Business
The Marketing Alliance Announces Financial Results for Its Fiscal 2017 Second Quarter and Six Months Ended September 30, 2016
The Marketing Alliance Announces Financial Results for Its Fiscal 2017 Second Quarter and Six Months Ended September 30, 2016.
About this update from Marketing Alliance, Inc. (the)
[{"type":"text","content":"\n \n The Marketing Alliance, Inc. (OTC:MAAL) (“TMA”), today announced \n financial results for its fiscal 2017 second quarter and six months \n ended September 30, 2016.\n \n \n Mr. Timothy M. Klusas, TMA’s Chief Executive Officer, stated, “We were \n pleased with our performance for the quarter despite two major \n detractors to our financial results. As we have previously stated, we \n proactively adjusted our deferred first year commission estimates for \n Genworth as this future business will decline as new policies (and \n future commissions) are not generated due to Genworth’s announcement \n last March to cease all new life insurance and annuity product sales. \n Also as previously mentioned, the net effect of this adjustment is \n decreases each month of approximately $30,000 each month of gross \n profit, or approximately $90,000 this quarter and $180,000 in the first \n six months of this fiscal year which are the net effect of adjustments \n to both commission revenues and bonus and commission expenses. Second, \n the weakness and cyclical nature (bottom of the cycle) of the end \n agricultural markets in the construction / land improvement business \n affected our ability to find and complete profitable projects, \n especially compared to prior year periods and prior years. The \n difference in gross profit for the construction business was a decrease \n of approximately $254,000 for the six month period versus the prior \n year, of which approximately $210,000 was in this quarter versus the \n prior year period. We have continued to seek new end markets and ways to \n improve the operating efficiency for each part of the Company, given the \n operating environment of each respective business, and we remain \n committed to growing each of line of our business.” Mr. Klusas provided \n additional details below on each of the Company’s operations for the \n second quarter of the fiscal 2017 year:\n \n \n \n Insurance Distribution Business: “We continue to work with our \n current carriers and last quarter announced the addition of two new \n carrier relationships with John Hancock and One America. While we \n anticipated the decrease in our new insurance sales as our \n distributors adjust to new product offerings, the process is often \n drawn out as carriers come off li...