Ninetowns (NINE) announced its financial results for the fourth quarter and full year ended December 31, 2004. Sales from enterprise software in the fourth quarter of 2004 were US$6.6 million, an increase of 72.3% over the same period in 2003, and 7.2% over the third quarter of 2004.
Shuang Wang, Chief Executive Officer of Ninetowns, said, "Our strong growth in 2004 reflects the considerable momentum we gained in our business. More importantly, with more companies turning to electronic filing as a means of gaining a competitive advantage, we believe we have considerable room for growth. Because of this, we expect our revenue and profit growth will continue in 2005 as we help an increasing number of enterprises and trade-related PRC government agencies to streamline the import/export process in China."
Diluted earnings per share/ADS computations for the fourth quarter and full year 2004 were based on 31.7 million and 28.3 million weighted average number of shares/ADSs outstanding on a diluted basis, respectively. On a diluted basis, the number of shares/ADSs outstanding increased by 7.1 million in the fourth quarter 2004 compared to the fourth quarter 2003 due to the company's December 8, 2004 initial public offering.