Hu Xiaoming (Insider Trades), CEO, president and 10% owner of Kandi Technologies Group Inc. (KNDI), purchased 126,720 shares of the company on Nov. 25. The price per share was $4.23 for a total transaction of $536,026.
The company, headquartered in Jinhua, China, produces, manufactures and conducts research and development on vehicle products. Kandi has a market cap of $233.73 million.
Xiaoming conducted a total of three insider transactions with the company since December 2010; of his three transactions, two were purchases amounting to 155,220 shares, and one was an insider sell of 10,000 shares of the company. Prior to Hu’s most recent transaction to date, Kandi Director Henry Yu (Insider Trades) purchased 11,668 shares of the company for $3.93 per share; on Nov. 16, one day before Yu’s transaction, Chief Strategy Officer “Henry” Wang Cheng (Insider Trades), purchased 2,750 shares of the company for $3.95 per share. For more information about insider trades with Kandi, click here.
Kandi reported net revenue of $6.366 million for the three months ended Sept. 30. Net revenue for the third quarter decreased nearly eightfold from 2015’s third quarter net revenue of $50.528 million. Gross profit also decreased from $7.116 million, to $651,169 when comparing the third quarters of 2015 and 2016. Continuing the same trend, net income also decreased from $2.343 million, or 5 cents per share, to net loss of $565,941, or -1 cent per share, when comparing the same periods of time. Kandi's annual revenue and annual net income follow an increasing trend line since 2011. For more financial statistics on Kandi, click here.
Xiaoming commented that even though the company’s 2016 performance “has not matched up to [the company’s] past success.” The company has “accomplished lots of fundamental work for the business growth in year 2017.” Cheng added that the “delayed government subsidy payments” caused a decreased cash flow for the company in the third quarter, which “will be improved in the coming quarters once the central government resumes its subsidy payments.”
The company announced that Kandi Electric Vehicles Group Co. Ltd., a joint venture between Kandi and Geely Automobile Holdings Ltd., received an initial payment of about $4 million from Shanxi Coal Asset Management Group for its agreement to produce and sell more than 50,000 electric vehicles within five years.
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