ST. CHARLES, Ill., Nov. 21, 2018 (GLOBE NEWSWIRE) -- Sports Field Holdings, Inc. (OTCQB:SFHI), engaged in the design, engineering, constructing, and construction management of athletic facilities, and sports complexes through its FirstForm, Inc. wholly-owned subsidiary, announced its financial results for the quarter and the nine-months ended September 31, 2018.
Highlights for the quarter and the nine-months:
- Revenues for the quarter increased 25% to $611,036 (25%) versus prior year Q3;
- Revenue for the nine-months increased $446,144, or 9%, versus the comparable nine-month period of the prior year;
- In 2018, gross profit for completed and ongoing surfacing projects remains above targeted 15%;
- Gross profit on one open project decreased due to a construction delay, which resulted in higher estimated costs including various change orders. Since we have not finalized these change orders, any associated revenue has not yet been included;
- During the quarter the Company completed a track and field surface; two athletic artificial turf fields utilizing the Company’s patented PrimePlay Replicated Grass system with all-natural Terrasport infill; and a landscape area;
- Maintained strong sales backlog of over $9M heading into the fourth quarter of the year; and
- Zero lost projects on a year-to-date basis.
Jeromy Olson, chief executive officer of Sports Field Holdings, Inc., said, “The third quarter of 2018 was a positive revenue quarter and all our projects, with the exception of one, maintained excellent gross profit. We did have one major school building project that has experienced a significant increase in cost attributable to construction market cost increases exceeding 17% during the course of construction, cost overruns based on regional prices exceeding estimates and significant change orders from our customer that remain unsigned. We are working closely with our customer and are confident that the change orders will be approved and signed which will lead to a significant reversal in cost, however, we are being conservative in our accounting of the project for the quarter.”
Mr. Olson continued, “Our target markets are increasingly recognizing the outstanding attributes of our PrimePlay Replicated Grass system with all-natural Terrasport infill. The natural feel, cushioning, heat resistance, and carcinogen-free infill materials that are the basis of our technology are attracting interest from athletic directors and facilities managers across the country. We are encouraged by our consistently improving revenues, growing sales pipeline and strong contract backlog. We anticipate a strong sales quarter in Q4 leading us into the next year with an even larger backlog. The gross profit on all projects, excluding our school building project, continue to be strong at 18% year-to-date; which compares to the industry norm, that we believe to be approximately 10% on a project basis. We have made significant changes and improvements to our process guidelines to enhance operational efficiency and project profitability going forward.”
About Sports Field Holdings, Inc.
Sports Field Holdings, Inc., through its wholly owned subsidiary FIRSTFORM, Inc., is a product development, engineering and design-build construction company, engaged in the design, engineering, constructing, and construction management of athletic facilities, and sports complexes. Construction management of sports facilities and synthetic turf sales are the two primary lines of business. These lines of business can be categorized as design, development, and manufacturing of sports surfacing products and associated pre-engineered construction systems.
To learn more about Sports Field Holdings, Inc. please visit http://ir@firstform.com/.
Safe Harbor Statement
Any statements that are not historical facts contained in this press release are "forward-looking statements" as that term is defined under the Private Securities Litigation Reform Act of 1995 (PSLRA), which statements may be identified by words such as "expects," "plans," "projects," "will," "may," "anticipates," "believes," "should," "intends," "estimates," and other words of similar meaning. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the fluctuation of global economic conditions, the performance of management and our employees, our ability to obtain financing or required licenses, competition, general economic conditions and other factors that are detailed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2017 filed with the Securities and Exchange Commission (“SEC”) on April 2, 2018, our Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2018, filed with the SEC on May 15, 2018 and our Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2018, filed with the SEC on August 20, 2018 and in other documents we file with the SEC. We intend that all forward-looking statements be subject to the safe-harbor provisions of the PSLRA.
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Contact: Sports Field Holdings, Inc.
Ed Capko
Investor Relations
815-942-4645