Pansoft’s Third Quarter Financial Results

ERP Software service provider, Pansoft, announced their third quarter fiscal results today. Pansoft provides ERP software services for the oil and gas industry in China. Pansoft offers solutions for varied business operations like accounting, CRM, order processing, delivery, invoicing and inventory management.

A few highlights of Q3 2010:

-Total revenue increased by 62% since last year, totaling $2.3 million
-Gross Profit increased by 120% totaling $1.43 million compared to 650k for the previous year’s Q3
-Gross margin was 62% compared the previous year’s Q3 margin of 46%
-Operational profit totaled 800k, compared to 180k the previous year’s quarter
-Net income was 720k, with a 145% increase compared to 290k for last year’s quarter
-Diluted earnings per share was $0.13 compared to last year’s $0.6
-Adjusted net income excluding share-based compensation expenses was 780k, an increase of 67% compared to 47k the year before
-Adjusted Diluted EPS excluding share-based compensation expenses was $0.14, compared to $0.09 since last year

Pansoft is, of course, admittedly happy about their fiscal results. “We are very pleased to report another strong quarter with record growth in both our top and bottom line financial results.” Said Pansoft’s CEO Guoqiang Lin. The company is not shy to reveal their game plan, “We continue to expand organically through acquisitions in order to expand our product portfolio and customer base.” Chairman of the Board, Hugh Wang, explains “We aim to become the provider of choice with a variety of software solutions and services for a wider range of industries and client base, aiming for both domestic and international clientele and different technologies and markets.” The numbers don’t lie, whatever Pansoft is doing, is working.

The company has had an eventful 2010 so far with their recent plans to acquire equity of Shandong Hongao Power Technology Co. for $2.6 million. In March, the company announced that it co-founded and will serve as Vice Chairman of the China Overseas Listed Corporations. Pansoft also presented at the Rodman & Renshaw Annual China Investment Conference in Beijing.

The company expects to achieve a fiscal year-over-year growth rate of 40% in revenue. Pansoft is off to a great start so far. The company should be able to leverage their expanded customer base to achieve their 2010 goals.