Toronto, Ontario–(Newsfile Corp. – November 30, 2018) – Gunpowder Capital Corp. (CSE: GPC) (CSE: GPC.PR.A) (OTCQB: GNPWF) (FSE: YS6N), (the “Corporation”) released today a summary of its financial results for the Three & Nine months ended September 30th, 2018. Key highlights include:
- Total Revenue decreased to $ 159,981 CDN in Q3 2018 from $ 680,501 CDN in Q3 2018, representing a decrease of 76.5%.
- Total Revenue for the Nine months ended September 30, 2018 decreased to $ 803,774 CDN from $ 1,029,876 CDN for the Nine months ended September 30, 2018, representing a decrease of 22%.
- Total Assets increased to $ 8,052,915 CDN in Q3 2018 from $ 7,739,972 CDN in Q3 2017, representing an increase of 4%.
- Net loss was -$ 313,589 CDN in Q3 2018 vs. a profit of $ 295,862 CDN in Q3 2017, representing a decrease of 206%.
- Fully Diluted EPS was (-$0.02) for Q3 2018 vs. $0.00 for Q3 2017.
The Corporation’s Unaudited Consolidated Financial Statements and Management’s Discussion and Analysis for the Three & Nine months ended September 30th, 2018 have been posted on the Corporation’s SEDAR profile page which can be viewed by visiting www.sedar.com and on the Corporation’s website, which can be viewed by visiting www.gunpowdercapitalcorp.com.
Mr. Frank Kordy Stated: “Q3 of 2018 in comparison to Q3 of 2017 looks as if there was a regression however it should be noted that the revenue spike that occurred in Q3 of 2017 was heavily driven by the successful completion of one of our ‘go public’ assignments, and while we continue to build out recurring revenues, these large gains tied to our ‘go public’ assignments are expected to continue, and will add large quarterly spikes in revenue and profit when the ‘go public’ assignments are completed. With the removal of the revenue generated from the completed Q3 2017 ‘go public’ assignment, the Q3 2017 and Q3 2018 totals are fairly in-line with each other.”
Mr. Frank Kordy Added: “We are currently working on completing two ‘go public’ assignments which we anticipate will be completed in the near future. The first assignment we expect will be completed at some point towards the end of December 2018, however this assignment could carry over to the beginning of January 2019. Once this assignment is completed, Gunpowder will own approximately eight percent of the entity and we anticipate that the valuation of our ownership stake in this entity will be similar to the valuation that was recorded for our ‘go public’ client we recorded in Q3, 2017. The Second assignment, once successfully completed, is expected to increase the valuation of our current investment in that entity. As a result, we are anticipating a similar spike in revenue that occurred in Q3 of 2017 to occur again in either this current quarter, or in Q1 of 2019.”
About Gunpowder Capital Corp.
Gunpowder Capital Corp., is a merchant bank and advisory services firm based in Toronto, Ontario, Canada. Gunpowder invests in both publicly traded and private businesses that have successful management teams and attractive economic models. Gunpowder partners with these businesses to support their growth initiatives with its proven methodology of appropriate financing and structured exits. Gunpowder offers debt financing, including mezzanine and bridge loans, equity financing and advisory services. Gunpowder is also building a portfolio of companies in which it takes a long term position and view. For more information please visit www.gunpowdercapitalcorp.com
For further information please contact:
Mr. Frank Kordy
CEO & Director
Gunpowder Capital Corp.
T: (647) 466-4037
Mr. Paul Haber
Gunpowder Capital Corp.
T: (416) 363-3833
Information set forth in this news release may involve forward-looking statements under applicable securities laws. The forward- looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such. Neither CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE accepts responsibility for the adequacy or accuracy of this release. We seek safe harbor.
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