- CIIX will diversify revenue streams to investor relations, marketing/sales of hemp-infused/CBD products in China and the United States
- Company plans launch of hemp-infused wrinkle cream in China, entering potential market of nearly 1.4 billion people
- In Q1 FY2020, CIIX sales jumped 174.7 percent to $1,956,960 from prior year; hemp/CBD products rose 569.2 percent
ChineseInvestors.com Inc. (OTCQB: CIIX), a leading financial information website for Chinese-speaking investors in the United States and China, plans to diversify revenue streams in FY2020. In a letter to shareholders, CIIX CEO Warren Wang outlined the company’s plans to focus on its core investor-relations business as well as continue to expand and market its industrial hemp-infused/CBD products in China and the United States as it eyes greater revenues and profits (http://ibn.fm/mGUbP).
In the letter, Wang said that CIIX plans to launch a hemp-infused wrinkle cream cosmetic in China in the near future. He emphasized that the focus of the company’s efforts in industrial hemp/CBD would be in China through its subsidiary CBD Biotech Co. Ltd. CIIX has supported its industrial hemp/CBD product lines in China evidenced by new product launches and initiatives taken to expand geographically in the Asian market (http://ibn.fm/emkqg).
“As product margins seem to be healthier in this market, the company’s main focus for its industrial hemp business in FY2020 will be on its China operations where we have a robust product development pipeline,” said Wang. The CIIX executive also noted that in China, industrial-hemp extract may be added to cosmetics, thus opening a potential market of nearly 1.4 billion people to the company.
Moving forward, CIIX should have an advantage in the legality/trends of industrial hemp/CBD in other Asian markets because it already has “feet on the ground” in that part of the world, explained Wang. “Although the U.S. market has experienced some favorable changes in the law related to industrial hemp/CBD, there has been some volatility, which can be a consequence of entering a nascent market,” he said. Consequently, Wang said that CIIX would invest “conservatively” in its United States hemp/CBD operation, focusing on organic growth.
Wang also disclosed in the letter that CIIX is in the process of establishing a “working cooperation” with a private equity firm in China. “We would expect this relationship to have a positive impact on our investor relations business globally,” he noted.
In its 8-K filing to the SEC, CIIX reported sharply higher revenues for Q1 2020, the three months ended August 31, 2019. Sales jumped to $1,956,960, 174.7 percent higher than the $712,360 reported for the same quarter the prior year. Hemp- and CBD-product revenues drove that increase with a contribution of $948,751 for the quarter, a 569.2 percent rise from the $141,764 in Q1 2019 (http://ibn.fm/QjZSW).
CIIX’s core investor-relations business generated $821,361 in Q1 2020, a 200 percent improvement over the $271,248 reported the same period the prior year. CIIX has refocused and grown its core business.
The Q1 2020 performance continued growth reported earlier as CIIX recorded sharp gains of 175 percent year-over-year for its FY2019, ended in May 2019. That rise was generated by FY2019 sales of $6,476,442 compared to $2,353,331 in FY2018, according to its 10-K SEC filing (http://ibn.fm/di0xI). The increase was driven by industrial-hemp and CBD-liquor product sales of $4,189,935 in FY2019 compared to $378,984 in FY2018 (http://ibn.fm/l8Fl1). Investor relations, a core business, generated gains as well. Its sales were $1,336,402 in FY2019 compared to $968,282 the prior year.
CIIX offers its audience of Chinese-speaking investors real-time market commentary, analysis and educational-related services in Chinese character language sets.
For more information, visit the company’s website at www.ChineseInvestors.com
NOTE TO INVESTORS: The latest news and updates relating to CIIX are available in the company’s newsroom at http://ibn.fm/CIIX