ALBUQUERQUE, NM–(Marketwired – Aug 13, 2015) – Enerpulse Technologies (OTCQB: ENPT) manufacturer of PulstarĀ® spark plugs, announced today its financial results for the second quarter ended June 30, 2015.

Second Quarter Highlights

  • Sales revenue is up 11.9% for the second quarter.
  • Sales revenue is up 12.6% year to date through June 30th.
  • Gross profit is up 318% for the second quarter.
  • Gross Profit is up 477% year to date through June 30th.
  • Margins improved over prior year same period to 40.9% for second quarter.

Corporate Update for Second Quarter Ended June 30, 2015:

“The second quarter was very successful for Enerpulse Technologies,” commented Joe Gonnella, Chief Executive Officer of Enerpulse Technologies, “We strengthened our commercial organization with hiring Matt Ingram as Vice President of Sales, initiated a very effective marketing initiative in the performance vehicle and motorcycle segments and advanced our positions in the natural gas and automotive OEM verticals.”

Mr. Gonnella continued, “Our marketing initiative, focused on performance vehicle and motorcycle verticals, is working. In Q-2, 2015, our year over year sales continued to improve. In addition, Hoer Racing, a PWA member, recently placed their first stocking order as a new distributor focused on the performance vehicle segment. Our milestone to finalize product design revisions to meet service life requirements in the highly lucrative Natural Gas industrial engine segment is near completion. Customer field testing will commence in early Q-4, 2015 with commercial sales expected in late Q-4, 2015 or early Q-1, 2016. We also continue to engage automotive and Natural Gas engine OEM’s with collaborative testing which will generate greater shareholder value in the long term.”

For more information call 888-800-6700 or please visit

Results for Three Months Ended June 30, 2015:

For the three months ended June 30, 2015, the Company reported revenue of $104 thousand, an increase of 11.9% compared to $93 thousand for the three months ended June 30, 2014. The increase in revenue was, primarily due to spring marketing campaign and new distribution.

Gross profit increased by 318% to $43 thousand for the three months ended June 30, 2015 compared to $10 thousand for the three months ended June 30, 2014 as a result of the increase in sales offset by decreased costs of sales driven by manufacturing process improvements, improved labor utilization and improved design and operating procedure related to the release of Pulstar with PlasmaCore. The gross profit margin was 40.9% for the three months ended June 30, 2015, which is higher than that of 10.8% for the three months ended June 30, 2014, due primarily to the favorable impact of the above factors on the period ended June 30, 2015.

Selling, general and administrative expenses decreased by 21.6% from $1,069 thousand for the three months ended June 30, 2014 to $838 thousand for the three months ended June 30, 2015. The decrease is primarily as a result of additional expense in 2014 due to re-pricing and accelerated vesting of outstanding stock options to purchase approximately 676,000 shares of our common stock previously granted to officers, directors, employees and consultants, which resulted in additional stock-based compensation of approximately $32,000, as well as approximately $293,000 associated with accelerating the unvested stock-based awards granted prior to that date.

As of June 30, 2015, we had cash and cash equivalents on hand of $1,420 thousand and working capital of $1,385 thousand. We expect this amount to be sufficient to meet our operating and capital requirements until late 2015, and intent to use these funds for general corporate purposes, including salaries, development and commercial activity, and for working capital. Management’s plans are to secure additional funding to cover working capital needs until positive cash flow from operations occurs, which is anticipated to commence in early 2016.

Enerpulse Technologies, Inc. is a publicly traded company headquartered in Albuquerque, N.M. Founded in 2004; the company develops and manufactures ultra-high performance, low emissions ignition products through the application of pulse power technology. For more information, visit

Safe Harbor / Forward-Looking Statements
This news release contains “forward-looking statements” as that term is defined in Section 27(a) of the United States Securities Act of 1933, as amended and Section 21(e) of the Securities Exchange Act of 1934, as amended. Information provided by the Company such as online or printed documents, publications or information available via its website may contain forward-looking statements that involve risks, uncertainties, assumptions, and other factors, which, if they do not materialize or prove correct, could cause its results to differ materially from historical results, or those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including statements containing the words “planned,” “expects,” “believes,” “strategy,” “opportunity,” “anticipates,” and similar words. These statements may include, among others, plans, strategies, and objectives of management for future operations, marketing and sales; any statements regarding proposed new products, services, or developments; any statements regarding future economic conditions or performance; statements of belief; and any statements of assumptions underlying any of the foregoing. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including market conditions, risks associated with the cash requirements of our business and other risks detailed from time to time in our filings with the Securities and Exchange Commission, and represent our views only as of the date they are made and should not be relied upon as representing our views as of any subsequent date. We do not assume any obligation to update any forward-looking statements.

    June 30,     December 31,  
    2015     2014  
Current Assets                
  Cash and cash equivalents   $ 1,419,543     $ 17,077  
  Accounts receivable, net     93,982       73,572  
  Inventory     293,413       337,297  
  Other current assets     82,377       22,981  
    Total current assets     1,889,315       450,927  
Intangible assets, net of accumulated amortization of $145,126 (2015) and $128,444 (2014)     474,440       483,982  
Property and equipment, net     147,234       173,963  
Other assets     9,413       118,557  
Total assets   $ 2,520,402     $ 1,227,429  
Current Liabilities                
  Accounts payable   $ 323,806     $ 554,747  
  Accrued expenses     155,277       135,968  
  Current portion of capital lease obligations     24,737       24,737  
    Total current liabilities     503,820       715,452  
Long-Term Liabilities                
  Capital lease obligations, net of current portion     8,929       20,778  
  Notes payable, net of offering costs and discounts     1,452,410       248,225  
  Warrants liability     1,395,328       817,250  
      2,856,667       1,086,253  
    Total liabilities     3,360,487       1,801,705  
Commitments and Contingencies                
Stockholders’ Deficit                
  Preferred stock, 10,000,000 shares authorized; no shares issued and outstanding; $0.001 par value            
  Common stock, 100,000,000 shares authorized; 15,022,381 and 13,732,381 shares issued and outstanding at June 30, 2015 and December 31, 2014, respectively; $0.001 par value     15,023       13,733  
  Additional paid-in capital     27,860,739       26,812,046  
  Note receivable, related party     (205,122)     (204,100)
  Accumulated deficit     (28,510,725)     (27,195,955)
Total stockholders’ deficit     (840,085)     (574,276)
Total liabilities and stockholders’ deficit   $ 2,520,402     $ 1,227,429  
See notes to accompanying unaudited consolidated financial statements.                
    Three Months Ended     Six Months Ended  
    June 30,     June 30,  
    2015     2014     2015     2014  
Sales   $ 104,491     $ 93,365     $ 214,449     $ 190,529  
Cost of sales     61,791       83,150       119,098       173,994  
  Gross profit     42,700       10,215       95,351       16,535  
Selling, general and administrative expenses     848,983       1,068,931       1,474,246       1,767,407  
  Loss from operations     (806,283)       (1,058,716)     (1,378,895)     (1,750,872)
Other income (expense), net                                
  Fair value adjustments of derivative liabilities     (443,152)     (322,733)     319,478       (322,733)
  Interest     (47,915)     (8,614)     (68,924)     (11,294)
  Amortization of debt discount     (170,053)           (233,491)      
  Other income (expense)     511       (74,852)     47,062       (82,282)
    Other income (expense), net     (660,609)     (406,199)     64,125       (416,309)
Net loss   $ (1,466,892)   $ (1,464,915)   $ (1,314,770)   $ (2,167,181)
Net loss per common share (basic and diluted)   $ (0.10)   $ (0.13)   $ (0.09)   $ (0.22)
Net loss per puttable common share (basic and diluted)   $     $ (0.13)   $     $ (0.22)
Weighted average number of shares outstanding (basic and diluted) – common     15,006,226       10,930,183       14,421,442       9,837,353  
Weighted average number of shares outstanding (basic anddiluted) – puttable common           131,287             131,287  
See notes to accompanying unaudited consolidated financial statements.                                
    Six Months Ended  
    June 30,  
    2015     2014  
Cash Flows From Operating Activities                
  Net loss   $ (1,314,770)   $ (2,167,181)
  Adjustments to reconcile net loss to net cash used in operating activities:                
    Stock-based compensation     88,843       399,192  
    Amortization     16,682       14,730  
    Depreciation     27,081       25,542  
    Amortization of repricing of warrants on notes payable           52,005  
    Amortization of debt discounts     233,491        
    Loss on modification of derivative liabilities           31,356  
    Fair value adjustments of derivative instruments     (319,478)     322,733  
    Interest on note receivable, related party     (1,022)     (1,011)
    Provision for doubtful accounts     8,971       2,210  
    Provision for obsolete: Inventory     19,535        
    Loss on disposal of equipment     8,000        
    Changes in operating assets and liabilities:                
      Accounts receivable     (29,381)     35,516  
      Inventory     24,349       (24,171)
      Accounts payable     (122,198)     (141,928)
      Accrued expenses     19,309       (436)
      Other     (9,995)     3,085  
  Net cash used in operating activities     (1,350,583)     (1,448,358)
Cash Flows From Investing Activities                
  Purchase of property and equipment     (8,352)     (24,522)
  Purchase of intangible assets     (7,140)     (41,217)
    Net cash used in investing activities     (15,492)     (65,739)
Cash Flows From Financing Activities                
  Proceeds from issuance of common stock and related warrants, net of offering costs           3,116,966  
  Proceeds from notes payable, net of offering costs     2,830,390       230,000  
  Payments on capital lease and notes payable     (61,849)     (234,893)
    Net cash provided by financing activities     2,768,541       3,112,073  
Net increase in cash and cash equivalents     1,402,466       1,597,976  
Cash and cash equivalents at beginning of year     17,077       281,607  
Cash and cash equivalents at end of year   $ 1,419,543     $ 1,879,583  
Supplement cash flow information:                
  Cash paid for interest   $ 2,763     $ 11,294  
Noncash investing and financing activities:                
  Warrants issued related to offering costs   $ 137,655     $ 119,570  
  Common stock issued related to debt offering costs   $ 160,000     $  
  Common stock issued related to consulting agreement   $ 98,000     $  
  Deferred offering costs capitalized in 2014           65,771  
  Adjustment reulting from change in value of puttable common stock           93,780  
  Equipment acquired under capital lease   $     $ 21,595  
See notes to accompanying unaudited consolidated financial statements.                

Contact Information

  • For further information, contact:
    Heather Tausch
    Director of Marketing and Communications
    Email Contact