1st Quarter Conference Call Scheduled for Tuesday May 10, 2011 at 11:00 a.m. EDT
DEERFIELD BEACH, FL, May 5, 2011: CHDT Corporation, a Florida corporation (OTCBB: CHDO), (“Company”), with operating subsidiaries focused on designing and manufacturing consumer products for the North American and Latin American retail markets, reported today that the Company, during the first quarter of 2011, delivered record revenue of $2,417,494, an increase of 584% versus Q1 2010 and record 1st Quarter operating income of $107,118. The Company also reported a record order backlog of $4,500,000.
“The first quarter is historically the weakest quarter for the Company with 2010 showing a first quarter net loss of over $507,802 which represented over 69% of the Company’s total losses for 2010. Today’s reported Net Income of $107,118 represents a significant $614,920 net result improvement over the first quarter last year and it was achieved in our historically weakest quarter. These results are after spending over $146,000 in the quarter in product promotion and a trade show for future product placement. We have a record backlog and a lot of interest in our current product offerings,” said CFO, Gerry McClinton.
Total Net Revenues: For the three months ended March 31, 2011, the Company posted Gross Sales of approximately $2,616,000 with sales allowances of approximately $198,600 for net revenues of approximately $2,417,400 compared to net revenues for the same period in 2010 of approximately $353,000, for an increase of approximately $2,064,400, representing a 584% increase from 2010 results. All of the revenue was generated by Capstone.
Cost of Sales: For the three months ended March 31, 2011 and 2010, cost of sales were approximately $1,826,200 and $238,200, respectively.
Gross Profit: For the three months ended March 31, 2011, gross profit was approximately $591,200 an increase of approximately $476,500 or 415% from $114,700 for the three months ended March 31, 2010. The large Gross Profit increase is attributed to significantly increased shipments in the quarter as compared to the same period last year.
Total Operating Expenses: For the three months ended March 31, 2011, expenses were approximately $408,400 as compared to approximately $588,700 for the three months ended March 31, 2010, a net reduction of approximately $180,300 or 30%.
Net Income: For the three months ended March 31, 2011, Net Income was approximately $107,100, as compared to a loss of approximately $507,800 for the three months ended March 31, 2010. The Company improved its net results by approximately $614,900 from the same period in 2010. This substantial net results improvement was the result of significantly increased revenues and the implementation of an expense reduction program.
“As I mentioned at our year end conference call, the Company has never been in a better position than we are today with revenues continuing to grow through the successful placement of expanded product lines with both new and existing customers. The Company’s investments in R & D over the past two years are yielding positive results and we will continue to focus our efforts on line extensions that are meaningful to the buying community. The Company has turned the corner from losses to profits with first quarter sales and order backlog surpassing all of 2010 revenues. I look forward to addressing our shareholders on Tuesday to elaborate on our continuing progress,” said Stewart Wallach, CEO of CHDT Corp.
Conference Call: A conference call will be held on Tuesday, May 10, 2011 at 11:00 a.m. EDT. Shareholders are to call in at 1-800-791-2345 and press in the participant code: 45101#.
About CHDT Corporation
CHDT Corporation (www.chdtcorp.com) is a public holding Company that engages, through its wholly owned subsidiaries, in the development, manufacturing, logistics, and distribution of consumer products to retailers and distributors throughout North America and Latin America. See www.chdtcorp.com for more information about the Company and also www.capstoneindustries.com for information on our current product offerings. Reference of URLs in this press release does not incorporate said URLs or any of their contents in this press release.
FORWARD-LOOKING STATEMENTS: This press release, including the financial summary above, contains “forward-looking statements” as that term is defined in the Private Securities Litigation Reform Act of 1995, as amended. Such statements consist of words like “anticipate,” “expect,” “project,” “continue” and similar words. These statements are based on the Company’s and its subsidiaries’ current expectations and involve risks and uncertainties, which may cause results to differ materially from those set forth in the forward-looking statements. CHDT undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements in this press release and risks associated with any investment in CHDT, which is a small business concern and a “penny stock Company” and, as such, a highly risky investment suitable for only those who can afford to lose such investment, should be evaluated together with the many uncertainties that affect CHDT’s business, particularly those mentioned in the cautionary statements in current and future CHDT’s SEC Filings.
Contact: Jill Mohler
[email protected]
954-252-3440, ext. 313
