China Direct on Thursday said revenue for the third quarter ended Sept. 30 increased to $63.4 million from $43.6 million in the same quarter last year.

The Deerfield Beach-based company(NASDAQ: CDS), which owns controlling stakes in a diversified portfolio of Chinese entities and provides consulting services to Chinese businesses, attributed the jump mainly to increased sales from its magnesium segment.

Net income was $5.9 million, nearly double the $3 million reported in the third quarter of 2007.

The company said its profit was $10.6 million, up 130 percent from $4.6 million in prior-year period.

In the third quarter, the company ramped up production of its new magnesium facility in Baotou, China; launched a steel and wood distribution business; and acted as an advisor to China Armco Metals, a metal ore distributor in China that raised more than $7 million in capital this year to launch a scrap steel recycling facility in 2009.

The company said it expects full-year net income of between $23 million to $25 million on expected revenue in the range of $255 million and $270 million.

Shares closed Wednesday at $2.27. The 52-week high was $11.10 on Dec. 7. The 52-week low was $1.90 on Sept. 22. – South Florida Business Journal