AmeraMex International, Inc. (OTC:AMMX), a provider of heavy equipment for logistics companies, infrastructure construction, and forestry conservation, reported financial results for its first quarter ended March 31, 2022.

AmeraMex CEO Lee Hamre commented, “ We are pleased with our first quarter results. Last year was a great first quarter as we experienced a significant increased spurred by pent up demands in the marketplace. Our first quarters are historically our lowest quarter for the year as customers place orders in the fourth quarter to take advantage of capital investment tax write-offs before yearend.

Over the past five years our first quarter revenue has grown from $2 million in 2018 to $4.9 million in 2022. The Company’s compounded annual growth rate over the past five years, considering a decrease in 2020’s first quarter due to effects of the pandemic, is 21 percent.”

Statement of Operations for the Quarter Ended March 31, 2022

The company reported revenue of approximately $4.9 million, a 23 percent increase when compared to revenue of approximately $4.0 million for the quarter ended March 31, 2021.

Gross profit for the quarter was $1,249,069 , an increase of seven percent when compared to gross profit of $1,171,708 for the comparable quarter.

Gross profit as a percentage of sales, was 25 percent for the quarter compared to gross profit as a percentage of sales of 29 percent for the comparable quarter.

Higher Cost of Sales significantly affected gross profit. For the three months ending March 31, 2022, Costs of Sales were $3.7 million, a 30 percent increase when compared to $2.9 million for the comparable 2021 quarter. The price of used equipment has increased steadily since the beginning of 2021 and was noticeably higher during the first quarter of 2022.

The other main contributor to this increase was the delayed payment from a customer for the Joint Venture machine sale which caused the cost of goods sold to increase until the customer payment is received and then sent to our JV partner. Once sent to our JV partner, the costs will be removed from our books. This reduction will happen in the second quarter.

Net income for the quarter was $258,317 compared to net income of $365,829 for the comparable quarter. Operating expenses increased by 81 percent during the three months ending March 31, 2022. This increase is due to the Company paying higher wages to stay competitive in a highly volatile job market and the higher costs spent on marketing. Earnings per share were $0.02 for the quarter compared to $0.03 for the comparable 2021 quarter.

Balance Sheet for the Quarter Ended March 31, 2022

Current Assets rose 26 percent to $9.0 million while Total Assets increased $1.8 million due in part to an $1.5 million increase in Inventory.

Current Liabilities for the period have decreased $444,641 while Total Liabilities increased due in part to a $1.3 million Line of Credit.

As of March 31, 2022, the Company had working capital of approximately $4.2 million.

AMERAMEX INTERNATIONAL, INC.
STATEMENTS OF OPERATIONS
           
    MARCH 31, 2022   MARCH 31, 2021
           
REVENUES          
Sales of Equipment and Other Revenues $ 4,585,692 $ 3,245,982
Rentals and Leases   365,914   783,714
Total Sales   4,951,606   4,029,696
           
COST OF SALES          
Sales of Equipment and Other Revenues   3,552,821   2,613,032
Rentals and Leases   149,716   244,956
Total Cost of Sales   3,702,537   2,857,988
           
GROSS PROFIT   1,249,069   1,171,708
           
OPERATING EXPENSES          
Selling Expense   323,441   139,189
General and Administrative   369,336   244,303
Total Operating Expenses   692,777   383,492
           
Profit From Operations   556,292   788,216
           
OTHER INCOME (EXPENSE)          
Interest Expense, net   (177,757)   (267,057)
Loss from Early Extinguishment of Debt   (15,345)   (12,333)
Other Income   554   10,078
Total Other Expense   (192,548)   (269,312)
           
INCOME BEFORE PROVISION for INCOME TAXES   363,744   518,904
           
PROVISION for INCOME TAXES   105,427   153,075
           
NET INCOME $ 258,317 $ 365,829
           
Weighted Average Shares Outstanding:          
Basic   14,629,155   14,549,155
Diluted   14,629,155   14,549,155
           
Earnings (loss) per Share          
Basic $ 0.02 $ 0.03
Diluted $ 0.02 $ 0.03
 

 

AMERAMEX INTERNATIONAL, INC.

BALANCE SHEETS

 

           
    MARCH 31, 2022     DECEMBER 31, 2021
ASSETS          
Current Assets:          
Cash $ 625,489   $ 995,611
Accounts Receivable, Net   1,459,988     1,162,300
Inventory, Net   6,677,863     5,185,864
Other Current Assets   239,200     312,963
Total Current Assets   9,002,540     7,656,738
Non-Current Assets:          
Property and Equipment, Net   1,208,628     1,275,717
Rental Equipment, Net   1,193,078     1,461,716
Lease Right of Use Asset   848,131    
Other Assets   367,991     391,330
Total Long-Term Assets   3,617,828     3,128,763
TOTAL ASSETS $ 12,620,368   $ 10,785,501
           
LIABILITIES & STOCKHOLDERS’ EQUITY          
Current Liabilities:          
Accounts Payable $ 1,150,172   $ 560,076
Accrued Expenses   233,036     264,534
Joint Venture Liability   248,043     302,000
Line of Credit   2,462,101     142,500
Notes Payable, Current Portion   560,606     3,180,968
Lease Liability   129,081     777,602
Total Current Liabilities   4,783,039     5,227,680
           
Long-Term Liabilities          
Deferred Tax Liabilities, Net   690,530     588,792
Line of Credit   1,274,568    
Notes Payable – Related Party      
Notes Payable, Net of Current Portion   1,615,187     1,689,353
Lease Liability, Net of Current Portion   719,050    
Total Long-Term Liabilities  

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