China HGS Announces Fiscal Fourth-Quarter Revenues Down 27.3% YoY

China HGS Real Estate Inc. HGSH today reported financial results for the fourth quarter and fiscal year ended September 30, 2010. Fourth-Quarter 2010 Highlights Gross revenues(*) decreased 27.3% to $14.2 million year over year from $19.5 million Gross profit was $6.8 million, with a gross margin of 47.7% Net income was $5.5 million, or $0.12 per diluted share, compared to $7.3 million, or $0.18 per diluted share, a year ago China HGS stock commenced trading on the NASDAQ Global Market in September 2010 Full-Year 2010 Highlights Gross revenues increased 56.7% to $47.3 million from $30.2 million in 2009 Gross profit increased 56.4% to $20.9 million from $13.4 million Gross margin was 44.2% as compared to 44.3% in the fiscal year 2009 Net income was $17.3 million, or $0.38 per diluted share, compared to $11.1 million, or $0.28 per diluted share, in the fiscal 2009 business year Total gross floor area ("GFA") sales were 138,316 square meters in the 2010 fiscal year, as compared to 100,850 square meters sold in the 2009 fiscal year