ended December 31, 2010 compared to $1.3 million for 2009. Net income for 2010 was $8.8 million, or $0.28 per diluted share, compared to $943,342, or $0.03 per diluted share for 2009. 

About American Jianye Greentech Holdings

American Jianye Greentech Holdings, headquartered in Harbin, China, is a leading developer, manufacturer and distributor of alcohol-based fuel. The company's alcohol-based fuels burn with higher efficiency and significantly lower toxic waste emissions than unleaded gasoline. The unique combination of catalysts in the fuel enhance fuel octane rating and engine power, inhibit the premature oxidation of the fuel, help remove sediment in the carburetor, and prevent the erosion of the engine cylinder surface. Additional information about the company is available at: www.americanjianyegroup.com .

Forward Looking Statements

This release contains certain "forward-looking statements" relating to the business of the Company. These forward looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions. Such forward looking statements involve known and unknown risks and uncertainties that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website ( www.sec.gov ). All forward-looking statements attributable to the Company or to persons acting on its behalf are expressly qualified in their entirety by these factors other than as required under the securities laws. The Company does not assume a duty to update these forward-looking statements.

 
AMERICAN JIANYE GREENTECH HOLDINGS, LTD.
CONSOLIDATED BALANCE SHEETS
     
   December 31, December 31,
  2010 2009
Assets    
Current Assets    
 Cash and cash equivalents 655,640 80,366
 Accounts receivable, net 198,239 9,698,078
 Prepaid construction costs 18,718,399 --
 Notes receivable for stock subscription 510,000 --
 Other current assets 38,165 75,059
  20,120,443 9,853,503
     
Property, plant and equipment 4,857,036 841
Deposits for acquisition of a land use right 1,668,740 --
Other deposits -- 146,700
Total Assets 26,646,219 10,001,044
     
Liabilities and Stockholders' Equity     
Current Liabilities    
 Accounts payable 10,458,783 6,089,600
 Accounts payable- related parties 792,457 2,304,098
 Accrued expenses 382,751 32,693
 Income tax payable 3,757,791 314,511
 Due to related parties 178,055 266,582
 Due to a shareholder 107,922 -- 
 Total liabilities 15,677,759 9,007,484
     
Stockholders' Equity     
 Common stock, $0.001 par value, 394,500,000 shares authorized,

32,010,148 and 31,100,770 fully-paid shares issued and 

outstanding as of December 31, 2010 and 2009 respectively
32,010 31,101
     
1,100,000 and 0 unpaid shares issued and outstanding as of 

December 31, 2010 and 2009 respectively
1,100 --
     
Preferred stock, $0.001 par value, 5,500,000 shares 

authorized, 0 shares issued and outstanding 
 --   -- 
Additional paid-in capital 926,890 18,899
Accumulated other comprehensive income 261,489 218
Retained earnings 9,746,971 943,342
 Total stockholders' equity  10,968,460 993,560
     
Total Liabilities and Stockholders' Equity  26,646,219 10,001,044
 
 
 
AMERICAN JIANYE GREENTECH HOLDINGS LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
     
     
  For the Year Ended
  December 31,

2010
December 31,

2009
     
Sales $92,834,176 $9,740,392
     
Cost of sales 80,411,956 8,391,981
     
Gross profit 12,422,220 1,348,411
     
Operating expenses:    
 Selling, general and administrative 583,793 90,622
     
Income from operations 11,838,427 1,257,789
     
Provision for income taxes 3,034,798 314,447
     
Net Income  8,803,629 943,342
     
Other comprehensive income    
 Foreign currency translation adjustment 261,271  -- 
     
Comprehensive income  $9,064,900 $943,342
     
Net Income Per Share--     
 Basic and Diluted $0.28 $0.03
     
Weighted Average Shares Outstanding:    
 Basic and Diluted 31,465,277 28,407,773
 
AMERICAN JIANYE GREENTECH HOLDINGS, LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
     
  For the Year Ended
  December 31,

2010
December 31,

2009
Cash flows from operating activities    
 Net income $8,803,629 $943,342
 Adjustments to reconcile net income to net cash    
 used in operating activities:    
 Depreciation expense 323  --
 Changes in assets and liabilities:    
 Accounts receivable 9,614,815 (9,696,095)
 Other current assets 38,698 (75,043)
 Other deposits  38,302 (146,670)
 Accounts payable 2,481,551 8,391,981
 Accrued expenses  340,885 32,671
 Income tax payable 3,345,941 314,447
 Net cash provided by operating activities 24,664,144 (235,367)
     
Cash flows from investing activities    
Capital contribution -- 50,000
 Construction in process (4,734,604) --
 Prepaid construction costs (18,251,305) --
 Deposit payment for land use right (1,517,036) --
 Purchases of property, plant and equipment (704) (841)
 Net cash used in investing activities (24,503,649) 49,159
     
Cash flows from financing activities    
 Advances from related parties (95,994) 119,857
 Amount due to a shareholder 105,291 146,670
 Subscription receivable (510,000) --
 Issuance of common stock 910,000  --
 Net cash used in financing activities 409,297 266,527
     
Net increase in cash and cash equivalents 569,792 80,319
     
Effect of exchange rate changes on cash and cash equivalent 5,482   47
     
Cash and cash equivalents    
 Beginning 80,366  -- 
 Ending $655,640 $80,366
CONTACT:  InvestorRoadshow.com
          (516) 450-3119

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