CirTran Reports Profitable Third Quarter and ‘Broad Significant Growth'
SALT LAKE CITY, Nov. 14, 2007 -- CirTran Corporation (OTC BB: CIRC), an international full-service contract manufacturer of IT, consumer and consumer electronics products, has filed its 10-QSB, reporting a profitable quarter for the period ending September 30, 2007, and what its president and CEO called “broad significant growth” for the multi-national company.
CirTran reported net sales of $3,533,555 for the quarter, an improvement of 22% over the $2,878,156 reported for the period ended June 30, 2007, and a 16% gain over sales of $3,044,853 for the third quarter of fiscal 2006. For the nine months ended September 30, CirTran reported sales of $8,700,004, a 24% improvement over sales of $7,007,118 reported for the first nine months of fiscal 2006.
CirTran reported a net profit of $82,898 for the quarter, a gain of $3,063,186, representing a major turnaround over a loss of $2,980,288 for the same period in 2006. The net profit included interest expense of $584,328 and a gain on derivative valuation of $198,648. CirTran's EBITDA also turned positive in the quarter at $674,650.
For the nine months ended September 30, CirTran reported a loss of $3,463,510, an improvement of $449,094, or 11%, over a loss of $3,912,607 reported for the same period in fiscal 2006.
Iehab J. Hawatmeh, CirTran's founder, president and CEO, said that “the strong quarter for the company showed broad significant growth. Earlier in 2007, believed our growing marketing expenses would bear fruit in increased revenues in the third and fourth quarters,” he said, “and we are currently on-track to meet that expectation.”
During the quarter, Mr. Hawatmeh said, the company successfully launched the Read Deal Grill™, endorsed by former heavyweight champion Evander Holyfield and manufactured by CirTran-Asia, through a nation-wide test-blitz of a new 30-minute infomercial featuring Holyfield. Mr. Hawatmeh said that the initial delivery of the Real Deal Grill sold-out, and that the second shipment -- “ten-fold the first order” – is expected in time to meet holiday sales demand.
He also said that CirTran continued to be successful with the True Ceramic Pro™ flat iron – one of the most popular products sold on TV. Mr. Hawatmeh said early in 2008 CirTran plans to introduce two new products it manufactures -- the Hot Lashes™ beauty product and the Ball Blaster™ exercise product – via TV infomercials.
About CirTran Corporation
Founded in 1993, CirTran Corporation (OTC BB: CIRC, www.CirTran.com ) is a premier international full-service contract manufacturer. Headquartered in Salt Lake City, its ISO 9001:2000-certified, non-captive 40,000-square-foot manufacturing facility is the largest in the Intermountain Region, providing "just-in-time" inventory management techniques designed to minimize an OEM's investment in component inventories, personnel and related facilities while reducing costs and ensuring speedy time-to-market. In 1998, CirTran acquired Racore Technology ( www.racore.com ), founded in 1983 and reorganized as Racore Technology Corporation in 1997. Continuing to grow, in 2004 CirTran formed CirTran-Asia as a high-volume manufacturing arm and wholly owned subsidiary with its principal office in ShenZhen , China . Today, CirTran-Asia operates in three primary business segments: high-volume electronics, fitness equipment, and household products manufacturing, focusing on the multi-billion-dollar direct response industry.
This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risk and uncertainties. Actual results could differ materially from those expressed in any forward-looking statement. The Company disclaims any obligation or intention to update any forward-looking statements.
All trademarks are properties of their respective owners.