China Automotive Systems Reports Preliminary Q4 Revenue of $100.5M

China Automotive Systems, Inc. CAAS today announced preliminary unaudited selected financial results for the fourth quarter. Record net sales grew 20% to $100.5 million in the fourth quarter of 2010 from $83.8 million in the same quarter of 2009. Gross profit was $19.8 million compared to $18.2 million in the 2009 quarter, reflecting the increase in net sales offset by higher warranty expenses and raw material costs in the 2010 fourth quarter. Gross margin in the fourth quarter of 2010 was 19.7% versus 21.8% in the 2009 fourth quarter. Income from operations grew 113% to $12.3 million for the fourth quarter of 2010 from $5.8 million in the 2009 fourth quarter. The increase in income from operations resulted from a combination of higher gross profit, reduced general and administrative expenses, and lower depreciation and selling expenses. Operating margin climbed to 12.2% in the fourth quarter of 2010 from 6.9% in the fourth quarter of 2009.