Avante Technologies Inc -
Avante first quarter results
Avante Technologies Inc AVQ
Shares issued 16,475,891 1999-12-03 close $0.1
Tuesday Dec 7 1999
Mr. Neil Werfhorst reports
FINANCIAL HIGHLIGHTS
Three months ended Sept. 30
1999 1998
Sales $ 171,424 $ 191,518
Gross margin $ 84,508 $ 39,679
Net loss $ 4,076 $ 118,661
Loss per common
share 0 cents 1 cent
The company has had a very exciting quarter. ATI Manufacturing, a wholly owned subsidiary of Avante, has signed a distribution deal for its flagship product, the Desert Spring Power Humidifier, with the Home Depot in the United States. The deal covers the Northwest region of Home Depot in the U.S., a total of 68 stores, with the first units to be sold on a trial basis in 13 Home Depot stores in Colorado. Further expansion of the distribution deal is possible following the initial trial period. Shipments of the Desert Spring Power Humidifier will be made directly from Platte River Industries, the company's assembly facility in Denver.
There are currently two e-commerce retailers selling the company's humidifier on the internet. One of them, Energy.com, has asked Avante to participate in its first-ever catalogue. Planned distribution is to 500,000 residents of Ohio. E-commerce is beginning to be an exciting new market for Avante.
During October, the company was approached by a manufacturer in the United States to provide 3,000 units this fiscal year. The agreement is in its final stages. Avante expects to receive its first order from this company in December. The manufacturer presently sells to over 400 contractors in the new home construction market. This opens a brand new distribution channel presently untapped by Avante.
There has been a positive response to 750,000 bill stuffers which were distributed in Alberta by Atco this fall.
Home Check TV, hosted by Shell Busey, taped a segment which profiled the company's humidifier. The show will air across Canada starting in December. It will be carried on 12 networks and each network has the right to repeat the program up to 12 times. Mr. Busey, a strong supporter of the humidifier, demonstrates his enthusiasm in the show. Avante is expecting this show will bring increased exposure for its product. Avante will use the tape at trade shows and for point of purchase sales at the retail level.
The company has received rave reviews on its new product, the Desert Spring Auto Flush. This product is built for Avante by another manufacturer. The devise attaches to any Desert Spring Power Humidifier and will drain the basin water once every 12 hours. The product is now available for sale.
Avante looks forward to capitalizing on the increased awareness of its products. |
