China Customer Relations Center (NASDAQ:CCRC)

TAI'AN, China, April 29, 2019 /PRNewswire/ -- China Customer Relations Centers, Inc. (CCRC) ("CCRC" or the "Company"), a leading call center business process outsourcing ("BPO") service provider in China, today announced its financial results for the six and twelve months ended December 31, 2018.

Second Half of 2018 Highlights (all comparisons to prior year unless noted)

• Revenues increased by 39.0% to a Company record of $75.4 million driven by a continued expansion of business.
• Gross profit increased by 38.3% to $18.6 million. Gross margin decreased by 0.1 percentage points to 24.7%.
• Operating income decreased by 8.7% to $5.1 million. Operating margin decreased by 3.5 percentage points to 6.8%.
• Net income attributable to common shareholders increased by 7.5% to $5.1 million.
• EPS attributable to common shareholders was $0.28, compared to $0.26 for the same period of the prior year.

Full Year 2018 Highlights

• Revenues increased by 59.0% to $141.4 million driven by continued expansion of business.
• Gross profit increased by 66.0% to $38.9 million. Gross margin increased by 1.2 percentage points to 27.5%
• Operating income increased by 102.9% to $17.5 million. Operating margin increased by 2.7 percentage points to 12.4%.
• Net income attributable to common shareholders increased by 83.4% to $16.1 million.
• EPS attributable to common shareholders was $0.88, compared to $0.48 for 2017.
• As of December 31, 2018, the Company had service capacity of 18,384 seats, compared to 13,992 seats as of December 31, 2017.

Mr. Gary Wang, Chairman and Chief Executive Officer of CCRC, commented, "We continue to see strong momentum in our business, highlighted by growth in revenues and net income attributable to common shareholders of 39.0% and 7.5%, respectively, in the second half of 2018, as we continue to add new BPO clients while increasing sales volume at some of our key existing clients. For the full year 2018, Revenues grew by 59.0% to $141.4 million while EPS increased by 83.4% to $0.88. This capped a four-year run of both top- and bottom- line growths where revenues and net income attributable to common shareholders grew at CAGRs of 34.9% and 73.3%, respectively, an accomplishment that we are proud of".  

TAI'AN, China, Nov. 11, 2018 /PRNewswire/ -- China Customer Relations Centers, Inc. (NASDAQ: CCRC) ("CCRC" or the "Company"), a leading call center business process outsourcing ("BPO") enterprise based in China, today announced that its board of directors (the "Board") has received a preliminary non-binding proposal letter dated November 10, 2018 jointly submitted by its founder and chairman of the Board, Mr. Zhili Wang, and Guangzhou Cornerstone Asset Management Co., Ltd. ("Cornerstone"), to acquire all of the outstanding shares of CCRC not currently owned by them in a going private transaction for $16.00 per common share in cash. A copy of the proposal letter is attached hereto as Annex A.

CCRC's Board has formed a special committee of independent and disinterested directors (the "Independent Committee") consisting of Tianjun Zhang, Owens Meng, and Jie Xu, to consider this proposal. The Independent Committee intends to retain a financial advisor and legal counsel to assist it in its work. The Board cautions the Company's shareholders and others considering trading in its securities that the Board just received the preliminary non-binding proposal from Mr. Wang and Cornerstone, and no decisions have been made by the Independent Committee with respect to CCRC's response to the proposal. There can be no assurance that any definitive offer will be made, that any agreement will be executed or that this or any other transaction will be approved or consummated.