Business
Frontera Investment, Inc. Announces August Revenues
Frontera Investment, Inc. Announces August Revenues.
About this update from Frontera Investment Inc
[{"type":"text","content":"September 23, 2009 – Frontera Investment, Inc., (OTC-FRNV) has announced an increase of 31 percent, or $796,700, in revenue for its ten stores in operation for August 2009, up from $610,200 for its six stores in operation for August 2008. Revenues for the eight months ended August 31, 2009 increased 34% to $5,991,000 from $4,456,000. Earnings before interest, taxes, depreciation and amortization (EBITDA) for August 2009 increased 122 percent to $69,900, or $6,990 per store for the ten stores, up from $37,500, or $6,250 per store, for Frontera’s six stores the previous August. \"The performance of our five mature stores, which have either been acquired or have been open for more than a year, continue to record EBITDA over $200,000 per store on an annualized run rate,\" Gil Partida, CEO of Frontera Investment, Inc., said. \"In addition to the terrific performance of these mature stores, the newer stores are doing well, but will continue to negatively impact total average store EBITDA until they reach maturity.\" Frontera Investment Inc.’s primary target market, the Hispanic market, is currently estimated at 40 million customers. Over half of those consumers do not use any form of banking service. In addition, of all the households in the United States, approximately 35 percent either do not use a banking service or they use alternative financial services, positioning Frontera Investment, Inc. as a prime option for consumers in those markets. Frontera currently operates 10 stores in California. The company is currently in the process of raising capital to acquire and open two additional stores in Southern California during calendar year 2009. Forward-Looking Statements:Such forward-looking statements are subject to a number of risks, assumptions and uncertainties that could cause the Company's actual results to differ materially from those projected in such forward-looking statements. These risks, assumptions and uncertainties include the ability to complete expansion within currently estimated time frames and budgets; the ability to compete effectively in a rapidly evolving and price competitive marketplace; ability to raise capital to support its growth strategy; changes in business strategy; and the successful integration of newly acquired bu...