DEERFIELD BEACH, Fla., Oct. 6, 2015 (GLOBE NEWSWIRE) -- Capstone Companies, Inc. (OTC:CAPC) ("Capstone" or the "Company"), a designer of innovative LED lighting solutions including power failure lighting, today provided information on its expected results for the third quarter of 2015 which ended on September 30, 2015.
Stewart Wallach, Capstone's CEO, commented, "Our new product strategy focusing on leading product categories and new product introductions has driven revenue growth and improved profitability in the third quarter. The new products debuted at this year's National Hardware Show in May have been well received by our customers and are expected to strengthen consumer demand for our products."
Following is a summary of the Company's preliminary results for the 2015 quarter and its fourth quarter outlook.
- Revenue for the third quarter 2015 is expected to be approximately $7.7 million, up slightly from the prior-year period. This is up measurably from revenue of $1.0 million in the first half of 2015.
- Gross profit margin is expected to exceed 25% in the 2015 third quarter, well above the 14.4% reported in the 2014 third quarter, primarily reflecting the benefits of streamlining product offerings, changes in sales strategy and the success of new product introductions made at the 2015 National Hardware Show in May.
- Net income for the third quarter is forecasted at approximately $1.0 million, nearly offsetting a net loss of $1.1 million for the first half of 2015.
- Backlog at the end of the third quarter was over $7 million.
- Record second half 2015 revenue is expected to exceed 85% of 2014 full year revenue of $13.6 million.
- Anticipated strong fourth quarter revenue growth driving expectation for a return to profitability in 2015.
Capstone will report its 2015 third quarter results in mid-November 2015 and information on the conference call and webcast will be provided in a separate news release to be issued in early November.
About Capstone Companies, Inc.
Capstone Companies, Inc. is a public holding company that engages, through its wholly-owned subsidiaries, Capstone Industries, Inc., Capstone Lighting Technologies, LLC, and Capstone International HK, Ltd., in the development, manufacturing, logistics, and distribution of consumer and institutional products, including the Hoover® HOME LED lighting product line, to accounts throughout North America and in international markets. See www.capstonecompaniesinc.com for more information about the Company and www.capstoneindustries.com for information on our current product offerings.
This news release contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995, as amended. Such statements consist of words like "anticipate," "expect," "project," "continue" and similar words. These statements are based on the Company's and its subsidiaries' current expectations and involve risks and uncertainties, which may cause results to differ materially from those set forth in the forward-looking statements. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements, include consumer acceptance of the Company's products, its ability to deliver new products, the success of its strategy to broaden market channels and the relationships it has with retailers and distributors. Prior success in operations does not necessarily mean success in future operations. The ability of the Company to adequately and affordably fund operations and any growth will be critical to achieving and sustaining any expansion of markets and revenue. The introduction of new products or the expanded availability of products does not mean that the Company will enjoy better financial or business performance. The risks associated with any investment in Capstone Companies, Inc., which is a small business concern and a "penny-stock Company" and, as such, a highly risky investment suitable for only those who can afford to lose such investment, should be evaluated together with the risks and uncertainties more fully described in the Company's Annual and Quarterly Reports filed with the Securities and Exchange Commission. Capstone Companies, Inc. undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise. Contents of referenced URL's are not incorporated into this press release.
CONTACT: For more information, contact Company: Aimee Gaudet Corporate Secretary (954) 252-3440, ext 313 Investor Relations: Garett Gough, Kei Advisors LLC (716) 846-1352 firstname.lastname@example.org
Source:Capstone Companies, Inc.