Global Sources Posts Positive 2011 Full-year, Q4 Earnings Results
Global Sources ended 2011 with a positive Q4 revenue increase to $74 million, compared with $63 million in 2010, as well as positive increases in full-year revenues to $225 million from $197 million in 2010.
Exhibitions revenue in the fourth quarter last year was $35.5 million, compared with $29.9 million in 2010, and online revenue rose to $30.5 million, compared with $25.5 million the year before.
“We had a good quarter driven by continued strength in our online and exhibition businesses,” said Global Sources’ Executive Chairman Merle A. Hinrichs.
He added, “Looking to the first half of 2012, we expect the challenging economic environment to impact our growth. However, despite the soft economic outlook we are optimistic on several fronts.”
Growth has been driven across many sectors, according to Hinrichs.
“Exporters need to identify new buyers and open new markets, and we have been leading the way by aggressively building our buyer community in emerging markets,” he added.
Hinrichs said, “Our regional shows take suppliers directly to the sourcing hubs of Dubai, Mumbai, Miami, Johannesburg and Sao Paulo. We also continue to enhance our multichannel solution that uniquely enables clients to achieve lead generation, branding and order generation objectives. Within mainland China’s domestic market, we are excited about our recent investment in one of the country’s largest and most prestigious fashion shows.”
Here are some of Global Sources’ recent company highlights:
Acquired an 80-percent interest in the China (Shenzhen) International Brand Clothing & Accessories Fair (SZIC), one of the largest fashion shows in Asia, in March 2012, for a total cash consideration of up to approximately $17.3 million.
Held 14 Sourcing Fairs in Hong Kong in October 2011, featuring over 7,400 booths. The electronics series was the largest ever with more than 3,900 booths, up by 19 percent compared with last year.
Six China Sourcing Fairs were held at the Bombay Exhibition Center in Mumbai in November 2011. With over 600 booths, the Fairs offer the largest collection of Greater China suppliers of any trade show in India.
Held its 2nd Annual China Sourcing Fairs in Johannesburg in December 2011, with more than 820 exhibitor booths, representing a 29-percent increase.
Held Global Sourcing Fairs in Shanghai in December 2011 with more than 600 booths. Show categories included Home Products, Gifts & Premiums, Fashion Accessories and Baby & Children’s Products.
Announced the planned transition of Peter Zapf to CIO and Brent Barnes to COO. The transitions were completed as of Jan. 1.
Looking to the future, Global Sources expects revenues to continue to make positive gains in the range of $108.0 million to $110.0 million, representing an increase of 4 percent to 6 percent, compared with $104.1 million for the first half of 2011.