Business
AFS announces fivefold growth in sales of engine management systems in Q1 - 2010
AFS announces fivefold growth in sales of engine management systems in Q1 - 2010
About this update from Arctic Fox Lithium Corp
[{"type":"text","content":"\n\n\n\n May 5, 2010 (Canada NewsWire Group) -- Alternative Fuel Systems (2004) Inc. ("AFS" or the "Company") (TSX Venture: AFX) announced today its operating results for the three month period ended March 31, 2010. Total revenue from product sales, engineering and interest was $540,751 compared to $665,993 in the quarter ended March 31, 2009. Loss for the period was $67,428 compared to a loss of $107,315 reported in the same period of 2009.\nAFS President and CEO Jim Perry stated "We are starting to see the results of our concentrated efforts to grow sales of engine management systems. Sales of that product line in the first quarter of 2010 were up by more than five times compared to the same period of 2009. In addition, sales of fuel injectors almost tripled in the first quarter of 2010 compared to those recorded in the same period of last year. One of the major changes to our balance sheet in this quarter was a significant growth in inventory of both engine management system and injector parts. Total inventory grew from under $700,000 to about $1 million, an increase of approximately 48%. We have undertaken this buildup in inventory as a result of anticipated sales later this year, as well as long lead times that we are seeing for both electronic components and fuel injector parts".\nMr. Perry added that "The loss we recorded in the first quarter of 2010 was smaller than that recorded in the first quarter of 2009 despite revenue being lower by about $125,000. The difference this year was the increased sales of engine management systems, which generally result in higher margins. In the first quarter of 2009, when pressure regulator sales dropped as a result of the previously announced cessation of production of the European vehicle that used AFS products, we decreased production staff by 7 people. This year, we have increased our staff by converting a part-time production position into full time. Although that is a small first step, it is needed to address the increased business we anticipate for the remainder of 2010".\n\nForward-looking statements\n\nCertain statements in this News Release including but not limited to (i) statements that may contain words such as "anticipate", "could", "expect", "seek", "may", "might", "i...