Quarter To Quarter Net Income Increases Approximately 14.4%
HONG KONG, Nov. 16 - China Expert Technology, Inc. (OTC Bulletin Board: CXTI) a company that specializes in providing large scale network infrastructure construction mainly for e-government projects for communities and municipal governments in China today announced financial results for its third quarter ended September 30, 2005.
Revenue for the third quarter totaled $9 million, an increase of 22%, compared to $7.4 million for the third quarter in 2004. The Company reported net income of $2.46 million, an increase of 14.1%, compared to $2.16 million for the third quarter in 2004.
Earnings per share totaled $0.104 for the quarter compared to $0.090 for the same period in 2004, representing a 15.5% increase. For the 9 months ended 2005, the Company reported earnings per share of $0.329, an increase of 84% compared to $0.179 for the comparable period in 2004.
Mr. Huang Tao, Chairman of the Board of Directors of CXTI stated, "The third quarter result reinforces the continued growth in our e-government business. We continue to execute our business strategy to maximize our shareholder value. We believe that we will maintain steady revenue stream and financial growth into the fourth quarter."
About the e-government project:
The e-government project is aimed to establish a national electronic government system, in which the existing and expecting government networks and applied systems can be combined to form united technology standard and regulation and consequently a united national government service platform. The term e-government is a process in which the government is able to take advantage of modern information and communication technologies to integrate the management and service on Internet, optimize and reform the government structures and working processes, and provide good and standard international administration and service to the society beyond time and space limit.
About China Expert Technology, Inc.:
CHINA EXPERT TECHNOLOGY, INC. ("CXTI") is a company listed on the OTC BB in the USA (Trading Symbol: CXTI) and its subsidiaries (collectively the "Group") situated in Hong Kong and China, are specialized in providing large- scale network infrastructure construction (mainly e-government projects) for communities and municipal governments in China. The Group also utilizes its network with experts from various universities in China to deploy business and IT consultancy services to corporations in Hong Kong and China. The Group's existing major clients includes municipal governments, government authorities and other technology firms in China. Its income is derived mainly from four areas, e-government, technology achievement appraisal, expert consultation and project database.
Safe Harbor under the Private Securities Litigation Reform Act of 1995: The statements which are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties including but not limited to risks associated with the uncertainty of future financial results, regulatory approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties as may be detailed in the Company's filings with the Securities and Exchange Commission.
