19 Apr 2011 10:21
GEONG International Limited ("GEONG" or "the Company") Contract wins
GEONG International Limited (AIM: GNG), a leading Internet software solutions provider and operator for large enterprises in China is pleased to report a strong finish to the financial year ended 31 March 2011. Following a quiet February owing to the Chinese New Year, March has seen new contracts worth a total of RMB20m (£1.9m), of which over 50% (RMB11.7m) (£1.1m) represents the annual maintenance charge and will therefore be recurring revenue for the Company. Revenue for the final quarter of the year was RMB43m (£4.1m).
The contracts relate mainly to IaaS solutions provided to our eight existing clients in partnership with IBM and Oracle - China Construction Bank, Everbright Bank, Agriculture Bank of China, China Bond, China Asset Management Co, Guangdong Development Bank, Haier Group and Beijing Hyundai. The scope of the contracts, in addition to the annual maintenance charge, covers consulting services (RMB0.5m), Smarter Platform (RMB5m), customisation services (RMB1.4m). It also includes a RMB1.4m purchase order from IBM Global Delivery Group relating to work outside China.
We have, over the last four months, received a consistent level of purchase orders from IBM Global Delivery Group and believe that this relationship will be important to the continued revenue growth that is now coming through following the strategic repositioning of our business over the course of the last two years.
The Group will provide a pre-close trading statement for the year ended 31 March 2011 and a further update on current trading in the week of 16 May 2011.
For further information, please contact:
GEONG International Limited www.geong.com Tel: +86 10 5222 0999Henry Tse, ChairmanWeidong Wang, CEOAmit Thakar, CFOEvolution Securities Limited Tel: +44 20 7071 4300
(Nominated Adviser and Joint Broker)
Tim Worlledge Esther Lee
About GEONG International Limited
Operational since 2000, GEONG specialises in collaboration and content management software and services. Its products are specifically tailored for the Chinese market, where the Company is recognised by Government agencies and numerous blue chip clients as a leader in its field. GEONG was named The Most Successful Enterprise in ECM Software in China 2007 to 2008 by China's Centre for Information Industry Development and CCID Consulting; and one of the fastest growing companies in Asia at the Deloitte Technology Fast 50 China and Deloitte Technology Fast 500 Asia Pacific awards. The Company has recently expanded into North America setting up operations in Canada.
Registered in Jersey, the Company's operations are headquartered in Beijing. The Company's shares were admitted to AIM in June 2006 and trade under the ticker GNG.L
For more information, please visit www.geong.com
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