News

China New Media ends year with growth

September 28, 2011

China New Media Corp., an advertising media company with an outdoor media network in Dalian, Shenyang, Tianjin, Beijing and Shanghai, today announced positive financial results for the fiscal year ended June 30, 2011.

According to a company press release, China New Media has experienced sustainable business growth in recent years. As of June 30, 2011, China New Media has installed 52 "City Navigator" units across the Dalian urban area, 3 mega-screen (1,356 square feet to 4,306 square feet) LED screens and eight metal billboards in Dalian; one mega-screen (947 square feet) LED screen in the business district in Shenyang, one indoor LED screen (237 square feet) in Tianjin Railway Station and five outdoor billboards in Shanghai.

Financial highlights

• Revenue increased 47 percent year-over-year to $20.6 million
• Gross profit increased 42 percent to $11.6 million; gross margin was 56.4 percent
• Net income increased 16 percent to $5 million

Operational highlights

• Entered two new markets, Shanghai and Beijing, adding to existing market presence of Dalian, Shenyang and Tianjin.
• Reached agreement with Shenyang Golden Hotel for acquisition of the operating rights of a billboard located at the key business district on Qingnian Street in Shenyang City for a period of three years. The 5,382-square-foot LED billboard is expected to generate $760,000 in annual revenue.
• Began construction of 4,305-square-foot billboard in the Development Zone of Dalian City that is expected to generate about $188,000 in annual revenue.
• Reached agreement with Casio Group to design, build and maintain an outdoor creative media display with total value of the contract of $626,000 in revenue over two years beginning in June 2011.