IRVINE, Calif.--()--Probe Manufacturing, Inc., (OTC QB : PMFI), a global electronics design & manufacturing services company reports 42% revenue growth for its first quarter of 2012 and 9 consecutive quarters of growth and profitability.
During the first quarter of 2012, our revenue was $1,285,868 compared to $906,313 for the same period in 2011, which was related to increased demand for our services within existing accounts and an addition of six new customers in the latter half of 2011. In addition, our operating income was $57,053 compared to $41,105 for the same period in 2011. Our gross profits were 35% in the first quarter of 2012 compared to 29% in the same period in 2011.
Kam Mahdi, CEO of Probe stated, “We continue our transition towards a more stable, predictable, and diversified portfolio that generates increased operating margins. Furthermore, the company remains committed to driving shareholder value by reinvesting in the business while minimizing dilution to its capital stock, which is evidenced by the fact that we had 197,659,056 and 198,319,056 shares issued and outstanding as of March 31, 2011 and 2012, respectively (72% of which is subject to 144 'insider' resale restrictions and is not in the float).”
“Although Probe experienced overall lower profitability due to interest expenses associated with increased borrowing to support operational expansion, the company has maintained impressive top-line growth. The company currently pays an exorbitant 20%+ interest rate on borrowed capital from its asset based lender. Thus, we are aggressively pursuing a more equitable financing arrangement that will deliver more revenue to our bottom line,” said John Bennett, CFO of Probe.
About Probe Manufacturing, Inc.
Probe Manufacturing is a global electronics design & manufacturing services company providing innovators with business services through our factory in California as well as factories Worldwide. Headquartered in Irvine, California, Probe has been serving industrial, instrumentation, medical, aerospace, defense, and automotive industries since 1994. Probe’s common stock is traded on the OTC Market QB under the symbol PMFI. Further information is available on Probe’s website: www.probeglobal.com.
This release contains certain forward-looking statements (under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) with respect to whether Probe can maintain its revenue growth experienced in the first quarter months of 2010; whether the company will financially benefit from strategic opportunities; whether Probe will be able to find a financial institutional lender to replace its line of credit; whether such initiative will drive shareholder value for the company. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from those expressed or implied by such forward-looking statements. These risks, uncertainties and contingencies include, but are not limited to, the following: uncertainties relating to changes in general economic and market conditions; uncertainties regarding changes in the EMS industry; the uncertainties relating to the implementation of our global business strategy; and other risk factors as outlined in the company’s periodic reports, as filed with the U.S. Securities and Exchange Commission. Forward-looking statements in this document speak only as of the date on which such statements were made, and we undertake no obligation to update any such statements that may become untrue because of subsequent events. We claim the safe harbor protection for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.