NEW YORK, Nov. 22, 2011 (GLOBE NEWSWIRE) -- Panache Beverage, Inc. (OTCQB:WDKA.PK), an alcoholic beverage company specializing in the development, global sales, and marketing of spirits brands, today announced results for the third quarter ended September 30, 2011.
Gross revenue for the third quarter increased 750 percent to $526,587, compared with gross revenues of $61,948 for the same three month period in 2010. Gross revenues for the nine months ended September 30, 2011 increased 67 percent to $1,278,622, compared to gross revenues of $765,156 for the same nine month period in 2010. The increase in revenue was primarily due to the Company's success in marketing its products in New York State.
The Company reported a net loss of $695,969 and $1,464,098 for the three and nine months ended September 30, 2011, respectively. Net loss increased by $245,498 or 54%, and by $1,029,951 or 237%, compared to net losses of $450,471 and $434,147 for the three and nine months ended September 30, 2010, respectively. The increase in net loss during the three and nine months ended September 30, 2011 was due to the increase in gross profit insufficiently covering the increase in operating expenses.
"We continue to make strides in marketing our premium, low-priced vodka and are beginning to see improved financial performance as a result of our marketing initiatives," said James Dale, Chief Executive Officer of Panache Beverage, Inc. "We expect to see an increase in sales in 2012, as we have generated $875,000 since the end of the third quarter of 2011. In addition, we believe our customer base will be developed through extending the marketing and sales strategy from New York State to other key regions throughout the US. Unlike traditional growth plans, we must maintain our current marketing philosophy and avoid scaling the business through traditional block and tackle methods employed by the major spirits companies."
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About Panache Beverages, Inc.
Panache Beverage, Inc. based in New York, NY is an alcoholic beverage company specializing in the development, global sales and marketing of spirits brands. The Company's expertise lies in the strategic development and aggressive early growth of its brands establishing its assets as viable and attractive acquisition candidates for the major global spirits companies. Panache intends to build its brands as individual acquisition candidates while continuing to develop its pipeline of new brands in to the Panache portfolio. Panache's existing portfolio contains three brands: Wodka Vodka, Alchemia Infused Vodka, and Alibi American Whiskey.
For more information visit: http://www.panachespirits.com
Safe Harbor
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"). Additionally, words such as "seek," "intend," "believe," "plan," "estimate," "expect," "anticipate" "project" and other similar expressions are forward-looking statements within the meaning of the Act. Some or all of the events or results anticipated by these forward- looking statements may not occur. Factors that could cause or contribute to such differences include the ability of Panache Beverages to attract customers for its services, and to continue developing innovative datacenter optimization solutions. Further information on Panache Beverages' risk factors is contained in its filings with the Securities and Exchange Commission, including the Form 10-KSB for the year ended December 31, 2010 and the Form 10-QSB filed June 30, 2011. Panache Beverages does not undertake any duty nor does it intend to update the results of these forward-looking statements.