Falken Reports Third Quarter Results
TRENTON, NEW JERSEY, Nov 13, 2012 (Marketwire via COMTEX) --
Falken Industries Ltd (OTCBB:FLKI) -
FLKI today announced financial results for its 2012 Third quarter ended September 30, 2012. The Company consistent with projections continued its global market share expansion enhancing its product conceptions in Scandinavia and opening further distribution in former East Block satellite countries. FLKI has been particularly active in developing these markets. Net operating revenues after currency adjustments to the dollar were up 50% from the year-ago quarter and net operating margins increased 45%. "The company has been particularly keen on production efficiencies and expanding margins are the result," says Manuel Garcia, Communications Officer. "We expect continued progress in procurement, hedging, and production efficiencies throughout the year," he added.
During the quarter FLKI authorized further product support for its distribution platforms and additional marketing and sales support for its distributor network in developing markets. Emphasis continues to be focused on exploiting the opportunities created by the weak economy, and on reinforcing market segmentation coverage and penetration in existing ones. "Because of our strong penetration of the female market we enjoy a substantial advantage over our competitors," said Garcia. At the start of the economic crisis FLKI had elected to concentrate on extensive support of its existing distribution network and platforms. "We expect a substantial improvement in overall sales and profits in 2012 and a major breakthrough in 2013 with the probability of an acquisition," emphasized Garcia.
"The new products we are planning to release through the Spring 2013 are very strong, and we're really excited about them," added Garcia.
Speaking of the common stock's disappointing performance, Garcia added: "If you consider the company in all its components, two of its hidden values are brand trust and recognition and a global distribution network, notably in Europe, which is likely worth $35 to 40 million to any US company seeking instant expansion of its distribution abroad. These, other core values and its operating performance, have not been considered by investors, and are not reflected in the company's share price," said Garcia.
The company whose major revenues remain embedded in the Euro has become a "Euro Play" depressing its current stock quotation to a fraction of the company's book value of about 11 cents. "The company's depressed stock is a rare opportunity for investors," says Garcia.
About Falken Industries Ltd:
Falken Industries Ltd (OTCBB:FLKI) is a diversified industrial conglomerate that operates in Chemicals, Wet Wipe and Biodegradable Technology. Falken Industries Ltd is the concept behind more than 160 products distributed through a network of global platforms and the recipient of trade awards for innovations, biodegradability and environmental and health quality standards.
SAFE HARBOR STATEMENT: This news release contains "forward-looking statements" made pursuant to the safe harbor provisions of the 1995 Private Securities Litigation Reform Act. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." Such statements are subject to 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 our products may not achieve customer acceptance or perform as intended, that we may be unable to obtain necessary financing to continue operations and development, and other risks. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements.
FOR FURTHER INFORMATION PLEASE CONTACT: Falken Industries Ltd Manuel Garcia Communications Officer +1609 357 0316 email@example.com
SOURCE: Falken Industries Ltd
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