TX Holdings Reports First Quarter Results for 2021 Fiscal Year
TX Holdings Reports Results for Fiscal Year Ended September 30, 2020
TX Holdings Reports Results for Fiscal Year Ended September 30, 2017
JUL 28 2017 TX Holdings Reports Third Quarter Results 2017
APR 28 2017 TX Holdings Reports Second Quarter Results 2017
Jan 20 2017 TX Holdings Reports First Quarter Results 2017
Dec 16 2016 TX HOLDINGS INC. Reports Results for Fiscal Year Ended September 30, 2016
Jan 25 2016 TX Holdings Reposts Results For First Quarter Of Fiscal 2016
Dec 29 2015 TX Holdings Full Year Results For 2015
Aug 3 2015 Aug 3, 2015 TX Holdings Reports Third Quarter 2015 Results
March 9, 2015 TX Holdings Secures Customer Supply Arrangements
Dec 01, 2014 TX Holdings Closes on Acquisitoin of "The Bag Rack", LLC
Nov 18, 2014 TX Holdings Reports 2014 Results
Sept 16, 2014 TX Holdings to Attend International Mining Conference & Expo (IMEX)
July 30, 2014 TX Holdings to Host Teleconference In Conjunction with Third Quarter Financial Results
June 18, 2014 TX Holdings Issues Letter to Shareholders
May 27, 2014 TX Holdings awarded $374,024 in settlement agreement
July 22, 2013 TX HOLDINGS REPORTS 2013 THIRD QUARTER RESULTS THIRD QUARTER REVENUE INCREASED SECOND BACK-TO-BACK QUARTER REPORTING NET INCOME
January 15, 2013 TX Holdings Announces Delay in Filing Its 2012 Form 10-K
May 21, 2012 TX Holdings Inc.Announces Settlement Agreement with former CEO Mark Neuhaus
December 12, 2011 TX Holdings Inc. will expand its operations to supply rail and steel drill products to the mining industry
SOURCE: TX Holdings Inc.
April 28, 2014 09:45 ET
ASHLAND, KY--(Marketwired - Apr 28, 2014) - TX Holdings, Inc. (OTCQB: TXHG)
TX Holdings, Inc., a supplier of mining and rail products to the U.S. coal mining industry, today announced financial results for its 2014 second fiscal quarter. During the 2014 second fiscal quarter, the company posted quarterly revenue of $1.2 million, a 26.5% increase when compared to 2013, and reported a 107% increase in net income when compared to 2013.
Mr. Shrewsbury, the company's CEO and Chairman, stated that "We are pleased with our quarterly results, especially since this is the fifth consecutive quarter in which we have reported net income. Our earnings grew during the second quarter of fiscal 2014 compared to 2013. We continue to focus on expanding our customer base and product offerings and controlling our product costs and operating expenses. Also, we have been able to restructure certain of our outstanding indebtedness, thereby reducing our total interest expense, and have begun to reduce certain of our indebtedness. Our cash flow is beginning to be sufficient to fund operational expenses, although we continue to rely upon outstanding indebtedness to finance our inventory."
Second Fiscal Quarter of 2014 - Financial Summary
Revenue for the three months ended March 31, 2014 was $1,206,567 as compared to $954,074 for the same period in 2013, an increase of $252,493 or 26.5%.
Cost of goods sold was $807,452 as compared to cost of goods sold of $681,709 for the same quarter in 2013, an increase of $125,743 or 18.5 %.
Gross profit for the quarter ended March 31, 2014 increased as a percentage of revenue from 28.5% to 33.1% when compared to 2013.
Operating expenses for the three months ended March 31, 2014 were $339,352 as compared to $224,862 for the three months ended March 31, 2013, an increase of $114,490 or 50.9%. Commission expense was $162,822 compared to $96,986 for 2013, an increase of $65,836 or 67.9%. Other operating expenses increased by $45,830 or 60.7% compared to 2013.
Income from operations for the quarter ended March 31, 2014, was $59,763, an increase of 25.8%. Net income was $51,255, an increase of 107%.
At March 31, 2014, cash and cash equivalents were $578 compared to $175,028 at September 30, 2013. Net cash used in operating activities was $144,400 during the six months ended March 31, 2014. Net cash used in operating activities during the same six month period in 2013 was $423,392. Cash flow provided by investing activities for the six months ended March 31, 2014 was $18,000 as compared to cash flow used in investing activities of $12,644 during the same period in 2013. During the six months ended March 31, 2014, net cash used in financing activities was $48,050 due to the company's reduction of a stockholder's advance by $55,000. Cash flow provided by financing activities was $456,001 during the same period of 2013.
Mr. Shrewsbury, TX's Chairman and CEO, has provided financing in the form of demand notes and advances to fund the company's operations. Effective February 25, 2014, TX and Mr. Shrewsbury consolidated and restructured the principal and interest under such notes and certain advances due as of January 31, 2014, by issuing a new ten-year consolidated secured promissory note in the principal amount of $2,000,000 to Mr. Shrewsbury that bears interest at the rate of 5% per annum or prime rate if higher than 5% per annum, and is subject to certain events of default. The new note will be secured by the death benefit proceeds of key man insurance to be purchased by TX on the life of Mr. Shrewsbury. As of March 31, 2014, non-interest bearing advances due to Mr. Shrewsbury were $77,687. Also, TX continues to rely upon its bank line of credit which is guaranteed by Mr. Shrewsbury, of which $248,500 had been drawn upon as of March 31, 2014.
Accounts receivable were $752,946 as of March 31, 2014, as compared to $425,930 as of the year ended September 30, 2013, an increase of 76.8%.
Inventory was $2,328,034 as of March 31, 2014 an increase of 25.8% as compared to the year ended September 30, 2013. In anticipation of the continued growth of its rail and mining supplies business, the company increased its inventory levels to meet anticipated higher sales demand.
Forward-Looking and Cautionary Statements
Except for the historical information and discussions contained herein, statements contained in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (PSLRA) and other applicable law. When used, the words "believe", "anticipate", "estimate", "project", "should", "expect," "plan", "assume" and similar expressions that do not relate solely to historical matters identify forward-looking statements. Forward-looking statements are based on the company's current assumptions regarding future business and financial performance. Forward-looking statements concerning future plans or results are necessarily only estimates and actual results could differ materially from expectations. These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially, including the following: reliance upon indebtedness furnished or guaranteed by our CEO; risks related to substantial indebtedness; our ability to implement our business strategy; our financial strategy; a downturn in economic environment; our failure to meet growth and productivity objectives; a failure of our innovation initiatives; risks from investing in growth opportunities; fluctuations in financial results and purchases; the impact of local legal, economic, political and health conditions; adverse effects from environmental matters and tax matters; ineffective internal controls; our use of accounting estimates; our ability to attract and retain key personnel and our reliance on critical skills; impact of relationships with critical suppliers; currency fluctuations and customer financing risks; the impact of changes in market liquidity conditions and customer credit risk on receivables; our reliance on third party distribution channels; Securities and Exchange Commission regulations related to trading in "penny stocks;" the continued availability of certain financing provided by our CEO; and other risks, uncertainties and factors discussed in our Quarterly Reports on Form10-Q, our Annual Reports on Form 10-K, and in our other filings with the SEC or in materials incorporated therein by reference. Any forward-looking statement in this release speaks only as of the date on which it is made. We assume no obligation to update or revise any forward-looking statement. Notwithstanding the above, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, expressly state that the safe harbor for forward looking statements does not apply to companies that issue penny stocks. Because we may from time to time be considered to be an issuer of penny stock, the safe harbor for forward looking statements under the PSLRA may not be apply to us at certain times.