SOURCE: Kesselring Holding Corporation

Kesselring Holding Corporation

February 18, 2009 14:36 ET

Kesselring Holding Corporation Files 10-Q, Company's Gross Profit Improves 46% vs. Prior Year

SARASOTA, FL--(Marketwire - February 18, 2009) - Kesselring Holding Corporation (OTCBB: KSSH) announced today that it has filed its recent form 10-Q with the Securities and Exchange Commission.

The Company is required to file a form 10-Q with the Securities and Exchange Commission 45 days after the end of its first fiscal quarter, December 31, 2008. This form summarizes the Company's results of operations for the 1st quarter of 2009 and 2008.

The Company reported Revenues of $2,124,941, Gross Profit of $708,337, and an Operating Loss of ($96,485) for the 1st quarter of 2009. This compares to Revenues of $2,697,874, Gross Profit of $484,984, and an Operating Loss of ($1,274,574) for the 1st quarter of 2008. Since early February, 2008 when a change of executive management took place, the Company has undertaken a plan of action mandated by the Board of Directors to dramatically improve its operating results as quickly as possible by aggressively cutting costs at the holding company and its subsidiaries which included the downsizing and restructuring of its Kesselring Restoration division, and increasing the profitability and business development efforts of its Washington division.

Charles B. Rockwood, Chief Operating and Financial Officer of Kesselring Holding Corporation, states: "We continue to work extremely hard at getting the company to a state of sustained profitability. During the 4th quarter of 2008 we produced Net Income of $175,846. In this most recent quarter, we reduced our Operating Loss nearly $1.2 million dollars and dramatically increased our relative Gross Profit. In light of the harsh reality of today's business environment we are constantly evaluating our operations, including assessing viability of our Kesselring Restoration division. Fortunately, our Washington division, which represents the vast majority of our operations, continues to post strong results as evidenced by the 15.4% increase in year-on-year revenues."

Chairman of the Board, Clifford H. Wildes, stated that "Restructuring and turning companies around is always a long and difficult process and in these uncertain tumultuous economic times, we are faced with more challenges then we ever dreamed of, however we feel that we have made great strides over the past year due to our executive management changes implemented last February, the mandates of our Board of Directors to cut costs and the execution by our management of that Board mandate."

Mr. Wildes went on to say, "Despite the continued improvement in our Washington operations resulting in an increase in Gross Profit of $344,633 from $392,966 to $737,599, or nearly 88%, while cutting the operational costs at Kesselring Holding, our goal continues to remain increasing the shareholder value with additional restructuring at the sub level. We believe that we have demonstrated that we have taken the correct fiscal policy mandated by our Board of Directors and the company has made great strides in the operations of its subsidiaries as it continues to struggle with the losses incurred by previous management of Kesselring Restoration and Kesselring Holding."

"Safe Harbor" Statement under Private Securities Litigation Reform Act of 1995

Statements about the expected future prospects of our business, statements about our outlook for internal revenue growth in 2007 and 2008, and all other statements in this release other than historical facts, constitute forward-looking statements. You can identify forward-looking statements because they contain words such as "believes," "expects," "may," "will," "would," "should," "seeks," "approximately," "intends," "plans," "estimates," or "anticipates" or similar expressions which concern our strategy, plans or intentions. All statements we make relating to estimated and projected earnings, margins, costs, expenditures, cash flows, growth rates and financial results are forward-looking statements. In addition, we, through our senior management, from time to time make forward-looking public statements concerning our expected future operations and performance and other developments. All of these forward-looking statements are subject to risks and uncertainties that may change at any time, and, therefore, our actual results may differ materially from those we expected. We derive most of our forward-looking statements from our operating budgets and forecasts, which are based upon many detailed assumptions. While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the impact of known factors, and, of course, it is impossible for us to anticipate all factors that could affect our actual results. Some of the factors that we believe could affect our results include: conditions in the restoration, construction and building products industries, change in interest rates, the impact of severe weather on the Company's restoration and construction operations, the effect of governmental regulation on the Company and other factors described from time to time in our filings with the Securities and Exchange Commission. The factors described in this paragraph and other factors may affect our business or future financial results. We assume no obligation to update any written or oral forward-looking statement made by us or on our behalf as a result of new information, future events or other factors.

Contact Information

  • Contact:
    Charles Rockwood
    Kesselring Holding Corporation
    941-953-5774 x108
    Email: Email Contact