SALT LAKE CITY, UT--(Marketwired - Aug 23, 2016) - Sack Lunch Productions, Inc. (OTC PINK: SAKL) is pleased to announce that it has filed its unaudited Quarterly Report for the period ended June 30, 2016, reporting strong revenue growth with substantial pre-sales booked as deferred revenues.
Financial Statement Highlights:
- Gross revenues of $5.6 million and $6.9 million for the three and six months ended June 30, 2016, compared to $1.5 million and $2.4 million, increases of $4.1 million or 278% and $4.5 million or 189%, over the comparable periods in 2015;
- Deferred revenues of $2.0 million, compared to $1.8 million for the comparable period ended June 30, 2015, an increase of $163,972 or 9%;
- Current assets of $2.8 million, compared to $3.2 million at December 31, 2015, a decrease of $345,149 or 10%;
- Total assets of $7.2 million, compared to $7.6 million at December 31, 2015, a decrease of $387,623 or 5%;
- Net Equity decreased to ($545,566) compared to $539,504 at December 31, 2015; and
- Net Income (loss) of ($12,138) and ($1,574,335) for the three and six months ended June 30, 2016 compared to $106,068 and ($398,814) for the comparable periods in 2015.
CEO, Richard Surber, commented, "There are two areas that I am very pleased with, the first and most obvious being the triple digit percentage improvement to our top line revenues. The second is not quite as apparent. We made what is in my opinion a substantial improvement to the balance sheet and working capital position of SAKL, but due to the way we report ticket sales, these improvements are obfuscated by a $2.0 million deferred revenue liability. At the time of this press release, it is a near certainty that SAKL will recognize nearly 100% of those revenues by December 31, 2016, which means that close to the entire $2.0 million will be removed from the liability section of the balance sheet and added to top line revenues on our income statement. If this were the case at June 30, SAKL would have a positive net equity as well as a substantial improvement in working capital. We will have to wait until December 31, 2016 to have a complete understanding of how the deferred revenue liability will affect the balance sheet when all of our events are expected to have been rendered, but it looks encouraging, especially when looking back to the same pattern at year end in 2015."
Mr. Surber continued, "I remain focused on improving cash flow. Some of our existing loans have a very short term coupled with high interest rates. The short repayment terms is one of the biggest risk factors facing SAKL that intend to solve. My team and I continue to push forward on multiple fronts which include completing our audited financial statements, refinancing debt with more favorable terms, decreasing costs and increasing top line revenues. I am confident that our lenders will work with us to resolve some these cash flow issues in light of the great progress we continue to make in 2016. Furthermore, many of the expenses we're incurring right now will be eliminated in 2017 due to improving efficiencies and the completion of the integration of the August 2015 acquisition and its initial audit costs which we realized in 2016."
Please visit our websites to find the next event in your area: www.slidethecity.com, www.thelanternfest.com, http://www.thedirtydash.com, www.trikeriot.com and www.colormerad.com.
About Sack Lunch Productions, Inc.:
Sack Lunch Productions, Inc. (OTC PINK: SAKL) is an entertainment company that operates and franchises action oriented events in the U.S. and internationally. SAKL's events include: Slide the City (1,000 foot long water slide for families and kids), Color Me Rad (5k color race), The Dirty Dash (mud and obstacle run), The Lantern Fest (nighttime party with lantern lighting and launch) and Trike Riot. Learn more about SAKL's operations at www.sacklunchproductions.com, www.slidethecity.com, www.thelanternfest.com, www.thedirtydash.com, www.colormerad.com, www.trikeriot.com and www.green-endeavors.com.
SAKL strongly encourages the public to read the above information in conjunction with the complete March 31, 2016 report filed at www.otcmarkets.com. The actual results that SAKL may achieve could differ materially from any forward-looking statements due to a number of risks and uncertainties. The financial results are unaudited and will be subject to adjustments upon completion of the audit for the years ended December 31, 2014 and 2015. Investors should not invest more than they can afford to lose.