Segment Reporting

3 Months Ended

Sep. 30, 2017

NOTE 14 – SEGMENT REPORTING

As of September 30, 2017, the Company was organized into four main business segments based on location and product: Jinong (fertilizer production), Gufeng (fertilizer production), Yuxing (agricultural products production) and the sales VIEs. Each of the four operating segments referenced above has separate and distinct general ledgers. The chief operating decision maker (“CODM”) receives financial information, including revenue, gross margin, operating income and net income produced from the various general ledger systems to make decisions about allocating resources and assessing performance; however, the principal measure of segment profitability or loss used by the CODM is net income by segment.

	Three Months Ended September 30,
Revenues from unaffiliated customers:	2017			2016
Jinong	$	26,773,760		$	31,427,720
Gufeng		18,222,066			15,809,514
Yuxing		1,792,643			1,355,411
Sales VIEs		15,980,034			13,291,977
Consolidated	$	62,768,503		$	61,884,622

Operating income :
Jinong	$	6,766,075		$	6,379,220
Gufeng		2,106,213			1,085,083
Yuxing		175,473			157,030
Sales VIEs		(1,933,369	)		1,803,480
Reconciling item (1)		2			0
Reconciling item (2)		(198,019	)		(346,122	)
Consolidated	$	6,916,375		$	9,078,691

Net income:
Jinong	$	5,741,090		$	5,346,288
Gufeng		1,489,067			716,486
Yuxing		175,622			157,080
Sales VIEs		(2,112,934	)		1,477,848
Reconciling item (1)		2			0
Reconciling item (2)		(198,019	)		(346,122	)
Consolidated	$	5,094,828		$	7,351,580

Depreciation and Amortization:
Jinong	$	853,743		$	6,313,089
Gufeng		547,757			627,309
Yuxing		312,519			313,916
Sales VIEs		219,923			126,132
Consolidated	$	1,933,943		$	7,380,446

Interest expense:
Jinong		70,836			57,373
Gufeng		104,723			60,133
Yuxing		0
Sales VIEs		4,016
Consolidated	$	179,575		$	117,506

Capital Expenditure:
Jinong	$	3,341		$	1,222
Gufeng		13,868			4,443
Yuxing		0			555
Sales VIEs		0			0
Consolidated	$	17,209		$	6,220

	As of
	September 30,			June 30,
	2017			2017
Identifiable assets:
Jinong	$	218,278,643		$	213,355,900
Gufeng		155,693,090			156,648,924
Yuxing		41,215,745			40,965,345
Sales VIEs		46,078,885			44,571,422
Reconciling item (1)		4,533			142,918
Reconciling item (2)		(2,879	)		(2,879	)
Consolidated	$	461,268,017		$	455,681,630

(1) Reconciling amounts refer to the unallocated assets or expenses of Green New Jersey.

(2) Reconciling amounts refer to the unallocated assets or expenses of the Parent Company.