Breaking News: Dragon Capital Group, Corp. Reports Financial Results for the First Six Months of 2009, with revenue reaching $26.9 million for first six months of 2009. The company, a leading holding company of emerging high-tech companies in China, issued a press release this morning announcing its financial results for the second quarter ended June 30, 2009. According to the release, financial highlights include:

Revenue for the second quarter ended June 30, 2009 was $15.0 million, a 27% increase over the $11.8 million recorded in the second quarter of 2008. Cost of goods sold for the second quarter of 2009 were $14.1 million compared to $11.2 million in the second quarter of 2008. Net income from continuing operations for the second quarter of 2009 was $124,500, increasing from the $31,000 recorded in the first quarter of 2009. Net income in the second quarter of 2008 was approximately $215,000. This decrease in net income was largely attributable to an increase in selling expenses as a result of the challenging economic environment.

Revenue for the first six months of 2009 reached $26.9 million, increasing by 20% from the $22.3 million recorded in the first six months of 2008. For the first six months of 2009, net income from continuing operations was $155,400 down from $450,800 in the first six months of 2008 and mainly attributed to higher selling expenses in 2009.

At June 30, 2009, total assets were $14.6 million compared to $15.9 million at December 31, 2008. At June 30, 2009, shareholder equity was $7.1 million and total current assets were $14.3 million with working capital of approximately $7.8 million.

Mr. Lawrence Wang, CEO of Dragon Capital Group, stated, "Dragon continues to post increasing sales in this challenging environment. More importantly our profitability has gained momentum from the first quarter of 2009 despite increases in selling expenses. We are committed to achieving continued top line and bottom line growth as we navigate through these challenging economic times. We believe the high-tech industry within China has tremendous growth potential for the future and we remain focused on achieving higher operating efficiencies which we believe can extend our profitability into the coming years. We continue to seek opportunistic acquisitions to grow our business as we work diligently to increase our shareholder value."

The stock closed yesterday at under a Penny a share.