Tianyin Pharma Hits 2009 Targets, Continues Rapid Growth

Tianyin Pharmaceutical Co., Inc., (TPI), which produces TCM and generic pharmaceuticals, announced final results for its 2009 fiscal year, which ended June 30, 2009. The company’s revenues rose 28% to $42.9 million, while net income climbed 32% to $7.9 million. Both numbers improved slightly on Tianyin’s forecast, which was issued with two weeks left in the fiscal year.

Tianyin also reiterated guidance for 2010, saying it expects revenues of $59 million and net income of at least $10.5 million. Both figures represent gains of about 35% over this year’s results.

The company expects about half of its overall growth will come from an 80% increase in sales of Ginkgo Mihuan, a TCM treatment for cardiovascular problems, even though Tianyin did not explain why sales for the product are expanding so quickly. Revenues for the product are expected to total $20 million, about one-third of all sales. The other half of the increase will come from the nine new products that were brought to market during 2009.

Tianyin ended the year in good fiscal shape. It reported cash and cash equivalents of $12.4 million and working capital of $19.3 million. Its 2009 cash flow from operations jumped 125% to $8.3 million.

Tianyin has been growing quickly. In fiscal 2007, the company reported revenues of $20.4 million and net income of $4.2 million.

Disclosure: none.

Comments

[Alphameister]

TPI offers excellent value at its current price and would be an even more timely buy around 3 1/2. It is one of my top ten holdings.

2009 Sep 27 11:06 AM

[wyn]

Shares Outstanding are growing too...almost as fast as earnings. With the convertibles and other warrants look for 35 Million fully dilluted shares oustanding in the near future!

2009 Sep 28 04:11 AM

[wyn]

Alphameister, what are your other nine? I like CBPO, TSTC, GRRF SKBI, CPBY, jand GIGM. Just sold HOLI and when economic growth is stronger WH & WNR!

Best of Luck,

--Wyn

2009 Sep 28 04:20 AM

[Alphameister]

Wyn, we're on the same wavelength. Recently trimmed my stake in TSTC, though it's still a major holding. Looking to get back into WH and GIGM after having sold earlier. Planning to add today to my stake in GRRF. Regretting that I sold CPBY too early and would get back in on a pullback.

My major holdings now are TRIB, ABAT (looks very timely), APWR, TSTC, CSR, ORS, PDLI, TPI, ANPI. Looking to get back in CGA now and HOGS on a pullback.

Best of luck to you also!

2009 Sep 28 09:20 AM

[Alphameister]

Also suggest you look at XSEL. Significantly reduced my position last week but looking to rebuild under 1.70.

2009 Sep 28 10:31 AM