SOURCE: myFreightWorld Technologies Inc.
OVERLAND PARK, KS--(Marketwire - Nov 14, 2012) - myFreightWorld Technologies, Inc. (PINKSHEETS: MYFT) announced a third quarter net loss of ($817,233) vs. a loss of ($440,038) in the prior year's third quarter. For the nine months ended September 30, 2012, the company reported a net loss of ($2,099,665) vs. a net loss of ($2,738,791) in the prior year's comparable period.
All Modes, our truckload subsidiary, was unprofitable during every quarter over the past twelve months and its discontinuance will improve the Company's margins and profits going forward. MYFT is now utilizing its own assets and employees to pursue the truckload brokerage.
Revenue for the 2012 quarter was $1,072,771, down from $1,979,113 in the same quarter last year. This decrease was principally due to the migration from LTL contract shipments to noncontract along with an LTL contract customer loss in September 2011 as well as the planned loss of a large noncontract customer.
For the nine months ended September 30, revenues were $4,728,217 vs. $6,077,456 in the prior year period. This decrease was principally due to the migration from LTL contract shipments to noncontract along with an LTL contract customer loss in September 2011 as well as the planned loss of a large noncontract customer.
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA), net of non-cash expenses for compensation and consulting fees, was ($314,363) in the quarter vs. ($288,500) in the prior year quarter. For the nine months ended September 30, 2012, EBITDA improved to ($824,536) from ($973,818) in the prior year's comparable period.
The Company's net cash flow from operations improved in both the third quarter of 2012 as well as the nine months ended September 30. For the quarter, net cash from operating activities improved to ($192,964) in 2012 from ($849,828) in the 2011 quarter. For the nine month comparable periods, net cash from operating activities improved to ($502,501) in 2012 from ($2,193,748) in 2011.
"Our performance on a cash basis, a key measurement, continues to improve," said Kevin C. Childress, President and CEO of MYFT. "Although the third quarter was a bit challenging, as we had previously said it would be, we are still outperforming last year on a cash basis. We had a strong start to the fourth quarter although Hurricane Sandy has impacted our early November brokerage revenue slightly negatively."
Childress added, "We obtained strong support from investors for our note financing. That offering has raised some $513,000 with commitments for an additional $487,000 in hand. Overall, I'm very pleased with the performance of our terrific staff which has produced more with less and has given senior management confidence that our recovery plan is on track and will succeed."
The full earnings report has been posted to the Company's web site at www.myfreightworld.com/investor-information.
A conference call to discuss these earnings as well as the Company's prospects will be held FRIDAY, November 16, 2012 at 10:00 am Central time. The call will be hosted by Mr. Childress and will feature Drew White, COO, and Janette Sims, Controller. The public is welcome to join the call at 1-888-394-8197, Participant Passcode 245452.
**PLEASE NOTE: Future standard earnings announcements will be made via the Company's web site only. Extraordinary events will continue to be announced via Marketwire.