China Jo-Jo Drugstores, Inc. (CJJD) stock soared 4.98% in the after-hours trading session at the price of $0.70 despite no fundamental updates. CJJD is the leading provider of healthcare products and services. It is a retailer and wholesale distributor of pharmaceutical and other products in China.
Completion of Re-domiciliation Merger
On 30th July 2021, CJJD published that it had completed the re-domiciliation merger. The merger aimed to redomicile the company as a Cayman Islands company. Under the terms, each outstanding share of the company’s common stock had transformed into the right to acquire the ordinary shares of the Cayman Islands company (CJJD Cayman). The ordinary shares of CJJD Cayman had listed on the NASDAQ under the market trading symbol of CJJD.
Four-star Livelihood Pharmaceutical Service Station
On 14th July 2021, CJJD announced that the government had chosen the Daguan store as one of the first batches of four-star livelihood pharmaceutical stations. The celebration ceremony had attended by about 60 government officers on 8th July 2021.
Management Comments
Chief Executive Officer of Jo-Jo Drugstores, Mr. Lei Liu, stated that the government had recognized their service capabilities by selecting them as a four-star livelihood pharmaceutical service station. They are ready to render high-quality products and services in the future. Looking ahead, they will expedite the deployment at their service sites, expand their services to more communities, and provide WeChat pharmacy consultation to serve people and make their lives more comfortable, he added.
CJJD Published Fiscal 2021 Financial Results
On 29th June 2021, CJJD published its earnings report for the fiscal year ended 31st March 2021 and provided corporate updates.
CJJD Financial Highlights
CJJD reported revenue of $133.13 million for the fiscal year ended 31st March 2021. It raised by $15.80 million, or 13.5%, from $117.33 million for the fiscal year ended 31st March 2020. For the fiscal year 2021, net loss was $8.38 million or $0.20 per share. Net loss was $6.46 million, or $0.18 per share, for the fiscal year ended 31st March 2020. The total cost of goods sold was $103.89 million for the fiscal year of 2021. It grew $12.09 million, or 13.2%, from $91.80 million for the fiscal year of 2020. Gross profit was $29.24 million for the fiscal year ended 31st March 2021. It represents an increase of $3.71 million, or 14.6%, from $25.53 million for the fiscal year ended 31st March 2020.
