Brenton Hatch comments:
Given the industry circumstances, it’s hard to be disappointed with making a profit and adding cash to the bank account, as we did this past quarter. We feel that our performance relative to the industry and our peers is evidence of Management’s focus on right-sizing the Company through effective cost management. While $30 oil and significantly reduced customer budgets have been, and will continue to be, challenging for the Company, we are confident that the strength of our people and our balance sheet will help us continue to manage effectively during this difficult period. We didn’t expect to see $30 oil, but, unfortunately, that’s the fact of the matter and we will do what we can to continue to move forward in spite of the headwinds we face.
What has changed:
Still made a profit while the oil price rout was on, by controlling expenses!
$30.00 oil to $50.00 oil
New product, 3100
CFO, Ryan Oviatt comments
The company has been successful in its expense reduction measures and we’ll continue to work towards maximizing efficiency and eliminating unnecessary cost wherever possible. When compared with the same year-ago quarter, operating expenses for general and administrative decreased 26%, R&D decreased 33%, payroll decreased 23%, and depreciation decreased 27%. We will continue to closely evaluate all expenses and determine what actions, if any, need to be taken as we position the Company for future success.
We will continue to strategically allocate capital according to the plan outlined in our last earnings call, preserving cash, investing internally and potential investments, and acquiring adjacent technologies, initiating a stock repurchase program, or other opportunities. We believe this plan will ultimately drive long-term value for Profire and our stakeholders.
What has changed:
US / Canadian exchange rate has improved.
Just initiated a 2 million dollar stock repurchase program.
A new job listing just showed up on Monster for the open Controller position, I believe the previous individual unexpectedly passed away in late 2014. (Did not fill to keep expenses down? Trying to fill this position now, does it foretell positive metrics going forward?)
Have they seen the bottom?
June 13-17 Expected Earnings to be released.
$19.3 million cash / Zero Debt
Many other oil related vendors/operators have seen their share price appreciate some since oil has risen. PFIE shares have not until May 16th when the Controller position hit the wires, share price rose from 0.90¢ to Fridays $1.08 close.
Are the original metrics that got Saul interested in this company starting to resurface again?
Maybe worth keeping an eye on!