Worldwide Energy and Manufacturing Reports Full Year Results for 2008

SOUTH SAN FRANCISCO, CA and SHANGHAI, CHINA -- (MARKET WIRE) -- Apr 13, 2009 -- Worldwide Energy and Manufacturing USA, Inc. (OTCBB: WEMU), a U.S.-based China manufacturing company specializing in products for customers in the industries of solar energy, aerospace, wireless telecommunications, medical equipment and automotive industries, today announced record revenue and net income for the fiscal year ended December 31, 2008. The Company has scheduled a conference call for Tuesday, April 14, 2009 at 4:15 p.m. Eastern time (1:15 p.m. Pacific) to discuss these results. Details of the call follow below.

Net sales for the year ended December 31, 2008 were $45,913,957 compared to $12,132,710 for the year ended December 31, 2007, an increase of $33,781,247, or approximately 278.4%. The primary reason for the increase was due to the Company's solar energy division, which started in February 2008 and generated sales of $30,999,962. Additionally, the 55% acquisition on October 14, 2008 of Shanghai Intech-Detron Electric and Electronic Company Limited ("Detron") generated sales of $1,720,965 for the Company in the fourth quarter. Detron is a power supply factory in Shanghai, China, with designing and R&D capabilities. Detron generated sales of $1,720,965 for the Company in the fourth quarter.

For the year ended December 31, 2008, gross profits were $6,167,671 (13.4% of sales) compared to $3,782,089 in 2007 (31% of sales). The decline of gross profits as a percentage of sales (17.6 percentage points) occurred because the Company utilized more sub-contractors for the production of its solar modules, along with softness in the price of solar modules. It is expected that gross margins will improve as the Company continues its transition to becoming a direct manufacturer for its solar module products and as the newly established factory is now fully operational. As well, the outlook for solar modules margins will improve as the raw material necessary for the production of modules are expected to decline.

Net profit for the year ended December 31, 2008 was $1,459,875 compared to $575,674 for the year ended December 31, 2007. The increase of $884,201, or 153.6%, was the result of higher sales from the Company's solar division. Earnings per share were $0.44 for the full year ended 2008 compared to $0.28 per share in 2007.

Mr. Jimmy Wang, CEO of Worldwide Energy and Manufacturing, stated: "We are very pleased to announce the best year end result in our company's history. Our Solar Energy division is performing beyond expectations and with our new solar factory and new solar contracts, we expect triple-digit growth both in revenue and net income in 2009. We are projecting $100 million in revenues and $5 million in net income for 2009."

He continued, "Already we have $52 million in backlog solar orders for 2009. Our new solar factory in Ningbo, China has the capacity to generate $225 million in revenue. Our gross margins and ultimately our net margins will increase substantially as we will manufacture all solar modules in our own factory. Our strong financial performance clearly demonstrates that the company has successfully made the transition into the renewable energy market as well as maintaining strength in its other contract manufacturing business. We have successful laid the foundation in 2008 to provide explosive growth in 2009."

Balance Sheet

As of December 31, 2008, the current assets of Worldwide were $14,905,221 compared to current assets as of December 31, 2007 of $8,210,711. This represents an increase of $6,694,510 or approximately 44.9%. The increase in current assets was primarily the result of an increase in cash, accounts receivable, and inventory. The Company's cash increased by $2,980,651; largely as a result of the Company's sales in June 2008 of 1,055,103 shares of its common stock. As well, the Company had additional subscriptions for the sale of an aggregate of $252,027, or 56,007 shares of common stock. In addition, accounts receivable increased by 1,515,482, or 31.6%, as a result of the Company's sales growth. Accounts receivable were $4,790,506 for the year ended December 31, 2008 compared to $3,275,024 for the year ended December 31, 2007. The last major factor contributing to the increase in current assets was the increase in inventory of $1,421,617. Inventory was $3,754,765 for the year ended December 31, 2008 compared to $2,333,148 for the year ended December 31, 2007. Inventory increased as a result of the establishment in December of 2008 of the Ningbo Solar factory and the acquisition of Detron in October of 2008.

Current liabilities at December 31, 2008 totaled $6,622,731 compared with $4,447,946 at December 31, 2007. This represents an increase of $2,174,785 or 48.9%. The increase in current liabilities was due to an increase in accounts payable of $946,936, or 38.6%, as the result of the Company's growth. Accounts payables were $3,400,253 in December of 2008 compared to accounts payable of $2,453,317 in December of 2007. The other major contributor to the increase in current liabilities was liabilities due to our recent acquisition of Detron in October of 2008, which amounted to $1,243,024. The Company's current ratio improved to 2.25 to 1 for the period ended December 31, 2008 compared to 1.85 to 1 at 2007 year end.

Total assets were $19,092,295 for the year ended December 31, 2008 compared to $8,762,841 for the year ended December 31, 2007. The increase of $10,329,454, or approximately 117.9%, was the result of the following factors: 1) Sale of unregistered securities for $4,597,587; 2) the acquisition of Detron and the establishment of the new solar factory in Ningbo, China, which resulted in increases in property plant and equipment of $808,045; 3) Property, Plant and equipment totaled $1,353,539 in the year ended December 31, 2008 compared to $545,494 in December of 2007; 4) increase in inventory and accounts receivable due to the Company's growth in 2008; and, 5) the purchase of the AmeriSolar brand name and technology.

Conference Call

The call information follows:
Date: April 14, 2009
Time: 4:15 p.m. Eastern Daylight Time
Dial-in number for US/Canada:  (800) 762-8795 or (480) 248-5081 for
International calls

A replay of the call will be available for two weeks from 7:15 p.m. EDT April 14, 2009 until 11:59 p.m. EDT on April 28, 2009. The number for the replay is (800) 406-7325, or (303) 590-3030 for international calls; the passcode for the replay is 4054928. In addition, a recording of the call will be available via the company's website at http://www.wwmusa.com for one year.

About Worldwide Energy and Manufacturing USA, Inc.

Worldwide Energy and Manufacturing USA, Inc. ("Worldwide"), headquartered in South San Francisco, California, is a 15-year-old engineering-oriented firm specializing in PV panel, mechanical, electronics and fiber optic products manufacturing. The company's worldwide customer base includes the industries of solar energy, wireless telecommunications, aerospace, automobiles and medical equipment. Subsidiaries include Worldwide Energy and Manufacturing Ningbo Co., Ltd, Shanghai Intech Electro Mechanical Products Co. Ltd., Shanghai Intech Electronics Manufacturing Co. Ltd. and Shanghai Intech Precision Mechanical Products Manufacturing Co. Ltd., and Shanghai Intech-Detron Electric and Electronic Company Limited located in Shanghai and Ningbo, China.

For further information on Worldwide Energy and Manufacturing USA, Inc., please visit http://www.wwmusa.com. You may register to receive Worldwide Energy and Manufacturing USA, Inc.'s future press releases or request to be added to the Company's distribution list by contacting John Ballard.

Forward-looking statements:

The above news release contains forward-looking statements. The statements contained in this document that are not statements of historical fact, including but not limited to, statements identified by the use of terms such as "anticipate," "appear," "believe," "could," "estimate," "expect," "hope," "indicate," "intend," "likely," "may," "might," "plan," "potential," "project," "seek," "should," "will," "would," and other variations or negative expressions of these terms, including statements related to expected market trends and the Company's performance, are all "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. These statements are based on assumptions that management believes are reasonable based on currently available information, and include statements regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performances, and are subject to a wide range of external factors, uncertainties, business risks, and other risks identified in filings made by the company with the Securities and Exchange Commission. Actual results may differ materially from those indicated by such forward-looking statements. The Company expressly disclaims any obligation or undertaking to update or revise any forward-looking statement contained herein to reflect any change in the company's expectations with regard thereto or any change in events, conditions or circumstances upon which any statement is based.


      WORLDWIDE ENERGY AND MANUFACTURING USA, INC. AND SUBSIDIARIES
                        CONSOLIDATED BALANCE SHEETS



                                                  December 31  December 31
                                                                  2008                  2007
                                                                                                    ------------  ------------
                                          ASSETS
Current  assets:
    Cash  and  cash  equivalents                                              $    5,092,476  $    2,111,825
    Accounts  receivables,  net  of  allowances  of
      $45,634                                                                                      4,790,506        3,275,024
    Notes  receivables                                                                        269,507                        -
    Inventories                                                                                3,754,765        2,333,148
    Income  tax  receivable                                                                            -              82,131
    Advances  to  suppliers                                                                  99,824            260,540
    Related  parties  receivables                                                    446,373              30,422
    Prepaid  and  other  current  assets                                          451,770            117,621

                                                                                                    ------------  ------------
Total  current  assets                                                                14,905,221        8,210,711

Deposits  paid  for  investment                                                  1,724,976                        -
Property,  plant  and  equipment,  net                                      1,353,539            545,494
Intangible  assets                                                                        1,101,000                        -
Other  assets                                                                                          7,559                6,636
                                                                                                    ------------  ------------

Total  assets                                                                            $  19,092,295  $    8,762,841
                                                                                                    ============  ============

            LIABILITIES  AND  STOCKHOLDERS'  EQUITY

Current  liabilities:
    Accounts  payable                                                                $    3,400,253  $    2,453,317
    Lines  of  credit                                                                                        -        1,758,584
    Accrued  expenses                                                                          867,291            156,524
    Tax  payable                                                                                    147,165              78,637
    Due  to  related  parties                                                          1,243,024                        -
    Customer  deposits                                                                        964,998                        -
    Current  portion  of  long-term  debt  (note  10)                                -                    884

                                                                                                    ------------  ------------
Total  current  liabilities                                                        6,622,731        4,447,946

Non-current  liabilities
    Long  term  loan                                                                              937,075                        -
    Loan  payable  to  stockholders                                                    60,024            498,812
                                                                                                    ------------  ------------
Total  non-current  liabilities                                                    997,099            498,812

                                                                                                    ------------  ------------
Total  liabilities                                                                        7,619,830        4,946,758

Minority  interest  in  subsidiary                                                612,639                        -

Stockholders'  equity
    Common  stock  (No  Par  Value:  100,000,000  shares
      authorized;  3,493,512  shares  issued  and
      outstanding)                                                                            6,108,379            270,746
    Retained  earnings                                                                    4,259,533        3,250,112
    Accumulated  other  comprehensive  income                              491,914            295,225
                                                                                                    ------------  ------------

Total  stockholders'  equity                                                    10,859,826        3,816,083
                                                                                                    ------------  ------------

Total  liabilities  and  stockholders'  equity                $  19,092,295  $    8,762,841
                                                                                                    ============  ============







            WORLDWIDE  ENERGY  AND  MANUFACTURING  USA,  INC.  AND  SUBSIDIARIES
                                    CONSOLIDATED  STATEMENTS  OF  INCOME  AND
                                                      COMPREHENSIVE  INCOME




                                                                                                        For  The  Year  Ended
                                                                                                                December  31
                                                                                                        2008                    2007
                                                                                                ------------    ------------
Revenue
Regular  sales,  net  of  returns  of  $0  in  2007  and
  $0  in  2006                                                                          $  45,913,957    $  12,132,710

Cost  of  goods  sold                                                                39,746,286          8,350,621
                                                                                                ------------    ------------
    Gross  profit                                                                          6,167,671          3,782,089

Operating  Expenses
    Other  selling,  general  and  administrative
      expenses                                                                                3,832,363          2,769,847
    Management  and  professional  fees  paid  to
      shareholders  (Note  13)                                                        306,000              210,000
    Stock  based  compensation                                                      128,597                          -
    Depreciation                                                                              122,923              106,480

                                                                                                ------------    ------------
Total  operating  expenses                                                      4,389,883          3,086,327
                                                                                                ------------    ------------

Net  operating  income                                                              1,777,788              695,762

Other  Income  (expenses)
    Interest  income                                                                          21,995                12,548
    Interest  expenses                                                                  (120,038)            (79,544)
    Interest  expense  paid  to  shareholders  (Note
      13)                                                                                              (27,284)            (17,371)
    Other  income                                                                              114,057              254,265
    Other  expenses                                                                        (243,765)                        -
    Dividend  income                                                                        242,770
    Exchange  loss                                                                          (364,067)          (355,712)
    Gain  on  disposal                                                                      138,582                          -

                                                                                                ------------    ------------
Total  other  expenses                                                                (237,750)          (185,814)
                                                                                                ------------    ------------

Income  from  continuing  operations  before  income
  taxes                                                                                          1,540,038              509,948
    Income  taxes  (expense)  /benefit                                        (67,320)              65,726

                                                                                                ------------    ------------
Income  from  continuing  operations  before
  minority  interest                                                                  1,472,718              575,674
Loss  share  by  minority  interest                                            (15,843)                        -

                                                                                                ------------    ------------
Income  from  continuing  operations                              $    1,456,875    $        575,674
    Income  from  discontinued  operations,  net  of
      tax                                                                                                  2,385

                                                                                                ------------    ------------
Net  income                                                                                  1,459,260              575,674

Other  comprehensive  income
    Foreign  currency  translation                                              196,689              135,610
                                                                                                ------------    ------------
Comprehensive  income                                                        $    1,655,949    $        711,284
                                                                                                ============    ============

Earnings  per  share
    Continuing  operations                                                  $              0.44    $              0.28
                                                                                                ============    ============
    Discontinued  operations                                              $              0.00    $              0.00
                                                                                                ============    ============

Weighted  average  shares  outstanding                                3,334,473          2,035,495
                                                                                                ============    ============




 

1 | 2  Next Page »



Review Article Be the first to review this article
SolidCAM - See For Yourself

Featured Video
Editorial
Jobs
Failure Analysis Engineer for Flextronics at Milpitas, California
Mechanical Engineer for Flextronics at Milpitas, California
GIS ANALYST I.8030200 for Dallas County at DALLAS, Texas
Geodesign Manager for Design Workshop at Aspen, Colorado
GIS Analyst (Dallas Police) for City of Dallas at Dallas, Texas
Upcoming Events
DEVELOP 3D Live 2020 New Date November 3rd at Sheffield University ctagon and INOX Building, Durham Road Sheffield United Kingdom - Nov 3, 2020
Digital Twin 2020 - Now in November 2020 at Melbourne FL - Nov 4 - 5, 2020
Sensors Expo & Conference at McEnery Convention Center SAN JOSE CA - Nov 16 - 18, 2020
3D Collaboration & Interoperability Congress at Golden CO - Feb 20 - 24, 2021
Kenesto: 30 day trial



© 2020 Internet Business Systems, Inc.
670 Aberdeen Way, Milpitas, CA 95035
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering EDACafe - Electronic Design Automation GISCafe - Geographical Information Services TechJobsCafe - Technical Jobs and Resumes ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise