May 14, 2007. /Lesprom Network/. Sino-Forest Corporation announced on May 14, 2007 its first quarter 2007 financial results. Revenue for the first quarter 2007 was $119.9 million, up 21.3% from $98.9 million in first quarter 2006. Gross profit increased 49.1% to $33.4 million from $22.4 million a year earlier. EBITDA were $48.0 million, up 13.6% compared to $42.2 million in first quarter 2006. Net income totalled $12.9 million, 35.9% higher than $9.5 million in corresponding period of 2006. EPS rose by 33.9% to $0.09 for the first quarter 2007 from $0.07 in first quarter 2006. "We are pleased to report strong results in the first quarter this year, even though it is generally a slower period due to lunar new year holidays in China," said Allen Chan, chairman and CEO of Sino-Forest Corporation. "In addition, at the corporate level, we had been focusing on two major transactions during the first quarter: a private placement that raised $200 million and gave us a prominent new strategic partner, and the signing of an agreement to acquire 200 000 hectares of standing timber in Yunnan province. Both of these transactions serve to strengthen the company's future." Outlook for 2007 We continue to expect prices for wood fibre to remain strong in China given demand from domestic market and export market for wood furniture products. Sino-Forest Corporation, a Canadian company, is a leading commercial forestry plantations operator in China. The company started its operations in 1994 and is the first foreign and privately managed operator involved in forest products in China. Its principal businesses include the ownership and management of forestry plantation trees and sales of standing timber, wood chips and logs, and complementary manufacturing of downstream engineered-wood products. The corporation's common shares trade on the Toronto Stock Exchange.