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Aug. 20, 2012 /PRNewswire/ -- MWW Automotive Group (OTCQB: MWWC), a global design, engineering, and manufacturing firm serving some of the world's leading automotive and industrial manufacturers, today issued its financial report for the Third Fiscal Quarter 2012, ending on
June 30, 2012. The full text of the Company's 10-Q Report can be reviewed on the Company's web site at
www.mwwautomotive.com in the investor relations section, or at the SEC website
"As expected, our third quarter revenues for 2012 still do not appropriately reflect our current recovery mode status," states Michael Winzkowski, Chairman of Marketing Worldwide Corp. "As we have mentioned in our last press release, our team, led by our CEO
Chuck Pinkerton, is meeting the recent changes in MWW's market and client roster head-on. Since the partial loss of our Toyota business, Chuck has made significant progress in securing new business, streamlining and expanding production, significantly reducing operating expenses throughout the Company and we have commenced with the production of several new automotive programs. Nevertheless, third quarter performance did not met our expectation yet, and at the end of the quarter we still had not reached the stage of revenue recovery that we had anticipated. On a month to month comparison though, we have seen good improvement of revenues in June and July over the two months before. We have been awarded several new projects in addition to our ongoing programs and believe that we now have a firmer grip on our new projects, expected revenues and the time lines involved. We expect our recovery and the associated financial performance improvement to take hold during the latter part of 2012 and beginning of 2013, with a return to profitability at the end of 2013, assuming sufficient and timely funding of current operations and start-up cost associated with newly awarded projects."
Chuck Pinkerton, CEO of MWW continues: "We are now in full production on the Mazda MX5, Ford Mustang and Ford F150 with revenues hitting in the first quarter of 2013 and are also in final pre-production for our industrial program. Unfortunately, our automotive and industrial partners' engineering and pre-production process and their commitment to producing only the highest quality products has been more complex and time consuming than initially anticipated by them. Consequently, this has delayed the original launch dates of several new automotive and industrial projects for MWW and distorted our First and Second Quarter financial results drastically. Once all awarded programs have commenced with production, we expect these programs to provide consistently increasing revenues for the months and years ahead. This should also allow us to avoid further constraining debt financing and reduce share dilution going forward. Consequently, and in combination with our radical cost down exercises, we should not only improve revenues, but also improve gross margins and return the Company to profitability towards the end of 2013.
"The entire MWW team is absolutely committed to making the rest of 2012 the beginning of the turn-around for MWW. We do expect that we will improve upon our second and third quarter performance beginning in the Fourth Quarter 2012 and the subsequent quarters ahead and to return to profitability during 2013."