SUN VALLEY, Calif., Dec. 19, 2003 (PRIMEZONE) -- EssxSport Corp (OTCBB:ESXS) recently filed its year-end 10K in which the Company reported a 77% increase in Net Sales and an increase in Gross Margins of 216%.
Bruce Caldwell, EssxSport President and CEO commented, "We are pleased with the year end results and are confident that the economic environment for our products is as good as it has been in quite a while." He added, "We expect to continue experiencing increased growth in our core business, as we capture more market share, barring any significant economic challenges."
Year Ended August 31, 2003 Results
Net Sales
Net sales for the year ended August 31 2003, increased by approximately $543,251 or 77%, compared to the same period in 2002. Management believes its sales were up due to changes in the industry standards for a product they were already producing. The company's expanded operations and product awareness allowed the company to provide a product to fit the new rule changes established by both the NCAA and National Federation of High Schools. The company believes future revenues will continue to grow from current levels as they merge into other sports product sales to the same industry. Management believes the seasonality will still be a factor.
Over 8,000 High Schools will need to upgrade or buy new landing systems to keep up with the growing participation in the sport of Track and Field last season and this season. The company may not be able to capture the majority market share, however the company has been producing systems for the past year that meet the new rule mandates that came into effect in 2002.
Gross Margin
Gross margin for the year ended August 31, 2003, increased by approximately $227,043 or 216%, compared to the same period in 2002. The company has taken strides to produce a new design for the main product, which will lead to increased potential profits this next year.
Net Income
The Company's net loss decreased to approximately $28,838 for the year ended August 31, 2003, compared to approximately $126,281 (loss) for fiscal 2002. Better management and refining the manufacturing process keeps reducing our losses as we progress.
About EssxSport Corp.
EssxSport sells several lines of sports gear and equipment under the brand name EssxSport. The Company produces and manufactures its own branded products and private labeled products in its two plants located in Fort Worth, Texas and Sun Valley, California. The Company also contracts with manufacturers for the production of other sports equipment and various other lines, for products used in baseball, basketball, volleyball, and soccer, marketing directly to end-users via the Internet, catalog sales and trade shows. Visit EssxSport online to purchase products at, http://www.eonlinesports.com .
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein that are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the Company's control with respect to market acceptance of new technologies or products; delays in testing and evaluation of products; and other risks detailed in the Company's information package available upon request from the Company.