TORONTO, ON--(NewMediaWire - Jul 31, 2017) - Amfil Technologies
Inc. (OTC PINK: AMFE) is pleased to provide our shareholders
with an in-depth summary of our FYE 2017 and provide guidance on
Fiscal Year 2018 including an update on Q1 2018 progress thus
far.
Amfil Technologies Inc. posted revenues of $6,630,973 for our
FYE 2017 up 2376% from Fiscal Year 2016 which posted $279,045 in
total revenue. The company saw a gross profit of $3,678,780 and a
net income of $248,679. The company as at year end of June 30th
2017 had $267,257 in cash, $4,691,097 in inventory and $6,599,844
in total assets.
Snakes & Lagers Inc. / Snakes & Lattes Inc. Acquisition
& Impact on the Financial Statements
Subsequent to the announced L.O.I. on April 4th 2016, the
company closed the acquisition and announced the definitive
agreement on September 28th 2016.
This subsidiary has had a tremendous impact on the financial
statements since Fiscal Q2 2017. While the net income of $248,679
may not appear significant, the sales of $6,630,973 allowed the
company to execute its expansion plan for each subsidiary and
continue to run at a profit. Snakes & Lattes Inc. has been
operating with an increased staffing cost since Q4 due to the
training of staff members for the new location. All of the new
managers and some new staff members have been hired and have been
training in the existing locations for the past few weeks, working
towards the approximately 70 additional employees which will be
required to staff the 3rd and largest location opening first week
of September, dubbed 'Midtown'. Staff totals for the Snakes &
Lagers Inc. / Snakes & Lattes Inc. subsidiary are now at 126
members. These costs, as well as costs for professional fees and
construction, have been injected into the location to ensure that
the opening of 'Midtown' proceeds as planned and immediately begins
generating revenue. In addition, the subsidiary has been adding
strength to the distribution and fulfillment division in
preparation for further expansion into Fiscal 2018, with large
revenue increases projected as a result.
Further Breakdown of the Snakes & Lattes Inc. Subsidiary
Storefront Locations, 'College' & 'Annex' (Fiscal Year
2017)
The popularity and patronage of the bustling Snakes & Lattes
Inc. storefront locations continues to surge at a tremendous rate.
Fiscal 2017 was one of the busiest years on record for the downtown
locations, with waiting lists and line ups of customers interested
in enjoying the venues and total customer numbers up approximately
20% across the board in comparison to their year prior.
- This division includes retail distribution, cover charges,
food and drink.
Snakes & Lattes 'College' contributed $2,753,264.52 CAD in
revenue by itself.
Snakes & Lattes Inc. ('Annex' and Distribution combined)
contributed $5,059,639.65 CAD in additional revenue over and
above 'College.'
Distribution Arm, Fulfillment and Online Sales (Fiscal Year
2017)
The thriving high-volume distribution business grew at an
impressive rate during fiscal 2017, and has positioned itself for
further growth by upgrading infrastructure and developing new
partnerships and customer accounts. Key points from Fiscal 2017
include:
- Warehouse space increased from 3500 to 8000 sq. ft. to
accommodate the rapidly increasing distribution volumes.
Increased warehouse staff and new managerial positions
filled.
Snakes & Lattes Inc. was awarded multiple exclusive
distributorships during fiscal 2017 for a number of the
most popular game titles in the world. The Canadian and
International distributorships fueled the growth of the
distribution arm exponentially.
Secured multiple new accounts with major retailers to supply
their board game inventory.
Received largest single order to date valued at approximately
$1.25 Million.
Storefront Locations, Midtown Opening (Q1 to Date &
Guidance)
- Grand opening of 'Midtown' will be announced shortly and
is scheduled for the first week of September due to
minor design alterations and additions.
Commenced the intake of additional staff in Q4 2017 and Q1
2018 to prepare for the opening of 'Midtown'. These
new employees have been training at the existing Snakes &
Lattes retail locations with experienced team members to
ensure we are fully prepared for 'Midtown' opening day. Our
staffing costs will reduce once 'Midtown' is opened and
further revenue generation can begin from the
third location.
'Midtown' will be the flagship location where the expectations
and standards are set for future locations and/or potential
future franchise holders building requirements.
Management projects $3-$4M in additional revenue by year end
once 'Midtown' is operational.
Currently exploring real estate in Vancouver for the opening
of retail location #4.
Management working through the strategy for mass expansion
into the USA, and the requirements to commence
leasing franchises, which are both targeted for Fiscal
2018.
Distribution Arm, Fulfillment and Online Sales (Q1 to Date &
Guidance)
- In Fiscal 2017, the Distribution Sales Team identified a
starting 2000 potential accounts as new immediate targets
for distribution sales. The sales team has now reached a total
of 500 accounts of the targeted 2000 with multiple new orders
to be shipped in August and most of these new accounts being
opened in the month of July being fiscal Q1 2018.
The Sales Team has accelerated their efforts to close the
remaining 1500 of these initially targeted accounts, which
has become a smoother process as the brand increases in
visibility and more exclusive distributorships are
obtained.
Exclusive distributorships are expected to substantially
increase the fulfilment business even further into
Fiscal 2018. Management is currently working through the
required logistics and planning to expand distribution further
internationally.
We have received orders of approx. $1,500,000 in distribution
and fulfillment sales in July already, being our fiscal Q1.
Given the increase in the distribution and fulfillment division in
the first weeks of Q1, management expects an extremely high
growth revenue based Q1 financial statement with exponential
year over year growth, delivering exceptional value to our
shareholders.
This division just received an order for two shipping
containers of product, approx. 32,000 units of games the
company holds the exclusive distribution rights to in Canada.
This single order was received from Amazon and is valued at
over $650,000 CAD. This order is over and above recently
announced orders. This shipment will be fulfilled in August to
both their Ontario and B.C. warehouses.
This division will play a large part in our efforts and
expectations of the company at least doubling revenues
over the next twelve months.
GRO3 Subsidiary (Fiscal 2017)
The GRO3 subsidiary made massive strides towards full market
expansion throughout Fiscal 2017, finishing off the year with a
commitment to outfit a portion of an up and coming new marijuana
cultivation facility with EcoPrO3 GRO3 as well as RotoGro units.
This monumental step for the GRO3 sales team has resulted in a
massive influx of industry interest, and will propel the GRO3
technology as it continues to penetrate the industry into Fiscal
2018.
- Upgraded technology and launched the EcoPrO3 Antimicrobial
System.
EcoPrO3 product line passed product review by accredited USDA
Certifying agent PCO.
EcoPrO3 technology obtained patent pending status.
Ramped up sales, marketing and advertising.
Entered into initial Agreement with Roto-Gro Worldwide to
market and integrate EcoPrO3 with the Roto-Gro
Hydroponic systems.
New local office and technical workshop opened in Ontario.
Began and continue discussions with a California Corporation
to outfit a new marijuana cultivation facility on a 10 acre
property in Northern California, along with other
cultivators, processors and industry partners.
Received commitment to purchase 5 EcoPrO3 GRO3 units and 100
Roto-Gro hydroponic systems. Estimated value of this purchase
order is $1.15 Million USD.
GRO3 Subsidiary (Q1 to date & Guidance)
- Subsidiary has been rebranded to GRO3 with new website
which we expect to launch in August.
Increased sales, marketing and advertising campaign to
launch.
Will be featured in a number of industry related publications
over the coming months.
Organizing manufacturing and order fulfillment logistics for
customer requirements, including the parties involved in
the outfitting of the new Ontario Cultivation Facility.
Working to finalize agreements to supply a number of
facilities with GRO3 EcoPrO3 Antimicrobial Systems and
Roto-Gro Hydroponic Systems, including the grow facility in
Northern California.
The GRO3 Sales Team has received increased interest over the
past month through word of mouth from industry connections.
These leads are constantly being explored, with
additional meetings organized and free consultations from our
technical teams to ascertain the most effective solution for
the individual client's needs. As a result, we anticipate a
steady increase in EcoPrO3 and Roto-Gro sales moving forward
into Fiscal 2018.
Interloc-Kings Inc. Subsidiary
- Spinoff & Dividend details coming to sync with audit
completion and up-listing.
Amfil Technologies Inc. Capital Structure
- Issued 29,088,235 shares in Q4 for a combination of cash,
services and reduction of debt, bringing the Outstanding
Common Share Count to 473,895,499.
Reduced total outstanding common share count from 664,493,098
to 473,895,499 in fiscal 2017.
Received a little over $600,000 USD cash committed at a fixed
market price of .09 per share which was the closing market
price at the day of the transaction to increase the speed
of expansion and distribution.
Allowed for the reduction of overhanging debt.
Allowed for the payment of some services without burning
expansion cash.
The company intends to keep the share count below 500M
throughout Fiscal 2018.
The company will reduce the authorized share count down from
900M in order to better reflect the cap we would like to have
on the outstanding going forward.
In Conclusion
Fiscal 2017 has been by far, the largest grossing, and most
growth driven fiscal year in company history. During this year, the
company has made substantial investments into the future revenues,
including the funding of the new Snakes & Lattes 'Midtown'
location plus the additional staffing requirements, the investments
into the distribution arm of the subsidiary and the funding of the
GRO3 subsidiary's expansion of operations. These investments in the
future have positioned the company for an even larger grossing
Fiscal 2018, continuing the company's pattern of quarter over
quarter, and year over year revenue growth.
Thus far into Q1 of Fiscal 2018, we are already hitting revenue
figures that exceed the revenues of entire quarters of Fiscal 2017.
Our management team is very pleased to say the least with the
results thus far and the trajectory that the company remains on
into Fiscal 2018. As we look into Fiscal 2018 with eager
anticipation and excitement, we would like to once again thank our
loyal shareholders for their support throughout this overwhelmingly
successful year. We will continue to work diligently to increase
shareholder value throughout Fiscal 2018.
For more information regarding the company please
visit www.amfiltech.com and follow us on twitter for
further updates from the company @AmfilTech
About Us
Amfil Technologies, Inc. is the parent company to three wholly
owned subsidiaries.
1). Snakes & Lagers Inc. holds the trade name and is the
owner of Snakes & Lattes Inc. which currently operates a 6,000
sq. ft. and a 7,500 sq. ft. tabletop gaming bar and cafe located in
Toronto, Ontario that brought in over $7M CAD in revenue last year.
It is in the process of opening a third location at 10,000 sq. ft.,
the largest to date. Snakes & Lagers Inc. is also the
procurement officer of all existing and future Snakes & Lattes
Inc. franchises and has the exclusive rights to sell franchise
locations globally. Snakes & Lattes Inc. was the first board
game bar and cafe in North America, is believed to be the largest
in the world and have the largest circulating public library of
board games in North America for customers to choose from. Snakes
& Lattes Inc. currently has a 90 member staff and recently
acquired the exclusive distribution rights throughout Canada for
some of the most popular board games in the world such as Cards
Against Humanity and Exploding Kittens. BlogTO.com recently named
Snakes & Lattes Inc. the best late night cafe in Toronto and
has also been named the best fulfillment house in Canada by Jamey
Stegmaier, the most influential blogger within the board game
fulfillment sphere. For more information on Snakes & Lattes
Inc. feel free to visit the website
at www.snakesandlattes.com
2). The EcoPr03 GRO3 Antimicrobial System was jointly developed
between Amfil Tech and A.C.T.S. Inc. which recently rebranded its
technology under Advanced Ozone Integration as an extension of the
existing ozone technology being utilized in the food and beverage
industry and integrated by A.C.T.S. into companies such as Pepsi,
Nestle, Sysco, Sun Pacific and many others. The system is a
triple-function sanitization unit capable of naturally eliminating
99.9% of water and airborne pathogens and the typically problematic
pests that wreak havoc for cultivators (like aphids, whiteflies and
spider mites), as well as bacteria, fungus, microbes and mold on
surfaces, all without chemicals. The unit can also constantly
regulate a given facility's water supply, oxygenating the water and
maintaining a consistent PPM infusion of ozone that prevents the
formation of algae, bacteria or mold (allowing for comprehensive
water recycling), simultaneously removing the need to use
pesticides and/or dangerous, often carcinogenic products to treat
production problems, as is common throughout the industry today.
This environmentally-friendly solution also eliminates odors, while
slightly reducing the air temperature, lowering energy consumption
by the HEPA filtration and HVAC systems and could potentially allow
for a facilities process to be labeled certified organic in the
U.S.A. when the crop is no longer considered illegal on the federal
level, otherwise "Clean Green" or "Certified Kind" in the meantime.
The EcoPr03 GRO3 Antimicrobial System recently passed product
review by a registered USDA certifying agent for use in California
as well as Pennsylvania and surrounding states. More information on
this product line can be found on
the www.grozone.biz website or on twitter
@GRO3Systems
3). Interloc-Kings Inc. is a hardscape construction company
servicing the Greater Toronto Area. This subsidiary is an
authorized Unilock installer, Unilock being, North America's
premier manufacturer of concrete interlocking paving stones and
segmental wall products. Interloc-Kings Inc. has an A+ Rating with
the Better Business Bureau (BBB) and a 10/10 rating on
homestars.com. Specializing in stone and wood installations between
$5,000 and $150,000 per project, Interloc-Kings Inc. has quickly
become a top, high quality installation company of outdoor living
areas in the GTA. More information on this subsidiary can be found
at the website www.interloc-kings.com
Safe Harbor Statement
This news release contains statements that involve expectations,
plans or intentions (such as those relating to future business or
financial results, new features or services, or management
strategies) and other factors discussed from time to time in the
Company's OTC Market or Securities and Exchange Commission filings.
These statements are forward-looking and are subject to risks and
uncertainties, so actual results may vary materially. You can
identify these forward-looking statements by words such as "may,"
"should," "expect," "anticipate," "believe," "estimate,"
"confident", "intend," "plan" and other similar expressions. Our
actual results, such as the Company's ability to finance, complete
and consolidate acquisition of IP, assets and operating companies,
could differ materially from those anticipated in these
forward-looking statements as a result of certain factors not
within the control of the company such as a result of various
factors, including future economic, competitive, regulatory, and
market conditions. The company cautions readers not to place undue
reliance on any such forward-looking statements, which speak only
as of the date made. The company disclaims any obligation
subsequently to revise any forward-looking statements to reflect
events or circumstances after the date of such statements or to
reflect the occurrence of anticipated or unanticipated events.