Mar 16, 2011. /Lesprom Network/. Orient Paper, Inc. announced its financial results for the 4Q and fiscal year ended December 31, 2010. Revenue for the 4Q 2010 increased 15.7% to $36.3 million compared to $31.4 million for the same period last year. The increase in revenue was largely attributable to increase in average selling prices, despite some losses in production quantity in the second half of 2010, as the company said in a press release received by Lesprom Network. Operating income was $7.5 million, up 64.2% from $4.5 million in the 4Q 2009. Net income was $5.3 million, up 69.5% from $3.1 million in the same period last year. Basic and diluted earnings per share for the 4Q of 2010 were $0.29 compared to $0.21 for the same period a year ago. Total revenue for fiscal year ended December 31, 2010, was $124 million, up 21.4%, from $102.1 million in 2009. Gross profit was $26.2 million, up 30.7%, from gross profit of $20 million last year. Gross margin was 21.1%, an increase of 150 basis points from 19.6% for the same period a year ago. Operating income was $22 million, up 22.1% from $18 million in 2009. Net income was $15.6 million, up 22.3% from $12.7 million in fiscal year 2009. Basic and diluted earnings per share were $0.89 compared to $1.04 in fiscal year 2009. "In 2010, demand for corrugating medium paper and offset printing paper continued to exhibit strong growth in northern China," stated Zhenyong Liu, Chairman and CEO of Orient Paper. "In addition, the PRC government's initiatives to eliminate inefficient and polluting paper production further contributed to a regional shortage of paper supply and an increase in the average selling price ("ASP") of various paper products. In 2010, we achieved double-digit revenue and net income growth and initiated expansion plans for future growth, including the launch of our new digital photo paper production line and construction of our new 360,000 tons per year corrugating medium paper production line, which we expect to commence operations in the second quarter of 2011 and, upon completion, will significantly expand our production capacity." Orient Paper, Inc., through its wholly owned subsidiary, Shengde Holdings, Inc., controls and operates Baoding Shengde Paper Co., Ltd., and Hebei Baoding Orient Paper Milling Co., Ltd ("HBOP"). Founded in 1996, HBOP is engaged in the production and distribution of products such as corrugating medium paper, offset printing paper, and other paper and packaging-related products in China.