VISTA, California, November 17, 2015 /PRNewswire/ --
Eco Building Products, Inc., (PINK: ECOB) announced today that it has filed the Company's Fiscal 2015 10K.
ECO CFO, Randy Smith, stated, "The annual report was delayed due to an extensive review by the new management and the new Board of Directors to assure full disclosure and accuracy."
Financial highlights of the 10K are as follows:
- Revenues and Cost of Sales - For the fiscal year ended June 30, 2015 Eco had total revenues from continuing operations of $2,090,084, as compared to $1,188,005 in revenues for the previous year. Increase in revenue was primarily due to sales to The Home Depot, cost of sales for the fiscal years ended June 30, 2015 and June 30, 2014 was $3,164,324 and $2,553,612, respectively. The gross loss was reduced from $1,365,607 to $1,074,240 for the fiscal years ended June 30, 2014 and June 30, 2015.
- Operating Expenses - For the fiscal year ended June 30, 2015, total operating expenses were significantly reduced to $2,862,767 from $5,094,225 for the fiscal year ended June 30, 2014. The main change in operating expenses is contributed to a reduction in employee head count and other cost reduction measures taken in FQ4.
- Other Income (Expenses) - For the fiscal year ended June 30, 2015, total interest expense was $1,908,748 primarily representing interest on the convertible notes and interest to secured promissory note holders. The Company recognized $18,584,275 gain on derivative due to change in the fair value of the derivative liability for the fiscal year ended June 30, 2015.
- As a result of these factors, Net income was $99,871 in 2015 as compared to a net loss of $28,940,499 in 2014.
"The past year was a significant period of change and redirection of the company's strategy and execution," said Tom Comery, ECO CEO. "We have developed a new overall framework and vision for the company going forward, and we are now very excited about the potential that FY2016 holds. In FYQ1, the new Executive Team focused upon laying a much needed foundation of product, pricing and channel strategies layered upon new disciplines implemented for plant operations in safety, quality control and performance management systems. While there remains a great deal of work to be done, we think we are in a much better position to execute against the demand we expect to develop. And to develop that demand, we hired a seasoned sales executive, collaborated with the AIA (American Institute of Architects) on an accredited architect's training program and engaged DJR Engineering to develop a national tool to expedite local building department approvals for Eco's products."
"We have developed a sustained order file in the Northeast with a major national wholesale distributor and have begun to penetrate the multi-family sector through national lumber traders in the Southeast, Southwest and Pacific Northwest. In addition, we have entered into discussions with the Industry's largest national fencing distributor to market our Eco D-Fence product line."
"Eco has a proven chemistry and application technology with millions of installed board footage without a claim. It is the Industry's environmentally safest formulation and is the only product that protects against all four areas of risk - mold, rot, termites and fire. It is a great starting position and we look forward to 2016 as Eco's break-out year".
About Eco Building Products, Inc.
Eco Building Products, Inc. (Eco) is a manufacturer and coater of proprietary, environmentally responsible chemistry utilizing ECOB WoodSurfaceFilm™ and FRC™ technology (Fire Retardant Coating). Eco's products protect against fire, mold/mycotoxins, fungus, rot-decay, wood ingesting insects and termites. Eco is headquartered in Vista, CA and has operations in Tacoma, WA, Fairlawn, NJ and now Augusta, GA.
Safe Harbor Statement: This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "believes," "expects," "intends," "plans," "anticipates," or "may," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act, and are subject to the safe harbor created by the Act. Any statements made in this news release other than those of historical fact, about an action, event or development, are forward-looking statements. Forward looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to be materially different from any future performance that may be suggested in this release. ECOB takes no obligation to update or correct forward-looking statements, and also takes no obligation to update or correct information prepared by third parties.
Eco Building Products, Inc.
Web Site: http://www.ecob.net
SOURCE Eco Building Products, Inc.