Yea, figured it would fall a bit and it still may. A PR would be nice but figured Q1 wouldn't be that hot with new products just coming out and working on product for the new distributor... But hey, much better start for the year vs 2016 :)
Results of Operations
For The Three Months Ended March 31, 2017 and March 31, 2016
Revenues
Sales increased by $312,120 or approximately 213%, when comparing sales for the three months ended March 31, 2017 of $458,600 to sales for the three months ended March 31, 2016 of $146,480. During the first quarter of 2016, the Company experienced a manufacturing shut down as it relocated to a larger facility and equipment damage and repair delays hindered production.
Cost of Goods Sold and Gross Profit
Cost of goods sold as a percentage of sales increased by $89,115 or 83% for the three months ended March 31, 2017 compared to the three months ended March 31, 2016. This resulted in a corresponding 579% increase in gross profit as a percentage of sales, or $223,005, when comparing the first three months of 2017 gross profit of $261,489, to the first three months of 2016 gross profit of $38,484. The increase in gross profit is a direct result of the increase in sales and outsourcing all orders with significant quantities.
General and Administrative Expenses
General and administrative expenses increased from $176,065 for the first three months of 2016 compared to $225,493 for the first three months of 2017, an increase of $49,428 or approximately 28%. This increase was due to expanded marketing expenditures in an effort to increase product line exposure and client base and research and development projects.
Income (Loss) From Operations
As a result of the above, the Company had a net income from operations of $35,996 for the three months ended March 31, 2017 compared to the net loss from operations of $137,581 for the three months ended March 31, 2016, an overall increase of $173,577.
