China INSOnline Corp. (CHIO) is an Internet service and media company focusing on the Peoples Republic of China insurance industry. Trading on the NASDAQ Capital Market, with a current market capitalization of $148.00 million, the company uses localized websites targeting greater China. They provide, through Soobao, a network portal through their industry website www.soobao.cn. They offer online automobile, property and life insurance services through this site.
Soobao’s goal is to raise the national insurance consciousness and reduce the cost of national security in China. They do this by constructing and maintaining their network to integrate and optimize business flow throughout the insurance sales and related client services process. China INSOnline Corp., via Soobao, provides this portal to insurance companies, agents, and consumers for advertising, online inquiry, news circulation, online transactions, statistics analysis and software development.
Headquartered in Beijing, the company represents major insurance underwriting firms in China. China INSOnline is also a licensed online motor vehicle, property, and life insurance agent. They garner their revenues from these operations through sales commissions from customers in the People’s Republic of China.
China INSOnline Corp. began a comprehensive program earlier this year to promote their www.soobao.cn brand name. They are delivering their message through television, radio, print, and other China media outlets. They are working to expand their automobile and personal insurance business with consumers. They also want to increase the number of different agencies that use their website.
In May, China INSOnline Corp. announced their financial results for the third quarter of fiscal year 2008. Revenues for three months ended March 31, 2008 were $3,345,933, resulting in gross profit of $2,607,268. Income from operations was $2,301,748 and net income was $1,610,186, or $0.04. This is exclusive of a $374,563 gain on foreign currency translation. For the nine months, ended March 31, 2008, revenues were $8,646,686, for gross profit of $7,623,409. Income from operations was $7,046,984 and net income was $5,648,389, or $0.18. Again, this was exclusive of a $560,144 gain on foreign currency translation.
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