WESTERVILLE, Ohio, April 9, 2012 /PRNewswire/ -- The Guitammer Company (OTC BB: GTMM), a leader in low frequency sound and developer of the revolutionary, award-winning line of ButtKicker® brand low frequency audio transducers released its 10-K, Annual Report on Friday April 6th.
Highlights for the Year Include:
- Issuance of a US Patent for the Company's "Haptic or Tactile Broadcasting" technology.
- Becoming a Fully Reporting Public Company on the Over-the-Counter Bulletin Board (OTC BB) via a Form 10 filing and trading under the symbol, "GTMM".
- Over $992k of debt extinguished from the balance sheet and $250k of "due on demand" notes rewritten at significantly lower interest rates with 2014 maturity dates.
- Receipt of $400k of new equity investment.
- Release of Pearl Drum's "Pearl Throne Thumper, powered by ButtKicker" that was in over 100 Best Buy stores during the holiday season.
- Palliser Furniture, a leading home theater manufacturer, began offering ButtKicker® brand products as a factory installed option for their home theater seating line.
According to Mark A. Luden, President of Guitammer,
"2011 was a transitional year for the Company that laid the foundation for growth for our ButtKicker brand products business, and more importantly for our new haptic / tactile broadcast business, "ButtKicker Live!"
We are exceptionally pleased that our broadcast patent, "Capture and remote reproduction of haptic events in synchronous association with the video and audio capture and reproduction of those events" was issued in 2011.
We believe this new technology has the ability to revolutionize the way sports are broadcast and watched and can move us to a recurring revenue / technology licensing business model.
In 2011 we successfully transitioned the Company from a private company to a publicly traded OTC BB company by means of a Form 10 filing and not a reverse merger. By going public we were able to significantly strengthen our balance sheet. We extinguished debt and began bringing in new equity via our Private Placement Memorandum.
Post 12/31/11 we have continued this strengthening with more than $400k more of debt extinguished and an additional $375k of new equity investment received in the Q1 of FY2012.
All told, as of the date of the 10-K filing, we have strengthened our balance sheet by more than $2.35mil and improved our cash flow by over $24k per month.
Compared to FY2010, our sales in FY2011 were basically "flat", with a slight decrease of 1%.
However, we increased our gross margins to 42% from 40%, and reduced our EBITDA loss less non cash warrant expenses by over $186k.
With our balance sheet strengthened, we believe we will be able to significantly grow sales and begin the rollout of our "ButtKicker Live!" broadcast technology. We are very positive about the direction of the Company in the coming year."
About The Guitammer Company
The Guitammer Company, Westerville, Ohio, is a leader in low frequency sound products and technology. Its innovative and award winning line of patented ButtKicker-brand low frequency audio transducers let users feel low-frequency sound (bass). ButtKicker brand products are used around the world by leading entertainment and theater companies such as AMC, IMAX and Disney in movie theaters and attractions; by world-famous musicians; in home theaters, simulators and for car audio. ButtKicker brand products are distributed by Pearl Drums for musicians under the trade name, "Pearl's Throne Thumper by ButtKicker", and factory installed in home theater seating by Palliser Furniture. "ButtKicker brand products patented design makes them musically accurate, powerful and virtually indestructible.
The Guitammer Company's newly patented broadcast technology, ButtKicker LIVE! enables the excitement, impact and feeling of sporting events to broadcast along with the sound and video. ButtKicker LIVE! puts you into the action, whether you're at home or at the event.
ButtKicker Live! technology is available for cable, satellite, fiber optic, IPTV and over-the-air broadcast and has been successfully tested with several major content (sports) providers. ButtKicker® and ButtKicker Live!® are registered trademarks of The Guitammer Company. For additional information, visit www.thebuttkicker.com and www.shakemycouch.com
Safe Harbor: This letter contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that all forward-looking statements involve risks and uncertainty, including without limitation, the ability of the Company to successfully implement its turnaround strategy, changes in costs of raw materials, labor, and employee benefits, as well as general market conditions, competition and pricing. Although the Company believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and therefore, there can be no assurance that the forward-looking statements included in this letter will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as representation by the Company or any other person that the objectives and plans of the Company will be achieved. In assessing forward-looking statements included herein, readers are urged to carefully read those statements. When used in the Annual Report on Form 10-K, the words "estimate," "anticipate," "expect," "believe," and similar expressions are intended to be forward-looking statements.
Contact: Media Relations
Email: [email protected]
SOURCE The Guitammer Company