AmeraMex International Reports Corrected Financials for Its Second Quarter Ended June 30, 2022

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CHICO, CA --News Direct-- Ameramex International

AmeraMex International, Inc. (OTCQB:AMMX), a provider of heavy equipment for logistics companies, infrastructure construction, and forestry conservation, reported financial results for its second quarter ended June 30, 2022.

Statement of Operations for the Quarter Ended June 30, 2022

The Company reported revenue of approximately $2.4 million versus revenue of $6.3 million for the comparable 2021 quarter, a 62 percent decrease. Had all the equipment shipped as planned, the Sales of Equipment, and Other Revenues (including rental revenue) would have been $5.4, $900,000 less than the comparable 2021 quarter. This is due in part to a 44 percent reduction in rental revenue. The delays in shipping were caused by back-ordered parts, interstate trucking delays and lack of availability of third-party shippers.

The Company is committed to getting the remaining machines shipped in the third quarter as well as continuing its ongoing sales efforts.

NOTE: The August 15 news release was somewhat confusing as rental revenue was not included in the “what if ” revenue numbers. This has been corrected making easier to compare apples to apples.

Gross profit for the quarter was $420,000, compared to gross profit of $970,000 for the comparable quarter. If all the sold equipment had shipped, gross profit would have been approximately $2.3 million.

Gross profit as a percentage of sales, was 18 percent for the quarter compared to gross profit as a percentage of sales of 15 percent for the comparable quarter. Gross profit, as a percentage of sales, if all sold equipment had shipped, would be 42 percent.

Net income for the quarter was $146,172 compared to net income of $78,000 for the comparable quarter. Prices of equipment have been adjusted to cover increased cost of goods sold and operating costs. Earnings per share were $0.01 for the quarter compared to $0.01 for the comparable 2021 quarter.

Statement of Operations for the Six-Month period June 30, 2022

The company reported revenue of approximately $7.3 million versus revenue of $10.3 million for the comparable 2021 period. The 26 percent decrease in Sales of Equipment and Other Revenues for the six-month period, is due to delays in shipping sold machines to customers. Had all sold machines shipped, Sales of Equipment and Other Revenues (including rental revenue) would have been approximately $10.4 million, $100,000over the comparable six-month period.

Gross profit for the period was $1.7 million compared to gross profit of $2.1 million for the comparable period. If all of the sold equipment had shipped, gross profit would have been $3.5 million.

Gross profit as a percentage of sales, was 23 percent for the period compared to gross profit as a percentage of sales of 21 percent for the comparable period. If the additional equipment had shipped, gross profit as a percentage of sales. would be 34 percent.

Net income for the period was $404,489 compared to net income of $443,879 for the comparable period. Earnings per share were $0.03 for the period compared to $0.03 for the comparable 2021 period. Had all sold equipment been shipped, net income for the six-month period would have been $1.3 million with EPS of $0.08.

Balance Sheet for the Period Ended June 30, 2022

Current Assets rose 33 percent to $11.0 million while Total Assets increased $4.1 million due in part to a $4.2 million increase in Inventory.

Current Liabilities for the period have increased approximately $2.8 million while Total Liabilities increased $3.7 million due in part to a new Line of Credit and lease liability under long-term liabilities – a new GAAP rule for reporting certain lease property.

AMERAMEX INTERNATIONAL, INC.

UNAUDITED STATEMENTS OF OPERATIONS

THREE MONTHS ENDED JUNE 30,

SIX MONTHS ENDED JUNE 30,

2022

2021

2022

2021

REVENUES

Sales of Equipment and Other Revenues

$ 2,015,247

$ 5,656,744

$ 6,600,939

8,902,726

Rentals and Leases

363,301

643,207

729,215

1,426,921

Total Sales

2,378,548

6,299,951

7,330,154

10,329,647

COST OF SALES

Sales of Equipment and Other Revenues

1,799,708

5,140,234

5,352,529

7,753,266

Rentals and Leases

158,008

189,290

307,724

434,246

Total Cost of Sales

1,957,716

5,329,524

5,660,253

8,187,512

GROSS PROFIT

420,832

970,427

1,669,901

2,142,135

OPERATING EXPENSES

Selling Expense

$ 230,064

$ 284,732

$ 553,505

423,921

General and Administrative

233,273

229,927

602,609

474,230

Total Operating Expenses

$ 463,337

$ 514,659

$ 1,156,114

898,151

Profit (loss) From Operations

(42,505)

455,768

513,787

1,243,984

OTHER INCOME (EXPENSE)

Interest Expense, net

(96,374)

(267,975)

(274,131)

(535,032)

Loss from Early Extinguishment of Debt

-

(77,845)

(15,345)

(90,178)

Other Income (Expense)

349,580

764

350,134

10,842

Total Other Income (Expense)

253,206

(345,056)

60,658

(614,368)

INCOME BEFORE PROVISION for INCOME TAXES

210,701

110,712

574,445

629,616

PROVISION for INCOME TAXES

64,529

32,662

169,956

185,737

NET INCOME

$ 146,172

$ 78,050

$ 404,489

$ 443,879

Weighted Average Shares Outstanding:

Basic

14,629,155

14,629,155

14,629,155

14,629,155

Diluted

14,629,155

14,629,155

14,629,155

14,629,155

Earnings (loss) per Share

Basic

$ 0.01

$ 0.01

$ 0.03

$ 0.03

Diluted

$ 0.01

$ 0.01

$ 0.03

$ 0.03

AMERAMEX INTERNATIONAL, INC.

UNAUDITED BALANCE SHEETS

June 30, 2022

December 31, 2021

ASSETS

Current Assets:

Cash

$ 299,754

$ 995,611

Accounts Receivable, Net

1,270,183

1,162,300

Inventory, Net

9,414,871

5,185,864

Other Current Assets

220,353

312,963

Total Current Assets

11,205,161

7,656,738

Property and Equipment, Net

1,457,234

1,275,717

Rental Equipment, Net

1,083,194

1,461,716

Lease Right of Use Asset

828,725

-

Other Assets

358,859

391,330

Total Other Assets

3,728,012

3,128,763

TOTAL ASSETS

$ 14,933,173

$ 10,785,501

LIABILITIES & STOCKHOLDERS' EQUITY

Current Liabilities:

Accounts Payable

$ 2,319,355

$ 560,076

Accrued Expenses

243,984

264,534

Customer Deposits

1,045,078

302,000

Joint Venture Liability

262,293

142,500

Lines of Credit

3,412,441

3,180,968

Notes Payable, Current Portion

626,911

777,601

Lease Liability

129,081

-

Total Current Liabilities

8,039,143

5,227,679

Long-Term Liabilities

Deferred Tax Liabilities, Net

695,060

588,792

Notes Payable, Net of Current Portion

1,815,160

1,689,353

Lease Liability, Net of Current Portion

699,644

-

Total Long-Term Liabilities

3,209,864

2,278,145

TOTAL LIABILITIES

11,249,007

7,505,824

Commitments and Contingencies (Note 11)

-

-

STOCKHOLDERS' EQUITY:

Shareholders' Equity

Preferred Stock, $0.001 par value, 5,000,000 shares authorized, no

-

-

shares issued and outstanding

Common Stock, $0.001 par value, 1,000,000,000 shares authorized

14,629

14,629

14,629,155 shares issued and outstanding at June 30, 2022 and

December 31, 2021

Additional Paid-In Capital

21,600,734

21,600,734

Accumulated Deficit

(17,931,197)

(18,335,686)

Total Stockholders' Equity

3,684,166

3,279,677

TOTAL LIABILITIES & STOCKHOLDERS' EQUITY

$ 14,933,173

$ 10,785,501

-

-

AMERAMEX INTERNATIONAL, INC.

UNAUDITED STATEMENTS OF CASH FLOW

SIX MONTHS ENDED JUNE 30

2022

2021

OPERATING ACTIVITIES:

Net Income

$ 404,489

$ 443,879

Adjustments to reconcile Net Income to

Net Cash provided (used) by Operating Activities:

Depreciation and Amortization

376,013

518,025

Provision (Benefit) for Deferred Income Taxes

106,268

27,613

Marketing Services Paid in Stock

-

46,400

Loss on Early Extinguishment of Debt

$ 15,345

$ 90,178

Amortization of Right of Use Asset

19,406

-

Amortization and Accretion of Interest

$ 10,246

$ 86,135

Change in Assets and Liabilities:

Accounts Receivable

(107,883)

(581,244)

Inventory

(4,229,007)

1,357,966

Other Current Assets

92,610

-$27,925

Accounts Payable

1,759,279

360,258

Customer Deposits

743,078

-

Accrued Expenses

(20,550)

249,991

NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES

(830,706)

2,571,276

INVESTING ACTIVITIES:

Payments for Property & Equipment

(335,596)

(156,502)

Proceeds (Payments) for Rental Equipment

142,281

(416,292)

NET CASH USED BY INVESTING ACTIVITIES

(193,315)

(572,794)

FINANCING ACTIVITIES:

Proceeds from Notes Payable

633,930

2,072,205

Payments on Notes Payable

(657,033)

(2,622,373)

Payment on Note Payable - Related Party

-

(23,908)

Joint Venture Liability

119,793

(69,500)

Net Borrowing (Repayments) Under Lines of Credit

231,474

(1,311,843)

NET CASH PROVIDED (USED) BY FINANCING ACTIVITIES

328,164

(1,955,419)

NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS

(695,857)

43,063

Cash and Cash Equivalents, BEGINNING OF PERIOD

995,611

407,881

Cash and Cash Equivalents, END OF PERIOD

299,754

450,944

CASH PAID FOR:

Interest

273,169

422,505

Income Taxes

800

-

SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING

AND FINANCING ACTIVITIES:

Transfer of Inventory to Rental Equipment

-

508,000

Equipment Financed under Capital Leases

-

187,732

Transfer of Rental Equipment to Inventory

-

964,600

AMERAMEX INTERNATIONAL, INC.

UNAUDITED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)

FOR THE SIX MONTHS ENDED JUNE 30, 2022 AND 2021

Additional

Total

Common Stock

Paid-in

Accumulated

Stockholders'

Balance

Shares

Amount

Capital

Deficit

Equity

December 31, 2020

14,549,155

$ 14,549

$ 21,545,614

$ (19,967,433)

$ 1,592,730

Stock for Services

80,000

80

55,120

-

55,200

Net Income

-

-

-

$ 443,879

443,879

June 30, 2021

14,629,155

$ 14,629

$ 21,600,734

$ (19,523,554)

$ 2,091,809

December 31, 2021

14,629,155

$ 14,629

$ 21,600,734

$ (18,335,686)

$ 3,279,677

Net Income

-

-

-

404,489

404,489

June 30, 2022

14,629,155

$ 14,629

$ 21,600,734

$ (17,931,197)

$ 3,684,166

14,629,155

14,629

21,600,734

(17,931,197)

3,684,166

-

-

-

-

-

About AmeraMex International

AmeraMex International sells, leases and rents heavy equipment to companies within multiple industries including construction, logistics, mining, and lumber. AmeraMex, with a US and international customer base, has over 30 years of experience in heavy equipment sales and service. Follow AmeraMex on Twitter @ammx_intl and visit the AmeraMex website, www.AMMX.net or www.hamreequipment.com for additional information and equipment videos.

Forward-Looking Statements

This press release contains forward-looking statements. All statements other than statements of historical facts included in this press release are forward-looking statements. In some cases, forward-looking statements can be identified by words such as "believe," "expect," "anticipate," "plan," "potential," "continue" or similar expressions. Such forward-looking statements include risks and uncertainties, and there are key factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Investors are encouraged to review the Company’s filings with the Securities and Exchange Commission. Investors should not place any undue reliance on forward-looking statements since they involve known and unknown, uncertainties and other factors which are, in some cases, beyond the Company’s control which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects the Company’s current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to operations, results of operations, growth strategy and liquidity. The Company assumes no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if added information becomes available in the future.

Contact Details

Marty Tullio

+1 949-632-1900

marty@mccloudcommunications.com

Company Website

https://www.ammx.net

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