DGSE COMPANIES, INC. ANNOUNCES OPERATING RESULTS FOR 2009 FISCAL YEAR.
DALLAS, Texas (March 31, 2010 ) – DGSE Companies, Inc. (NYSE Amex: “DGSE”), which wholesales, retails and auctions fine watches, jewelry, diamonds and precious metal and rare coin products via traditional and Internet channels, today announced operating results for fiscal 2009.
Earnings and Revenues
Performance Metrics & Liquidity
In the later part January 2010, the Company reached an agreement with the Receiver in the matter of Stanford Financial to acquire all of the equity registered in the name of Stanford International Bank (SIB), to convert and retire all debt owed by Superior to SIB and to cancel all agreements between the parties .The Agreements call for a closing of that transaction on or before May 14, 2010.
During the month of April, DGSE will launch two new websites Charleston Gold & Diamond Exchange (CGDE.com) and Superior Gold & Diamond Exchange (SGDE.com) The websites will be followed by a new website for Dallas Gold & Silver Exchange (DGSE .com). All of the websites will reflect substantial available inventories across all of our platforms. All of the websites were developed internally with our programming operation in Argentina (GruppoIT). During the second quarter will launch a standalone Treasure Hunt site and will launch a precious metals I phone application.
“Restraint in consumer discretionary spending continues to have an impact on our retail activities” noted William H. Oyster, President and Chief Operating Officer of DGSE Companies, Inc. Mr. Oyster continued, “We are confident that if we remain disciplined and focus on our strengths, DGSE will negotiate the difficult current environment and end the year stronger and more successful. During 2009 the company elected to take what ,are believed to be, the last non-recurring losses related to our acquisition of Superior Galleries, Inc... These non cash losses materially affect our reported earnings but are one time charges.”
DGSE Companies, Inc. wholesales retails and auctions jewelry, diamonds, fine watches, and precious metal bullion and rare coins products to domestic and international customers through its Dallas Gold and Silver Exchange, Charleston Gold and Diamond Exchange, Superior Galleries and National Jewelry Exchange subsidiaries and well as through the internet. DGSE also owns Fairchild International, Inc., one of the largest vintage watch wholesalers in the country. In addition to its retail facilities in Dallas and Euless, Texas, Charleston, South Carolina and Woodland Hills, California, the Company operates live Internet auctions which can be accessed at www.dgse.com and through Superior Galleries' website at www.sgbh.com. Real-time price quotations and real-time order execution in precious metals are provided on another DGSE web site at www.USBullionExchange.com. Wholesale customers can access our full vintage watch inventory through the restricted site at www.FairchildWatches.com. DGSE also purchases precious metals, rare coins, watches, diamonds and jewelry through www.Americangoldandsilverexchange.com and over 900 supporting websites. Through www.SuperiorPreciousMetals.com ,we provide precious metals and rare coin investing and trading opportunities all across the United States.
The Company is headquartered in Dallas, Texas and its common stock trades on NYSE Amex under the symbol “DGSE”.
Contact: W. Oyster 972 484-3662
This press release includes statements which may constitute 'forward-looking" statements, usually containing the words "believe", "estimate", 'project", "expect" or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, continued acceptance of the Company's products and services in the marketplace, competitive factors, dependence upon third-party vendors, and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release. In addition to the results presented in accordance with Generally Accepted Accounting Principles throughout this press release, DGSE has presented non-GAAP financial measures such as EBITDA. The Company believes that these non-GAAP measures, viewed in addition to and not in lieu of the Company's reported GAAP results, provide useful information to investors because they are an integral part of the Company's internal evaluation of operating performance. In addition, they are measures that DGSE uses to evaluate management's effectiveness. DGSE’s non-GAAP financial measures may not be comparable to similarly titled measures presented by other companies.
SUMMARY OF OPERATIONS
|Year ended December 31,||Quarter ended December 31,|
|Net income from continuing operations||$480,617||$(5,680,031)||$(1,089,928)||$(6,705,251)|
|Earnings per share||$(0.03)||$(0.80)||$(0.15)||$(0.91)|