MEMPHIS, Tenn., Aug. 27, 2012 (GLOBE NEWSWIRE) -- Dynamic Energy Alliance Corporation (OTCQB:DEAC) today announced fiscal year 2012 second quarter and six-month financial results.
Total revenue for the Company's second quarter ended June 30, 2012 was $103,776 compared to $1,493,342 reported during the second quarter ended June 30, 2011. The Company's revenue is attributable to commissions generated from contracted services provided by one of the Company's subsidiaries.
Operating expenses for the second quarter 2012 totaled $372,714 and were comprised of $31,593 in project development costs, $155,500 in consulting services and $185,621 in general and administrative expenses. Other expenses during the second quarter included $4,834 in interest expenses. The Company's net loss for the second quarter ended June 30, 2012 was $(273,772), or $(0.00) per share, basic and fully diluted, based on the weighted average number of 81,304,504 Common shares outstanding, compared to net income for the quarter ended June 30, 2011 of $761,072.
Total revenue for the first six months of the Company's fiscal year 2012 was $405,479, compared to $1,493,342 reported during the first six months of the Company's prior fiscal year. The Company reported a net loss of $ (512,487), or $(0.01) per share, basic and diluted, for the first six months of fiscal year 2012 versus net income of $292,100, or for the first six months of fiscal year 2011.
Charles R. Cronin, Jr., Chairman of Dynamic Energy Alliance Corporation, stated: "Our revenues for the first six months of 2012 decreased, compared to the same period in 2011, due to the completion of service agreements not directly related to the Company's long-term recoverable energy plans. Separately, we reduced operating expenses in the second quarter 2012 by almost 29%, from $523,465 to $372,714, over the previous quarter, due in part to the reduction of ongoing contractual obligations. All these changes have been in the making for the past 12 months as we move closer toward our long-term plan of building the Company's first fully-operational Energy Campus in Ennis, Texas."
For more information, please refer to the Company's current Form 10-Q filed with SEC on August 20, 2012.
About Dynamic Energy Alliance Corporation
Dynamic Energy Alliance Corporation (DEAC), www.dynamicenergyalliance.com, is a development stage energy and recycling company focused on identifying, combining and enhancing existing technologies with proprietary recoverable production and finishing processes to produce synthetic oil, carbon black, gas, and carbon steel from waste feedstock. This process is expected to be accomplished with limited residual waste product and significant reductions in greenhouse gases compared to traditional processing. To maximize this opportunity, the Company has developed a scalable, commercial development strategy to build "Energy Campuses" with low operational costs and long-term, recurring revenues.
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Forward-Looking Safe Harbor Statement:
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future. Forward-looking statements speak only as of the date they are made, are based on various underlying assumptions and current expectations about the future. We caution readers that any forward-looking statements are not guarantees of future performance and that actual results could differ materially from those contained or implied in the forward-looking statements. Such forward-looking statements include, but are not limited to, statements about the transactions described herein, future financial and operating results, the combined company's plans, objectives, expectations and intentions and other statements that are not historical facts. In some cases, you may identify forward-looking statements by words such as "may," "should," "plan," "intend," "potential," "continue," "believe," "expect," "predict," "anticipate" and "estimate," the negative of these words or other comparable words. These statements are only predictions. One should not place undue reliance on these forward-looking statements. The forward-looking statements are qualified by their terms and/or important factors, many of which are outside the Company's control, involve a number of risks, uncertainties and other factors that could cause actual results and events to differ materially from the statements made. The forward-looking statements are based on the Management's beliefs, assumptions and expectations about the Company's future performance and the future performance of its subsidiaries, taking into account information currently available to the Company. These beliefs, assumptions and expectations can change as a result of many possible events or factors not all of which are known to the Company. The Company will update this forward-looking information only to the extent required under applicable securities laws. Neither the Company nor any other person assumes responsibility for the accuracy or completeness of these forward-looking statements.
For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the Commission are available from commercial document retrieval services and at the website maintained by the Commission at www.sec.gov.
| DYNAMIC ENERGY ALLIANCE CORPORATION | ||
| (Formerly MAMMATECH CORPORATION) | ||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||
|
As of June 30, 2012 |
As of December 31, 2011 |
|
| (Unaudited) | ||
| ASSETS | ||
| Current | ||
| Cash | $ 570 | $ 7,652 |
| Accounts receivable | 683 | -- |
| Total Assets | $ 1,253 | $ 7,652 |
| LIABILITIES | ||
| Current | ||
| Accounts payable and accrued expenses | $ 274,812 | $ 159,252 |
| Accounts payable to related parties | 108,863 | 46,863 |
| Income taxes payable | 3,500 | 15,500 |
| Loans payable to a related party | 110,582 | 89,584 |
| Contingent consideration payable | 1,015,944 | 996,414 |
| Total Liabilities | 1,513,701 | 1,307,613 |
| STOCKHOLDERS' DEFICIT | ||
| Authorized: | ||
| Preferred stock, Series A convertible : 50,000,000 shares authorized, par value: $0.0001 (Note 1 below.) | ||
| Common stock: 300,000,000 shares authorized, par value: $0.00003 (Note 1 below.) | ||
| Issued and Outstanding: | ||
| Preferred stock: 7,732,824 shares | 773 | 773 |
| Common stock: 81,304,504 shares | 2,710 | 2,710 |
| Additional paid-in capital (Note 2 below) | 3,942,165 | 3,642,165 |
| Accumulated deficit | (5,458,096) | (4,945,609) |
| Total Stockholders' Deficit | (1,512,448) | (1,299,961) |
| Total Liabilities and Stockholders' Deficit | $ 1,253 | $ 7,652 |
| (1) The capital accounts of the Company have been retroactively restated to reflect the equivalent number of common shares based on the exchange ratio of the merger transaction in determining the basic and diluted weighted average shares. | ||
| (2) The March 9, 2011 capital accounts of the Company have been retroactively restated to reflect the equivalent number of common shares based on the exchange ratio of the merger transaction. | ||
| DYNAMIC ENERGY ALLIANCE CORPORATION | ||||
| (Formerly MAMMATECH CORPORATION) | ||||
| UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS | ||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||
| 2012 | 2011 | 2012 | 2011 | |
| Revenue | $ 103,776 | $ 1,493,342 | $ 405,479 | $ 1,493,342 |
| Cost of revenue | -- | -- | -- | -- |
| Gross profit | 103,776 | 1,493,342 | 405,479 | 1,493,342 |
| Operating expenses | ||||
| Project development costs | 31,593 | -- | 180,984 | 15,210 |
| Consulting services | 155,500 | 68,078 | 411,000 | 446,078 |
| General and administrative expenses | 185,621 | 157,872 | 304,195 | 233,634 |
| 372,714 | 225,950 | 896,179 | 694,922 | |
| Net operating (loss) income | (268,938) | 1,267,392 | (490,700) | 798,420 |
| Other expenses | ||||
| Interest expense | 4,834 | -- | 21,787 | -- |
| Income (loss) before provision for income tax | (273,772) | 1,267,392 | (512,487) | 798,420 |
| Provision for income tax | -- | 506,320 | -- | 506,320 |
| Net (loss) income | $ (273,772) | $ 761,072 | $ (512,487) | $ 292,100 |
| Basic and fully diluted income (loss) per share | $(0.00) | $ 0.01 | $ (0.01) | $ 0.01 |
| Weighted average number of common shares outstanding – basic and diluted (Note 1) | 81,304,504 | 77,882,034 | 81,304,504 | 48,791,580 |
| (1) The capital accounts of the Company have been retroactively restated to reflect the equivalent number of common shares based on the exchange ratio of the merger transaction in determining the basic and diluted weighted average shares. | ||||