It's real.
EssxSport Corp. Achieves Profitability and Significantly Increases Margins in Its First Quarter
ESSXsport Corp
SUN VALLEY, CA Jan. 15, 2003
ESSXsport Corp (OTC BB: ESXS) today reported first Quarter 10QSB.
Bruce Caldwell President and CEO, says, "We are a small Company growing in the proper direction sales up, expenses tight, gross margins just where we want them." Management would also like to announce the 2 Quarter of this year is well on its way to surpassing the 1st Quarter.
ESSXsport Corp. ESXS NET SALES INCREASED
Net sales for the three months ended November 30, 2002, increased by approximately 105%, compared to the same period in 2001. The company attributes the growth in its revenues for this period to brand awareness through marketing activities, as well as new safer rules mandated by the governing rule committees for sports for which our products comply. New Distributors of our name brand product have featured our products in their catalogs in color and mailed to their 35,000 customers. One particular company has increased purchases, Collegiate Pacific as they are experiencing record sales and order demand for products in their new catalog. As seen on the Collegiate Pacific website under Investors/Press Release: www.cpacsports.com
EssxSport Corp. ESXS GROSS MARGINS INCREASED
Gross margin for the three months ended November 30, 2002, increased by approximately 183%, compared to the same period in 2001. This increase is primarily due to better efficiency and lower costs from our new manufacturing facilities. As a percentage of sales, gross margin for the three months ended November 30, 2002, increased to 72% compared to 52% for the same period in 2001. Company attributes this to better efficiencies and they're new (FLD) Forced Load Deflection pyramid design used in sports applications and most recently sales to Hollywood stuntman to reduce bounce found in most other landing systems. www.essxsport.com
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
Selling, General and Administrative expenses for the three months ended November 30, 2002, increased by approximately $14,000, or 11%, compared to the same period in 2001. The increase is predominantly due to the increase in professional costs relating to being a public company. As a percentage of sales, selling, general and administrative expenses for the three months ended November 30, 2002, decreased to 51% from 107% for the same period in 2001.
Management would like to once again thank the shareholders for their continued support; we look forward to a prosperous 2003.
Further details for our most recent filings can be found at www.sec.gov
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein that are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the Company's control with respect to market acceptance of new technologies or products; delays in testing and evaluation of products; and other risks detailed in the Company's information package available upon request from the Company.
Contact: Bruce Caldwell
Contact Email: Bruce@essxsport.com |
