Huaxing Machinery Corp. Reports Year-End 2010 Consolidated Financial Results

Huaxing Machinery Corp. (TSX VENTURE:HUA) ("Huaxing" or the "Company") (formerly
Samurai Capital Corp., TSXV - SMU.P) reports its audited consolidated financial
results for the year ended December 31, 2010. 


For the fiscal year ended December 31, 2010, income from operations and net
income are $2,131,962 and $1,462,285, respectively. Comparative results are as
follows:




-----------------------------------------------------------------
                             Fiscal 2010              Fiscal 2009
                                       $                        $
-----------------------------------------------------------------
Sales                         22,993,251               16,658,638
Gross Profit                   5,530,935                4,584,202
EBITDA                         2,544,903                2,297,285
Net Earnings                   1,462,285                1,424,026
-----------------------------------------------------------------



The Company through its wholly owned subsidiary Gold Rhino Limited ("Gold
Rhino") acquired 80% interest in its operating subsidiary Shandong Gold
Rhino-Huaxing Machinery Corp. ("SGRHM") on February 12, 2009. Sales, gross
profit, EBITDA and net earnings represent the fiscal results before allocation
to the 20% non-controlling interest of SGRHM. 


During fiscal year ended December 31, 2010, Huaxing's domestic sales of its main
products amounted to $18,729,755 (2009 - $13,571,799) with cost of goods sold of
$14,725,424 (2009 - $10,364,670) excluding amortization of production equipment
and related patent, resulting in gross profit of $4,004,331 (2009 - $3,207,128).


During fiscal year ended December 31, 2010 export sales amounted to $3,211,632
(2009 - $2,420,190) with cost of goods sold of $1,990,864 (2009 - $1,223,370)
excluding amortization of production equipment and related patent, resulting in
gross profit of $1,220,769 (2009 - $1,196,820). 


During fiscal year ended December 31, 2010 other income, including sales of raw
and processed material as well as commissioned processing services were
$1,046,756 (2009 - $534,363) with cost of goods sold of $596,256 (2009 -
$384,954), resulting in gross profit of $450,500 (2009 - $149,409). 


The Board of Directors did not declare a dividend for the fiscal year ended
December 31, 2010.


Huaxing's consolidated financial statements for the year ended December 31, 2010
are available on the System for Electronic Document Analysis and Retrieval
("SEDAR") at www.sedar.com under the Company's profile. 


About Huaxing Machinery Corp.

On January 21, 2011 Samurai Capital Corp. completed its Qualifying Transaction
by acquiring all the issued and outstanding shares of Gold Rhino, a private
company incorporated under the laws of Hong Kong. Gold Rhino holds an 80% equity
interest in SGRHM, a company based in Boxing County, Shandong Province, China.
SGRHM is a manufacturer of stone cutting, polishing and processing machinery and
equipment for the building and construction industry. Upon completion of the
Qualified Transaction, Samurai Capital Corp. changed its name to Huaxing
Machinery Corp.


Forward-Looking Statements 

Certain information regarding Huaxing Machinery Corp. contains herein may
constitute forward-looking statements within the meaning of applicable
securities laws. Forward-looking statements may include estimates, plans,
expectations, opinions, forecasts, projections, guidance or other statements
that are not statements of fact. Although the Company believes that the
expectations reflected in such forward-looking statements are reasonable, it can
give no assurance that such expectations will prove to have been correct. The
Company cautions that actual performance will be affected by a number of
factors, many of which are beyond the Company's control, and that future events
and results may vary substantially from what the Company currently foresees. The
Company assumes no obligation to update such forward-looking statements, except
as required by applicable securities laws. The Company's forward-looking
statements are expressly qualified in their entirety by this cautionary
statement.