$9.5 Million in Sales for the First Quarter Ending March 31, 2020
CHICO, CA / ACCESSWIRE / March 30, 2020 / AmeraMex International, Inc. (OTCQB:AMMX), a provider of heavy equipment for logistics companies, infrastructure construction, forestryconservation and tactical military vehicles, reports results for its financial year ended December 31, 2019.
Highlights for the Year Ended December 31, 2019:
OTCQB
AmeraMex listed on the OTCQB in July 2019.
Board of Directors
Company added two new board members to broaden board expertise: Brian Hamre, who brings 22+ years of industry knowledge to the board; and Jeff Morris, who brings over 30+ years of financial services knowledge to the board.
Line of Credit
The Company secured a $6.6 million line of credit to purchase rental equipment.
Revenue Increases 37 Percent
The Company reported Revenue of approximately $13.4 million compared to Revenue of approximately $9.8 million for the year ended December 31, 2018. This is a 37 percent increase.
Gross Profit
The Company reported Gross Profit of $3.1 million compared to Gross Profit of $3.1 million for the year ended December 31, 2018. Gross Profit, as a percentage of sales, was 23 percent. The Gross Profit margins were down due to the mix of new versus refurbished equipment sold during 2019. A large order for new equipment received in 2018 was shipped during the first quarter of 2019.
Net Income
The Company reported Net Income for the year of approximately $.337 million compared to Net Income of $.886 million for the year ended December 31, 2018. The reduction of Net Income for 2019 was due in part to a onetime charge of $.567 million for the early extinguishment of debt in the second quarter of 2019. The early debt extinguishment significantly lowers interest expense for the remainder of the year and into 2020.
Balance Sheet
Total Current Assets increased $2.1 million and Total Assets increased $1.7 million over the same period in 2018. This increase was due in part to an increase in inventory of $2.2 million. Total Current Liabilities decreased $1 million due to a decrease of $.700 in Accounts Payable while Total Liabilities for the year increased $1.4 million due in part to the $6.6 million line of credit.
Shareholder Conference Call
The conference call dial-in number for both U.S. and international callers is 1.201.689.8560. Please dial in to the conference center five minutes before the call begins and ask the operator for the AmeraMex conference call. An audio replay of the call will be available from March 30, 2020 at 5:00 p.m. Eastern Time until April 13, 2020 at 11:59 p.m. Eastern Time. The replay is accessible by dialing 1.412.317.6671 and entering pin number 13700456.
Forward-Looking Statements
This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as "believe," "expect," "anticipate," "plan," "potential," "continue" or similar expressions. Such forward-looking statements include risks and uncertainties, and there are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Investors are encouraged to review the Company's filings with the Securities and Exchange Commission. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond the Company's control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects the Company's current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. The Company assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Investor and Media Relations
McCloud Communications, LLC
Marty Tullio, Managing Member
Office: 949.632.1900 or Marty@McCloudCommunications.com
AMERAMEX INTERNATIONAL, INC.
UNAUDITED STATEMENT OF OPERATIONS
AS OF DECEMBER 31, 2019 AND 2018
DECEMBER 31, 2019
DECEMBER 31, 2018
REVENUES
Sales of Equipment and Other Revenues
$
10,933,709
$
7,027,948
Rentals and Leases
2,462,715
2,769,906
Total Revenues
13,396,424
9,797,854
COST OF SALES
Sales of Equipment and Other Revenues
9,329,986
5,700,920
Rentals and Leases
951,366
985,584
Total Cost of Revenues
10,281,352
6,686,504
GROSS PROFIT
3,115,072
3,111,350
OPERATING EXPENSES
Selling Expense
448,415
325,519
General and Administrative
977,983
834,394
Total Operating Expenses
1,426,398
1,159,913
Profit (loss) From Operations
1,688,674
1,951,437
OTHER INCOME (EXPENSE)
Interest Expense
(742,144
)
(828,585
)
Loss from Early Extinguishment of Debt
(566,838
)
–
Other Income
71,075
131,165
Total Other Income (Expense)
(1,237,907
)
(697,420
)
INCOME BEFORE PROVISION for INCOME TAXES
450,767
1,254,017
PROVISION for INCOME TAXES
113,320
368,422
NET INCOME
$
337,447
$
885,595
Weighted Average Shares Outstanding:
Basic
753,415,879
753,415,879
Diluted
753,415,879
753,415,879
Earnings (loss) per Share
Basic
$
0.00
$
0.00
Diluted
$
0.00
$
0.00
AMERAMEX INTERNATIONAL, INC.
UNAUDITED BALANCE SHEETS
AS OF DECEMBER 31, 2019 AND DECEMBER 31,2018
DECEMBER 31, 2019
DECEMBER 31, 2018
ASSETS
Current Assets:
Cash
$
114,338
$
197,752
Accounts Receivable, Net
651,178
631,805
Inventory
4,903,829
2,689,642
Other Current Assets
281,361
289,060
Total Current Assets
5,950,706
3,808,259
Property and Equipment, Net
1,167,580
988,552
Rental Equipment, Net
3,815,555
4,679,122
Other Assets
495,262
234,074
Total Noncurrent Assets
5,478,397
5,901,748
TOTAL ASSETS
$
11,429,103
$
9,710,007
LIABILITIES & STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts Payable
$
588,784
$
1,309,032
Accrued Expenses
97,776
118,291
Notes Payable, Current Portion
15,000
296,618
Total Current Liabilities
701,560
1,723,941
Long-Term Liabilities
Deferred Tax Liability
436,357
301,680
Notes Payable – Related Party
298,874
353,643
Notes Payable, Net of Current Portion
692,415
4,316,233
Line of Credit
6,722,396
774,456
Total Noncurrent Liabilities
8,150,042
5,746,012
TOTAL LIABILITIES
8,851,602
7,469,953
Commitments and Contingencies (Note 11)
STOCKHOLDERS' EQUITY:
Stockholders' Equity
shares issued and outstanding
–
–
December 31,2018
753,416
753,416
Additional Paid-In Capital
20,781,087
20,785,924
Treasury Stock
–
(4,837
)
Accumulated Deficit
(18,957,002
)
(19,294,449
)
Total Stockholders' Equity
2,577,501
2,240,054
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY
$
11,429,103
$
9,710,007
AMERAMEX INTERNATIONAL, INC.
UNAUDITED STATEMENT OF CASH FLOW
AS OF DECEMBER 31, 2019 AND DECEMBER 31, 2018
DECEMBER 31, 2019
DECEMBER 31, 2018
CASH FROM OPERATING ACTIVITIES
Net Income (Loss)
$
337,449
$
885,595
Adjustments to reconcile Net Income (Loss) to
Depreciation and Amortization
1,213,238
1,183,438
Provision for Deferred Income Taxes
134,677
305,362
Gain on Sale of Property and Equipment
(131,165
)
Loss on Early Extinguishment of Debt
(566,838
)
–
Changes in Operating Assets and Liabilities:
Accounts Receivable
(19,373
)
(182,641
)
Inventory
(2,161,937
)
381,787
Other Current Assets
(253,793
)
(36,965
)
Accounts Payable
(720,249
)
(937,588
)
Accrued Expenses
(20,515
)
(47,658
)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
(2,057,341
)
1,420,165
INVESTING ACTIVITIES:
Payments for Property & Equipment
(389,789
)
(473,757
)
Payments for Rental Equipment
(138,606
)
(1,936,628
)
Proceeds from Sale of Equipment
–
131,165
NET CASH PROVIDED BY INVESTING ACTIVITIES
(528,395
)
(2,279,220
)
FINANCING ACTIVITIES:
Proceeds from Notes Payable
1,407,505
2,843,059
Payments on Notes Payable
(5,146,710
)
(2,577,325
)
Payment on Note Payable – Related Party
(54,769
)
(49,008
)
Net Borrowing Under Line of Credit
6,296,296
286,456
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
2,502,322
503,182
NET DECREASE IN CASH & CASH EQUIVALENTS
(83,414
)
(355,873
)
Cash, beginning of period
197,752
553,625
Cash, end of period
$
114,338
$
197,752
SUPPLEMENTAL DISCLOSURES OF CASH FLOW
INFORMATION:
Cash Paid for Interest
$
742,144
$
799,831
Cash Paid for Income Taxes
$
113,320
$
64,247
SUPPLEMENTAL DISCLOSURES OF NON CASH INVESTING
AND FINANCING ACTIVITIES:
Transfer of Inventory to Rental Equipment
$
–
$
1,111,066
Transfer of Rental Equipment to Inventory
$
35,470
$
185,591
AMERAMEX INTERNATIONAL, INC.
UNAUDITED STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIT)
AS OF DECEMBER 31, 2019 AND DECEMBER 31,2018
Total
Additional
Stockholders'
Common Stock
Paid-in
Treasury
Accumulated
Equity/
Balance
Shares
Amount
Capital
Stock
Deficit
(Deficit)
Dec. 31, 2017
753,415,879
$
754,017
$
20,785,924
$
(5,438
)
$
(20,180,044
)
$
1,354,459
Common Stock Adj
(601
)
601
–
Net Income
885,595
885,595
December 31, 2018
753,415,879
753,416
20,785,924
(4,837
)
(19,294,449
)
2,240,054
Retirement of Treasury Stock
(4,837
)
4,837
–
Net Income
337,447
337,447
December 31, 2019
753,415,879
$
753,416
$
20,781,087
$
–
$
(18,957,002
)
$
2,577,501
753,415,879
753,416
20,781,087
–
(18,957,002
)
2,577,501
–
–
–
–
–
–
SOURCE: AmeraMex International, Inc.
ReleaseID: 582924
