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China Finance Online (ticker: JRJC), a provider of subscription-based online financial data covering China listed companies, announced Q4 results. MarketWatch reported that the stock rose on strong subscriber growth. But look at the numbers:


Highlights for Q4:

  • Net revenues grew 229% year-over-year and 24% quarter-over-quarter to $2.07 million
  • Net income grew 426% year-over-year and 44% quarter-over-quarter to $1.85 million
  • Diluted income per ADS was $0.09 and diluted income per share was $0.02 for the quarter
  • Gross margin for Q4 was 95%, compared to 89% for the same period in 2003 and 94% in the previous quarter
  • Net income margin increased to 89% from 56% for the same period in 2003 and 77% in the previous quarter

Subscribers:

  • The number of new subscribers for Q4 was 3,977, a 21% increase from the 3,298 new subscribers for the same period in 2003
  • The number of new subscribers for both Q3 and Q4 of 2004 remained relatively flat due to continued weakness of China's stock
    markets
  • Repeat subscribers for Q4 were 3,115, an
    increase of 54% from 2,029 for the same period in 2003, or an increase
    of 31% from 2,372 during the previous quarter
  • Average subscription fees per subscriber (ASF) for new subscribers
    increased 105% to $285 for Q4 from $139 for
    the same period in 2003, a 30% increase from $219 in the previous quarter
  • ASF for repeat subscribers increased 134% to $297 for Q4 from $127 for the same period in 2003, or an 11% increase from
    $268 in the previous quarter

Article posted by Ezra Marbach on The China Stock Blog; permission for full reproduction explicitly granted.

Source: China Finance Online reports 4Q04 results, subscriber growth flat, stock up