Tyler, Texas, Nov. 17, 2014 (GLOBE NEWSWIRE) -- SearchCore, Inc. (OTCQB: SRER) a manufactured housing retail center owner and operator that operates its retail centers through its wholly-owned subsidiary, Wisdom Homes Of America, Inc. ("Wisdom Homes"), today announces its financial results for the quarter ended September 30, 2014.
Third Quarter 2014 Highlights
Increasing Sales: Wisdom Homes generated $352,000 in revenue from the sale of manufactured homes in the 3rd quarter, an increase of more than 600%, as compared to $50,000 in the 2nd quarter.
Increasing Pending Transactions: Wisdom Homes had 22 pending transactions at the end of the 3rd quarter as compared to 8 pending transactions at the end of the 2nd quarter; a 175% increase in pending transactions.
Increasing Credit Facility and Inventory: The Company borrowing capacity increased to approximately $1.2 million in the 3rd quarter, up from $300,000 at the end of the 2nd quarter. We also increased the number of model homes in our inventory to 25.
Signed Lease For 4th Retail Center: Wisdom Homes continues to expand its footprint in Texas. We signed a lease in Mount Pleasant, TX in anticipation of opening our largest retail center to date. We expect to be operating from this new location before year end. Wisdom Homes currently operates 3 existing retail centers located in Tyler, Jacksboro and Rhome, TX.
"Our third quarter sales revenues and pending transactions are up significantly from the end of the second quarter," stated Mr. Jim Pakulis, CEO of SearchCore, Inc. "As a result of our expanded marketing campaign, we are enjoying an increase in foot traffic. By the end of the third quarter we started seeing referral business come through the door, which is the best business anyone can ask for. Additionally, we recently expanded our sales team in an effort to provide exceptional service to the Hispanic and Latino markets that we service, especially in the Northeast area of Texas."
"As we've reported since the end of the quarter, Wisdom Homes has acquired 15 residential lots. This helps to eliminate one of the biggest challenges facing buyers of manufactured homes; locating a lot in which to place their home. Our inventory of available lots is expected to decrease the length of time to close a transaction and increase our revenue. Predicated on that business model, our expanded credit facility will provide Wisdom Homes with the flexibility to seize current and future growth opportunities. Therefore, we anticipate expanding our portfolio of residential lots in the near future," continued Mr. Pakulis.
Third Quarter 2014 Financial Results
SearchCore's revenues for the third quarter ended September 30, 2014 totaled $351,543, as compared with $0 for the third quarter ended September 30, 2013. Sales for the third quarter ended September 30, 2014, consisted of sales of manufactured homes at our three model home retail centers in Texas. Our operating expenses increased during the three months ended September 30, 2014, as compared to the three months ended September 30, 2013, in general because of our efforts to expand our operations into the manufactured home retail center industry.
For the nine months ended September 30, 2014, we had an operating loss of $ 1,134,000. The operating loss we experienced was a result of our efforts to expand our operations in the manufactured home retail center business.
Balance Sheet Overview
At September 30, 2014, SearchCore had cash and cash equivalents of $116,575, total assets of $4,505,733 and had total debt of $4,236,192, as compared with cash and cash equivalents of $41,617, total assets of $3,734,751 and total liabilities of $4,095,822 as of September 30, 2013.
About SearchCore, Inc.
SearchCore, Inc., founded in 2010, is a manufactured housing retail center owner and operator. The company is headquartered in Tyler, Texas. The Company's common stock trades on the OTCQB, under the ticker symbol "SRER."
Safe Harbor Notice
Certain statements contained herein are "forward-looking statements" (as defined in the Private Securities Litigation Reform Act of 1995). SearchCore, Inc. cautions that statements made in this news release constitute forward- looking statements and makes no guarantee of future performance. Forward-looking statements are based on estimates and opinions of management at the time statements are made. These statements may address issues that involve significant risks, uncertainties, estimates and assumptions made by management. Actual results could differ materially from current projections or implied results. SearchCore, Inc. undertakes no obligation to revise these statements following the date of this news release.
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