In its quarterly report filed with the SEC last week, Continental Fuels, Inc. (OTCBB:CFUL) (FWB:CNDI) (GER:CNDI) (BCN:CNDI) demonstrated the successful implementation of its business plan and achieved an operational profit in only the second quarter since its acquisition by Universal Property Development and Acquisition Corporation (OTCBB:UPDA) (FWB:UP1).
Financial Highlights for the three Months Ended September 30, 2007
Total Revenues Increased to over $11.65 million from $17,868, an increase of 65,238%
Gross Profit Increased to more than $1.52 million from $10,180, an increase of 14,975%
Income from Operations was $713,615 from a previous loss of $(760,767)
For the three months ended September 30, 2007, total revenue was $11,656,792 with a cost of goods sold of $10,132,303 and Gross Profit of $1,524,489. Comparatively, for the three months ended September 30, 2006, total revenues were only $17,868 and cost of goods sold was $7,688. Gross Profit for the previous period was $10,180.
Continental was able to achieve these revenues and gross profits while increasing operating expenses only 5% to $810,874 from total operating expenses for September 30, 2006 of $770,947. As a result, for the three months September 30, 2007, the Company experienced positive net income of $713,615 compared to the loss reported for the three months ended September 30, 2006 of ($760,767),
The Company also increased its Total Assets to $4,728,870 on September 30, 2007 compared to $62,168 for the same period in 2006.
The quarterly filing demonstrates that these dramatic increases in revenue originated during the second quarter of this year after Continental was acquired by UPDA in a transaction that resulted in a change of management and the initiation of light crude condensate sales from Continental’s storage facilities at the International Port of Brownsville, Texas. Under the direction of CEO Tim Brink, Continental has negotiated sales contracts with guaranteed margins and established consistent and expanding sources of international light crude condensate.
In order to continue this revenue growth, Continental also undertook an ambitious expansion project at its port facilities during the Third Quarter, purchasing additional storage tanks and installing a railroad spur to increase storage capacity and delivery options.
“Our Third quarter results were in line with our expectations based on our current schedule of product deliveries,” stated Continental CEO Tim Brink. “We will continue to pursue opportunities consistent with our business plan and generate further expansion both generically and through further acquisitions.”
For further information, please visit www.continentalfuels.com.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or described pursuant to similar expressions.
Continental Fuels
Jack Baker, 561-630-2977
Corporate Communications
info@continentalfuels.com