That's probably the peak power output while only a single channel is being stressed. More expensive/trusted brands (Denon, for example) usually give a value for 2 channels and a value for all channels being used simultaneously. They also report their power outputs in continuous power, not peak power.
You can probably imagine me trying to run a pair of Jamo S606s on a crappy sub-250€ Sony 5.1 receiver; The sound started to get distorted even on slightly high volumes. I upgraded to a Denon AVR-1911 and the quality is amazing. This is why I always advise people to stay away from cheap receivers.