Profire Energy, Inc. (NASDAQ:PFIE) Expecting A Tough 2016 Fiscal Year

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Dallas, Texas 07/02/2015 (Financialstrend) – Profire Energy, Inc. (NASDAQ:PFIE) had a record year in 2015 seen by massive improvements on the operations and earnings front. Revenues for the fiscal year were up by 45% as gross profits grew by 36% to come in at $27.2 million.

Revenues for the year were up thanks to increased equipment purchasing activity in the oil and gas fields. During the year, Profire Energy, Inc. (NASDAQ:PFIE) increased its sales and service personnel.  Cash and cash equivalent for the fiscal year more than tripled to $14.1 million compared to $4.5 million a year ago.

CEO, Brenton Hatch, attributes the impressive earnings to the company’s ability to develop products that continue to set the pace in the industry. Profire Energy, Inc. (NASDAQ:PFIE) provides energy production companies with products that ensure safe and efficient transportation of oil and natural gas.

The company had a stellar quarter despite facing a difficult environment marred by a plunge in oil and gas prices. Profire Energy, Inc. (NASDAQ:PFIE) remains well positioned to manage through the downturn according to the CEO.  The company has no debt at the moment as most companies in the energy sector continue to struggle as the drop in oil prices continues to take a toll on business operations in the sector.

Strategic Investments and Cost Reductions

Profire Energy, Inc. (NASDAQ:PFIE) had $18.1 million in cash reserves as of the end of the 2015 fiscal year which gives it a lot of options going forward.  Strategic investments, as well as cost reductions plans, are in place as the company tries to improve its operational leverage.

Profire Energy, Inc. (NASDAQ:PFIE) expects a difficult F2016 based on the current market environment. The company has consequently issued a guidance of $25-$30 million on revenues and a net income of between $ 1 and $2 million. However, sales should pick up in the second half of the year. Expansion of the Utah warehouse should increase the company’s efficiency and scalability of product inventory.

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