TORONTO, ONTARIO--(Marketwired - Sept. 14, 2016) - SPOT COFFEE (CANADA) LTD. (TSX VENTURE:SPP) ("SPoT" or the "Company") is pleased to announce that the Company has received two additional franchise deposits for locations in the greater Buffalo area. The two franchises include a full SPoT café and a SPoT Express café. The Company is presently in the process of negotiating leases for these cafés. Furthermore, SPoT Kenmore, the Company's newest franchise café, which is located in the heart of Kenmore Village, is nearing completion and is on track to be open for its community in Q4 2016. SPoT's newest operating franchise café, SPoT Hamburg, which opened in Hamburg, New York, has been achieving excellent results.
The operations of SPoT's central kitchen, roasting facility, and its corporate, licensed and franchise cafés, continue to show significant strength. The Company reported record revenues of $2,932,664 for the quarter ending June 30th, 2016, a 26.5% increase from the same period in 2015, as well as positive café-level EBITDA of $452,967 (9.7% operating margins) for the same period.
Subsequent to the June 30th, 2016 financials, the Company has reduced its liabilities by over $780,000 from July to August, including a total of $400,000 principal reduction on the Company's secured promissory note, convertible debenture and long-term debt.
"The third quarter to date of 2016 has been transformational for SPoT Coffee, with a significant amount of long term debt reduced, new franchisees coming onboard, and continued strength in our core business," said Anton Ayoub, president of SPoT Coffee.
About SPoT Coffee
SPoT Coffee trades on the TSX Venture Exchange under the symbol SPP. SPoT designs, builds, operates and franchises community oriented cafés and express cafés in New York State. SPoT's community cafés provide its customers with the highest quality service, signature made-to-order meals and award winning micro-roasted coffee. Each SPoT café is distinctively designed to suit its local neighbourhood, creating a warm and friendly gathering place for the community. SPoT's commercial business focuses on the sale of roasted coffee beans to food service and grocery chains, business offices and third party resellers such as universities and hospitals.
Forward Looking Statements
Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. In particular, forward-looking information in this press release includes, but is not limited to, the potential use of proceeds of the financing that is the subject of this release. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.
Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The forward-looking information contained in this news release is expressly qualified by this cautionary statement. Except as required by applicable securities laws, the Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of the release.