AmeraMex CEO is Hosting a Shareholder Conference Call November 25, 2024, at 9:00 a.m. PT
Chico, California--(Newsfile Corp. - November 25, 2024) - AmeraMex International, Inc. (OTC Pink: AMMX), a provider of heavy equipment for logistics companies, infrastructure construction, and forestry conservation, reports financial results for its third quarter and nine-month period ended September 30, 2024.
While the Company's revenues were up 61 percent for the third quarter and 34 percent for the nine-month period ended September 30, 2024, Cost of Goods Sold (COGS) for the quarter significantly increased when compared to the second quarter ended June 30, 3024 and for the comparable third quarter ended September 20, 2023.
The increase in COGS for sales revenue was due in part to a reserve journal entry that had to be made to the Inventory. This accounting adjustment, 25 percent of the value of equipment inventory and 50 percent of the value of parts inventory, was made to cover any possible miscounts or errors in the inventory records. The adjustment made for the nine-month period ended September 30, 2024, which was just over $3.1 million, reduced inventory while increasing COGS in the third quarter.
COGS associated with rental revenues is based on the depreciation of long-term rental equipment. A combination of issues occurred:
Rental equipment was purchased and delivered but not on rent long enough to generate revenue/create a receivable.
Since the equipment isn't sold but rented, the Company uses depreciation, an internal accounting figure, to offset the COGS. This means that the cost of the equipment being used (depreciated) is accounted for as a COGS rather than recording the equipment's full purchase cost up front.
According to the Company's CEO Lee Hamre, these are one-time adjustments that affected the third quarter and will not be affect the Company's fourth quarter.
Statement of Operations for the Quarter Ended September 30, 2024
The Company reported revenue of approximately $1.9 million versus revenue of $1.2 million for the comparable 2023 quarter.
Gross loss for the quarter was ($1.2 million), compared to gross profit of $371,206 for the comparable 2023 quarter.
Loss from operations was ($1.4 million) for the quarter, compared to a profit from operations of $199,328 for the comparable 2023 quarter.
Net loss for the quarter was ($1.1 million) compared to net loss of ($32,623) for the comparable 2023 quarter.
Loss per share was ($0.07) for the quarter compared to earnings per share of $0.00 for the comparable 2023 quarter.
Statement of Operations for the Nine-Month period Ended September 30, 2024
The company reported revenue of approximately $9.0 million versus revenue of $6.7 million for the comparable 2023 period.
Gross profit for the period was $1.2 million compared to gross profit of $1.9 million for the comparable 2023 period.
Profit from operations was $18,585 for the nine-month period, compared to profit from operations of $438,528 for the comparable 2023 nine-month period.
Net loss for the nine-month period was ($478,790) compared to a net loss of ($48,122) for the comparable nine-month period of 2023.
Loss per share was ($0.03) for the period compared to earnings per share of $0.00 for the comparable nine-month period of 2023.
Balance Sheet for the Nine-Month Period Ended September 30, 2024
Total Assets were $20.1 million, a $2.2 million increase due in part to a $4.0 million increase in rental equipment.
Total Liabilities were $17.2 million, a $2.8 million increase due in part to an increase in the Company's notes payable.
Please join the Company's management team November 25 at 9:00 a.m. PT for a shareholder update. The conference call dial-in number for both U.S. and international callers is 1.201.689.8560. Please dial 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 November 25, 2024, at 5:00 p.m. ET until December 9, 2024, at 11:59 p.m. ET. The replay is accessible by dialing 1.412.317.6671 and entering pin number 13750228.
AmeraMex International AmeraMex International sells, leases, and rents heavy equipment to companies within multiple industries including construction, logistics, mining, and lumber. The company has over 30 years of experience in heavy equipment sales and service. Follow AmeraMex on Twitter @ammx_intl and visit the AmeraMex website, www.AMMX.net or www.hamreequipment.com for additional information and equipment videos.
Forward-Looking Statement Statements made in this news release that are not historical or current facts are "forward-looking statements" made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 (the "Act") and Section 21E of the Securities Exchange Act of 1934. These statements often can be identified using terms such as "may," "expect," "believe," "anticipate," "estimate," "approximate" "continue," or the negative thereof. We intend that such forward-looking statements be subject to the safe harbors for such statements. We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent management's best judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and key factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events.
Investor and Media Relations McCloud Communications, LLC Marty Tullio, Managing Member Office: 949.632.1900 or Marty@McCloudCommunications.com
AMERAMEX INTERNATIONAL, INC.
UNAUDITED STATEMENTS OF OPERATIONS
THREE MONTHS ENDED SEPTEMBER 30,
NINE MONTHS ENDED SEPTEMBER 30,
2024
2023
2024
2023
REVENUES
Sales of Equipment and Other Revenues
$
1,426,566
$
756,581
7,547,016
$
5,716,647
Rentals and Leases
522,842
454,154
1,465,987
1,024,077
Total Sales
1,949,408
1,210,735
9,013,003
6,740,724
COST OF SALES
Sales of Equipment and Other Revenues
2,445,961
685,268
6,601,371
4,316,879
Rentals and Leases
686,789
154,261
1,168,241
521,029
Total Cost of Sales
3,132,750
839,529
7,769,612
4,837,908
GROSS PROFIT
(1,183,342
)
371,206
1,243,391
1,902,816
OPERATING EXPENSES
Selling Expense
107,393
87,549
511,900
840,930
General and Administrative
158,119
84,329
712,906
622,358
Total Operating Expenses
265,512
171,878
1,224,806
1,463,288
Profit (loss) From Operations
(1,448,854
)
199,328
18,585
439,528
OTHER INCOME (EXPENSE)
Interest Expense, net
(145,968
)
(218,551
)
(845,507
)
(503,990
)
Loss from Early Extinguishment of Debt
-
(28,446
)
-
(67,536
)
Gain of Sale of Asset
-
-
Other Income (Expense)
39,818
1,393
147,790
63,740
Total Other Income (Expense)
(106,150
)
(245,604
)
(697,717
)
(507,786
)
INCOME BEFORE PROVISION for INCOME TAXES
(1,555,004
)
(46,276
)
(679,132
)
(68,258
)
PROVISION for INCOME TAXES
(488,225
)
(13,653
)
(200,342
)
(20,136
)
NET INCOME
$
(1,066,779
)
$
(32,623
)
(478,790
)
$
(48,122
)
Weighted Average Shares Outstanding:
Basic
14,829,155
14,829,155
14,829,155
14,829,155
Diluted
14,829,155
14,829,155
14,829,155
14,829,155
Earnings (loss) per Share
Basic
$
-0.07
$
0.00
-0.03
$
0.00
Diluted
$
-0.07
$
0.00
-0.03
$
0.00
AMERAMEX INTERNATIONAL, INC.
UNAUDITED BALANCE SHEETS
SEPTEMBER 30, 2024
DECEMBER 31, 2023
ASSETS
Current Assets:
Cash
$
90,248
$
588,128
Accounts Receivable, Net
1,292,157
1,289,389
Inventory, Net
10,674,988
11,359,158
Other Current Assets
245,587
324,134
Total Current Assets
12,302,980
13,560,809
Property and Equipment, Net
769,483
1,420,163
Rental Equipment, Net
5,014,295
1,063,464
Joint Venture Asset
177,000
-
Operating Lease ROU Asset
703,802
703,802
Financing Leasae ROU Asset
883,310
883,310
Other Assets
220,480
203,025
Total Other Assets
7,768,370
4,273,764
TOTAL ASSETS
$
20,071,350
$
17,834,573
LIABILITIES & STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts Payable
$
2,404,590
$
2,213,722
Accrued Expenses
207,051
348,415
Deferred Revenue
1,802,279
2,136,400
Joint Venture Liability
-
105,000
Lines of Credit
5,505,791
5,509,788
Notes Payable, Current Portion
1,758,490
1,273,310
Operating Lease Liability
129,081
129,081
Financing Lease Liability
376,242
376,242
Total Current Liabilities
12,183,524
12,091,958
Long-Term Liabilities
Notes Payable, Net of Current Portion
3,718,723
1,094,722
Operating Lease Liability, Net of Current Portion
574,721
574,721
Financing Lease Liability, Net of Current Portion
673,458
673,458
Total Long-Term Liabilities
4,966,902
2,342,901
TOTAL LIABILITIES
17,150,426
14,434,859
STOCKHOLDERS' EQUITY:
Shareholders' Equity
Preferred Stock, $0.001 par value, 5,000,000 shares authorized, no shares issued and outstanding
-
-
Common Stock, $0.001 par value, 1,000,000,000 shares authorized 14,829,155 shares issued and outstanding
14,829
14,829
Additional Paid-In Capital
21,671,534
21,671,534
Accumulated Deficit
(18,765,439
)
(18,286,649
)
Total Stockholders' Equity
2,920,924
3,399,714
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY
$
20,071,350
$
17,834,573
AMERAMEX INTERNATIONAL, INC.
UNAUDITED STATEMENTS OF CASH FLOW
NINE MONTHS ENDED SEPTEMBER 30,
2024
2023
OPERATING ACTIVITIES:
Net Income
(478,790
)
(48,122
)
Adjustments to reconcile Net Loss to
Net Cash provided (used) by Operations Activities:
Depreciation and Amortization
1,628,066
719,468
Provision (Benefit) for Deferred Income Taxes
-
(98,615
)
Marketing Services Paid in Stock
-
-
Loss on Early Extinguishment of Debt
-
67,536
Gain/Loss on Disposal
-
-
Amortization of Right of Use Asset
19,797
19,797
Amortization and Accretion of Interest
10,863
63,556
Change in Assets and Liabilities:
Accounts Receivable
(2,768
)
374,114
Inventory
684,170
(5,230,155
)
ROU Asset
(725,674
)
(725,674
)
Other Current Assets
78,547
88,883
Accounts Payable
190,868
364,610
Customer Deposits
-
-
Deferred Revenue
(334,121
)
2,780,474
Accrued Expenses
(141,364
)
(201,088
)
Lease Liability
725,674
725,674
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
1,655,268
(1,099,542
)
INVESTING ACTIVITIES:
Payments for Property & Equipment
189,443
(179,860
)
Payments for Rental Equipment
-
-
Proceeds (Payments) for Rental Equipment
(5,117,660
)
(1,484,582
)
NET CASH USED BY INVESTING ACTIVITIES
(4,928,217
)
(1,664,442
)
FINANCING ACTIVITIES:
Proceeds from Notes Payable
616,023
563,330
Payments on Notes Payable
(733,470
)
(733,470
)
Payment on Note Payable - Related Party
-
269,159
Joint Venture Liability
(105,000
)
(227,503
)
Net Borrowing (Repayments) Under Lines of Credit
2,997,516
2,142,189
NET CASH PROVIDED (USED) BY FINANCING ACTIVITIES
2,775,069
2,013,705
NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS
(497,880
)
(750,279
)
Cash and Cash Equivalents, BEGINNING OF PERIOD
588,128
1,032,209
Cash and Cash Equivalents, END OF PERIOD
90,248
281,930
CASH PAID FOR:
Interest
855,609
543,573
Income Taxes
800
800
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Transfer of Inventory to Rental Equipment
-
1,666,085
Equipment Financed under Capital Leases
-
779,160
Transfer of Rental Equipment to Inventory
-
-
AMERAMEX INTERNATIONAL, INC.
UNAUDITED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2024 AND 2023
