×

Profire Energy Files Annual 10-K Report

LINDON, Utah, July 1, 2013 (GLOBE NEWSWIRE) -- Profire Energy, Inc. (OTCBB:PFIE), a technology company which manufactures, installs and services burner management systems and other combustion technologies for the oil and gas industry, today announced that it has filed its annual 10-K report for the fiscal year ending March 31, 2013.

The Company reported record revenues for fiscal year 2013 totaling $16,887,267 (a 6% increase from $15,925,213 in fiscal 2012), and net income before income taxes of $2,163,560 (a 50% decrease from $4,351,222 in fiscal 2012). Total assets increased 22% to $12,385,873 in fiscal 2013 from $10,125,758 in fiscal 2012, and total liabilities increased 28% to $1,923,226 in fiscal 2013 from $1,494,182 in fiscal 2012.

The year-end figures were consistent with the forecasts released by the company earlier this year. $16.8 million in revenue was realized with $16.7 million in revenue estimated, while after-tax net income realized was $1.4 million with $1.4 million estimated.

The annual report comes at the end of a year that entailed a number of significant accomplishments for the company, according to Profire's chief financial officer Andrew Limpert:

"We made a number of key investments in ourselves during fiscal 2013, which began to yield returns. We expect those returns to continue in fiscal 2014," said Limpert. "We saw significant growth in U.S. revenues this year, growing 503% from FY2012 Q3 to FY2013 Q3. We also released a number of new products that have already been received well in the Canadian and U.S. markets, and filed multiple patent applications to protect our innovations."

Limpert also discussed the nature of the Company's investments:

"We made significant investments in personnel, quality control, and infrastructure to prepare for anticipated sales growth in fiscal 2014. While these investments foreseeably impacted net margins, they are expected to create long-term value for the Company. Even during fiscal 2013, while investing significant resources to prepare for growth, we realized record revenues as these investments were leveraged. We intend to continue executing strategically on our commitment to revenue growth."

Profire's chief executive officer, Brenton Hatch, described the year in light of the Company's long-term strategic plans:

"Throughout fiscal year 2013, our focus as a management team was preparing the Company to execute on our future corporate objectives. We've experienced significant growth in past years, and we determined that a number of key investments needed to be made if we were to increase our sales and distribution capacities, expand our shareholder base, and deliver the kind of long-term stakeholder value that we're committed to as a Company. We believe the investments we made in fiscal 2013 will pay off in fiscal 2014 as we focus on capitalizing on these investments."

Some of the Company's major announcements during the fiscal year included a distribution agreement with Fortune-500 company Cameron, a new flare-ignition system, a new patent-pending airplate product, a number of new research and development initiatives, a new Company website, multiple office-expansions, as well as multiple awards for financial management and corporate growth.

The Company continued to report no debt.

The Company's annual report can be obtained from the Securities and Exchange Commission's website www.SEC.gov. To learn more about Profire Energy or its products, please contact Profire Energy, or visit www.ProfireEnergy.com.

Financial statements from the Company's report are provided below:

PROFIRE ENERGY, INC. AND SUBSIDIARY
Consolidated Balance Sheets
ASSETS
March 31, March 31,
2013 2012
CURRENT ASSETS
Cash and cash equivalents $ 808,772 $ 1,914,877
Accounts receivable, net 5,879,165 4,236,240
Marketable securities-available for sale -- 840
Inventories 3,463,614 1,968,740
Deferred tax asset -- 12,569
Prepaid expenses 1,967 10,202
Total Current Assets 10,153,518 8,143,468
PROPERTY AND EQUIPMENT, net 2,232,355 1,982,290
TOTAL ASSETS $ 12,385,873 $ 10,125,758
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable $ 1,499,330 $ 645,215
Accrued liabilities 189,489 251,137
Deferred income tax liability 72,857 --
Income taxes payable 161,550 597,830
Total Current Liabilities 1,923,226 1,494,182
TOTAL LIABILITIES 1,923,226 1,494,182
STOCKHOLDERS' EQUITY
Preferred shares: $0.001 par value, 10,000,000 shares authorized: no shares issued and outstanding -- --
Common shares: $0.001 par value, 100,000,000 shares authorized: 45,250,000 and 45,000,000 shares issued and outstanding, respectively 45,250 45,000
Additional paid-in capital 585,735 74,343
Accumulated other comprehensive income 371,466 484,692
Retained earnings 9,460,196 8,027,541
Total Stockholders' Equity 10,462,647 8,631,576
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 12,385,873 $ 10,125,758
PROFIRE ENERGY, INC. AND SUBSIDIARY
Consolidated Statements of Operations and Other Comprehensive Income
For the Years Ended
March 31,
2013 2012
REVENUES
Sales of goods, net $ 15,740,546 $ 14,875,652
Sales of services, net 1,146,721 1,049,561
Total Revenues 16,887,267 15,925,213
COST OF SALES
Cost of goods sold 7,034,703 6,170,073
Cost of goods sold-services 1,043,294 717,796
Total Cost of Goods Sold 8,077,997 6,887,869
GROSS PROFIT 8,809,270 9,037,344
OPERATING EXPENSES
General and administrative expenses 3,798,075 2,752,451
Payroll expenses 2,656,762 1,757,855
Loss on sale of fixed assets 13,936 --
Depreciation expense 195,070 159,421
Total Operating Expenses 6,663,843 4,669,727
INCOME FROM OPERATIONS 2,145,427 4,367,617
OTHER INCOME (EXPENSE)
Interest expense -- (20,370)
Permanent impairment of available for sale securities (8,438)
Rental income 629 3,600
Interest income 25,942 375
Total Other Income (Expense) 18,133 (16,395)
NET INCOME BEFORE INCOME TAXES 2,163,560 4,351,222
INCOME TAX EXPENSE 730,905 1,163,451
NET INCOME $ 1,432,655 $ 3,187,771
OTHER COMPREHENSIVE INCOME
UNREALIZED HOLDING LOSS ON AVAILABLE FOR SALE SECURITIES $ -- $ (2,445)
LESS: RECLASSIFICATION ADJUSTMENT FOR NET LOSS INCLUDED IN NET INCOME 8,438 --
FOREIGN CURRENCY TRANSLATION ADJUSTMENT (121,664) (147,061)
TOTAL COMPREHENSIVE INCOME $ 1,319,429 $ 3,038,265
BASIC EARNINGS PER SHARE $ 0.03 $ 0.07
FULLY DILUTED EARNINGS PER SHARE $ 0.03 $ 0.07
BASIC WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING 45,109,767 45,000,000
FULLY DILUTED WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING 45,371,956 45,218,238
PROFIRE ENERGY, INC. AND SUBSIDIARY
Consolidated Statements of Stockholders' Equity
Additional Other Total
Common Stock Paid-In Comprehensive Retained Stockholders'
Shares Amount Capital Income Earnings Equity
Balance, March 31, 2011 45,000,000 45,000 (6,187) 634,198 4,839,770 5,512,781
Fair value of options vested -- -- 80,530 -- -- 80,530
Unrealized holding losses on available for sale securities -- -- -- (2,445) -- (2,445)
Foreign currency translation -- -- -- (147,061) -- (147,061)
Net Income for the year ended March 31, 2012 -- -- -- -- 3,187,771 3,187,771
Balance, March 31, 2012 45,000,000 45,000 74,343 484,692 8,027,541 8,631,576
Fair value of options vested -- -- 166,187 -- -- 166,187
Stock issued for services 250,000 250 345,205 -- -- 345,455
Reclassification for net loss included in net income -- -- -- 8,438 8,438
Foreign currency translation adjustment -- -- -- (121,664) -- (121,664)
Net Income for the year ended March 31, 2013 -- -- -- -- 1,432,655 1,432,655
Balance, March 31, 2013 45,250,000 $ 45,250 $ 585,735 $ 371,466 $ 9,460,196 $10,462,647

About Profire Energy, Inc.

Profire Energy assists energy production companies in the safe and efficient transportation, refinement and production of oil and natural gas. As energy companies seek greater safety for their employees, compliance with more stringent EPA standards and enhanced margins with their energy production processes, Profire Energy's burner management systems are increasingly becoming part of their solution. To learn more about the company's products and services, please visit www.ProfireEnergy.com. Profire Energy has offices in Lindon, Utah; Houston, Texas; and Edmonton, Alberta, Canada.

Cautionary Note Regarding Forward-Looking Statements. Statements made in this release that are not historical are forward-looking statements. This release contains forward-looking statements, including, but not limited to statements regarding anticipated returns on the Company's investments, the execution of the Company's goals for revenue growth, the execution of the Company's plans to create long-term stakeholder value, the Company's ability to increase sales or distribution capacities, or the Company's ability to expand its shareholder base. All such forward-looking statements are subject to uncertainty and changes in circumstances. Forward-looking statements are not guarantees of future results or performance and involve risks, assumptions and uncertainties that could cause actual events or results to differ materially from the events or results described in, or anticipated by, the forward-looking statements. Factors that could materially affect such forward-looking statements include certain economic, business, public market and regulatory risks and factors identified in the Company's periodic reports filed with the Securities Exchange Commission. All forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All forward-looking statements are made only as of the date of this release and the Company assumes no obligation to update forward-looking statements to reflect subsequent events or circumstances. Readers should not place undue reliance on these forward-looking statements.

CONTACT: Profire Energy, Inc. Andrew Limpert, CFO (801) 796-5127 Profire Energy, Inc. Nathan McBride, Finance & Communications (801) 796-5127 RedChip Companies, Inc. Brendan Hopkins 1-900-RED-CHIP (733-2447), ext. 134

Source:Profire Energy