DENVER, May 22, 2017 (GLOBE NEWSWIRE) — The Pulse Beverage Corporation (“Pulse”) (OTCQB:PLSB) announced today that it had filed its Q1 FY2017 Quarterly Report (10-Q) with the United States Securities and Exchange Commission for the period ended March 31, 2017.
For the 3-month period ended March 31, 2017 The Company reported gross sales of $368,442 vs $737,414 for the comparable period in 2016. This represents a decrease of $368,792 or 50.0%. This decrease is consistent with the planned 2016 restructuring of the Company’s operations that was designed to achieve higher sales per employee and to allow the Company to sell their wares directly to strategic retailers. Also, at this same time, the Company was reintroducing their Lemonade and Limeade products in the new 16.9-ounce European glass format, which has been requested and received well by the retail trade. While these changes negatively affected revenues during the first quarter of 2017, our operating losses became narrower. Management believes these changes will continue to reap benefits in the future, in the form of increased revenues and future profitability.
For the 3-month period ended March 31, 2017 the Company’s net operating loss was $316,108 compared to a loss of $371,980 for the comparable period in 2016. This represents an improvement of $55,872 or 15.0% against a revenue decrease for the period of 50.0%.
Total other expenses for the 3-month period ended March 31, 2017 was $1,014,869 compared to $185,288 in the comparable period in 2016 an increase of $829,581. This increase of $932,365 is primarily related to non-cash based Derivative Liabilities estimated expenses associated with the financing that the Company obtained which was needed to restructure and fund operations over the reporting period. These estimates may change based on the actual cost of these derivative liabilities as they are realized.
Net loss for the 3-month period ended March 31, 2017 was $1,330,997 compared to $557,267 for the comparable period in 2016 an increase of $773,730. Excluding the non-cash Derivative Liabilities charges for the net loss for the 3-month period ended March 31, 2017 the net loss decreased to $398,632 from $557,267 an improvement of $158,635 or 28.5% for the comparable period in 2016.
Robert Yates, CEO of Pulse, said, “I am very proud of our team at Pulse. Our 2016 restructuring of our operations is starting to yield positive results. Today, we are now able to do more with lower costs compared to the past. Going forward, our new business processes are generating increases in product shipments. As a result, we believe that our Company should be able to become profitable on an EBITDA basis during 2017 when we anticipate being able to achieve record quarterly sales. Our goal is to earn a net income profit in 2018.”
The Company is expecting to continue to reduce its debt exposure to TCA over the course of 2017 which may further positively impact our bottom line. (For more information about the Company’s finances and prospects please see our recently filed form 10-Q for the period ended March 31, 2016).
About Pulse Beverage Corporation
Pulse Beverage Corporation (“Pulse”) is an emerging beverage company that offers Natural Cabana® Lemonade/Limeade in 7 great tasting, low-calorie flavors and Natural Cabana® Coconut Water in pineapple and natural flavors. With Pulse’s revamped business model, utilizing warehouse direct and key accounts, Pulse directly teams up with major retailers like Walmart, Albertsons/Safeway, Kroger, Stater Bros, Food Max, Houchens, Kmart, 7-Eleven, United C-stores, Weis Markets, King Kullen, Dierbergs Markets, Hy-Vee Supermarket, WinCo Foods, Price Less Markets, Gristede’s Foods, Toot n Totem and Travel America. Consumers easily find Pulse’s prominently displayed products thereby increasing revenue and earnings for shareholders of Pulse.
For more information, please visit: www.pulsebeverage.com or email [email protected]. Follow Pulse Beverage on Twitter at https://twitter.com/drinkpulsebev. Become a Pulse Beverage Facebook Fan at https://www.facebook.com/PulseBeverageCorporation.
Forward-Looking Statements
This news release contains “forward-looking statements” as that term is defined in Section 27A of the United States Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, regulatory incentives, the development of new business opportunities, and projected costs, revenue, profits and results operations. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects and development stage companies. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.
CONTACT: Investor Relations Contact: Tom Nelson Ten Associates, LLC Email: [email protected] Phone: 1-480-326-8577