Speedemissions, Inc. Announces Year-End 2015 Financial Results
Company’s Financial and Business Strategies Provide Positive Development
ATLANTA, GA. March 31, 2016 -- Speedemissions, Inc. (OTCPK: SPMI, the “Company”), a national brand offering our customers quick and efficient emissions testing and safety inspections today announced its financial results for its fiscal year ended December 31, 2015.
“We have pared non-economic stores, and disposed of others in markets that ceased to be as attractive as where our core operations are located. As a result, we believe that both our financial and business restructuring initiatives have stabilized, thereby providing a more solid foundation for the future growth of Speedemissions. A primary outcome of these actions is that for the first time in several years, we have been able to produce positive cash flow from operations in five of the past six months,” stated Rich Parlontieri, Speedemissions, Inc. President and CEO.
“While significant progress has been made, there‘s more to accomplish in 2016 as we continue to research numerous sectors of the automotive industry that we believe offer profitable opportunities to diversify and expand our business. I’m hopeful that by the third quarter of 2016, we’ll be able to announce in greater details these strategies, which may allow us to again grow the company with a positive impact for our shareholders”, added Parlontieri.
Select Financial Data for Year-End December 31, 2015
- Total revenue decreased 41.5%, or $2,312,671, from $5,578,693 for the year ended December 31, 2014 to $3,266,022 for the year-ended December 31, 2015. The reduction in revenue is primarily due to the sale of stores in Houston and Salt Lake City and the non-renewal of eleven stores leases which were closed due to lack of performance.
- Store operating expenses decreased by 46.2%, or $1,866,000, which was related to the closing of the previously mentioned stores.
- Same store operating expenses decreased approximately $248,000, primarily due to reductions in wages, bonuses, insurance, and depreciation expenses.
- General and Administrative expenses decreased 23.6%, or approximately $242,000, largely due to the reduction and elimination of $124,000 in employee compensation, finance and office rent expense
- Net loss for the year ended December 31, 2915 decreased by $244,186 to ($488,994) as compared to a net loss of ($733,180) for the year ended December 31, 2014.
A full analysis of results for the year ended December 31, 2015 is available in the Company’s Form 10-K, which is available on the Company’s website at www.speedemissions.com or through the Securities and Exchange Commission’s Edgar database at www.sec.gov.
Speedemissions owns and developed the MyVehicleRecalls.com website and e-commerce business featuring the Automobile Date Vehicle Information for Safety Recalls and/or Technical Service Bulletins (TSB’s) on nearly every make and model for the past 25 years. These reports are intended to keep the car owner informed about what’s really happening under the hood of their vehicle. For more information, visit www.MyVehicleRecalls.com for news and car safety updates. Follow us on Twitter: @myvehiclerecall
ABOUT SPEEDEMISSIONS, INC.
Speedemissions, Inc., based in Atlanta, Georgia, is a national brand offering our customers quick and efficient emissions testing and safety inspections as required by law. The Company is in the, Atlanta, GA. Salt Lake City, UT. and St. Louis, MO. markets. Speedemissions intends to offer its customers quick and efficient vehicle emissions testing and repair services in convenient locations. For more information visit: www.speedemissions.com
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FORWARD LOOKING STATEMENTS
Certain statements contained in this news release regarding matters that are not historical facts may be forward-looking statements. Because such forward-looking statements include risks and uncertainties, actual results may differ materially from those expressed in or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, uncertainties pertaining to continued market acceptance for Speedemissions' products and services, its ability to increase revenues in the near term to attain profitable operations and generate sufficient cash flow from operations, the effect of new competitors in its market, integration of acquired businesses, and other risk factors identified from time to time in its filings with the Securities and Exchange Commission, including Speedemissions Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and current reports on Form 8-K which are available at the SEC’s website www.sec.gov. Other factors not currently anticipated may also materially and adversely affect Speedemissions results of operations, financial position and cash flows. There can be no assurance that future results will meet expectation. While Speedemissions believes that the forward-looking statements in this news release are reasonable, the reader should not place undue reliance on any forward-looking statement. In addition, these statements speak only as of the date made. Speedemissions does not undertake, and expressly disclaims any obligation to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
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