CIT Records Q3 2012 Loss of USD 21 Mln
CIT, 11/07/12
Chinese information security and geographic data solutions provider China Information Technology (Nasdaq: CNIT) has announced its financial results for the third quarter of 2012. Q3 2012 revenue was USD 27.42 mln, down 3.7% YoY from USD 28.46 mln in Q3 2011.
CIT Q3 2012 net income was USD 21.44 mln, as compared to a net income USD 0.93 mln for the same period in 2011.
The decrease in revenue was primarily attributed to the challenging macro environment and difficult fiscal environment faced by many public sector clients as a result of the Chinese government's implementation of macroeconomic tightening policies, which led to a slowdown in projects for government customers.
Revenue from product sales increased by 52.5% YoY to USD 19.89 mln from USD 13.04 mln in the same period of 2011. Product sales constituted 72.5% of total revenue during Q3 2012 as compared with 45.8% during the same period in 2011.
Software sales decreased by 42.0% YoY to USD 3.97 mln for the three months ended September 30, 2012, from USD 6.85 mln for the same period in 2011. Software sales constituted 14.5% of total revenue in the quarter, which decreased from 24.1% during the same period in the prior year.
Sales of system integration services decreased by 58.9% to USD 3.34 mln for the three months ended September 30, 2012, from USD 8.13 mln for the same period in 2011. As a percentage of revenue, system integration sales decreased from 28.6% during the three months ended September 30, 2011 to 12.19% during the three months ended September 30, 2012.
Other revenue decreased by USD 0.21 mln, or 48.4%, from USD 0.43 mln in the three months ended September 30, 2011 to USD 0.22 mln in the same period of 2012. The decrease was mainly due to decrease in maintenance services during the current period.
To view the complete report please see here.
Keywords: information security loss revenue security software China Information Technology CNIT Q3 2012 fiscal report
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