12/02 – LTNC Labor SMART, Inc. Reports Record Revenues of $1,697,123 for the Month of November 2013
Company Surpasses $15 Million in Year to Date Revenues
HIRAM, GA–(Marketwired – Dec 2, 2013) – Labor SMART, Inc. (OTCQB: LTNC) (the “Company”) an emerging provider of on-demand temporary labor is pleased to announce record revenues of $1,697,123 for the month of November 2013. This compares to revenues of $784,354 in October 2012, representing a 116% increase in revenues on a year over year comparison for the same period.
Labor SMART also reports YTD revenues of $15,225,924 as of November 29, 2013.
Ryan Schadel, Labor SMART’s CEO, stated, “We are very pleased with our production numbers during the month of November. Our established branches continue to outperform and the expansion branches opened this year are building a solid customer base, setting them up for equally impressive revenue growth opportunity in 2014.” http://finance.yahoo.com/news/labor-smart-inc...00897.html
11/27 – LTNC set an all- time record volume day today of 253,000 shares traded and closing at high of day +30.4%
Today’s 11/27 Action!
LTNC Labor SMART, Inc. Provides Shareholder Update
Labor Smart (QB) (OTCBB:LTNC)
Today : Wednesday 20 November 2013
Labor SMART, Inc. Provides Shareholder Update
Company Experiences Continued Record Revenues and Increased Gross Margins
HIRAM, GA–(Marketwired – Nov 20, 2013) - Labor SMART, Inc. (OTCQB: LTNC) (the “Company”) is pleased to recap third quarter and Year-To-Date progress and results.
As previously reported in the Company’s 3rd quarter filing with the SEC, Labor SMART, Inc. produced revenues of $5,345,172 which reflected a 148% increase in revenues on a year over year comparison. Additionally, same branch operations with at least one year of maturity saw an aggressive 86% increase in revenue production on the same year over year comparison. Year-To-Date for the first nine months of 2013 realized $11,886,084 in revenues reflecting a very impressive increase of 136% .
Equally impressive, the Company saw gross margins improve by 12.79% in the 3rd quarter going from 15.09% in Q2 2013 to 17.02%. The company expects this trend to continue over the long term as they implement their strategic growth plan which projects the Company to hit a target of 22% gross margins by year end 2014 .
The Company has also seen a 150% increase in branch expansion going from 6 to 15 branches in 2013 and an explosive increase in their client base.
Of the company’s operating loss of $166,786 in Q3, approximately $69,000 was attributed to stock based compensation to employees and approximately $43,000 was depreciation and amortization. The Company ended their Q3 with approximately $238,000 in unrestricted cash.
The Company is also pleased to announce that this week Labor SMART has elected to prepay two Convertible Promissory Notes issued May 17, 2013 and May 20, 2013 for the principle amounts of $101,000 and $63,000 respectively.
In other related news, Labor SMART has for the last year, been participating in the Work Opportunity Tax Credit Program, which provides the Company with tax credits for employing veterans and economically challenged individuals. The Company was recently given notification and expects to receive its first tax credits from this program in Q4 2013. The company believes these credits will be needed to offset taxes on future profits, thereby reducing their effective tax rate and increasing Net Income as they reach their desired scale and become profitable. The Company is a proud participant in this program and has always recruited veterans whenever possible. Credits earned under this program can be carried forward for up to 20 years.
Ryan Schadel, Labor SMART’s CEO, stated, “We are very pleased with our Q3 results. As predicted, we saw consistent and substantial increases in our revenue production and gross margins. This further enhances our belief in our strategic growth plan and its ability to show exponential growth and eventual profitability.” He also stated, “We now look forward to focusing on our growth plan for 2014 and expect to see the same growth patterns with continued increases in gross margins and asset accumulation. Additionally, we are moving forward with our previously stated plans to prepare for an eventual up-listing to a national exchange. Part of this plan will require developing acceptable internal controls and an independent Board of Directors. Our auditors have determined that our previous board makeup could not be confirmed as independent. Labor SMART intends to fill the recently vacated board position with an independent, outside director. I expect to announce the appointment of our first outside, independent board member in the near future.”
LTNC .23 10Q out: LABOR SMART, INC. http://biz.yahoo.com/e/131118/ltnc10-q.html
Some Highlights
At September 30, 2013, we were operating 15 branches located in 9 states.
At September 30, 2012, we had 6 branches and at September 30, 2013, we had 15 branches. The increase in branches was due to three branches added through acquisition and six branches added through organic growth. For the six branches in place at September 30, 2012, revenue increased by 86% for the three months ended September 30, 2013 when compared to the same period in 2012.
That’s 86% same store sales growth vs Q3 last year!
Revenue for the three months ended September 30, 2013 was $5,345,172 as compared to $2,152,243 for the three months ended September 30, 2012. An increase for the three months ended September 30, 2013 of $3,192,929 or 148% .
Revenue for the nine months ended September 30, 2013 was $11,886,084 as compared to $5,046,283 for the nine months ended September 30, 2012. An increase for the nine months ended September 30, 2013 of $6,839,801 or 136% .
Today’s 11/27 Action!
Rarely do we come across a stock that not only is undervalued but is also in the right sector at the right time with the initiation of Obamacare in 2014.
Recently, there has been a sudden influx of positive articles regarding temporary labor as the temporary help service industry continues to grow and reach record highs in 2013. The industry is also experiencing a steady interest as companies begin to prepare for the Affordable Care Act or Obama Care which is now law and slated to begin in 2014. This substantiates Labor SMART’s belief that they have strategically positioned themselves to take advantage of the current trend and continued industry growth, through their aggressive growth strategies which are currently being implemented.
LTNC Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. Our clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide a reliable, dependable, and flexible resource for on-demand personnel to small and large businesses. Every day we provide manpower for jobs in construction, manufacturing, hospitality, events, restoration, warehousing, retail, disaster relief and more. As one of the fastest growing temporary labor providers, our goal is to become a nationwide resource and partner for our clients. We take pride in the belief that we can make a positive impact each and every day for the benefit of both our client and our temporary employees. Our mission is to be the provider of choice to our growing community of customers, with a service focused approach, that positions us as a resource and partner for their business.
30 Day LTNC Chart
Industry related Articles
When the payroll report was released last month, the world finally noticed what we had been saying for nearly three years: that the US was slowly being converted to a part-time worker society. This slow conversion accelerated drastically in the last few months, and especially in June, when part time jobs exploded higher by 360K while full time jobs dropped by 240K. In July we are sad to report that America’s conversation to a part-time worker society is not “tapering”: according to the Household Survey, of the 266K jobs created (note this number differs from the establishment survey), only 35% of jobs, or 92K, were full time. The rest were… not.
http://www.zerohedge.com/news/2013-08-02/obam...-part-time
“We Have Become a Nation of Hamburger Flippers”: Dan Alpert Breaks Down the Jobs Report: http://finance.yahoo.com/blogs/daily-ticker/b...31220.html
Temp staffing jobs hit record as firms dodge ObamaCare costs: http://news.investors.com/politics-andrew-mal...htm?p=full
LTNC daily volume has been increasing daily and we expect could soon be attractive for Institutional investors.
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