28 Aug 2008 07:00
28 August 2008Embargoed for 0700hrs GEONG International Limited ("GEONG" or "the Company") AGM Statement
At the AGM of GEONG International Limited (AIM: GNG), the AIM listed, China based provider of enterprise content management (ECM) software and solutions, being held this morning, Henry Tse, Chairman will make the following statement:
"I am pleased to announce that trading for the first four months of the new financial year has been strong and the board expects year on year revenue growth to continue at approximately 50% with both the gross profit margin for our traditional business (PortalAgeTM projects and SmartBoxTM sales) and the overall operating profit margin being maintained.
At the end of July, the Company had a confirmed record order book going forward of ‚£7.46m which included recurring revenues of approximately ‚£3.7m. This is the result of significant increase in the number of maintenance service contracts being signed by GEONG's larger customers which include the likes of Lenovo, China Construction Bank, Haitong Securities and the Bank of Communications.
The Company's cash collection has improved considerably since the year end and the cash balance is expected to grow significantly over the next 12 to 18 months. This follows the implementation of cash collection targets for each of the Company's business units and improvements to the Company's general cash collection management system.
With our PortalAgeTM based industry solutions we continue to win contracts with second tier banks and in new sectors including aviation and manufacturing. Sales of our SmartBoxTM product range continue to grow and our marketing efforts have been increased including the opening of representative offices in the Shandong and Shanxi provinces to support regional reseller activities. The latest version of SmartBoxTM has seen new industries, including the pharmaceutical, medical equipment and automotive sectors, using our software for the first time. The development of our English language version of SmartBoxTM continues to progress well.
Overall, we are extremely pleased with the way the year has started and the Board is very positive about the future success of GEONG's products and services both in China and overseas and for the Company as a whole."
GEONG International Limited expects to announce interim results for the six months ending 30 September 2008 in November 2008.
- ENDS- Enquiries:Henry Tse, Chairman www.geong.com Weidong Wang, CEO GEONG International Limited Tel: +86 10 5222 0999 Paul Dulieu / Mike Ward geong@redleafpr.com Redleaf Communications Ltd Tel: +44 (0)20 7822 0200 John Depasquale / Parimal Kumar Seymour Pierce Tel: +44 (0)20 7107 8000 Notes to Editors:ABOUT GEONG INTERNATIONAL LTD * GEONG is registered in Jersey and headquartered in Beijing. Its shares were admitted to AIM in June 2006 and trade under the ticker GNG.L * The Company has provided content management software and solutions since its establishment in September 2000 and has earned a reputation as a local technology leader in the Chinese Enterprise Content Management (ECM) market, especially in the financial services industry. * ECM software is an internet based suite of products that enables companies to capture, manage, store, preserve and deliver content, documents and data across thousands of users, processes and locations. * The Company has developed two proprietary product ranges: the PortalAgeTM suite designed for large enterprise customers and SmartBoxTM designed to capture the SME market's requirement for collaboration software. * PortalAgeTM clients include: Lenovo, Bank of Communications, China Construction Bank, FAW Volkswagen, Shanghai Automotive Industry Corporation, Shanghai General Motors and Air China. * In March 2007, the Company established a Canadian representative office in order to commence the international promotion of SmartBoxTM. * In 2006, GEONG was recognised for the second successive year in the Deloitte "Technology Fast 50 China 2006" and the "Technology Fast 500 Asia Pacific 2006", which recognises the fastest growing technology companies in China and in Asia Pacific respectively. * GEONG was short listed for the "Best Technology" category at the 2007 AIM Awards. * In October 2007, the company established a Guangzhou branch office in order to commerce the expansion of both PortalAgeTM and SmartBoxTM in Southern China.
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