Product sales increased 237.5% year-over- year to $9.3 million, or 73.5% of total revenues. Contract sales increased 188.2% year-over-year to $3.4 million and accounted for 26.5% of revenues in the fourth quarter of 2007. Gross profit in the fourth quarter of 2007 was $9.9 million, an increase of 201% on year-over-year basis.
Net income for the fourth quarter of 2007 was $4.1 million, or $0.31 per diluted share, compared to loss of $1 million, or ($0.08) per diluted share, in the fourth quarter of 2006.
For the full year 2007, total revenues were $49.3 million, up 148% from $19.8 million in 2006. Gross profit for the full year 2007 was $38.4 million, an increase of 159% from $14.8 million in 2006. Net income for 2007 was $15.3 million or $1.15 per diluted share, compared to $0.6 million, or $0.05 per diluted share, in 2006.
Yan-Qing Liu, chairman and CEO of China Sky One Medical, said: “We have a strong pipeline of new products, and plan to begin clinical testing of eight new kit products in 2008. We hope to complete clinical trials of Enothelin-1 in 2013 and plan to open a cord stem cell and tissue bank at our newly established facility outside Harbin in late 2008 or 2009.”