Yucheng Technologies (YTEC) Update

In just 2 days (June 13th), Yucheng Technologies will no longer have warrants. June 13th is the last day to exercise these warrants or they will be extinguished.

Within 10 days (perhaps around June 20th) we should see filing for 2006 annual results, as well as Q1/2007 results along with the conference call. Current estimate for this quarter is 0.06 (as estimated by Maxim Group analysts). I believe we should see steady increase in pps following the warrants redemption. It will be interesting to see how many warrants were exercised and the total amount the company received based on that.

Cobalis Corp (CLSC.OB) - speculative

Speculative buy - Cobalis Corp (CLSC.OB)...This is under radar biotech company expects to report Top-Line Results for twin pivotal Phase III Clinical Trials of PreHistin(TM) in seasonal allergic rhinitis.

The twin trials are completed, and all of the data from the 23 sites has been collected and is being audited.

In March the company announced that it has completed the locking of the database for its pivotal twin Phase III Clinical Trials of PreHistin(TM) in seasonal allergic rhinitis. An independent contract research organization (CRO) will now begin the process of implementing the statistical analysis plan designed to analyze the data from the pivotal trials.

"We are pleased to have reached this milestone in our PreHistin trials and look forward to reporting top-line results over the next month," commented Dr. Gerald J. Yakatan, Chief Executive Officer for Cobalis Corp. "These twin trials represent two of the largest clinical trials conducted utilizing this novel anti-allergy approach. Our goal is to be able to offer a new, over-the-counter anti-allergy treatment option for allergy sufferers that goes beyond currently available remedies."

The 1,551-patient pivotal Phase III trials investigated the efficacy and safety of treatment with Cobalis' PreHistin on moderate to moderately severe seasonal ragweed allergy patients. The twin trials were designed to support regulatory approval in the United States and key global markets. The studies' primary endpoint is the average improvement in total nasal symptom score (TNSS) in weeks four, five and six of treatment. To observe duration of effect after treatment, patients maintained diaries for symptomology over the final four weeks of the ten-week study.

Very good presentation in November of 2006 here to give you more details on the company:

http://www.wsw.com/webcast/rrshq10/clsc.ob/


If the results are good, I expect the share price to at least double from these levels. ($1 - $1.05 currently)

Yucheng Technologies (YTEC) - Update

Yucheng Technologies has just posted their presentation for upcoming conferences. The presentation is available on the SEC site:

http://www.sec.gov/Archives/edgar/data/1356462/000114420407024421/v074666_ex99-1.htm

2 presentations are coming up this week and we could possibly see earnings release as well....

Yucheng Technologies (YTEC) news

More great news from Yucheng Technologies (YTEC) -

Yucheng Technologies Approved for NASDAQ Global Market Listing
Mr. Weidong Hong, CEO of Yucheng, stated: "We are pleased that Yucheng meets the higher standards for listing on the NASDAQ Global Market. This is an important milestone for the company because it will provide increased market visibility and greater access for investors interested in being shareholders."

http://biz.yahoo.com/prnews/070509/cnw032.html?.v=1

This will bring a great exposure to institutions and should generate a lot more interest from individual investors.

Earnings are coming up shortly this month, as well as 2 conferences - one at Roth Capital and Susquehanna Financial Group - both next week.

Oncology Med (ONCO.PK) -

$1.28 high from 0.83 original call 2 days later....speculative stock gained over 50% in 2 days....closing recommendation

Conrad Industries - Target reached - $12

Conrad Industries - $12 Target reached. Still a very good company with lots of potential, but original target of $12 is reached. (75% since original recommendation 3 weeks ago).

Oncology Med (ONCO.PK)

Highly speculative stock - Oncology Med Inc.(ONCO.PK):

Here is the recent news:

http://finance.yahoo.com/q?s=onco.pk

May be interesting here at 83 cents...

Oncology Med, Inc. which was formerly known as Vianet Technology Group has changed it name and will now go trade under the symbol ``ONCO''.

Oncology Med's mission is to be a pioneer in the advancement of the treatment of cancers. The Company plans on growing its business through acquisitions in addition to the organic growth of its first acquisition Comprehensive Physics & Regulatory Services, which will now conduct business under the trade name of Oncology Med.

CPRS is a 12-year-old firm that provides specialized internet-based treatment plans and medical physics consulting services for radiation centers. Oncology Med's acquisition of CPRS will provide the foundation for the entity to achieve significant revenue growth. Management believes that the acquisition/merger will provide CPRS with greater access to capital with which it intends to commence enhanced sales and marketing efforts which it believes will lead to greater revenues and profits.

As part of the reorganization, Dr. William Walker, President of CPRS, has become chairman of Oncology Med, Inc. Dr. Walker stated, ``I am very excited that we are a publicly traded company and are able to take advantage of the capital markets to fuel our exciting growth. We believe that with the future hiring of sales personnel our revenue opportunities will increase. Additionally we feel we are going to be able to accomplish potential acquisitions while becoming a vertically integrated oncology company.''

Currently, there are over 2,000 radiation centers in the country providing radiation services to cancer patients. Depending on the type of cancer and condition of a patient, on average, receives approximately 26 treatments during the course of radiation therapy. During the course of treatment, patient records and actual care have to be closely monitored and generally require approximately 5 patient reviews made by a qualified medical physicist. These patient or chart reviews assure proper patient care. In many radiation centers, lack of a full time available physicist can result in less than optimal patient reviews.

CPRS addresses these needs by providing a full range of patient specific radiation service treatment plans in addition to online treatment plans. This solves two key barriers of entry for radiation centers seeking to offer new technology by making available the most advanced treatment methodology to smaller radiation centers without substantial investment for equipment and staff. The Company, therefore, offers the possibility to enable radiation centers to increase revenues and profits while lowering expenses and improving quality.

CPRS operates its remote treatment planning services out of its facility located in Pittsburgh, Pennsylvania. The center houses computer stations with treatment planning software and equipment that receives and sends required patient data and images in accordance with healthcare data security standards. The center is staffed and currently equipped to service substantial additional business volume. Medical Physics services and specialty consulting are also provided at client sites.

THE MARKET -- The radiation oncology market is growing worldwide. Internationally the market is in its infancy. In the U.S. over 5,000,000 Americans have cancer. There are 850,000 new cancer cases diagnosed annually with 60% of all cancer patients being treated by radiation therapy. Radiation centers treat an average of 650 patients annually and smaller radiation centers generate revenues of up to $ 5,000,000 or more.

Dr. Walker is a professional medical physicist with 35 years of experience in clinical practice, research and program management. He holds a B.S. in Civil Engineering from the Virginia Military Institute, an M.S. in Radiation Biophysics from the University of Kansas and a Ph.D. from the University of Florida in Environmental Engineering (Medical Physics). He is certified by the American Board of Health Physics, licensed by the State of Florida as a Therapeutic Radiological Physicist and is a registered Professional Engineer. Dr. Walker headed the U.S. Nuclear Regulatory Commission's medical and academic licensing program and later was the Radiation Safety Officer and Radiation Safety Program Director for the National Institute of Health. He is the author of numerous papers on medical and health physics and currently serves as an officer and member of the Board of Directors of Advanced Oncology Network, Inc. He is also a member of the Board of Directors of Abundant Blessings (Jamaica) Cancer Treatment Centre, Ltd. and Universal Healthcare Management Systems.

About Oncology Med, Inc.

Oncology Med is a public company engaged in the fulfillment of services related to the treatment of various cancers. It currently provides analysis and design of radiation treatment plans in order for radiation oncologists to administer radiation plans to cancer patients. Current services facilitate radiation treatment programs ranging from external beam radiation to more advanced radiation treatment technologies.

More information about Oncology Med, Inc. can be found at http://www.oncologymed.com

Yucheng Technologies Update (YTEC) - Fund Purchase

Well, Yucheng Technologies (YTEC) is breaking to new highs. Volume has been increasing lately. And today it a big fund purchase by Globis Capital Partners -
one of Japan's leading venture capital (VC) firms with JPN 21 billion yen under management:

http://www.globiscapital.co.jp/en/about/index.html


Here is the filing: (they bought 5.8% of O/S - 565k shares)

http://www.sec.gov/Archives/edgar/data/1268460/000091476007000069/p75621_13g2.htm

Also, huge block in warrants today - 310k

Lots of activity lately in warrants (YTECW)

Conrad Industries (CNRD.PK)

Highly profitable company reported excellent earnings today.

http://www.pinksheets.com/pdfservlet?id=10409

Excerpt from this release:


REPORT TO OUR FELLOW SHAREHOLDERS
The positive changes we began to experience in the latter part of 2005 continued during 2006 as we completed the year with record
revenue, net income, and backlog, and a much improved balance sheet. At the same time our workforce achieved an outstanding
safety record.

Although, between 2002 and the first half of 2005 we experienced a difficult Gulf of Mexico energy marine construction and repair
market, we have seen in 2006 a major increase in projects for other commercial customers as well as an increase in energy projects.

Because much of our repair work comes from the Gulf of Mexico oil and gas industry, improved conditions in that industry have
positively affected our repair segment. For 2006, 45.5% of total revenue was energy related, 38.5% was other commercial and
16.0% was government. This compares to 22.6% energy, 38.2% other commercial and 39.2% government in 2005.

During 2006, we added $113.1 million of new contracts to our new construction segment, of which $42.3 million was related to the
oil and gas industry and $70.8 million was related to other commercial projects, generally attributable to increased spending for
construction activities, double skin tank barges, and harbor tugs. As a result of this increased activity, margins have improved on
recent new construction contracts. Our backlog as of December 31, 2006 was approximately $84.5 million compared to $35.4
million as of December 31, 2005. At December 31, 2006, 63.3% of our vessel construction backlog was from other commercial
contracts, 31.7% was from energy related customers and 5.0% was from government contracts. This compares to backlog at
December 31, 2005 of 38.4% other commercial, 0.0% energy, and 61.6% government.
Our construction projects in progress as of December 31, 2006 consisted of 34 vessels which includes two 124-foot towboats, five
double-skin tank barges, an ST tug, three z-drive tugs, a 200 class liftboat, five 175 class liftboats, a 3300 hp steel towboat, and
sixteen barges ranging in size from 120 feet to 160 feet. Our customers comprise a very diverse group that crosses a wide range of
businesses including the energy sector, dredging, construction, towing, and bunkering markets, as well as the US Army Corps of
Engineers.

During 2006 we delivered 30 vessel construction jobs of various types and sizes which are the most jobs delivered in one year by
our Company. We delivered nine deck barges, an anchor scow, four crane barges, two inland double skin tank barges, four spud
barges, three double skin tank barges, three landing barges, a fish stocking vessel, an aluminum fire and patrol boat, and two inland
tow boats.

During 2006, revenue increased 88.4% to $121.8 million from $64.7 million in 2005. The increase in revenue for the current year is
primarily a result of the overall increase in production hours. Vessel construction hours increased 73.0% compared to 2005, while
repair and conversion hours increased 125.2% compared to 2005.
We reported net income of $5.9 million and net income per diluted share of $0.81 for the year ended December 31, 2006 compared
to net income of $111,000 and income per diluted share of $0.02 for the year ended December 31, 2005. This increase in net income
is primarily the result of a very strong market for our repair services.

We revised our loan agreement and extended our maturity date to 2011 and increased our line of credit to $10 million. We reduced
our total loan balance from $18.3 million at December 31, 2005 to $10.2 million at December 31, 2006 while increasing our net
working capital from $6.3 million at December 31, 2005 to $7.6 million at December 31, 2006.

Our Company is very different today compared to a few years ago. We have a more diversified customer and product mix. We’ve
expanded our capacity with the investments that we’ve made and we’ve grown our workforce and management in order to handle
the additional production levels. With an improved marine environment, the strong support of our loyal employees, customers and
suppliers, our record new construction backlog and stronger financial condition, we are optimistic about our continuing ability to
increase gross profit and the bottom line in 2007, leading to an increase in shareholder value.


To sum it all up:

Net income for 2006 is 0.81 compared to 0.02 for 2005 (5.9 mil vs 111k)

Revenues increased 88.4% to $121.8 million from $64.7 million in 2005


EPS progression through 2006 is as following:
.13, .17, .19 and .32 for Q1 through Q4, respectively. Earnings are fully taxed and diluted.

Backlog up to $85M versus $35M yoy. And that's for new constructions...
Doesn't even include repair revenues (which account for 40% of total revenues)

Could be at least $1.2 in earnings for 2007 for $7 dollar stock....
At highly convservative PE of 10, this should be at least $12 dollar stock....

Add to this, low O/S and float (momo)

O/S is only 7.28 mil

Last, but not least, it's a hurricane stock with potentially big hurricane season on the way.



Profile:

Conrad Industries, Inc. engages in the construction, conversion, and repair of various marine vessels for commercial and governmental customers in the United States. It also engages in the fabrication of modular components of offshore drilling rigs; and floating, production, storage, and offloading vessels. The company constructs various steel and aluminum marine vessels, including large and small deck cargo barges, single and double hull tank barges, lift boats, push boats, towboats, offshore tugboats, and offshore supply vessels. Its conversion and repair of steel and aluminum marine vessels consist of lengthening the mid-bodies of vessels, modifying vessels to permit their use for a different type of activity, and other modifications to increase the cargo carrying capacity or functionality of a vessel. The company operates four shipyards in South Louisiana and Texas with direct access to the Gulf of Mexico. Conrad Industries was founded in 1948 and is based in Morgan City, Louisiana.



They used to be listed on Nasdaq, but were not profitable, and chose to delist in 2005 due to Sarbanes Oxley expenses.....
Now, that they are highly profitable, they may try Nasdaq again, in my opinion.



Once again - highly profitable, low float, low O/S, hurricane momo, unknown play...just repoted huge earnings.

References:

http://www.pinksheets.com/quote/finance.jsp?symbol=CNRD

Yucheng Technologies (YTEC) - Update on Financials

Update on financials:

Number of shares immediately post transaction:

9.5mn shares
6.9mn warrants outstanding

From the company presentation:

Cash per share ($1.78 - assumes $17mn cash and 9.5mn shares)

2005 Earnings per share based on 8.8mn shares (excluding 773,000 shares
tied to performance in 2006) is $0.36

2006 Earnings per share - $0.64; management hits and exceeds the net profits target

EPS growth if management hits 40% growth is about 30% for common
shareholders (before CUAQ warrant conversion)

Highly Incentivized Management

Cash Bonus for Share Price Increase:


- US$5 million bonus if CUAQ receives an aggregate of US$34.5 million in gross proceeds in additional financing (i.e. successful warrant exercising if share price is maintained at US$8.50)
- US$1 million bonus if share price (at least 60 consecutive trading days) is above US$10.00 in 2006
- US$2.0 million if Share Price Average is above $12.00 in 2007
- US$3.0 million if Share Price Average is above $14.40 in 2008
- Total cash bonus will not exceed US$10 million

Share Bonus for Earnings Growth:

- 952,832 shares each year from 2007-2010 for meeting or exceeding 40% annual growth in net profits:

Year ending December 31 Net Profit
2007 US$8.5 million
2008 US$11.9 million
2009 US$16.7 million
2010 US$23.3 million

- All-or-nothing share bonus plan

New Interview with CFO on Wall St. Reporter

Interview with CFO (Peter Li) has just been posted on Wall St. Reporter....

http://www.wallstreetreporter.com/profile.php?id=23408&a=1

In this interview, Peter Li, CFO of Yucheng Technologies, talks about the company, its prospects and future.

Yucheng Technologies (YTEC)

Today I'd like to summarize prevous DD on Yucheng Technologies - a company with great potential - (now trading on Nasdaq as YTEC with warrants YTECW)

It's a new Chinese entity combined from a couple of companies purchased by China Unistone and renamed to Yucheng Technologies.

Here is a little on the deal: China Unistone was organized to effect a business combination with an operating business that is based in China and that has significant growth potential. After the consummation of the stock purchase and redomestication merger, the operating companies of Yucheng will be Sihitech, and its subsidiaries, and e-Channels, all of which are located in China. Together these companies will provide IT services and system integration, web banking, and electronic multi-channel software and solutions to the Chinese banking industry. These companies, founded in the late 1990's have, collectively, demonstrated significant growth since commencing operations. China Unistone believes that the operating companies have the infrastructure in place to expand their business through cross selling, increase their customer base, and develop new services and products. As a result, China Unistone believes that a business combination with Sihitech and e-Channels will provide China Unistone stockholders with an opportunity to participate in a combined company with significant growth potential. The combined company conists of Sihitech and e-Channels companies. Here is something for 2005: In 2005, Sihitech and e-Channels had combined revenues of $25.2 million and total net income of $3.1 million. Post closing, Yucheng will have six operating subsidiaries which include Sihitech, e-Channels, Beijing Sihitech Software, Shanghai Sihitech, Shanghai Sihitech Software and Guangzhou Sihitech. There also will be two representative offices in Fuzhou and Xian. The combined company will have a combined employee staff of approximately 550 employees

Lots of info on it can be found here: http://www.secinfo.com/dVut2.vbdf.htm

Now to the profile:

Yucheng Technologies Ltd. is an IT solution and services provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has established an extensive footprint to serve its banking clients nationwide with five subsidiaries and representative offices located in Shanghai, Guangzhou, Xian, Xiamen, and Chengdu. Yucheng currently has more than 600 employees across China. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks from system integration and IT consulting, to IT solutions, software platform, and outsourced operations. Yucheng counts 12 out of the 15 top commercial banks in China as its customers. Yucheng is especially strong in banking channel management IT solution and services, such as web banking and call centers. It has the largest market share in the web banking application market in China by user base according to a third party research report. Yucheng is ranked one of the top five IT solution providers, along with IBM and Digital China by IDC's "China Banking Industry IT Solution 2006-2010 Forecast and Analysis" report released in September 2006. Yucheng management team consists of industry veterans with extensive experience in serving the Chinese banking industry.


Earnings:


Latest 2006 Annual Results highlights (released 2/16/07):

• 57% growth in revenue to RMB 310.6 MN (US$ 39.8)
• 94% growth of net income to RMB 47.7 MN (US$ 6.1 MN).
• profit margins are 27.9%
• net income is 0.64

Notice the company was trading on OTC BB then.

http://biz.yahoo.com/prnews/070216/cnf002.html?.v=1


Yucheng Technologies Limited Releases its Preliminary Unaudited Annual Results for its 2006 Fiscal Year Friday February 16, 7:00 am ET BEIJING, Feb. 16 /Xinhua-PRNewswire/ -- Yucheng Technologies Ltd. (OTC Bulletin Board: YCHTF - News; OTC Bulletin Board: YCHWF - News) is a leading IT solutions and services provider to China's banking industry. Through its operating subsidiaries, the company provides a comprehensive suite of products and services to China's banking industry, from system integration, IT consulting, software solutions and outsourced operations, of which its web banking solution enjoys 70% market share on an end-user basis. Since the merger agreement that was signed on December 20, 2005 between the 2 Chinese operating companies, Beijing Sihitech and e-Channels and the OTCBB listed shell company China Unistone, the operating companies have been consolidating its operations to become more efficient in its service offerings and draw on its strengths to expand its product offerings and client base. To date, the company sees a positive trend in its operations due to the consolidation and growth. Based on the preliminary unaudited financial statements of its Chinese operating companies for the full year 2006, excluding the merger transaction costs and the shell company's result, Yucheng management is pleased to announce that the Chinese operating companies achieved 57% growth in revenue to RMB 310.6 MN (US$ 39.8) and 94% growth of net income to RMB 47.7 MN (US$ 6.1 MN). Of the total revenue, system integration, IT consulting, and software and outsourced businesses contributes RMB 197.8 MN (US$25.3MN), RMB 62MN (US$7.9MN), and RMB 50.8MN (US$6.6MN) respectively. The Yucheng Chinese operating company achieved gross margin of RMB 87MN (US$11.1MN), of which system integration, IT consulting, and software and outsourced operation contributes RMB 24.9MN (US$3.2MN), RMB 30.7MN (US$3.9MN), and 31.4MN (US$4MN) respectively. Mr. Weidong Hong, the CEO of Yucheng Technologies stated "We continue to see the benefits from the combination of Sihitech and e-Channels, as well as the latest acquisition of Sunrisk, through our increased resources, including staffing, product offering diversity and capital. We believe that 2006 is a stellar year on a combined basis of the Chinese operating companies, evidenced by a solid step forward in the migration up the product value chain to high- growth and high-margin non-system-integration businesses. Looking forward, we believe that 2007 will also be a successful year as the company draws on its resources to expand its client base and continues to leverage our combined and newly acquired companies' cross-selling opportunities to gain market share." The audited financial statements will be included in the 20-F form required for Yucheng to file by June 30, 2007.

Summary:

It's a profitable Chinese company with significant growth and large profits margins.

They have only 9.5m O/S with 3.45m in float. And already booked 6.1m in net income for 2006.

Plus, they recently purchased another profitable company: http://biz.yahoo.com/bw/070122/20070122006146.html?.v=1
BEIJING--(BUSINESS WIRE)--Yucheng Technologies Ltd. (YCHTF.OB, YCHWF.OB) today announced that its wholly owned subsidiary, Beijing Yucheng Technologies, signed a stock purchase agreement to acquire 100% ownership of Sunrisk Information Technology Ltd., a Beijing based risk management solution and service provider to Chinese banks. The consideration for the acquisition of the stock of Sunrisk Information Technology Ltd. was all cash deal which was partially paid at the time of acquisition, with the balance due on January 31, 2007 and March 31, 2008 based on the 2006 and 2007 results of operations. For 2006, Sunrisk's unaudited revenue was approximately US$ 1,536,000 (RMB 12 million) and unaudited net profit was US$ 960,000 (RMB 7.5 million) under US GAAP.

And finally, they began trading on Nasdaq 3 weeks ago.
Their warrants (YTECW) could be very rewarding with exercise price of $5 and expiration in 11/2008

Yucheng Technologies - Nasdaq Listing

HRBN #2?

Yucheng Technologies Ltd. Announces its Listing on the NASDAQ Capital Market
Wednesday March 14, 10:04 am ET

http://biz.yahoo.com/prnews/070314/cnw010.html?.v=27

BEIJING, March 14 /Xinhua-PRNewswire/ -- Yucheng Technologies Ltd. today announced that its common stock and warrants have commenced trading on NASDAQ Capital Market under the symbols YTEC and YTECW respectively, effective today -- Wednesday, March 14, 2007.


Yucheng Technologies Ltd., a leading IT solution and services provider to the local Chinese banking industry, is the combination of Beijing Sihitech Technology Co., Ltd., Beijing e-Channels Technology Co., Ltd., and China Unistone Acquisition Corporation. It was previously traded on the OTCBB under the symbols YCHTF.OB and YCHWF.OB upon the consummation of its merger on November 24, 2006.

Yucheng Technologies Ltd. is the first local Chinese IT solution and services provider to the Chinese banking industry to be listed on NASDAQ. Weidong Hong, CEO of Yucheng Technologies Ltd., stated: "We are thrilled to be listed on the NASDAQ Capital Market, which brings international public company prestige to our existing market leadership position, our strong local management team, and proven track record in the banking IT segment in China. Being a NASDAQ listed company, Yucheng will be in an even better position to be the preferred and trusted local choice to provide the IT solutions and services that local Chinese banks increasingly need to expand their capabilities and enhance their competitiveness in an increasingly open financial services industry."

About Yucheng Technologies Ltd.

Yucheng Technologies Ltd. (Nasdaq: YTEC; YTECW) is an IT solution and services provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has established an extensive footprint to serve its banking clients nationwide with five subsidiaries and representative offices located in Shanghai, Guangzhou, Xi'an, Xiamen, and Chengdu. Yucheng currently has more than 660 employees across China. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks ranging from system integration and IT consulting, to IT solutions, software platform, and outsourced operations. Yucheng counts 12 out of the 15 top local commercial banks in China as its customers, and is especially strong in banking channel management IT solution and services, such as web banking and call centers. It has the largest market share in the web banking application market in China by user base according to a third party research report. Most recently, Yucheng made a strategic investment to provide risk management services to meet its clients' growing demand in this area driven by its profit conscientiousness and Basil Accord II compliance. Yucheng is ranked one of the top five IT solution providers, along with IBM and Digital China by IDC's "China Banking Industry IT Solution 2006-2010 Forecast and Analysis" report released in September 2006. Yucheng management team consists of industry veterans with extensive experience in serving the Chinese banking industry.




http://biz.yahoo.com/prnews/070314/cnw010.html?.v=27

Harbin Electric continues to deliver. Earnings are out and they look good. I expect the stock to hit high teens in less than 6 months. (it already gained over 60% from original DD at $8.10)

4Q06 Revenues Increase 66.9% to $12.0 Million
Fiscal 2006 Revenues Increase 70.9% to $40.4 million

http://biz.yahoo.com/prnews/070308/cnw007x.html?.v=1

Net Income for 2006 increased to $18.4 million, or $1.01 per diluted share, compared to $10.0 million, or $0.67 per diluted share, for 2005. This increase was driven mainly by increased operating income and the non cash gain of $6.4 million, or $0.35 per diluted share, included for the change in fair value of warrants.

Our total fully diluted share count at the end of 2006 was 18,306,569 compared to 15,143,891 at the end of 2005. The increase was driven by warrants granted to investors and options granted to employees during 2006.

Highlights for the Fiscal Year 2006 include:

• Entering into a joint research and development agreementwith the Institute of Electrical Engineering of the ChineseAcademy of Sciences ("IEECAS") to produce a train andsystem to be tested at the Beijing Airport railway line inthe People's Republic of China by the end of 2008;
• Closing of a US$50.0 million debt financing with CitadelEquity Fund Ltd. and Merrill Lynch International;
• Strengthening of our Board of Directors by adding 3 newindependent board members;
• Commenced construction of new manufacturing facility in theShanghai Zhuqiao Airport Industrial Zone focused onautomobile market.

Yucheng Technologies (YCHTF.OB)

Potential long term stock - Yucheng Technologies. YCHTF.OB (has warrants YCHWF.OB, which I like more).

Lots of info on it can be found here:

http://www.secinfo.com/dVut2.vbdf.htm

Basically, it's a new Chinese entity combined from a couple of companies purchased by China Unistone and renamed to Yucheng Technologies.

Here is a little on the deal:
China Unistone was organized to effect a business combination with an operating business that is based in China and that has significant growth potential. After the consummation of the stock purchase and redomestication merger, the operating companies of Yucheng will be Sihitech, and its subsidiaries, and e-Channels, all of which are located in China. Together these companies will provide IT services and system integration, web banking, and electronic multi-channel software and solutions to the Chinese banking industry. These companies, founded in the late 1990's have, collectively, demonstrated significant growth since commencing operations. China Unistone believes that the operating companies have the infrastructure in place to expand their business through cross selling, increase their customer base, and develop new services and products. As a result, China Unistone believes that a business combination with Sihitech and e-Channels will provide China Unistone stockholders with an opportunity to participate in a combined company with significant growth potential.

The combined company conists of Sihitech and e-Channels companies. Here is something for 2005:

In 2005, Sihitech and e-Channels had combined revenues of $25.2 million and total net income of $3.1 million. Post closing, Yucheng will have six operating subsidiaries which include Sihitech, e-Channels, Beijing Sihitech Software, Shanghai Sihitech, Shanghai Sihitech Software and Guangzhou Sihitech. There also will be two representative offices in Fuzhou and Xian. The combined company will have a combined employee staff of approximately 550 employees.


It's a profitable entity with significant growth and huge profits margins. (read SEC)
Their business plan is to hit these profits (not revenues):

2007 $ 8,500,000
2008 $ 11,900,000
2009 $ 16,700,000
2010 $ 23,300,000

They have 9.5m O/S with a lot less in float. And already 3.2m in profits. Plus, they just purchased another profitable company:
http://biz.yahoo.com/bw/070122/20070122006146.html?.v=1

BEIJING--(BUSINESS WIRE)--Yucheng Technologies Ltd. (YCHTF.OB, YCHWF.OB) today announced that its wholly owned subsidiary, Beijing Yucheng Technologies, signed a stock purchase agreement to acquire 100% ownership of Sunrisk Information Technology Ltd., a Beijing based risk management solution and service provider to Chinese banks. The consideration for the acquisition of the stock of Sunrisk Information Technology Ltd. was all cash deal which was partially paid at the time of acquisition, with the balance due on January 31, 2007 and March 31, 2008 based on the 2006 and 2007 results of operations. For 2006, Sunrisk's unaudited revenue was approximately US$ 1,536,000 (RMB 12 million) and unaudited net profit was US$ 960,000 (RMB 7.5 million) under US GAAP.

So, here is what Yucheng does:

Yucheng Technologies Ltd. is an IT solution and services provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has established an extensive footprint to serve its banking clients nationwide with five subsidiaries and representative offices located in Shanghai, Guangzhou, Xian, Xiamen, and Chengdu. Yucheng currently has more than 600 employees across China. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks from system integration and IT consulting, to IT solutions, software platform, and outsourced operations. Yucheng counts 12 out of the 15 top commercial banks in China as its customers. Yucheng is especially strong in banking channel management IT solution and services, such as web banking and call centers. It has the largest market share in the web banking application market in China by user base according to a third party research report. Yucheng is ranked one of the top five IT solution providers, along with IBM and Digital China by IDC's "China Banking Industry IT Solution 2006-2010 Forecast and Analysis" report released in September 2006. Yucheng management team consists of industry veterans with extensive experience in serving the Chinese banking industry.

Finally, I believe they applied for Nasdaq....according to SEC documents...I like the warrants (strike price is $5, expiration - 11/2008