Nine Chengguan first half of the net profit of 800,000 U.S. dollars year-on-year

Sina Science and technology news Beijing time of October 21, nine Chengguan Trade (Nasdaq:nine) today released the first half of the 2011 fiscal year as at June 30 earnings. The report shows that the first half of the nine Chengguan trade net revenue of 31.9 million yuan (about 4.9 million U.S. dollars), compared with the same period last year, 38.4 million yuan (about 5.7 million U.S. dollars) slipped 17%, net profit of 5.2 million yuan (about 800,000 U.S. dollars), the same period last year net losses of 7 million yuan (　　About 1 million dollars). Main achievements:-nine Chengguan trade in the first half of the net revenue of 31.9 million yuan (about 4.9 million U.S. dollars), compared with the same period last year, 38.4 million yuan (about 5.7 million U.S. dollars) slipped 17%; Nine Chengguan first half of the net profit of 5.2 million yuan (about 800,000 U.S. dollars), the net loss for the same period last year was 7 million yuan (about 1 million U.S. dollars); The basic and diluted earnings of the first half of the United States Depository Receipts (per share of US depository receipts representing a common stock) were 0.14 yuan (　　Approx. 0.02 USD) and RMB 0.13 (USD 0.02), the basic and diluted losses for each share of US depository receipts in the same period last year were RMB 0.20 (about 0.03 USD).　　Financial Analysis: Nine Chengguan trade in the first half of the net revenue of 31.9 million yuan (about 4.9 million U.S. dollars), compared with the same period last year, 38.4 million yuan (about 5.7 million U.S. dollars) slipped 17%. Nine Chengguan first half of the enterprise software business net revenue of 25.5 million yuan (about 3.9 million U.S. dollars), in the total net revenue of the company accounted for 80%, the same period last year accounted for 63%; Software Development Services Net revenue is 2.1 million yuan (about 300,000 U.S. dollars), in the total net revenue of the company accounted for 7% , which accounted for 31% per cent over the same period last year, mainly because of declining demand for software development services.　　Nine Chengguan trade in the first half of the food-related business net revenue of 4.3 million yuan (about 700,000 U.S. dollars), in the company's total net revenue accounted for the proportion of 13%, the same period last year accounted for the proportion of 6%. Nine Chengguan trade in the first half of the gross profit of 26.4 million yuan (about 4.1 million U.S. dollars), the same period last year, 32.6 million yuan (about 4.8 million U.S. dollars).　　The first half of the nine Chengguan trade margin was 83%, slightly lower than the same period last year 85%.　　Nine Chengguan trade in the first half of the total operating expenses of 43.3 million yuan (about 6.7 million U.S. dollars), compared with the same period last year, 73.1 million yuan (about 10.8 million U.S. dollars) slipped 41%, compared with the second half of 2010 yuan 51.4 million yuan (about 7.8 million U.S. dollars) slipped 16%. Nine Chengguan trade sales and marketing expenditures for the first half of the 9.2 million yuan (about 1.4 million U.S. dollars), compared to the same period last year, 7.8 million yuan (about 1.1 million U.S.Yuan) grew by 19%, up 4% from the 8.9 million yuan (about 1.3 million US dollars) in the second half of 2010.　　Nine Chengguan trade sales and marketing expenditure growth, mainly due to the increase in the number of food-related business staff, as well as advertising and exhibition expenditure growth. Nine Chengguan trade in the first half of the general services and administrative expenditure of 31.9 million yuan (about 4.9 million U.S. dollars), compared with the same period last year, 54.1 million yuan (about 8 million U.S. dollars) slipped 41%, compared with the second half of 2010 yuan 35.4 million yuan (about 5.4 million U.S. dollars) slipped 10%.　　The decline of the nine Chengguan trade General Affairs and administrative expenditure is mainly due to the substantial decrease of the equity incentive expenditure. Nine Chengguan trade research and development expenditure for the first half of the 5.3 million yuan (about 800,000 U.S. dollars), than the same period last year, 7.9 million yuan (about 1.2 million U.S. dollars) slipped 33%, compared with the second half of 2010 Yuan 7.8 million yuan (about 1.2 million U.S. dollars) slipped 31%.　　Nine Chengguan trade research and development spending fell year-on-year, mainly because of the implementation of a cost-cutting program in the government sector, as well as the reduction of equity incentive spending. Nine Chengguan trade in the first half of the operating loss of 17 million yuan (about 2.6 million U.S. dollars), the same period last year operating losses of 40.5 million yuan (about 6 million U.S. dollars).　　The decrease in operational losses of the nine Chengguan trade was mainly due to the decrease in general and administrative expenditures and the reduction in the provision of suspicious accounts. Nine Chengguan trade in the first half of the year other income is 22.6 million yuan (about 3.5 million U.S. dollars), the same period of the other income of 34.7 million yuan (about 5.1 million U.S. dollars).　　Nine Chengguan trade Other income includes interest income, proceeds from the sale of short-term investments, and spin-off of investment proceeds and other income based on cost method. The net profit of the first half of the nine Chengguan trade was RMB 5.2 million (about 800,000 USD), and net loss was 7 million yuan (about 1 million USD) in the same period last year. The basic and diluted earnings of the first half of the United States depository receipts per share of the United States Depository Receipts (US $0.02) and RMB 0.13 (about 0.02 US dollars) were RMB 0.14 (USD $), respectively.　　The basic and diluted losses for each share of US depository receipts in the same period last year were RMB 0.20 ($ 0.03). As at June 30, 2011, the total amount of cash, cash equivalents and time deposits held by the Kowloon Chengguan Trade was RMB 197.6 million (about 30.6 million US dollars), and amounted to 508.8 million yuan (about $77.1 million) as at December 31, 2010.　　The decrease in cash, cash equivalents and term deposits held by the nine Chengguan trade was mainly due to the company's cash investment in the new property development business. As of June 30, 2011, nine Chengguan Trade's deferred revenue was RMB 11.1 million yuan (about 1.7 million U.S. dollars), compared to December 31, 2010 of 10.7 million yuan (about 1.6 million U.S. dollars) growth of 4%. Nine Chengguan trade deferred revenue growth, mainly byOverall growth in net revenue from the sale of ideclare products and services.　　Note: The currency exchange rate in this financial results is 1 US dollars against RMB 6.4635 yuan. Conference call: After the earnings released, the nine Chengguan trade will be in the U.S. Eastern Time October 20 20:00 (Beijing time October 21 8:00) to convene a conference call. The nine Chengguan trade management will attend the conference call to interpret the earnings points and answer questions from investors and analysts.　　To listen to the nine Chengguan trade conference call, investors can call +1-646-254-3434, the password is "17510930". US Eastern Time October 20 23:00 (Beijing time October 21 11:00) to the United States East time October 27 23:00 (Beijing time October 28 11:00), investors can call +1-866-214-5335 to listen to the nine Chengguan trade conference call Recordings, The password is "17510930". In addition, investors can also visit the nine Chengguan trade website Www.ninetowns.com/english to listen to the teleconference webcast and recording. (Tangfeng) to share: