Fireswirl Technologies Inc.
TSX VENTURE : FSW

Fireswirl Technologies Inc.

April 30, 2010 21:37 ET

Fireswirl Announces Audited Annual Financial Results for Fiscal 2009 and Record Revenue Growth

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 30, 2010) - Fireswirl Technologies Inc. (TSX VENTURE:FSW), "the Company", is pleased to announce its audited annual financial results for the twelve months ended December 31, 2009. All figures are quoted in Canadian dollars. Financial statements and accompanying MD&A are available on SEDAR.

Financial Highlights and Milestones for 2009:

  • Total gross revenues increased to $4,985,310 for the year ended December 31, 2009 as compared to $324,201 for the year ended December 31, 2008, representing an increase of 1,438%. The increase was mainly due to the sales revenue generated by the handset sale business in China.
  • As at December 31, 2009, the Company had cash and cash equivalents of $1,467,401 as compared to $2,226,544 as at December 31, 2008, representing a decrease of 34%. As at December 31, 2009, the Company had working capital of $1,855,426 as compared to $2,202,225 as at December 31, 2008, representing a decrease of 16%. The Company had long term debt of $64,315 as at December 31, 2009 and no balance as at December 31, 2008.
  • The Company reported a loss and comprehensive loss for the year of $1,395,311 for the year ended December 31, 2009 as compared to a loss and comprehensive loss for the year of $3,086,353 for the same period of 2008, representing a decrease in loss of 55%. This is also mainly due to the impairment loss recorded in 2009 of $424,094 for Beijing Tysen Xieli Technology Co. Ltd ("Tysen") in conjunction with the consolidation of our 50% interest in Beijing Xingchang Xinda Technology Development Co., Ltd. ("XCXD") that was acquired on October 1, 2009.
  • On October 1, 2009, completed its acquisition, through Fireswirl Technologies (Shenzhen) Co., Ltd. ("Fireswirl Shenzhen"), a wholly-owned subsidiary of the Company incorporated under the laws of the People's Republic of China, of 50% of all rights and interests in Beijing Xingchang Xinda Technology Development Co., Ltd. ("XCXD") in consideration for up to 6,058,673 common shares of the Company (the "Transaction"). The Company acquired 50% of all rights and interests of XCXD, including 50% of any before tax profit, in consideration for up to 6,058,673 common shares of the Company, where 3,029,337 shares were issued on closing of the Transaction and 3,029,337 shares (the "Milestone Shares") are being held under escrow, releasable upon XCXD achieving certain profit milestones for its fiscal year ended December 31, 2009.
  • On January 2, 2009, announced the appointment of Victor Choy as Chief Operating Officer of the Corporation.

"We are making great headway into the China market by quickly engaging our business into the rapidly growing e-commerce segment. Our momentum continues to grow as indicated by our year over year revenue growth, representing an increase of 1,438%," states Tony Lau, CEO. "E-commerce sales in China has doubled in 2009, and we are in a great position to capitalize on this growing opportunity by strengthening our existing mobile handset-based e-commerce operation, as well as expanding our e-commerce service to other verticals with strong brand partners."

About Fireswirl

Fireswirl Technologies Inc. (TSX VENTURE:FSW) is focused on creating transactional revenue by engineering electronic and mobile commerce solutions for content providers. The Company's technology has broad applications for solutions requiring multiple payment interfaces, multicurrency and multi-language capabilities. Our solutions can be adapted to any industry seeking high volume or micro-payment solutions involving a wide base of users through internet or wireless applications.

Further information can be found on the company at: www.fireswirl.com.

This news release contains certain forward-looking statements that reflect the current views and/or expectations of Fireswirl Technologies Inc. with respect to its performance, business and future events. Investors are cautioned that all forward-looking statements involve risks and uncertainties including, without limitation, those relating to changes in the market, potential downturns in economic conditions, foreign exchange fluctuations, general demand, competition and our ability to implement our business plans and strategies in a timely manner or at all. These risks, as well as others, could cause actual results and events to vary significantly. Fireswirl Technologies Inc. does not undertake any obligations to release publicly any revisions for updating any voluntary forward-looking statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.

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