Revenue during the quarter grew 15.60 percent to $37.46 million from $32.41 million in the previous year period. Gross margin for the quarter contracted 23 basis points over the previous year period to 19.57 percent. Total expenses were 87.37 percent of quarterly revenues, down from 91.97 percent for the same period last year. This has led to an improvement of 460 basis points in operating margin to 12.63 percent.

Operating income for the quarter was $4.73 million, compared with $2.60 million in the previous year period.

"We are pleased to report solid results for the third quarter of 2016, with increases in sales volume across all major product categories that more than offset a decrease in average selling prices, leading to 15.6% and 80.0% growth in revenues and net income, respectively, as compared to the third quarter of 2015," said Mr. Zhenyong Liu, chairman and chief executive officer of Orient Paper. "Over the last few months, we have seen orders for our products begin to stabilize and we expect this trend to carry over into the beginning of 2017."

The company has spent $7.67 million cash to meet investing activities during the nine month period as against cash outgo of $11.31 million in the last year period.

Cash flow from financing activities was $2.19 million for the nine month period, up 59.45 percent or $0.82 million, when compared with the last year period.

Cash and cash equivalents stood at $5.59 million as on Sep. 30, 2016, up 28.14 percent or $1.23 million from $4.36 million on Sep. 30, 2015.