SOURCE: Element 21 Golf Co.

Element 21 Golf Co.

February 18, 2009 12:10 ET

Element 21 Golf Reports Six Months Revenue Increases by 255%, While Loss From Operations Decreases by 227% as Compared to Equivalent Period in 2007

TORONTO--(Marketwire - February 18, 2009) - Element 21 Golf Company (OTCBB: ETGF) (FRANKFURT: BJQ), the leading manufacturer of advanced Scandium Alloy golf and biofiber fishing equipment, announced today record results for its second quarter (Q2) October 1 - December 31, 2008. The Company generated Q2 revenue of $430,651, an increase of 168% compared to revenue of $255,801 in the same period in fiscal 2007. The combined fiscal 2008 Q1 and Q2 revenues showed a 255% increase as compared to the equivalent period in 2007.

At the same time the Loss from Operations for Q2 decreased by 356% from $1,874,813 in 2007 to $526,792 in 2008. For the combined Q1 and Q2 Loss from Operations decreased by 227% from $2,742,486 in 2007 to $1,206,956 in 2008.

The Form 10-Q was filed with the SEC on February 13, 2009 and contains the details of the Q2 results.

"We are continuing to grow sales at a significant rate, while cutting costs and expenses. We are fully aware of the tough economic climate in which we need to sustain our growth. Our immediate focus is to reach the breakeven point and become cash flow positive. Only solid fundamentals will ensure our success and longevity in the marketplace," said Nataliya Hearn, President and CEO of Element 21.

About Element 21

Element 21 Sports Company's premier products are golf clubs and fishing poles made out of Scandium and biofiber materials, which are light, durable, and long-lasting. Element 21's golf clubs have been used by renowned golf pros, such as the winner of the FedEx Cup in 2008, who continues to use Element 21's Scandium technology during professional competition. Their patented technology encompasses Scandium as the fundamental material used to provide superior golf and fishing equipment.

Element 21 Sports Company has developed award winning fishing products. Element 21's Carrot Stix™ represents the latest in cutting edge technology, using a newly developed proprietary method of integrating nano level cellulose biofibers into the rod. With sponsors like Boyd Duckett and many others on all the fishing tours, Element 21's fishing line is one of the fastest growing in the country, if not the world. The fishing products recently were recognized as the "BEST OF SHOW" at the 2007 and 2008 ICAST show, the world's largest sports fishing show.

Element 21 Golf Company's revenue has been growing at an annualized growth rate of 343.3% and 705.5% for fiscal year 2006 and 2007, respectively. The three year average growth rate for the recent past is 203.9%.

Forward-Looking Statements.

Statements in this release, other than statements of historical fact, may be regarded, in certain instances, as "forward-looking statements" pursuant to Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934, respectively. "Forward-looking statements" are based on expectations, estimates and projections at the time the statements are made, and involve risks and uncertainties which could cause actual results or events to differ materially from those currently anticipated, including but not limited to delays, difficulties, changed strategies, or unanticipated factors or circumstances affecting e21 and its business. A number of these risks and uncertainties are described in e21's periodic reports filed with the Securities and Exchange Commission. There can be no assurance that such forward-looking statements will ever prove to be accurate and readers should not place undue reliance on any such forward-looking statements contained herein, which speak only as of the date hereof. Element 21 undertakes no obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

Contact Information