INNSUITES HOSPITALITY TRUST (IHT) – IHT DIVERSIFIED CLEAN ENERGY UPI INVESTMENT PROGRESSES
Phoenix, AZ, Jan. 12, 2021 (GLOBE NEWSWIRE) -- InnSuites Hospitality Trust (NYSE American: IHT)
IHT reported fiscal first quarter revenues of approximately $1.45 million for the three months February 1, 2020 to April 30, 2020 compared to revenues of approximately $2.09 million for the same prior year period. Basic earnings per share for the three months ended April 30, 2020 was ($0.04) compared with ($0.03) for the three months ended April 30, 2019.
In December 2019, InnSuites Hospitality Trust (IHT) made an initial $1 million diversification investment in privately held UniGen Power, Inc. (UPI), a company seeking to develop a patented high profit potential new efficient clean energy generation innovation. In addition to the initial investment, IHT also holds warrants that may convert into additional equity securities, and increased percentage ownership, in UPI in the future. IHT is informed that UPI has made positive progress to date on development of this innovation.
In spite of the impact of the COVID-19 Virus, economic, and travel disruptions of 2020, UPI reports that the project is on budget and within four weeks of being on schedule, with the first GenSet prototype anticipated to be in operation by April 2021, followed by initial production on or before early 2022. The time delay is largely related to travel restrictions on UPI China suppliers.
James Wirth president /CEO /chairman of IHT cautioned of the substantial challenges ahead of any new innovation, but indicated confidence in the technical team based in Detroit and in the encouraging progress to date.
UPI anticipates that profitability is still eighteen months or more in the future, but high profit potential is encouraging for IHT investors.
Results for IHT for the first fiscal quarter of Fiscal 2021, reflected the unexpected economic and travel industry slowdown caused by the Virus and various travel and lockdown restrictions.
IHTs new chief financial officer (CFO) indicated optimism in completing current accounting compliance by the end of February 2021.
Said James Wirth, President, CEO, and Board Chairman:
"The sense of the Board is that the IHT stock is trading woefully below its true underlying value based on the stock being closely held, the company capitalization being small, and recent substantial profits coming from asset sales. The company continues to hold assets promising further substantial future profits, and the company strategy of pursuing diversification and/or a larger reverse merger partner seeking a NYSE listing is progressing, and if successful will alleviate these concerns. In the meantime, the Board approves of its stock and convertible unit buyback program”.
As approved by the IHT board, IHT will be paying its semi-annual dividend of $0.01 on January 29, 2021 to shareholders of record on January 15, 2021. This extends IHT’s uninterrupted, continuous 50 years of annual dividends.
For more information, visit www.innsuitestrust.com.
Forward-Looking Statements
With the exception of historical information, the matters discussed in this news release may include “forward-looking statements” within the meaning of the federal securities laws. All statements regarding IHT’s review and exploration of potential strategic, operational and structural alternatives and expected associated costs and benefits are forward-looking. Actual developments and business decisions may differ materially from those expressed or implied by such forward-looking statements. Important factors, among others, that could cause IHT’s actual results and future actions to differ materially from those described in forward-looking statements include the uncertain outcome, impact, effects and results of IHT’s review of strategic, operational and structural alternatives, IHT’s success in finding potential qualified purchasers for its hospitality real estate, or a reverse merger partner, and other risks discussed in IHT’s SEC filings. IHT expressly disclaims any obligation to update any forward-looking statement contained in this news release to reflect events or circumstances that may arise after the date hereof, all of which are expressly qualified by the foregoing, other than as required by applicable law.
FOR FURTHER INFORMATION:
Marc Berg, Executive Vice President
602-944-1500
email: mberg@innsuites.com