PROFIRE ENERGY, INC.
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(Exact name of registrant as specified in its charter)
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Nevada
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001-36378
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20-0019425
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(State or other jurisdiction of incorporation)
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Commission File Number)
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(IRS Employer Identification No.)
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321 South 1250 West, Suite 1, Lindon, Utah
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(Address of principal executive offices)
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84042
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(Zip code)
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(801) 796-5127
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(Registrant's telephone number, including area code)
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N/A
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(Former name or former address, if changed since last report.)
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[ ]
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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[ ]
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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[ ]
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Item 2.02.
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Results of Operations and Financial Condition
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Item 9.01.
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Financial Statements and Exhibits
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Exhibit Number
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Description
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99.1
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Press Release, dated August 10, 2016, Announcing Financial Results
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PROFIRE ENERGY, INC.
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Date: August 10, 2016
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By:
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/s/ Brenton W. Hatch
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Brenton W. Hatch
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Chief Executive Officer
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·
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Total revenues of $3,974,043
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·
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Cash provided by operating activities of $736,681, bringing cash balance to $22 million
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·
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Operating expenses down 27% or $1 million from a year ago
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·
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Improved gross margin on service to 32%
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·
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Net loss of $605,295 or ($0.01) per diluted share
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·
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Remained debt-free
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PROFIRE ENERGY, INC. AND SUBSIDIARIES
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Condensed Consolidated Statements of Operations and Other Comprehensive Income (Loss)
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(Unaudited)
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For the Three Months Ending
June 30,
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2016 | 2015 | ||||||
REVENUES
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Sales of goods, net
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$
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3,462,893
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$
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6,211,970
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Sales of services, net
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511,150
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665,273
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Total Revenues
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3,974,043
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6,877,243
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COST OF SALES
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Cost of goods sold-product
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1,712,643
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2,967,918
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Cost of goods sold-services
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347,150
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595,538
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Total Cost of Goods Sold
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2,059,793
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3,563,456
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GROSS PROFIT
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1,914,250
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3,313,787
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OPERATING EXPENSES
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General and administrative expenses
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2,385,567
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3,441,140
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Research and development
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250,722
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304,489
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Depreciation and amortization expense
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159,239
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107,455
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Total Operating Expenses
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2,795,528
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3,853,084
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INCOME (LOSS) FROM OPERATIONS
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(881,278
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)
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(539,297
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)
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OTHER INCOME (EXPENSE)
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Gain (Loss) on sale of fixed assets
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(2,592
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)
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18,637
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Other (expense) income
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4,756
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(108,990
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)
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Interest income
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27,942
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21,123
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Total Other Income (Expense)
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30,106
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(69,230
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)
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NET INCOME BEFORE INCOME TAXES
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(851,172
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)
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(608,527
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)
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INCOME TAX EXPENSE (BENEFIT)
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(245,877
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)
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(149,714
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)
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NET LOSS
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$
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(605,295
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)
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$
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(458,814
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)
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FOREIGN CURRENCY TRANSLATION GAIN (LOSS)
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$
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773
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$
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333,372
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TOTAL COMPREHENSIVE INCOME (LOSS)
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$
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(604,522
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)
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$
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(125,441
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)
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BASIC EARNINGS PER SHARE
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$
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(0.01
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)
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$
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(0.01
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)
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FULLY DILUTED EARNINGS PER SHARE
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$
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(0.01
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)
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$
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(0.01
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)
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BASIC WEIGHTED AVG NUMBER OF SHARES OUTSTANDING
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53,256,333
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53,214,594
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FULLY DILUTED WEIGHTED AVG NUMBER OF SHARES OUTSTANDING
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53,256,333
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53,214,594
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PROFIRE ENERGY, INC. AND SUBSIDIARIES
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Condensed Consolidated Statements of Cash Flows
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(Unaudited)
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For the Period Ending
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June 30,
2016
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June 30,
2015
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OPERATING ACTIVITIES
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Net Loss
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$
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(605,295
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)
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$
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(458,814
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)
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Adjustments to reconcile net income to net cash provided by operating activities:
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Depreciation and amortization expense
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252,914
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225,945
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(Gain) Loss on sale of fixed assets
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2,592
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(18,637
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)
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Bad debt expense
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151,444
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104,774
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Stock options issued for services
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143,765
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187,406
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Changes in operating assets and liabilities:
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Changes in accounts receivable
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770,432
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2,402,191
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Changes in income taxes receivable/payable
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(541,844
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)
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(129,012
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)
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Changes in inventories
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1,075,330
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786,325
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Changes in prepaid expenses
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7,491
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(18,728
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)
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Changes in deferred tax asset/liability
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15,095
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(33,205
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)
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Changes in accounts payable and accrued liabilities
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(535,243
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)
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(181,741
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)
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Net Cash Provided by Operating Activities
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736,681
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2,866,504
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INVESTING ACTIVITIES
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Proceeds from sale of equipment
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16,896
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52,500
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Purchase of fixed assets
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-
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(12,285
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)
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Net Cash Provided by (Used in) Investing Activities
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16,896
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40,215
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FINANCING ACTIVITIES
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Value of equity awards surrendered by employees for tax liability
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-
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(23,526
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)
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Stock issued in exercise of stock options
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-
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-
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Net Cash Provided by (Used in) Financing Activities
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-
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(23,526
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)
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Effect of exchange rate changes on cash
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(3,082
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)
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158,248
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NET INCREASE IN CASH
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750,495
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3,041,441
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CASH AT BEGINNING OF PERIOD
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21,292,595
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14,144,796
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CASH AT END OF PERIOD
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$
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22,043,090
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$
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17,186,237
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SUPPLEMENTAL DISCLOSURES OF
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CASH FLOW INFORMATION
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CASH PAID FOR:
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Interest
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$
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-
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$
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-
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Income taxes
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$
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-
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$
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-
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