Reports Second Consecutive Year of Revenue Growth and Profitability
SHENZHEN, China, May 20, 2024 (GLOBE NEWSWIRE) -- CDT Environmental Technology Investment Holdings Limited (NASDAQ: CDTG) (“CDT”), a leading provider of waste treatment systems and services throughout China, today announces that it has filed its annual report on Form 20-F for the fiscal year ended December 31, 2023 with the U.S. Securities and Exchange Commission (the “SEC”) on May 15, 2024. The annual report on Form 20-F, which contains CDT’s audited consolidated financial statements, can be accessed through the SEC’s website at www.sec.gov or CDT’s website at https://www.cdthb.cn.
CDT will provide a hard copy of its annual report on Form 20-F, containing CDT’s audited consolidated financial statements, free of charge, to its shareholders upon request. To request a hard copy, shareholders should email a written request to [email protected].
Full Year 2023 Financial Highlights (comparisons are with the 2022 year, unless otherwise noted):
- Revenues increased to $34.2 million, representing a year-over-year increase of 18.6%
- Gross profit rose to $11.4 million, or 33.3% of sales, representing a year-over-year increase of 11.0%
- Operating expenses were $2.8 million, or 8.2% of sales, representing a year-over-year decrease of $1.1 million, or 28.9%
- Net income of $7.0 million, or $0.81 per share, compared to $5.2 million, or $0.63 per share, representing a year-over-year increase of 34.6%
- Working capital of $24.2 million compared to $12.9 million
Subsequent to 2023 year-end:
- Announced three new patents that feature new AI-powered intelligent waste-sorting technologies
“Following our IPO just a few weeks ago, we are pleased to report our third consecutive year of growth at both the top- and bottom-lines, with fundamentals continuing to trend well for our shareholders,” remarked Yunwu Li, Chief Executive Officer of CDT. “The market demand continues to support the growth of our business, and indeed, we are proud of the consistent progress we have made since the lifting of COVID-19 related operating restrictions throughout our key markets. Sales, gross profit, and net profit, our key performance indicators all were higher, and reflect excellent execution from our team, as we complete existing projects and add on new projects. Sewage treatment systems revenue was up over 20% for the year, and our two largest projects, in Lianjiang and Wuyishan are progressing through Phase 2, collectively with approximately $23.2 million in contract revenue to be recognized in coming quarters. With new projects coming on-line, including the $11.7 million contract with a partner in the Jianyang District of Nanping City, China, and new technological advancements we’re introducing to the waste treatment market, we are excited about the future for our company,” concluded Mr. Li.
Based on current visibility, management currently expects revenues for the full year 2024 to be in the range of $42.5 to $47.0 million, with net income in the range of $8.7 to $10.2 million. The midpoint of these ranges would represent growth of 30% for revenue and 35% for net income.
About CDT Environmental Technology Investment Holdings Limited
CDT, headquartered in Shenzhen, China, is a leading national player in China's waste treatment sector that designs, develops, manufactures, sells, installs, operates and maintains sewage treatment systems and provides sewage treatment services in China, and is dedicated to promoting sustainable development through innovative solutions. Founded by pioneers in waste treatment, CDT aims to advance next-generation technologies that directly address environmental challenges and promote sustainable solutions. CDT is a recognized brand in China and is committed to innovation and customer satisfaction.
CDT’s mission is to help its customers achieve their critical infrastructure objectives while enabling positive change in technological environmental protection. It collaborates with industry leaders, environmental experts, and stakeholders to develop and implement advanced waste treatment solutions. Recently listed on the Nasdaq Capital Market, CDT is a prominent player in the waste treatment market, capable of providing comprehensive solutions to diverse customer needs, and has completed more than 150 plants across China.
For more information, visit CDT’s website at https://www.cdthb.cn.
Forward Looking Statements
This press release contains forward-looking statements that are based on the beliefs and assumptions of the management of CDT and on information currently available to such management. These forward-looking statements are subject to numerous risks and uncertainties, many of which are beyond CDT’s control. Words such as “will,” “future,” “expects,” “believes,” and “intends,” or similar expressions, are intended to identify forward-looking statements. All statements, other than statements of historical fact, contained in this press release, including statements regarding future events, future financial performance, business strategy and plans, and objectives of CDT for future operations, are forward-looking statements. Although CDT does not make forward-looking statements unless it believes it has a reasonable basis for doing so, CDT cannot guarantee their accuracy. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, which may cause the actual results, levels of activity, performance or achievements of CDT and its markets to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on any forward-looking statement. CDT undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law.
Investor and Media Contact
United States
Core IR
Peter Seltzberg, SVP Investor Relations and Corporate Advisory
[email protected]
212-655-0924
www.CoreIR.com
| CDT ENVIRONMENTAL TECHNOLOGY INVESTMENT HOLDINGS LIMITED AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||
| For the Years Ended | ||||||||||||
| December 31, | ||||||||||||
| 2023 | 2022 | 2021 | ||||||||||
| REVENUES | ||||||||||||
| Sewage treatment systems | $ | 32,267,593 | $ | 26,552,481 | $ | 20,272,996 | ||||||
| Sewage treatment services and others | 1,942,326 | 2,296,881 | 3,283,824 | |||||||||
| Total revenues | 34,209,919 | 28,849,362 | 23,556,820 | |||||||||
| COST OF REVENUES | ||||||||||||
| Sewage treatment systems | 21,630,216 | 17,170,669 | 12,816,882 | |||||||||
| Sewage treatment services and others | 1,194,817 | 1,425,538 | 2,245,608 | |||||||||
| Total cost of revenues | 22,825,033 | 18,596,207 | 15,062,490 | |||||||||
| GROSS PROFIT | 11,384,886 | 10,253,155 | 8,494,330 | |||||||||
| OPERATING EXPENSES: | ||||||||||||
| Selling | 106,147 | 164,583 | 177,147 | |||||||||
| General and administrative | 2,674,519 | 3,150,512 | 2,400,318 | |||||||||
| Research and development | 80,948 | 112,668 | 136,690 | |||||||||
| (Recovery from) Provision for credit loss, net | (88,221 | ) | 471,454 | (1,865,622 | ) | |||||||
| Total operating expenses | 2,773,393 | 3,899,217 | 848,533 | |||||||||
| INCOME FROM OPERATIONS | 8,611,493 | 6,353,938 | 7,645,797 | |||||||||
| OTHER INCOME (EXPENSE) | ||||||||||||
| Interest income | 15,510 | 13,437 | 89,510 | |||||||||
| Interest expense | (106,130 | ) | (64,658 | ) | (68,656 | ) | ||||||
| Other (expense) income, net | (92,939 | ) | 93,035 | 119,419 | ||||||||
| Total other (expense) income, net | (183,559 | ) | 41,814 | 140,273 | ||||||||
| INCOME BEFORE INCOME TAXES | 8,427,934 | 6,395,752 | 7,786,070 | |||||||||
| INCOME TAXES EXPENSE | 1,403,880 | 1,152,963 | 1,207,810 | |||||||||
| NET INCOME | 7,024,054 | 5,242,789 | 6,578,260 | |||||||||
| Less: net loss attributable to noncontrolling interest | (393,652 | ) | (539,229 | ) | (197,479 | ) | ||||||
| NET INCOME ATTRIBUTABLE TO CDT ENVIRONMENTAL TECHNOLOGY INVESTMENT HOLDINGS LIMITED | $ | 7,417,706 | $ | 5,782,018 | $ | 6,775,739 | ||||||
| NET INCOME | 7,024,054 | 5,242,789 | 6,578,260 | |||||||||
| FOREIGN CURRENCY TRANSLATION ADJUSTMENT | (497,722 | ) | (2,110,311 | ) | 428,196 | |||||||
| TOTAL COMPREHENSIVE INCOME | 6,526,332 | 3,132,478 | 7,006,456 | |||||||||
| Less: Comprehensive loss attributable to noncontrolling interest | (372,574 | ) | (599,166 | ) | (116,532 | ) | ||||||
| COMPREHENSIVE INCOME ATTRIBUTABLE TO CDT ENVIRONMENTAL TECHNOLOGY INVESTMENT HOLDINGS LIMITED | $ | 6,898,906 | $ | 3,731,644 | $ | 7,122,988 | ||||||
| WEIGHTED AVERAGE NUMBER OF ORDINARY SHARES | ||||||||||||
| Basic and diluted | 9,200,000 | 9,200,000 | 9,200,000 | |||||||||
| EARNINGS PER SHARE | ||||||||||||
| Basic and diluted | $ | 0.81 | $ | 0.63 | $ | 0.74 | ||||||
