Fuling Global Inc. (NASDAQ:FORK)

WENLING, China and ALLENTOWN, Pa., March 24, 2020 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK) ("Fuling Global" or the "Company"), a manufacturer and distributor of environmentally friendly plastic and paper foodservice disposable products, today announced that production at its three manufacturing facilities in China have resumed to 100% capacity.

"After a harrowing period, all of our employees in China are now back to work again, and our manufacturing lines are fully up and running, 24/7," said Xinfu Hu, CEO of Fuling Global Inc. "We began chartering flights and buses to return non-local employees since early February, and are happy to report that we have cautiously, steadily and successfully ramped up since, with production back in full force to ensure that our customers' purchase orders can be fulfilled.

"All of our facilities throughout the globe have implemented additional safety measures to prevent contamination from COVID-19. We will continue to closely monitor the situation to ensure we are taking every precaution and all appropriate steps to maintain a safe and healthy environment for our workforce," Mr. Hu added.

Fuling Global last month announced the opening of its newest manufacturing plant in Indonesia, where it has begun production of straws. The Company expects to install additional production lines in Indonesia later this year. 

WENLING, China and ALLENTOWN, Pa., Feb. 25, 2020 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK) ("Fuling Global" or the "Company"), a manufacturer and distributor of environmentally friendly plastic and paper foodservice disposable products, today announced that its newest manufacturing facility, based in Semarang City, Central Java, Indonesia, has officially opened and launched production of straws, sauce cups, take-out boxes and paper cups. The new facility is the Company's third manufacturing plant outside of China.

Fuling Global established its first manufacturing facility outside of China in 2014, in Allentown, Pennsylvania, which serves as the company's U.S. headquarters. Last year, Fuling Global opened its second manufacturing facility in Monterrey, Mexico.

"Completion of our factory in Indonesia represents an important milestone in Fuling Global's strategy to become a global supplier of foodservice disposable products, offering innovative research and development and high-quality products, with international sourcing capability," said Mr. Xinfu Hu, CEO of Fuling Global Inc. "It is also by far our largest production plant outside of China and will enable us to provide our international clients with a comprehensive line of products."

The new Indonesia manufacturing facility spans nearly 194,000 square-feet. The Company expects to install 64 production lines of manufacturing equipment in two phases during 2020, including 20 straw production lines; 12 cup lid and packing box production lines; eight sauce cup production lines; and 24 paper cup production lines. Later this year, the Company plans to increase production to include paper bags. When both phases are done and fully operational, the Company expects to have approximately 500 employees at this facility and achieve annual production scale of approximately US$60 million, assuming sufficient customer orders.

WENLING, China, Feb. 12, 2020 /PRNewswire/ -- Fuling Global Inc. (Nasdaq: FORK) ("Fuling Global" or the "Company"), today announced that its Taizhou Fuling Plastics Co. ("Taizhou Fuling") subsidiary is donating disposable tableware products and medical supplies to the frontline personnel and hospital workers in Wenling City in support of the fight against the coronavirus epidemic.

"The epidemic is ruthless, as tens of thousands of frontline, anti-epidemic personnel, the real warriors, are putting their lives at risk to prevent the further spread of this horrific infectious disease," said Ms. Guilan Jiang, Chairperson of Fuling Global. "When we learned there is a shortage of disposable tableware for these workers - many of whom must eat their meals in potentially unsanitized environments - we knew that as a manufacturer of disposable tableware products, we have to do our part to assume social responsibility, and contribute in any way we can."

As of February 11, Taizhou Fuling had distributed disposable tableware products, valued more than 270,000 yuan, that were originally earmarked for export to over 20 towns within Wenling City, as well as various medical care protective supplies to the frontline medical staff purchased through friends and family members overseas.

The Company's China operations have started to resume production on February 10, which will help to ensure that Taizhou Fuling can continue to send additional supplies to the anti-epidemic workers, and to ensure customer purchase orders can be processed in a timely order for delivery.

WENLING, China and ALLENTOWN, Pa., Nov. 29, 2019 /PRNewswire/ -- Fuling Global Inc. (Nasdaq: FORK), ("Fuling Global" or the "Company"), a manufacturer and distributor of environmentally friendly plastic and paper foodservice disposable products, today announced that Gilbert Lee has relinquished his position as Chief Financial Officer and will remain with Fuling Global as a consultant. Mr. Lee had been CFO since before the Company's initial public offering in 2015.  In his new consulting role, he will focus on global expansion and associated operations initiatives and will assist with the CFO transition.

The Company also announced it has named Meihong Pan as Fuling Global's interim CFO, and it has initiated a search for a CFO.  Ms. Pan has been Fuling Global's financial controller since 2006 and has been with Fuling Global since 2004.

Fuling Global established its first manufacturing facility outside of China, in Allentown, Pennsylvania, in 2015.  Earlier this year, the Company opened a manufacturing plant in Monterrey, Mexico, and plans to open a manufacturing plant in Semarang, Indonesia in 2020.

ALLENTOWN, Pa., Oct. 22, 2019 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK) ("Fuling Global" or the "Company"), a manufacturer and distributor of environmentally friendly plastic and paper foodservice disposable products, today announced financial results for the six months ended June 30, 2019.

Financial Highlights:

• Revenues increased by 6% to $70.9 million for the first half of 2019, from $66.8 million for the comparable period last year.
• Gross profit for the first six months of 2019 increased by 61% to $16.7 million, from $10.4 million for the same period last year.
• Net income from continuing operations increased sharply to $7.4 million, or $0.47 per share, compared with $0.9 million, or $0.06 per share, for the first half of 2018.
• Net income attributable to Fuling Global was $7.7 million, or $0.49 per share, for the first half of 2019, compared with $0.4 million, or $0.02 per share, for the same period last year.

Gross profit advanced to $16.7 million, or 24% of total revenue, for the first half of 2019, up from $10.4 million, or 16% of total revenue, for the same period of last year. The increase in gross profit was primarily attributable to unit price declines in raw materials, as well as favorable exchange rates.

Selling expenses were $4.0 million, or 6% of total revenues, in the first half of 2019, compared with $3.7 million, or 5% of total revenues, for the same period of last year. General and administrative expenses were $3.6 million, or 5% of total revenues, in the first half of 2019, compared with $3.5 million, or 5% of total revenues, for the same period of last year. Research and development expenses amounted to $1.9 million, or 3% of total revenues, for the first half of 2019, compared with $1.4 million, or 2% of total revenues, for the same period of last year. The Company expects research and development expenses to remain at similar levels for the second half of 2019, as it continues to seek the use of environmentally friendly materials, develop biodegradable materials, and reduce reliance on fossil-based raw materials.

Total operating expenses were $9.5 million for the first half of 2019, compared with $8.7 million for the same period of last year.

Operating income increased substantially to $7.1 million for the first half of 2019, from $1.7 million for the same period of last year. Operating margin was 10% for the first half of 2019, compared with 3% for the same period of last year.

Total net other income, which includes interest income and expenses, subsidy income and other non-operating income and expenses, was $1.6 million for the first half of 2019, compared with total net other expense of $0.7 million for the same period last year. The difference was primarily related to a one-time subsidy received from the local government in Wenling, China, for the completion of the phase II expansion of the Company's newest facility in China, which added an additional 400,000 square feet to the initial 600,000 square foot, state-of-the-art plastic serviceware factory.

The Company's effective tax rate for the first half of 2019 was 15.3%, compared with 13.2% for the same period in 2018.

Net income from continuing operations for the first half of 2019 increased significantly to $7.4 million from $0.9 million in the same period last year. Net income per share from continuing operations for the first half of 2019 increased to $0.47 from $0.06 for the first half of 2018. Net income attributable to Fuling Global was $7.7 million, compared with $0.4 million in the first half of 2018.

"Fuling Global had a very strong first half of 2019, with our focus on producing straws, cups and plates, generating substantial revenue increases," said Xinfu Hu, Chief Executive Officer. "Significant progress was also made to ensure our ability to effectively and efficiently serve our U.S. customers and to expand to other global markets with the start of production in our Mexico factory in mid-August and the completion of our phase II facility expansion in Wenling. We are in the process of opening a new factory in Indonesia as well, to further mitigate global trade risks."

"Our first half results demonstrate Fuling Global's ability to successfully execute our long-term strategic plan," said Guilan Jiang, Chairwoman. "At the same time, we continue to make great strides toward effecting more efficient purchasing and manufacturing processes, developing new and more environmentally friendly products, and keeping costs as low as possible. We are in a great position to continue on the path of growth through the remainder of 2019 and beyond."

Financial Condition

As of June 30, 2019, the Company had cash and cash equivalents and restricted cash of $7.6 million and $2.1 million, respectively, compared with $4.4 million and $2.4 million, respectively, as of December 31, 2018. Short-term borrowing and bank notes payable were $21.5 million and $2.7 million, respectively, as of June 30, 2019, compared with $19.9 million and $2.9 million, respectively, as of December 31, 2018. Long-term borrowing was $7.1 million as of June 30, 2019, compared with $7.2 million as of December 31, 2018.

Net cash provided by operating activities was $9.2 million for the first half of 2019, compared with $0.7 million for the same period last year. The increase was mainly attributed to the increase in net income of $7.3 million and the reduction of accounts receivable. Net cash used in investing activities was $6.1 million for the first half of 2019, compared with $8.5 million for the same period of last year. Net cash used in financing activities was $0.1 million for the first half of 2019, compared with net cashed provided by financing activities of $5.1 million for the same period last year.

ALLENTOWN, Pa., April 16, 2019 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of plastic and paper service ware, with manufacturing facilities in the U.S., Mexico and China, announced today that its Chief Executive Officer, Mr. Xinfu Hu, released an open letter to investors.  The letter is included in its entirety below:

*****

A Letter to Fuling Global Inc.'s Investors

To our valued investors:

I would like to thank all investors for your continued support of Fuling's development and your faith in our shared future. I would like to take this opportunity to summarize our achievements since our successful IPO in November 2015, discuss our Mexico factory plan addressing the current international trade environment and our environmental protection solutions.

I. Our achievements

Revenue grew at an annual compound rate of 14.35% to $142.20 million in 2018, up from $83.18 million in 2014. For the four years ending 2018, the company realized a total after-tax profit of $31.79 million.

We invested most of our $20 million IPO proceeds in our new Wenling factory. The total investment of this new factory reached $58.95 million. This included the purchase of land use rights of 32.45 acres (197 mu) of land, the construction of 25 acres of new factory, dormitories and office space, more than 200 new production machines, and 3,670 KW rooftop photovoltaic power system.

In four years, our sales volume doubled from 25 million KG to almost 50 million KG.  We have doubled our production capacity, increased total customers from 129 to 151, registered 18 patents, and transitioned our product line to include both plastic and paper products to address and anticipate evolving customer needs.

II. Mexico factory

As an enterprise exporting most of our products to the United States, we face serious challenges from the many changes implemented in trade agreements between China and the United States. After the U.S. announced tariffs on some Chinese products exported to the United States, we decided to establish a factory in Monterey, Mexico, a city near the U.S. - Mexico border to mitigate these trade risks. We chose Mexico for the following reasons:

1. The United States is our largest market. Setting up a factory near the United States instead of in other areas reduces our transportation costs and speeds up product delivery.

2. The recently signed U.S.-Mexico-Canada Free Trade Agreement levies zero tariffs on qualified products.

3. Mexico, with a population of nearly 140 million, is the second most populous country in Latin America. Our Mexican factory may provide a good opportunity for us to enter the Latin American market.

4. More importantly, Mexico provides preferential policies to attract investment, such as the SHELTER method and IMMEX process for import and export. Operating the Mexico factory with our American factory management team will allow us to take advantage of these policies.

At present, we have chosen the production site and leased a building to be built out for the Mexico factory. Production equipment were transported from China has arrived in Mexico. We are in the process of preparing the relevant management, technology and production personnel. The factory is scheduled to start production in June 2019.

This plan will help reduce much of the impact of the China-US trade changes and increase our global market opportunities.

III. Environmental protection actions

As an enterprise specializing in producing disposable serviceware, environmental protection has always been a major consideration in developing and manufacturing our products.

1. Eight years ago, we cooperated with the Institute of Physics and Chemistry of the Chinese Academy of Sciences to set up the first academician workstation in Wenling for research in biodegradable materials. We have obtained various proprietary core technologies and several BPI ("Biodegradable Products Institute") certificates. Fuling has been a leading force in using biodegradable materials in the industry, and we are optimistic for the long-term future of this part of our industry. Investors should be patient because, at present, usage of such materials constitutes only a few percentage points due to limitations in present demand as discussed below.  Most of these materials are plant or starch based which limits the supply and competes with food supply to humans and animals.  Because of the similarity to regular plastics, general consumers cannot distinguish between regular plastic and biodegradable materials. As such, consumers don't currently demand biodegradable materials and, when they receive biodegradables, don't recycle them as reliably as we might hope.  The substantially higher cost of these materials also slows acceptance by the general public.  We believe this transition to biodegradable materials will continue but we don't anticipate that its usage will exceed 20% in the next ten years.

2. We have the license to produce several patented cup caps without using straws. At the same time, we have increased the production of paper straws. We currently produce 5 million paper straws per day, accounting for 20% of our total daily straw output.

3. We are also developing a plastics recycling process. Because of the high cost of plastic recycling for recyclers, the recycling rate of plastic disposables is low. Through a lot of research, we have formed our own environmental protection solutions. Since we are a supplier of several major Quick Service Restaurants ("QSRs") in the United States, we plan to start proposing these solutions in the fast food industry:

(1) We and other suppliers use polypropylene as the raw materials of the plastic serviceware, so the ultimate plastic waste will be in the same material for the convenience of recycling.

(2) We will provide cleaning and granulation equipment with technical support to garbage recycling companies.

(3) After the plastic waste has been properly treated by these recycling companies, it will be used to produce outdoor furniture and gardening products.

Our solutions will be attractive to our QSR customers by allowing them to recycle their plastic garbage with low cost and help improve their corporate images as well.

Conclusion

Supported with production bases in Wenling, China, Pennsylvania, U.S., and Monterrey, Mexico, a full suite of plastic and paper serviceware products, a diversified global customer base, and highly recognized brand names, we firmly believe that we now have the resources to support strong growth. We will continue to expand the sales and distribution channels, use e-commerce to carry out online and offline synchronous operations, and strengthen our relationships with existing customers while exploring new market opportunities.

On behalf of our Board of Directors and senior management team, I thank you again for your confidence and interest in Fuling Global.  You have been a critical factor in our growth. We are confident that we can work together to build a better future.  We also ask for your continuing support of our transformation effort, as we reshape our business model and bring profitable returns for you, our shareholders.

Sincerely,

Mr. Xinfu Hu
CEO, Fuling Global Inc.

April 16, 2019

ALLENTOWN, Pa., April 5, 2019 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of plastic and paper serviceware, with precision manufacturing facilities in both the U.S., Mexico and China, today announced its financial results for the twelve months ended December 31, 2018.

Total revenues increased by 11.6% to $138.66 million for the year of 2018 from $124.21 million for the prior year, driven by increased sales volume and blended average selling price ("ASP").
Total sales volume increased by 8.8% to 49.9 million kilograms for the year of 2018 from 45.9 million kilograms for the prior year. The increase in sales volume was across all product categories. Blended ASP also increased by 2.6% to $2.78 per kilogram for the year of 2018 from $2.71 per kilogram for the prior year.
Gross profit increased by 13.8% to $29.75 million for the year of 2018 from $26.13 million for the prior year. Gross margin increased by 0.5 percentage points to 21.5% for the year of 2018 from 21.0% for the prior year. The increase in gross margin was primarily due to lower unit cost of raw materials and higher ASP, partially offset by increased labor cost.
Net income attributable to Fuling Global was $9.86 million, or $0.62 per basic and diluted share, for the year of 2018, compared to $6.28 million, or $0.40 per basic and diluted share, for the prior year. Net income from continuing operations was $9.85 million, or $0.62 per share, for the year of 2018, compared to $8.27 million, or $0.52 per share, for the prior year.
Mr. Xinfu Hu, Chief Executive Officer of the Company, commented, "With sales volume and revenues growing by 8.8% and 11.6%, respectively, our 2018 results highlighted continued strength in our business. Profitability also improved significantly with net income from continuing operations increasing by 19.1%, thanks to favorable pricing environment (increase in blended ASP and decrease in unit cost of raw materials), stringent cost control that more than offset increase in labor cost and streamlined manufacturing process."

Ms. Guilan Jiang, Chairwoman of the Company, added, "As we are steadfast in executing our long-term strategic plan while pursuing lean manufacturing and stringent cost control, we have exited 2018 on a strong footing and with increasing optimism. We look forward to extending our streak of shipment and top line growths in 2019 and beyond."

ALLENTOWN, Pa., Dec. 20, 2018 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today announced its plan to set up a manufacturing factory (the "Mexico Factory") in Monterrey, Mexico. With capital expenditure budget of $2 million, we expect that the first phase of the Mexico Factory will have an annual design capacity of 10,000 tons and will be primarily used for producing paper straws and paper cups serving the U.S. market. The Company expects to launch commercial production at the Mexico Factory by April 2019.

Earlier this month, the Company signed a building lease with Interpuerto Industrial Park in Monterrey, Mexico and a service agreement with a local shelter service company to help with administrative, accounting, compliance, import/export, human resources, etc., at the Mexico Factory. Factory remodeling is expected to start in January 2019, followed by equipment installation and testing and worker recruitment in March.

"The Mexico Factory is our second overseas expansion besides our Allentown, PA factory in the U.S. and marks another important milestone for the Company. The ongoing U.S.- China trade tensions cast uncertainties for our export business to the U.S. market, our largest market segment that accounted for 85% of our revenues during the first half of 2018. Therefore, the Mexico Factory offers certain attractive benefits for us, including zero tariff on trade between the U.S. and Mexico as well as low labor and transportation costs. We have high hopes for the Mexico Factory and view it as a key step for our continuing global expansion," commented Ms. Guilan Jiang, Chairwoman of Fuling Global.

ALLENTOWN, Pa., Nov. 28, 2018 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today announced that its wholly-owned subsidiary, Zhejiang Great Plastics Technology Co., Ltd. ("Great Plastics") signed sales contracts (the "Contracts") to sell the real properties previously used as one of its manufacturing factories in China (aka, the "Sanmen Factory" as previously disclosed) to Zhejiang Zhongye Packaging Technology Co. Ltd. ("Zhongye Packaging"), an unrelated third party, for total cash consideration of RMB 40.2 million (approximately US$5.8 million).

Pursuant to the Contracts executed on November 22, 2018 by and between Zhongye Packaging and Great Plastics, the transaction is for sales of four adjacent industrial properties at Binhai Xincheng, located in Sanmen County, Taizhou City with combined land and floor areas of 30,349 square meters and 33,480 square meters, respectively. These properties include three factory buildings and a dormitory building. The transaction doesn't include sales of any of the machines and equipment previously used at the Sanmen Factory. The Company plans to relocate all related machines and equipment to its new Wenling Factory in the next two to three weeks and expects minimal disruption to its normal operation.

ALLENTOWN, PA., Sept. 28, 2018 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today announced its financial results for the six months ended June 30, 2018.

• Revenues increased by 18.0% to $67.11 million for the first half of 2018 from $56.88 million for the same period of last year, primarily due increased sales volume.
• Basic and diluted earnings per share were $0.02 for the first half of 2018, compared to $0.18 for the same period of last year. The decrease in earnings per share was mainly due to decrease in net income as results of increased operating expenses and other expenses as well as decreased gross profit in the first half of 2018.

Mr. Xinfu Hu, Chief Executive Officer of the Company, commented, "We continued to see solid growth in sales volume across all product categories that led to an 18% year-over-year increase in total revenues, highlighting continuing order strength for our business. However, margins and profitability decreased due to increase in unit cost of materials, which we were not able to fully pass over to our customers."

Ms. Guilan Jiang, Chairwoman of the Company, further commented, "We have a strategic plan for 2018 and beyond that includes continuing investment for capacity expansion, stringent cost control, and heightened marketing effort in key markets including the U.S. and China. Despite uncertainties in marketing factors such as price volatilities for both raw materials and our products that may affect our short-term financial performance, we believe that our market position is stronger than ever and well positioned for delivering long-term returns for our shareholders."

Third Quarter 2017 Financial Results

• Revenues increased by 23.3% to $34.4 million for the third quarter 2017 from $27.9 million for the same period of last year, as a result of the combined effect of increases in both sales volume and blended ASP.
• Net income attributable to Fuling Global was $2.0 million, or $0.13 per basic and diluted share, for the third quarter 2017, compared to $2.1 million, or $0.13 per basic and diluted share for the same period of last year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "We are very pleased to report strong results for the third quarter with both revenues and sale volume reached record high on the back of continuing demand momentum for our products. Total revenues increased by 23.3% to $34.4 million, thanks to a 19.2% increase sales volume as well as a moderate increase in blended average selling price ("ASP") of 3.5%. However, our margins and profitability decreased as the increase in cost of goods sold outpaced the increase in revenues due to increase in material costs which were not able to fully pass over to customers."

Ms. Guilan Jiang, Chairwoman of Fuling Global, added, "Despite uncertainty on market factors, particularly material costs and pricing environment for our products, we are optimistic in our near-term outlook as our order book remains strong and our manufacturing capacity keeps expanding with the recent launch of the new factory in China. We look forward to better day ahead as we continue our steady growth path."

Second Quarter 2017 Financial Results

• Revenues increased by 24.2% to $30.5 million for the second quarter of 2017 from $24.6 million for the same period of last year, as a result of the combined effect of increases both sales volume and blended ASP.
• Net income attributable to Fuling Global decreased by 68.0% to $1.5 million, or $0.10 per basic and diluted share, for the second quarter of 2017 from $4.7 million, or $0.30 per basic and diluted share, for the same period of last year. The decreases in net income and earnings per share were primarily due to lower gross profit and subsidy income received from local government as well as higher operating expenses this year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "We are pleased to report solid second quarter results that highlighted continued strength in our business. Total revenues increased by 24.2% to $30.5 million in the second quarter with sales volume and blended average selling price ("ASP") grew 13.8% and 9.2%, respectively. However, our margins and profitability decreased as a result of increases in operating expenses and unit cost of material (particularly Polypropylene), which we were not able to fully pass over to our customers, as well as decrease in subsidy income from local government this year. With a robust order book and significant increase in production capacity with the opening of the new factory, we look forward to continuing momentum in our business revenues for the remainder of year and beyond."

Ms. Guilan Jiang, Chairwoman of Fuling Global, added, "We completed the construction and launched the commercial production of the new state-of-the-art factory in Wenling (Phase I) during the second quarter, allowing us to increase production capacity by at least 30% this year. We also launched Phase II expansion of the new factory earlier this month which is expected to be completed by the end of 2018 with the addition of new production lines, an office building and two dormitory buildings. As we continue to make significant progress in executing our carefully planned strategic plan, we firmly believe our best years are yet to come."

First Quarter 2017 Financial Results

• For the first quarter of 2017, total revenues increased by $5.8 million, or 28.0%, to $26.3 million from $20.6 million for the same period of last year.
• Net income attributable to Fuling Global increased by 86.8% to $1.4 million, or $0.09 per basic and diluted share, for the first quarter of 2017 from $0.7 million, or $0.05 per basic and diluted share, for the same period of last year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "Although first quarter is typically our lowest sales quarter of the year due to Lunar New Year holidays, we are pleased with the solid year-over-year growth for both top- and bottom-lines with revenues and EPS growing 28.0% and 86.5%, respectively, highlighting continued momentum across all major product categories. With a robust order book, tight cost control, and improving productivity and efficiency through automation and process control, we are optimistic we will continue to improve our results in coming quarters."

Ms. Guilan Jiang, Chairwoman of Fuling Global, added, "We have completed the construction of our fourth factory in China in March. We are very excited and eagerly looking forward to the commencement of commercial production later this month. The new state-of-the-art factory allows us to potentially more than double our current production capacity, setting the stage for accelerated growth in second half of year and beyond."

Fourth Quarter 2016 Financial Results

• Revenues increased by 37.5% to $31.8 million for the three months ended December 31, 2016 from $23.1 million for the same period of last year, mainly due to increase in overall sales volume and partially offset by decrease in blended ASP.
• Net income attributable to Fuling Global decreased by 58.4% to $0.4 million, or $0.03 per basic and diluted share, for the three months ended December 31, 2016 from $1.1 million, or $0.08 per basic and diluted share, for the same period of last year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "We are pleased to report strong financial results for the fourth quarter of 2016. With overall sales volume increasing by 40.6% year-over-year that more than offset the decrease in average selling prices ("ASP"), our revenues grew by 37.5% to another record high of $31.8 million in the fourth quarter, capping a historical year in both sales volume and revenues for the Company".

"As we couldn't produce enough to meet growing demand for our products in recent months due to capacity constraint, our new fourth factory in China is well underway with its construction to be completed by end of this month and production to commence in April. This new factory will more than double Fuling Global's capacity in the next three years. Our U.S. factory in Pennsylvania will add injection molding plastic manufacturing in the third quarter of 2017. With continuing strong demand from our existing and new customers and the imminent launch of our fourth factory in China, Fuling Global is poised to extend its strong run of growth in 2017 and beyond," added Ms. Guilan Jiang, Chairwoman of Fuling Global.

Third Quarter 2016 Financial Results

• Revenues increased by 24.5% to $27.9 million for the three months ended September 30, 2016 from $22.4 million
• Basic and diluted share, for the three months ended September 30, 2016, compared to $2.7 million, or $0.23 per basic and diluted share, for the same period of last year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "We are very pleased to report strong results for the third quarter as volume and revenues grew by 46.2% and 24.5%, respectively, and revenues was record high since our inception. As we continue to add new customers and gain share at some existing customers, we expect to continue to run our production at nearly full capacity in the near term to meet the growing demand for our products. With further growth increasingly hinging on capacity expansion, we expect Phase I of the new Wenling factory to be completed by the first quarter of 2017, which will double our overall annual production capacity from 40,000 tons to 80,000 tons over the next three years, and set us up for strong growth in 2017 and beyond."

Second Quarter of 2016 Financial Results

• For the three months ended June 30, 2016, total revenues decreased by $0.51 million, or 2.0%, to $24.59 million from $25.11 million for the same period of last year.
• Basic and diluted earnings per share were each $0.34 for the six months ended June 30, 2016, compared to $0.36 for the same period of last year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "We continued to execute well with sales volume crossing the 10,000-ton mark for the first time in company history to 10,709 tons for the second quarter, highlighting strong demand for our products across all major product categories. Gross margin of 29.8% improved significantly from the prior quarter and was essentially unchanged from a year ago. Despite a slight dip in revenues driven by decrease in average selling price ("ASP") in connection with drop in oil prices, net income attributable to our stockholders increased by 56.3% to $4.67 million for the second quarter, benefitting from $1.82 million in local government subsidy income."

Ms. Guilan Jiang, Chairwoman of Fuling Global, added, "With all of our factories running near full capacity, we are facing increasing challenges to expand our production capacity promptly to meet the increasing demand for our products. Following the $10.24 million purchase of a 32.86-acre land parcel in April, we broke ground for the construction of a new factory in Wenling City in the second quarter. Phase I construction is expected to complete by the end of this year with commercial production to commence in the first quarter of 2017. Our Allentown factory continues to ramp, now with 12 straw machines up and running. With increasing orders from existing customers and orders from new customers, our Allentown factory is on track to reach $5.5 million annual revenue run rate in the third quarter this year."

ALLENTOWN, Pa., April 12, 2016 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of environmentally-friendly plastic serviceware with precision manufacturing facilities in both the U.S. and China, today announced that it has purchased land for its newest factory in Wenling, China for approximately $10.24 million. The Company will build its newest factory on a 32.86-acre parcel (the "Wenling Parcel") located approximately 10 miles from the Company's current factory in Songmen.

The Company purchased the Wenling Parcel with a portion of IPO proceeds. As previously disclosed, the Company used approximately $11 million from IPO proceeds to increase the registered capital of Taizhou Fuling Plastics Co., Ltd. ("Taizhou Fuling"). Taizhou Fuling, in turn, paid approximately $9.45 million to the governmental agencies of City of Wenling where the Wenling Parcel is located, including approximately $8.27 million for 50-year land use rights for the Wenling Parcel, approximately $0.25 million for corresponding tax, and approximately $0.93 million as security deposit which is fully refundable upon achieving certain milestones for the deployment of the Wenling Parcel. In addition, Taizhou Fuling expects to pay approximately $ 0.79 million for supporting infrastructure, such as roads, water, sewer, electrical power, etc. to the government soon.

The Company expects to break ground on the Wenling Parcel for Phase I of its newest factory in Wenling this June. The Company anticipates that it will complete construction, equipment installation and testing and will ultimately commence commercial production in the new factory in the first quarter of 2017.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global Inc., commented, "We are deploying part of the proceeds from the IPO to meet the pressing demand for additional capacity as we are currently operating near full capacity in our Songmen factory and our sales volume continues to grow. With the acquisition of the Wenling Parcel, we look forward to starting a new chapter of the Company with the planned Wenling Factory that can bring additional annual production capacity of 10,000 tons in Phase I. This new capacity, combined with the continuing expansion of our Allentown factory in the U.S., positions us well for growth in years to come."

FULING GLOBAL INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME

ALLENTOWN, Pa., March 8, 2016 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of environmentally-friendly plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today provided an update on the use of proceeds from its initial public offering (the "IPO"). The Company completed the IPO in early November 2015 and raised net proceeds of approximately $19 million.

The Company has disbursed approximately $11 million of the IPO proceeds to increase the registered capital of Taizhou Fuling Plastics Co., Ltd. ("Taizhou Fuling") from $11.11 million to $21.63 million. Taizhou Fuling is a PRC company that is wholly owned by the Company through Total Faith Holdings Limited. The Wenling Bureau of Commerce has granted Taizhou Fuling official approval for the increase in registered capital.

The Company is also investing approximately $8 million of the IPO proceeds in its business in the United States. Currently the Allentown factory has six straw production lines in operation. The Allentown factory is installing an additional six straw production lines at a total cost of about $610,000. The six new straw production lines will double the factory's capacity to 2,400 tons per year. The factory is also installing and testing two automated packaging machines. If these straw packaging machines prove successful, it will purchase and install another four. The cost of these auto-packers is $30,000 each. In addition, the Allentown factory is in the process of designing and installing the raw material storage and feeding system that includes 10 silos. This system will cost about $500,000 and will substantially improve the factory's efficiency and save warehouse space.

The Company will continue to make periodic announcements on the use of IPO proceeds as and when the funds are materially disbursed.

ALLENTOWN, Pa., and TAIZHOU, China, Feb. 2, 2016 /PRNewswire/ -- Fuling Global Inc. (NASDAQ: FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of environmentally-friendly plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today clarified its January 15, 2016 press release regarding its desire for its subsidiary Domo Industry Inc. ("Domo") to supply disposable cutlery to the western region of Bunzl Distribution USA Inc. ("Bunzl USA").

The earlier press release stated that Domo will begin supplying certain products from January 2016. While Domo stands ready to supply such products to the western region of Bunzl USA's R3 Redistribution Division ("R3"), any such cooperation will depend on proposed orders from R3 and attractive bids from Domo, neither of which is guaranteed to occur. The parties have held exploratory discussions and R3 is willing to receive bids from Domo, but the parties do not have any agreement at this time.

ALLENTOWN, Pa., and TAIZHOU, China, Jan. 12, 2016 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of environmentally-friendly plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today announced that it has hosted a team of scientists from the Chinese Academy of Sciences' Technical Institute of Physics and Chemistry ("TIPC") and Chinese Academy of Engineering ("CAE"). The TIPC's National Research Center for Engineering Plastics ("NRCEP") is one of most prominent plastics R&D centers in China. On December 24, 2015, the team of scientists, headed by CAE Academician Yicheng Wu, TIPC Deputy Director Yong Huang and TIPC NRCEP Chief Engineer Junhui Ji, visited the Company.

The purposes of the meeting were to review 2015 accomplishments and set directions in 2016 for Fuling's Academician and Expert Workstation (the "Workstation") and to further expand the scope of cooperation and collaboration through the Workstation platform in jointly developing new plastics materials and technologies. Fuling has invested more than RMB 5 million since it established the Workstation in January 2012 and leverages the Workstation's resources to cooperate and collaborate with TIPC. The Workstation consists of more than 16,000 square feet of lab space and 18 staff (including 12 R&D engineers).

During 2015, eight scientists including CAE Academician Yicheng Wu, TIPC Deputy Director Yong Huang, NRCEP Chief Engineer Junhui Ji, Dr. Jianxin Geng, Dr. Zhongwei Niu, Dr. Wenzhu Ouyang, Dr. Wei Zhang, and Dr. Linli Xu, conducted research at the Workstation and made significant progress in developing new materials and applications. One focus of the research was on the development of environmentally friendly, biodegradable material using modified polylactic acid ("PLA") and polybutylene succinate ("PBS") while achieving superior quality and similar cost as traditional Polypropylene ("PP") based materials. Additionally, the Workstation's test laboratory passed the audit and certification of China National Accreditation Service for Conformity Assessment  in 2015 and is now open to the public as an accredited independent third party plastics testing lab. The Workstation also has provided 3 free workshops for representatives from other Taizhou-based plastics companies in an effort to promote technological improvement among local plastics companies.

As for the focus of 2016 research and development at the Workstation, TIPC and the Company agreed to focus on developing cost-effective, environmental-friendly new plastics materials and applications. Among the new projects planned for 2016 are (1) polyethylene terephthalate ("PET") foaming technology for the development of recyclable, heat resistant plastic cups and plates for serving hot food up to 200 ˚C, (2) disposable paper-like cups, and (3) high quality printing paper.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "R&D is an integral part of our competitive strength and a key to our long term success. Over the past four years, our cooperation and collaboration with TIPC and CAE through the Workstation has continued to expand, allowing us to stay at the forefront of innovation in plastics. Looking ahead, we remain firmly committed to R&D and the Workstation platform. We look forward to stronger ties with TIPC and CAE in years to come."

• For the third quarter of 2015, total revenues decreased by $0.7 million, or 3%, to $22.4 million from $23.1 million for the same period of last year.
• After deduction of non-controlling interest, net income attributable to Fuling Global was $7.0 million, or $0.60 per diluted share, for the nine months ended September 30, 2015, compared to $5.8 million, or $0.50 per diluted share, for the same period of last year.

Mr. Xinfu Hu, Chief Executive Officer of Fuling Global, commented, "We are excited to share our first quarterly earnings results following our listing on NASDAQ earlier this month. We are particularly pleased to report that our net income in the third fiscal quarter of 2015 increased by 17% compared with the same quarter in 2014. In our industry, revenues and expenses are heavily tied to the cost of raw materials, in our case plastic. As a result, when plastic prices dropped significantly from the nine months ended September 30, 2014 to the nine months ended September 30, 2015, with the average monthly price for polypropylene ("PP"), general purpose polystyrene ("GPPS"), and high impact polystyrene ("HIPS") down 26%, 31%, and 29%, respectively, the decreases of our revenues (down 3%) and expenses (down 8%) similarly reflect such decreases, even in a strong quarter where we sold 5% more products by weight than we sold in 2014. We are encouraged by this quarter's results, which show improved gross and operating margins, net income and sales volume."

Mrs. Guilan Jiang, Chairwoman of Fuling Global, added, "Our IPO on NASDAQ is an important step toward becoming a significant player in the global plastic serviceware market. We expect the increased publicity and name recognition that come with being a NASDAQ-listed company, combined with our access to new sources for capital, position us well for growth. Our current growth initiatives focus on increasing our penetration in selected markets and expanding our production capacity." 

ALLENTOWN, Pennsylvania and TAIZHOU, China, Nov. 12, 2015 /PRNewswire/ -- Fuling Global Inc. (FORK) ("Fuling Global" or the "Company"), a specialized producer and distributor of environmentally-friendly plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today announced that the underwriters of its previously announced initial public offering (the "IPO") of ordinary stock have exercised their over-subscription option to purchase an additional 38,423 shares at the IPO price of $5.00 per share. As a result, the Company has raised $20,192,115.00 in gross proceeds through the issuance of a total of 4,038,423 ordinary shares in the IPO, with all shares being offered by the Company.

Lead underwriter and book-running manager Burnham Securities Inc. and co-underwriter and co-manager Network 1 Financial Securities, Inc. conducted the offering on a "best efforts" basis. 

ALLENTOWN, Pa. and TAIZHOU, China, Nov. 4, 2015 /PRNewswire/ -- Fuling Global Inc. ("Fuling" or the "Company")(FORK), a specialized producer and distributor of environmentally-friendly plastic serviceware, with precision manufacturing facilities in both the U.S. and China, today announced that it completed the initial public offering ("IPO") of its ordinary shares on November 2, 2015. The Company raised $20 million in gross proceeds through the issuance of 4,000,000 ordinary shares at a price of $5.00 per share. Fuling's ordinary shares will begin trading today at approximately 11:15 AM EST on the NASDAQ Capital Market under the symbol "FORK".

Lead underwriter and book-running manager Burnham Securities Inc. and co-underwriter and co-manager Network 1 Financial Securities, Inc. conducted the offering on a "best efforts" basis. 

Fuling also announced today the launch of its investor website,http://ir.fulingglobal.com/. Investors may visit this website for information about the Company, its SEC filings, press releases and other information of interest to current and potential investors. The investor website is not a part of the IPO prospectus.

A registration statement relating to the IPO shares was filed with the Securities and Exchange Commission and was declared effective on October 26, 2015. The offering was made only by means of a prospectus.  A copy of the final prospectus related to the offering may be obtained from the offices of Burnham Securities Inc. by email to info@bsibam.com, by fax to +1 (949) 390-9579, or by mail to 18500 Von Karman Avenue, Suite 560, Irvine, California 92612 USA, Attention: Investment Banking.