TUSTIN, Calif.--()--M Line Holdings, Inc. (OTC Bulletin Board: MLHC)
M Line Holdings, Inc. (OTC Bulletin Board: MLHC - “M Line Holdings” or “the Company”), announces its results for the first quarter ended September 30, 2011. The results for the quarter reflect a net profit of $119,712. This compares with a net loss of ($15,134) for the three months ended September 30, 2010. This is an improvement of $134,846. This profit was achieved despite a weak quarter for Elite Machine Tool that was overshadowed by an excellent first quarter by our precision manufacturing division. The quarter profit continues the profit trend established with our first profit for a full year achieved under current management in the fiscal year ended June 30, 2011.
EBITDA for the first quarter of the 2012 fiscal year is $247,054 compared to $120,682 for the first quarter of 2011 fiscal year. This period’s EBITDA is more than double the amount achieved in the same quarter in the last fiscal year.
In July 2011 we appointed Barton Webb President of Eran Engineering, Inc. Barton has over twenty years experience in the airline industry. Barton has installed a new belief and desire at Eran, a new strategic management structure and together with our new sales director Frank X Leon, a veteran of over twenty five years in aircraft interiors sales, and has created a new work atmosphere that will significantly increase revenues to levels not previously experienced. We are delighted by these important and significant changes at Eran. In addition, in December, we will “go live” on a new “ERP” software system which encompasses our inventory, costing and job control management. The new software will radically improve Eran’s ability to quote and manage work flow as well as provide a very accurate accounting of our inventory of finished goods, raw materials and work in progress.
George Colin, CEO of M Line Holdings, Inc. stated “I am delighted to announce the profit for the first quarter of our fiscal year ended September 30, 2011. This achievement is even more special considering that business in general was slow during this last quarter. With business now improving again, especially in our machine sales division we expect profits to continue to grow during the full 2012 fiscal year.”
Forward Looking Statements
This news release contains certain “forward-looking statements.” Forward-looking statements are based on current expectations and assumptions and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, and many of which are beyond the Company's control. The forward-looking statements are also identified through the use of words “believe,” enable,” “may,” “will,” “could,” “intends,” “estimate,” “anticipate,” “plan,” “predict,” “probable,” “potential,” “possible,” “should,” “continue,” and other words of similar meaning. Actual results could differ materially from these forward-looking statements as a result of a number of risk factors detailed in the Company's periodic reports filed with the SEC. Given these risks and uncertainties, investors are cautioned not to place undue reliance on such forward-looking statements and no assurances can be given that such statements will be achieved.
M LINE HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE QUARTERS ENDED September 30, 2011 AND 2010
|Cost of sales||1,655,545||930,024|
|Selling, general and administrative||663,266||716,485|
|Amortization of intangible assets||18,188||18,188|
|Total operating expense||681,454||734,673|
|Other income (expense):|
|Gain on debt Settlement||85,184||-|
|Total other income (expenses)||49,218||(6,236)|
|Income (loss) before income tax||122,112||(14,334)|
|Income tax provision||2,400||800|
|NET PROFIT (LOSS)||$||119,712||$||(15,134)|
NET LOSS PER SHARE:
|Basic and dilutive income (loss) per share:||$||0.00||$||(0.00)|
|Weighted average number of common shares under in per share calculations (basic and diluted)||44,282,258||30,861,956|