SAN CLEMENTE, Calif., Feb. 21, 2013 /PRNewswire/ -- ePunk, Inc. (PINK SHEETS: PUNK), an online power sports retailer and penny auctioneer, today announced financial results for the fiscal year ended September 30, 2012, as filed with the Securities and Exchange Commission.
In reporting the year-over-year comparison for financial results below, please note that the Company entered into a "reverse merger" with Punk Industries, Inc. on June 30, 2011, and that the discussion below relates to the operations of Punk Industries Inc., which was incorporated in February 25, 2011. As such, the prior fiscal year results do not reflect a full 12-month period.
For the fiscal year ended September 30, 2012, revenues were $1.96 million, compared to $354 thousand for the February 25 through September 30, 2011 period, with cost of sales of $1.69 million, and $315 thousand, respectively. Gross profit for the fiscal year ended September 30, 2012 was 13.9%, compared to 11.1% for the February 25 through September 30, 2011 period, an increase in gross margins of 2.8%.
Excluding stock compensation expense, total operating expenses for fiscal year ended September 30, 2012 were $816,293 compared to $108,918 during the seven months ended September 30, 2011. The primary factor causing higher operating expenses was the ramping up of operations to support increasing sales.Net loss for the fiscal year ended September 30, 2012 was $1.07 million, or $(0.018) per common share, compared to a net loss of $74 thousand for the seven month period ended September 30, 2011. About ePunk: Based in San Clemente, California, ePunk, Inc. is a leading distributor, which through its County Imports brand and online store, offers competitively priced power sports products serving North American to consumers. ePunk also owns and operates BidPunk.com, an outdoor lifestyle-focused penny auction. For more information about ePunk, or any of its online businesses, go to www.epunkinc.com, www.countyimports.com or www.bidpunk.com. Forward-Looking Statements This release contains forward-looking statements, including, without limitation, statements concerning our business and possible or assumed future results of operations. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons including: our ability to continue as a going concern, adverse economic changes affecting markets we serve; competition in our markets and industry segments; our timing and the profitability of entering new markets; greater than expected costs, customer acceptance of our products or difficulties related to our integration of the businesses we may acquire; and other risks and uncertainties as may be detailed from time to time in our public announcements and SEC filings. Although we believe the expectations reflected in the forward-looking statements are reasonable, they relate only to events as of the date on which the statements are made, and our future results, levels of activity, performance or achievements may not meet these expectations. We do not intend to update any of the forward-looking statements after the date of this document to conform these statements to actual results or to changes in our expectations, except as required by law. There is no assurance that a definitive agreement will be completed.