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EMTA Holdings, Inc. Files Its FY 2009 10-Q Quarterly Report
Wednesday August 20, 9:30 am ET
Company Reports 175% Increase in Net Sales
SCOTTSDALE, Ariz., Aug. 20 - EMTA Holdings, Inc., , maker of XenTx, Synergyn and other engine treatment and fuel efficiency products, recently reported that they had filed the Company's first quarter FY 2009 10-Q report. The report detailed an overall positive quarter in both operations and sales. Net Sales increased from $666,724 in 2007 to $1,836,421 in 2008 or an increase of $1,169,697 or 175%. This increase was the result of improved XenTx sales to the commercial/industrial market and an increase in foreign sales. The cost of sales for the three months ended June 30, 2008 was $726,776 or 40% of net sales, compared to $293,176 or 44% of net sales for the prior year. The decrease in the cost of sales was primarily due to both reduced raw materials and manufacturing costs. Gross profit increased to $1,109,645 as compared to $373,547 or an increase of 197%.
SGA expenses were reduced to $681,703 from $728,871 from the prior year which had a positive impact on operating expenses which were also reduced from $839,534 to $743,669. Income from operations for the three months ended June 30, 2008 was $365,976 verses a loss of $465,986 from the previous year.
Interest and Other expenses were $198,834 compared to $266,822 for the same period last year. This was due primarily to the lower cost of the cashless warrant conversion adjustment of $37,815 as opposed to $145,070 in the earlier period.
Net Income for this period was $167,517 verses a loss of $732,808 from the same period last year. Before non-cash allocations, income for the quarter was $596,545.
EMTA Holdings, Inc. CEO Edmond L. Lonergan stated, "The quarter that just ended was the first profitable quarter in the Company's history and is the foundation for continuing success in Fiscal Year 2009."
About EMTA Holdings
EMTA Holdings, Inc., develops and manufactures innovative products to conserve energy, particularly for petroleum-based fuels. The Company's engine and fuel additives are marketed under the brands XenTx, Synergyn and CleanBoost brands, and are sold both to commercial and retail customers. They are available from key distributors, major automotive retailers and online at http://www.emtacorp.com/store. For additional information on EMTA products, please visit http://www.xentx.com.
Forward-Looking Statements: This press release discusses certain matters that may be considered "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the intent, belief or current expectations of EMTA Corp. and its management. Prospective investors are cautioned that any such forward- looking statements are not guarantees of future performance and involve a number of risks and uncertainties that could materially affect actual results such as, but not limited to: the ability of the Company to raise necessary capital; to attract and retain effective management; the lack of viable commercial applications or the failure of third-party contractors to perform their contractual obligations. Prospective investors are also referred to the other risks identified from time to time in the Company's reports and registration statement filed with the Securities and Exchange Commission.
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