Overview

CDC Corporation (CDC) is a global provider of enterprise software, mobile services and applications, and Internet and media services, with facilities in the People's Republic of China, North America, Europe and Australia. It operates in four segments: Software, Business Services, Mobile Services and Applications, and Internet and Media. During the year ended December 31, 2005, the Company reorganized these segments into two core business units: CDC Software and China.com Inc. In February 2006, CDC acquired JRG Software, Inc. and Horizon Companies, Inc. In April 2006, it acquired c360 Solutions, Inc. In June 2005, it acquired Unitedcrest Investments Limited (which holds Shenzhen KK Technology Ltd.) In April 2005, the Company changed its name from chinadotcom corporation to CDC Corporation. On September 12, 2006, CDC Software acquired Brilliant Training & Consulting PTY LTD. In October 2006, CDC Software acquired MVI Technology. On December 1, 2006, CDC Software acquired Vis.align, Inc.  Additional Information from Reuters

Financials (In millions of USD)

Income Statement 

Quarterly
(Sep '06) 

Annual
 2005

Annual
 2004
Total Revenue 

78.23

245.04

182.68
Gross Profit 

43.68

137.04

103.44
Operating Income 

5.73

-3.66

-6.38
Net Income 

3.1

-3.54

-9.33
Balance Sheet 

Total Current Assets 

192.98

186.88

341.69
Total Assets 

630.7

608.03

664.33
Total Current Liabilities 

129.7

114.18

171
Total Liabilities 

197.39

168.72

223.38
Total Equity 

433.31

439.31

440.95
Cash Flow 

Net Income/Starting Line 

- 

-3.54

-9.33
Cash from Operating 

- 

12.3

10.79
Cash from Investing 

- 

8.24

3.63
Cash from Financing 

- 

-36.35

40.25
Net Change in Cash 

- 

-16.52

54.7

                                                                            Source:  Google Finance

 

Key Elements

  • Potential customers contact CHINA about possible deals
  • Management is identifying markets that are underserved
  • Today CHINAis averaging about 25 to 30 deals per quarter in mainland China
  • 15% growth from the CDC software side, total organic growth is around 11%
  • Strong demand for CRM product from financial and manufacturing sector
  • Possible future acquisitions
  • New Games in the pipeline:  Special Force (close to Beta testing), Stone Age II (most anticipated game on 2007 in China, expected to be launched in the second half of this 2007 and Lord of the Rings  (expected to be launched in the second half of this 2007)
  • Looking to license new games in the future
  • $20 million development program for new games

                                                                      Source: Summary from the latest conference call

Charts

 

3 Month Chart

1 Year Chart

5 Year Chart

                                                                      Source:  BigCharts.com

News

              Source:  Yahoo Finance

 

Ownership