VLXC reports a huge Q 1 2005
Veltex Corporation Announces Record Sales and Profit for First Quarter 2005
May 16, 2005 08:00:00 AM ET
CITY OF INDUSTRY, Calif., May 16 /PRNewswire-FirstCall/ -- Veltex Corporation, (OTC: VLXC) a vertical manufacturing, import and distribution company for apparel and accessories, today announces consolidated financial results for the First Quarter ending March 31, 2005.
Veltex Corporation First Quarter consolidated revenues totaled a record $13,270,345, while Net Profit was $1,739,537 or 22 cents per share. This First Quarter of 2005 was an increase in gross revenue of over 30% compared to the same time last year with gross revenue of (approx) $10,249,000, or about 17 cents per share in the previous year of Q'1, 2004.
Finn Walstad, CEO of OTCGrowth.com, commented, "I am very pleased with the First Quarter results and feel confident that Veltex will reach its projected goal of $55 million in sales for this year, up from about $41 million in 2004. Frankly, we believe that the stock, currently trading around $1.00, is extremely undervalued at this time, based on its strong fundamentals. In my opinion, this is a well-managed, quality company that has major appreciation potential."
Veltex Corporation clearly has enormous appreciation potential based on its realistic revenues and net profits projections. It is very rare to discover a company whose stock is so undervalued and yet has everything in place for a dynamic near-term upward move to significantly higher prices. Veltex is a well managed company, with a strong vertical infrastructure in place that expects to generate revenues in excess of $55 million in 2005 with net profits of over $11 million or approximately $1.38+/- net earnings per share (EPS), a 35% increase from 2004.
-- 2005 Projected Revenue $55mm
-- 2005 Projected Profit $11mm
-- 2005 Projected Net Earnings $1.38 per share a 35% increase from 2004
Javeed Matin, CEO of Veltex Corporation, stated, "We are proud of our strong growth progress and clearly feel that 2005 will be another year of record profitability. Veltex is providing high quality apparel and accessories in a timely manner to an ever-growing list of clients and customers.
"We expect that our recent entry into the Canadian Marketplace will be very positive to our overall revenue growth. Furthermore, we are looking forward to making a major acquisition shortly that will give us an even stronger foothold in our target markets."
Veltex Corporation is a vertical manufacturing, import and distribution company composed of three divisions: Veltex Apparel, specializing in caps, apparel and apparel accessories for the Promotional Products Industry and distribution of merchandise; Velvet Textile Mills, specializing in the manufacture of high quality fabrics including velvets, 100% cotton twill, denim, sheeting for consumer and industrial products; and KCA Garment Industries, specializing in the manufacture of garments.
Safe Harbor: Except for historical information contained herein, the statements in this Press Release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, volatility of market prices, product demand, market competition, risks inherent in the Company's international operations, and the Company's ability to replace and expand.
© 2005 PRNewswire
