ST. AUGUSTINE, Fla., March 9, 2018 /PRNewswire/ -- Creative Learning Corporation (OTCPK: CLCN)
The Company reported revenues of $597,000 for the quarter ended December 31, 2017 compared to $738,886 in the same quarter last year. Royalty revenue for the quarter was $547,000 compared to $609,000 for the same quarter last year. Initial franchise sales were $48,900 for the quarter compared to $130,000 for the same quarter last year.
The Company experienced a reduction in new franchise sales revenue primarily due to fewer initial franchise sales in 2017. There was 1 domestic and no international sales during the quarter ended December 31, 2017 as compared to no domestic and two international sales during the quarter ended December 31, 2016. In addition, royalty fees decreased approximately $61,000 due to the reduction in active US franchisees in prior periods. There were 651 active franchise territories during the quarter ended December 31, 2017 as compared to 746 during the quarter ended December 31, 2016.
Operating Expenses decreased to approximately $702,670 in the quarter ended December 31, 2017 from approximately $778,095 in the quarter ended December 31, 2016, or $75,000, due to decreases in professional fees of $121,000 and in franchise consulting and commissions of $69,000 slightly offset by higher other general and administrative expenses. The decrease in professional fees was due to reduced legal activity and a more streamlined approach to handling legal issues while the increase in general and administrative expenses related to higher travel and conference related costs. The Company reported a net loss of $105,654 or $.01 per share, compared to a net loss of $20,538, or $.00 per share, in the same quarter last year.
Christian Miller Chief Operating Officer and Chief Financial Officer stated, "While the period's results weren't where we wanted them to be, we are optimistic for our future growth. We have continued to cut costs associated with professional fees and we've made significant progress in developing our sales pipeline. In addition, we have made progress in the development of two more revenue streams which we anticipate will be on line in 2018."
The shareholder call will be on Monday March 12th at 2pm. Shareholders and interested participants may listen to a live broadcast of the conference call by dialing 1-669-224-3412 and referencing participant code 686-018-861 or join the call at https://global.gotomeeting.com/join/686018861 approximately 10 minutes prior to the call. An audio file of the call will also be archived for one week, and may be accessed at www.creativelearningcorp.com. If you would like to have a question answered on the call, please email it to email@example.com 48 hours prior to the call.
About Creative Learning Corporation
Creative Learning Corporation is the owner and developer of two unique and successful franchised children's enrichment programs: Bricks 4 Kidz® and Sew Fun Studios®. Both concepts are STEM-based educational programs offered as after-school enrichment classes, summer camps, day camps, in-school workshops and birthday parties. For additional information visit the Company's website at: www.creativelearningcorp.com.
Forward Looking Statements
This news release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect Creative's current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause actual results to differ materially from the statements made including those factors detailed from time to time in filings made by Creative with securities regulatory authorities. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated or expected. Creative does not intend and does not assume any obligation to update these forward-looking statements.
SOURCE Creative Learning Corporation