China News: Lentuo International, Beijing's Largest Non-State-Owned Auto Dealership, Announces Video Footage and Officer Interviews at Company Headquarters
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BEIJING--Lentuo International Inc., the largest non-state-owned automobile retailer in Beijing as measured by new vehicle sales revenue, today announced that its Founder and Chairman, Hetong Guo, and its Chief Financial Officer, Ping Yu, were interviewed on camera by Dave Gentry, President of RedChip Companies, Inc., at the Company's headquarters in Beijing.
During the interview, Mr. Guo and Ms. Yu discussed Lentuo's recent financial performance, competitive advantages, growth strategy, and business outlook. Lentuo has a 16-year operating history and a 3% market share by volume in Beijing's passenger vehicle market. The Company has won numerous awards for the quality of its customer service and is the only auto dealership in Beijing to be accredited as a "Credible Enterprise" by the Beijing Administration of Industry and Commerce. Lentuo plans to add 10 dealerships to its operations in 2011, bringing its total number of dealerships to 16.
China is currently the world's largest automobile market. Vehicle sales in China increased 32% year-over-year to over 18 million vehicles in 2010, and J.D. Power and Associates forecasts that China's automobile market will maintain double-digit annual growth in 2011. Additionally, industry experts project that China will account for half of all new cars sold worldwide by 2020.
Lentuo's independent auditor is Ernst & Young Global Limited, a Big Four accounting and professional services firm. The Company completed an initial public offering of 6.5 million American Depositary Shares (ADS), each representing two common shares of the Company, in December 2010. Cowen and Company, LLC and HSBC Securities (USA Inc. acted as joint book-runners and Macquarie Capital (USA) Inc. acted as the co-manager for the offering.
For the fiscal year ended December 31, 2010, Lentuo's revenues increased 43.7% year-over-year to $509.6 million. The Company sold 18,176 vehicles in 2010, up 20.8% from 2009. Net income increased 25.4% year-over-year to $24.5 million, or $1.14 per ADS.
The interview is available for viewing at the following link:
About Lentuo International Inc.
Lentuo is the largest non-state-owned automobile retailer in Beijing, China as measured by new vehicle sales revenue in 2009, according to the China Automobile Dealers Association--CADA. Lentuo operates six franchise dealerships, ten automobile showrooms, one automobile repair shop and one car leasing company in Beijing, the largest new passenger vehicle market among all cities in China. Three of Lentuo's six dealerships are among the leading dealerships in China for their respective brands, as measured by the volume of new vehicle sales by individual dealership.
