[photopress:logistics_grand_power.jpg,full,alignright]Grand Power Logistics saw revenue increase by 68.4% to $99.6 million compared to the same period in 2006. Gross profit for the year increased by 72% to $6.9 million.
Costs related to the Company’s aggressive expansion, particularly in China resulted in a net loss of $139,623 but to that should be added adjustments to employee’s compensation so that direction was solidly in the right direction.
Ricky Chiu, President and CEO of Grand Power, said, ‘Successfully implementing our expansion plans did challenge our margins during the year, but we believe our efforts will be rewarded with continued strong revenue growth and increased profits as we benefit from economies of scale and our entry in higher margin segments of the logistics value chain.’
Cargo shipments showed the strongest growth in the European markets, growing by 162% to 7,973 tonnes in 2007. Strong gains were also reported in the US markets with 9,468 tonnes shipped, an increase of 43.9%.
Grand Power’s expansion into China in 2007 also resulted in significant growth as air cargo increased by 926% to 4,388 tonnes.
To help facilitate further expansion and grow market share, Grand Power has established Shanghai as the China headquarters.
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