HOWELL, Mich., Jan. 15, 2013 /PRNewswire/ -- MWW Automotive
Group (OTCQB: MWWC), a global automotive firm providing OE
manufacturing of accessories and complete logistics services to
many of the world's leading automotive and industrial
manufacturers, issued today its financial report for the Fiscal
Year 2012, ending on September 30,
2012. The full text of the Company's audited Annual 10K
Report can be reviewed on the Company's web site at
www.mwwautomotive.com or at the SEC website www.sec.gov.
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"The last twelve months have been a crucial and complex year in
MWW's business history, dealing with the consequences of the loss
of our largest Toyota customers moving their accessory business
back to Japan and Toyota Motor
Services," states Chuck Pinkerton,
CEO of MWW Automotive. "These customers represented the majority of
our revenues for many years. Accordingly, our income
decreased further during 2012 in comparison to 2011, although we
were able to come close to meeting our revised projections.
We have aggressively reacted to these changing market
conditions and have reorganized the Company, so it would not only
help us to survive these difficult times, but also re-focus on the
core strength of MWW. Restructuring the company and revising its
capitalization, rebuilding a strong roster of new major clients and
expanding into different industries was the focus during 2012."
Mr. Pinkerton continues: "Based on our track record for
high-quality OE production and customer satisfaction, we are now
taking advantage of the increasing demand by large manufacturers
for smaller, but more frequent production runs, a core competency
that we have been focusing on over the last few years. We have been
able to further reduce our overhead, while at the same time
expanding our production capacity and secure a substantial amount
of new business with new large customers in the automotive market
as well as in the industrial machinery markets. During 2012
we still experienced significant delays with the launch of several
of our new projects, especially with our new industrial client.
Consequently we still generated limited revenues during FY 2012.
With several of the new programs from our major clients now in
production, we are confident that beginning in Q2 of 2013, revenues
will start to increase again, with a moderate increase already
expected during Q1 2013. We hope that our expected improving
financial performance, combined with the reduced need for
unfavorable financings and the appropriate marketing campaigns
going forward, should have a positive impact on MWW's share
price."
COMPARISON OF THE YEAR ENDED SEPTEMBER
30, 2012 TO THE YEAR ENDED SEPTEMBER
30, 2011 REVENUES
Net revenues were approximately $790.211 for the year ended September 30, 2012. Our revenues decreased
$1.1 Million from the year ended
September 30, 2011. This decrease is
attributable to the fact that during 2011 we lost our largest
customer, Toyota, who represented a majority of our total revenues.
Since then we have been focused on restructuring our entire
organization, reviving product selection, re-focusing on our core
business and acquiring new customers in the automotive as well as
in the commercial industries.
OPERATING EXPENSES
In an effort to return the company to profitability, we have
reduced operating expenses without sacrificing production capacity
and/or quality. Selling, general, and administrative expenses were
$1,413,139 in 2012 compared to
$1,712,760 during 2011. The decrease
of $299,620 in costs is attributable
to management's stringent efforts to reduce overhead costs while
further streamlining operations.
OPERATING LOSS
Reconciling our net loss to cash we produced a net loss of
$515,077. While the loss attributable
to the Company is reported at $11,116,725, the loss from operations was
$1,723,232. The largest positions of
the loss attributable to Company and operations consists of several
large NON-CASH positions, such as the change in derivative
liability, change in operating assets and liabilities, non cash
interest and other non-cash items. Based on significant cost-down
exercises and the streamlining of several crucial processes and
positions throughout the company, reconciling our net loss to cash
produced a loss of $515,077. With the
anticipated increase in revenue and improving cash flow,
beginning in Q2 of 2013, there should be a decreasing
need for additional unfavorable financing and accordingly a
positive impact on the company's share price. Please see a detailed
breakdown in our 10K financial filings with the SEC.
About MWW Automotive Group (MWW)
The MWW Automotive Group's (OTCQB: MWWC) administrative offices
are located in Howell, Michigan,
with a 40,000 square foot Class A manufacturing and logistics
facility in Baroda, Michigan for
the production of high quality OE automotive and industrial
products. MWW delivers its products and Class A painting, assembly
and logistics services directly to major US and Foreign automobile
manufacturers' Vehicle Processing Centres (VPC), leading edge show
car and performance accessory design firms, and/or assembly lines
in North America. MWW's industrial
products are delivered directly to the industrial manufacturers for
installation in their facilities. MWW provides substantial added
value to the sale of vehicles and industrial products for leading
international automobile and industrial manufacturers such as
Toyota, Chevrolet, Hyundai, Kia Motors, MAZDA, GM, Ford, FIVE AXIS
and their strategic partners ROUSH Performance and Polytec/FOHA.
For more information visit www.mwwautomotive.com or e-mail
investorrelations@mwwautomotive.com
Safe Harbor Statement: Certain statements in
this press release that are not historical facts are
"forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Such statements
may be identified by the use words such as "anticipate,"
"believe," "expect," "future," "may," "will," "would,"
"should," "plan," "projected," "intend," and similar
expressions. Such forward-looking statements, involve known and
unknown risks, uncertainties and other factors that may
cause the actual results, performance or achievements to be
materially different from those expressed or implied by such
forward-looking statements. The Company's future operating
results are dependent upon many factors, including but not limited
to the Company's ability to: (i) obtain sufficient capital
or a strategic business arrangement to fund its expansion plans;
(ii) build the management and human resources and
infrastructure necessary to support the growth of its business;
(iii) competitive factors and developments beyond the
Company's control; and (iv) other risk factors discussed in the
Company's periodic filings with the Securities and Exchange
Commission, which are available for review at www.sec.gov
under "Search for Company Filings."
SOURCE MWW Automotive Group