CHINA

SkyPeople Fruit Juice, Inc. the producer of fruit juice concentrates, fruit juice beverages and other fruit-related products, announced its financial results for the fiscal year ended December 31, 2016.

Revenue for the twelve months ended December 31, 2016 was USD34.4 million, a decrease of 60%, as compared to USD86.4 million for fiscal 2015.

Sales from concentrated apple juice and apple aroma were USD7.7 million for fiscal 2016, a 61% decrease from sales of USD19.8 million for fiscal 2015 due primarily to a drop in International demand for concentrated apple juice from China.

Sales from concentrated kiwifruit juice and kiwifruit puree were USD0.7 million for fiscal 2016, a 92% decrease from sales of USD9.2 million in fiscal 2015.

Sales of concentrated pear juice were USD9.3 million in fiscal 2016, a 31% decrease from sales of USD13.4 million in fiscal 2015. Due to unexpected weather conditions in the 2015 pear harvest season, the amount of available raw material supplies was low in early 2016 resulting in the squeezing season starting later than usual leading to lower production levels.

Sales from the fruit juice beverages segment were USD14.8 million in fiscal 2016, a 66% decrease from sales of USD44.0 million for fiscal 2015. The decline in revenues was primarily due to a decrease in the in-store demand as a result of heavy competition in the Chinese market as consumers increased their fruit juice beverage purchases through the on-line home delivery of groceries instead of through the traditional in-store supermarkets in which SkyPeople sell their products.