CDC Corporation's (CHINA) newly announced preliminary results for the fourth quarter and full year of 2005 show the company's total revenue for full year 2005 was US$247.6 million, up 35.5% from US$182.7 million in full year 2004.
Total revenue for Q4 2005 was US$64.8 million, up 17.6% from US$55.1 million in Q4 2004.
CDC says the increase in revenues was due to higher recorded mobile value-added services (MVAS) revenue as a result of a change in accounting treatment and strong performance from its consulting and services business.
For CDC Software, total software revenues in Q4 2005 were US$53.1 million, an increase of 7.3% from US$49.5 million in Q4 2004.
Consulting and services revenues were US$27.2 million in Q4 2005 an increase of 14.8% from US$23.7 million in Q4 of 2004 and increase of 3.8% from US$26.2 million in Q3 of 2005.
Software license revenues were US$10.8 million in Q4 2005 an increase of 17.4% from US$9.2 million in Q3 2005, unchanged from US$10.8 million in Q4 2004. Maintenance revenues were US$15.1 million in Q4 2005, an increase of 1.0% from US$15 million in Q4 2004 and an increase of 1.0% from US$15 million in Q3 2005.
For the company's China.com business, total revenues for China.com during Q4 2005 were US$11.7 million, an increase of 108.9% from US$5.6 million in Q4 2004.
And for China.com's online games unit, online game subscribers increased to approximately 15 million at the end of Q4 2005. The online game 'Yulgang' surpassed 260,000 peak concurrent users in Q4 2005, representing an increase of 38.9% from Q3 2005, and recording average concurrent users per day of 162,000 in Q4 2005, up 33.9% from 121,000 in Q3 2005.
CDC's balance sheet at December 31, 2005 included cash, cash equivalents and short term investments, net of debt, of US$218.0 million an increase of approximately US$5.8 million, or 2.7%, from September 30, 2005 due to strong cash flow contribution from operations.
The company also announced that it has uncovered instances of corporate misconduct among some of its staff and is currently filing suit in the High Court of Hong Kong against one employee. CDC says the proceeding is at its preliminary stage and no timetable has yet been set for discovery or trial.
