SHENZHEN, China , May 13 /Xinhua-PRNewswire-FirstCall/ -- China Information Security Technology, Inc. (OTC Bulletin Board: CIFS) ("China Information Security," "CIST" or the "Company"), a leading provider of Information Security and 3S (Geographic Information System -- GIS, Remote Sensing -- RS, and Global Positioning System -- GPS) services in China , today announced strong financial results for the first quarter ended March 31, 2008 .
"We are pleased to see such strong momentum in our operations in the first quarter, as we reaped the benefits of our expanded product portfolio and further geographic reach," commented Mr. Jiang Huai Lin , CEO of China Information Security. "At this point, we remain confident in achieving our financial goals for the year 2008. With the rapid expansion of our customer base and the successful integration of newly acquired businesses, we should be able to strengthen our competitive position and increase our market share."
For the three months ended March 31, 2008 , revenues grew 180% to
Gross profit for the first quarter of 2008 grew 91% year over year to
Administrative expenses increased to
Selling expenses for the quarter ended March 31, 2008 were around
Income from operations grew 65.5% to
The Company's subsidiaries, IST, ISDT and Bocom Technology, and its VIE,
iASPEC, are subject to EIT at a rate of 18% of assessable profits in 2008. In
addition, IST is a Foreign Investment Enterprise engaged in the technology
industry which entitles it to a two-year exemption from EIT followed by a 50%
tax exemption for the next three years. Income tax expenses for the three
months ended March 31, 2008 was
Net income grew 85.3% to
As of March 31, 2008 , the Company had
(1) Corporate Governance
In April 2008 , China Information Security established three committees -- audit, compensation and nominating to comply with all NASDAQ listing requirements. Mr. Sean Shao , CFO of NYSE listed Trina Solar , was retained as the independent director who will lead as Chairman of the Audit Committee.