DELRAY BEACH, Fla., Nov. 19, 2010 /PRNewswire-FirstCall/ -- Pet Airways, Inc. (BULLETIN BOARD: PAWS) , the world's first airline designed specifically for the comfortable, efficient and safe transportation of pets, reported results for its third quarter and nine-months ended September 30, 2010.
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Dan Wiesel, Chairman and CEO of Pet Airways, said, "Our revenues in the first nine months of 2010 illustrate the growth we are seeing in our business. We have flown over 3,000 pets so far this year and ended the quarter with record bookings.
We believe that our recently initiated public relations campaign, which has resulted in high profile media coverage and other positive exposure, along with our recent launch of a special pet breeders program at the AKC Breeders show, one of the largest breeder shows in the nation, will strengthen our brand awareness. We are also very excited about our new strategic business and marketing alliance with PetMate, the originator of airline approved carriers. We continue to explore non-traditional ways of increasing our brand awareness, such as our inclusion as the highlighted new company for an educational DVD supplement to a business school textbook by Wiley & Sons."
Mr. Wiesel concluded, "As we near the completion of the year, we continue to seek new opportunities to increase our brand awareness and strengthen our business."
Third Quarter Financial Results
Revenue for the third quarter of 2010 was $356,000, compared to $188,000 in the third quarter of 2009. Net loss for the third quarter 2010 was $2,170,746 or $(0.06) per share, compared to net loss of $(685,000), or $(0.03) per diluted share in the third quarter 2009. Net loss for the third quarter 2010 included $885,000 of non cash stock based compensation expense to a non employee.
Nine Months Ended September 30, 2010 Financial Results
For the first nine months of 2010, revenue was $873,000, compared to $247,000 for the first nine months of 2009. Net loss for the first nine months of 2010 was $(2,637,000) or $(0.08) per diluted share, compared to net loss of $(787,000), or $(0.03) per share in the first nine months of 2009. Net loss for the first nine months of 2010 included $885,000 of non cash stock based compensation expense to a non employee.
Wiesel continued "The additional financing will allow us to invest in the business and execute our plans to expand the PetAirways franchise and further solidify our position as a leader in the market"
Forward-Looking Statements
This press release includes statements that may constitute "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts, including, without limitation, statements regarding future financial position, business strategy, budgets, projected sales, projected costs, and management objectives, are forward-looking statements. Terminology such as "may," "will," "expects," "intends," "plans," "projects," "estimates," "anticipates," or "believes" or the negative thereof, any variation thereon or similar terminology are intended to identify forward-looking statements. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially and adversely from the results proposed in such statements. Important factors that could cause actual results to differ from our expectations include, but are not limited to: the costs and availability of financing; our ability to maintain adequate liquidity; our ability to execute our business plan; our ability to control costs; our ability to attract and retain customers; transportation demand; general economic conditions; costs of aviation fuel; competitive pricing pressures; governmental regulation; weather conditions; and statements of assumption underlying any of the foregoing, as well as other factors set forth under the caption "Risk Factors" in the Form 8-K filed with the Securities and Exchange Commission on August 16, 2010 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by the foregoing cautionary statements. We assume no duty to update or revise our forward-looking statements based on changes in our expectations or events after the date hereof.
About Pet Airways, Inc.
Pet Airways is the first airline specifically designed for the safe and comfortable transportation of pets. Pet Airways' pawsengers(TM) travel in the specially equipped main cabin of its planes - where pets are continuously monitored by an In-Flight Pet Attendant and the climate is controlled for maximum pet comfort. With Pet Airways, pet parents can be assured their animals will be treated with tender, loving care throughout the journey. The airline launched flight operations in 2009 and currently serves coast-to-coast destinations across the United States, including Los Angeles, Phoenix, Denver, Omaha, Chicago, Baltimore, New York, Atlanta and Ft. Lauderdale.
For more information, go to http://www.petairways.com/ - Tables Follow - PET AIRWAYS, INC CONSOLIDATED BALANCE SHEET ($) September 30, December 31, 2010 2009 ---- ---- (Unaudited) Cash $364,128 $171,256 Certificates of deposit 8.964 Total current assets 373,092 171,256 Property and equipment, net 81.808 57,731 Intangibles, net 11,600 11,600 Other long term assets 31,766 19,600 Total assets $525,581 $260,187 ======== ======== Accounts payable and accrued expenses $132,520 $89,175 Other current liabilities 116,309 94,616 Total current liabilities 248,829 183,791 Debenture, net of discount 1,305,481 - Total liabilities 1,554,310 183,791 Shareholders' equity (1,028,729) 76,396 ---------- ------ Total liabilities and shareholders' equity $525,581 $260,187 ======== ======== PETAIRWAYS, INC CONSOLIDATED STATEMENT OF OPERATIONS ($000's, except share data) (Unaudited) Three months ended Nine months ended September September September September 30, 30, 30, 30, 2010 2009 2010 2009 ---- ---- ---- ---- Revenue $356 188 $873 $247 Cost of revenue 591 451 1,107 452 --- --- ----- --- Gross profit (235) (263) (235) (204) Sales, general and administrative expenses 1,862 422 2,327 575 Income (loss) from operations (2,097) (685) (2,561) (779) ------ ---- ------ ---- Interest expense, net and other (74) - (75) (8) Income (loss) before provision of income taxes (2,171) (685) (2,637) (787) Provision for income taxes - - - - Net Income (loss) $(2,171) $(685) $(2,637) $(787) ------- ----- ------- ----- Net Income (loss) per share: Basic $(0.06) $(0.03) $(0.09) $(0.03) Diluted $(0.06) $(0.03) $(0.08) $(0.03) ------ ------ ====== ====== Shares used in per share calculations: Basic 34,244,506 25,308,558 30,843,566 24,129,809 Diluted 37,187,676 25,308,558 31,876,566 24,129,809 ========== ========== ========== ==========
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Pet Airways, Inc.
CONTACT: Investor Relations, +1-408-248-6000 ext 198, ir@petairways.com
Web Site: http://www.petairways.com/
