Recent g-Spout® Orders Exceed $550,000, Preparing for Retail Entry
BELLEVUE, WA,
Oct 5 /PRNewswire-FirstCall/ - The
Tradeshow Marketing Company Ltd. (Pink Sheets: TSHO), a direct
sales company that represents and markets unique consumer products
in diverse sales environments, today announced results for the
Company's fiscal year 2010 ended May 31,
2010. The Company also announced updates to its business
progress, including further orders for its g-Spout® household
utensil product.
Revenue for fiscal year 2010 was $32,085 as compared to $65,760 for fiscal year 2009. Fiscal 2010 revenue
reflects sales through May 31, 2010,
prior to commencement of the Company's catalog sales programs and
other g-Spout initiatives, which, subsequent to the fiscal year
end, now exceed $550,000. The
decrease in 2010 revenue over the prior year reflects the Company's
strategic transition to a business model focused on identifying and
marketing unique consumer products through direct-to-consumer
retail opportunities. Recognized revenue was derived primarily from
trade show demonstration sales and test campaign activity for the
Ultimate Squeegee. The Company's second test campaign and catalog
sales program launch for the g-Spout product will be included in
financial reports for the first and second quarters of fiscal
2011.
Net loss for 2010 was $614,012, or $(0.03) per share as compared to a loss of
$249,380, or $(0.01) per share in 2009. Net loss for fiscal
year 2010 reflects increased costs for product marketing and
advertising for the Ultimate Squeegee product test as well as
legal, product development, manufacturing and marketing services in
preparation for the g-Spout test campaign launched after the fiscal
year end. Cash and cash equivalents at May
31, 2010, was $700,540.
"Fiscal 2010 was a transitional year for the
Company, during which we began focusing on direct product sales and
expanding our unique consumer product capabilities to better serve
product developers seeking to bring their concepts to market,"
stated Luniel de Beer, President and
CEO of Tradeshow Marketing. "These efforts are now beginning to
bear fruit in fiscal year 2011 as we have successfully introduced
another key consumer product, the g-Spout, through the catalog
sales channel. We are now leveraging that success to propel the
g-Spout toward larger mass market retail opportunities through
efforts such as our intended partnership with ARG Manufacturing. We
also continue to pursue opportunities by targeting additional end
markets for the Company's first product, the Ultimate Squeegee, by
advancing our efforts towards specialty retail markets. We look
forward to gaining additional market traction with our existing
products, while working to expand our portfolio of new products as
led by our recently hired VP of Marketing and Product Management,
Paul Curhan."
Business Updates
Subsequent to the year end, the Company launched
test campaigns and catalog sales of the g-Spout under an exclusive
global license with the product's developer. The g-Spout campaign
continues to be developed, while Tradeshow increases sales through
wholesale catalog channels and launches the product into broader
retail sales channels through its relationship with ARG. Wholesale
orders to date now total more than $550,000, which consists of multiple re-orders
due to strong demand for the product. These orders are being
delivered and revenue recognized in the fiscal first and second
quarters of 2011, ending August 31
and November 30 respectively.
The Company expects the majority of total
revenue from the orders to be recognized in the second quarter.
These orders will provide the Company its first substantial product
revenue under its new business model. In addition, the Company has
signed a non-binding letter of intent with ARG Manufacturing for
U.S. retail representation and expanded manufacturing capacity of
the g-Spout in preparation for its anticipated launch in specialty
retail store chains in the coming months. Production capacity at
the Company's manufacturing providers has been increased in
preparation for increased product distribution related to retail
launch as these customers begin to carry product.
Additionally, in August, the Company was
notified that the U.S. patent applications related to the g-Spout
have been approved for issuance, and, as of September, the patents
issued. The Company is advancing patent applications in a number of
other countries and markets where it believes substantial market
opportunity exists and the Company intends to market the g-Spout,
directly or through partnerships, under its global exclusive rights
agreement.
For more information about Tradeshow Marketing,
please visit the Company's web site at www.tsho.com. Shareholders
of Tradeshow Marketing who would like to be added to the Company's
email distribution list can send their contact information to
ir@tsho.com.
About The Tradeshow Marketing Company
The Tradeshow Marketing Company Ltd. is a
publicly traded consumer-products company focused on the
development and distribution of unique products that have broad
appeal and improve the lives of consumers. The company operates a
Direct to Consumer (D2C) Commerce business in North America, and markets and sells products
through various channels such as trade shows and exhibitions,
Direct Response Television (DRTV), printed catalogs and magazines,
retail stores, and product-specific e-commerce web sites. The
company was established in 2003, and is headquartered in
Bellevue, Washington.
All company or product names used are the
property of their respective owners and may be the trade marks™,
service marks℠, or registered marks® of other companies, and are
used for information purposes only and to their owners' benefit,
without intent to infringe.
Safe Harbor Statement
This release contains "forward-looking
statements" within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended, and such forward-looking statements are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. "Forward-looking statements"
describe future expectations, plans, results, or strategies and are
generally preceded by words such as "may", "future", "plan" or
"planned", "will" or "should", "expected", "anticipates", "draft",
"eventually", or "projected". You are cautioned that such
statements are subject to a multitude of risks and uncertainties
that could cause future circumstances, events, or results to differ
materially from those projected in the forward-looking statements,
including the risks that actual results may differ materially from
those projected in the forward-looking statements as a result of
various factors, and other risks identified in the company's SEC
filings.
SOURCE Tradeshow Marketing Company Ltd.
