Pickups Plus Posts Losses

MASON, Ohio--A series of serious financial losses has Pickups Plus Inc. seeking additional funding to stay open. Founded in 1993, the company focuses on selling and installing aftermarket accessories for pickup trucks and SUVs. It has eight franchised stores in Iowa, Oregon, Pennsylvania, Idaho and California; with three company-owned stores in Ohio, Kentucky and Indiana.

As of Sept. 30, current liabilities exceeded current assets by about $700,000, the company reported. It has suffered net losses of $204,809 (3 cents per share) and $513,697 (7 cents per share) over the past three- and nine-month periods, according to the company.

“The company currently has insufficient funds available for operations and would be required to seek additional financing to supplement cash generated from the operations of the three company-owned retail stores,” it reported. “Management is undergoing discussions with outside parties to rectify this situation.”

Cutbacks may be looming if more funds are not forthcoming. “The company may determine, depending on the opportunities available to it, to seek additional equity or debt financing to fund the cost of its operations,” management noted. “There can be no assurance that additional financing will be available to the company on commercially reasonable terms, or at all. In the event that the company is unable to raise additional funds, the company could be required to either substantially reduce or terminate its operations.”

John Fitzgerald, president and chief executive officer, said the future is looking somewhat brighter following a promising October.

“We’re very encouraged by the sales growth in our stores,” said Fitzgerald. “We are optimistic about sales in the fourth quarter, which have traditionally been strong for us. In addition to retail sales, we expect to sign several new franchises by the end of the year.”

For more information, contact www.pickupsplus.com.