Undervalued companies are abundant in the small-cap space, but fundamentals are still at the forefront. Leading Chinese emerging high-tech holding company Dragon Capital Group Corp. was created to function as a conduit between Western investors and high-growth companies in China.
Serving as an incubator of high-tech Chinese companies, Dragon’s present focus is developing applications and business solutions based on wireless 3G. Of businesses the company has acquired, two are among China’s leading providers of mobile Internet applications and business solutions.
Unaudited quarterly financials show that Dragon’s net income alone has increased more than 461%, as compared with the same period ending March 31, 2012, with cash and cash equivalents of $402,756. The company’s current total assets grew by $184,000 between December 2012 and March 2013, primarily due to increased inventories, prepaid expenses, and other current assets. Since it pulled back to lows of $0.002 in early May, Dragon has rebounded by more than 75% to two-month highs of $0.0039. A shockwave from current attention placed on U.S.-listed Chinese stocks has now been felt in the OTC, and sentiment in the market could be growing stronger.
Dragon’s focus lies in its technology subsidiaries, and the company’s management estimates a substantial contribution to bottom line performance in 2013. The company’s Shanghai Zhiye Software Development Company subsidiary, acquired in December 2012, provides mobile solutions for Android, Windows Mobile, and Apple’s iOS. Zhiye has been developing a mobile programming solutions platform that will allow application developers in China to easily and efficiently develop and modify applications to work across China’s most popular mobile operating systems.
Corresponding with its technology focus, Dragon additionally anticipates that the 2013 year will mark the full marketing launch of the Gas GIS system from its Shanghai Yazheng Information Technology Company subsidiary. Yazheng’s software team has been developing an innovative monitoring software over the past two years. The Gas GIS system’s main task is monitoring gas lines, analyzing emergency repair results, formulating proper system calculations, and forming maintenance and automatic repair response plans. Utilizing this system, companies can collect the most current information to enable location and targeted inspection of potential problems, allowing improved support of emergency repairs and ongoing maintenance efforts.
For more information about Dragon Capital Group Corp., visit www.dragoncapital.us
Let us hear your thoughts: Dragon Capital Group Corp. Message Boards