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CHDT Corporation Reports Record Q2 Revenue, Income and Order Backlog


August 12, 2011 - Deerfield Beach, FL

CHDT Corporation, a Florida corporation (OTCBB: CHDO) ("Company"), with operating subsidiaries focused on designing and manufacturing consumer products for the North American and Latin American retail markets, reported today that the Company, during the first half of 2011, delivered record revenue of approximately $3,465,700, an increase or 262.7% compared to $955,600 for the first half of 2010 and a first half net income of $14,700 compared to a net loss of approximately $826,000 for the first half 2010, a net improvement of approximately $840,700 over the same period 2010.

The Company also reported a record order backlog in excess of $5,000,000, moving into the second half of the year. "We are posting strong revenue growth in both quarters and we have a record backlog that should serve to yield a record Q3 as well, and it was achieved in a very challenging retail environment," said CFO Gerry McClinton.

Total Net Revenues: For the three months ended June 30, 2011, the Company posted net sales of approximately $1,048,200 compared to net revenues for the same period in 2010 of approximately $602,500, an increase of approximately $455,700. This represents a 75.6% increase from 2010 results. For the six months ended June 30, 2011, the Company posted net sales of approximately $3,465,700 as compared to net revenues for the same period in 2010 of approximately $955,600, an increase of approximately $2,510,100. This represents a 262.7% increase from 2010 results. All of the revenue was generated by Capstone.

Cost of Sales: For the three months ended June 30, 2011 and 2010, costs of sales were approximately $738,900 and $413,200 respectively. For the six months ended June 30, 2011 and 2010, costs of sales were approximately $2,565,100 and $651,400 respectively.

Gross Profit: For the three months ended June 30, 2011, gross profit was approximately $309,300, an increase of approximately $119,900 or 63.3% from $189,400 for the three months ended June 30 2010. For the six months ended June 30, 2011, gross profit was approximately $900,600, an increase of approximately $596,400 or 196% from $304,200 for the six months ended June 30 2010. The large gross profit increase is attributed to increased shipments in the quarters as compared to the same periods last year.

Total Operating Expenses: For the three months ended June 30, 2011, expenses were approximately $322,900, as compared to approximately $459,400 for the three months ended June 30, 2010, a net reduction of approximately $136,500 or 29.7%. For the six months ended June 30, 2011, expenses were approximately $731,400 as compared to approximately $1,048,100 for the six months ended June 30, 2010, a net reduction of approximately $316,700 or 30.2%.

Net Income (Loss): For the three months ended June 30, 2011, the net loss was approximately ($92,400), as compared to a net loss of approximately ($318,200) for the three months ended June 30, 2010. The Company improved its net results in the quarter by approximately $225,800 from the same period in 2010. For the six months ended June, 2011, net income was approximately $14,700, as compared to a net loss of approximately ($826,000) for the six months ended June 30, 2010. The Company improved its net results by approximately $840,700 from the same period in 2010. This substantial net results improvement was the result of increased revenues and the ongoing effort to contain expenses.

"While I was hopeful we would also be reporting a profitable Q2, the results on a year-to-date basis are very strong and validate the expectations we had at 2010 year-end. Considering the backlog taking us into Q3, we are clearly on course to have a record Q3 and we anticipate the results through Q3 will be record setting as well. Strong, steady performance has been our goal and the management has delivered. I look forward to addressing our shareholders on Monday, August 15, 2011 to discuss our progress further," said Stewart Wallach, CEO of CHDT Corp.

Conference Call: A conference call will be held on Monday, August 15, 2011 at 1:00 pm EDT. Shareholders are to call in at 1-800-791-2345 and press in the participant code: 45101#.

About CHDT Corporation
CHDT Corporation (www.chdtcorp.com) is a public holding Company that engages, through its wholly owned subsidiaries, in the development, manufacturing, logistics, and distribution of consumer products to retailers and distributors throughout North America and Latin America. See www.chdtcorp.com for more information about the Company and www.capstoneindustries.com for information on our current product offerings. Reference of URLs in this press release does not incorporate said URLs or any of their contents in this press release.

FORWARD-LOOKING STATEMENTS: This press release, including the financial summary above, contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995, as amended. Such statements consist of words like "anticipate," "expect," "project," "continue" and similar words. These statements are based on the Company's and its subsidiaries' current expectations and involve risks and uncertainties, which may cause results to differ materially from those set forth in the forward-looking statements. CHDT undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements in this press release and risks associated with any investment in CHDT, which is a small business concern and a "penny stock Company" and, as such, a highly risky investment suitable for only those who can afford to lose such investment, should be evaluated together with the many uncertainties that affect CHDT's business, particularly those mentioned in the cautionary statements in current and future CHDT's SEC Filings.

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