Exhibit 99.1






Profire Energy Reports Financial Results for Fiscal Year 2015: Beats Revenue Guidance & Meets Net Income Guidance
 
2015 Revenues Up 45% to Record $51.2 Million, Net Income Up 3% to Record $5.7 Million or $0.11 Per Share
 
LINDON, Utah, June 15, 2015 - Profire Energy, Inc. (NASDAQ: PFIE), a technology company which creates, installs and services burner and chemical management solutions in the oil and gas industry, today reported financial results for its fiscal year ended March 31, 2015. A conference call will be held on Monday, June 15, 2015 at 5:00 p.m. EDT to discuss the results.

Fiscal 2015 Highlights vs. Same Year-ago Period
 
·
Total revenues increased 45% to record $51.2 million
 
·
Gross profit up 36% to record $27.2 million
 
·
Net income up 3% to record $5.7 million or $0.11 cents per share
 
·
Cash at year-end totaled $14.1 million (cash balance as of June 2015 is $18.1 million)
 
·
Completed an equity raise, netting the Company $16.4 million
 
·
Extended product line with the development of the Profire Flare Stack Igniter and acquisition of Chemical Management System; accelerated R&D investment for future products
 
·
Completed expansion of Utah warehouse, increasing efficiency and scalability of product inventory and delivery.
 
·
PFIE added to Russell 2000®, Russell 3000®, and Russell Microcap® Indices.

Fiscal Year 2015 Financial Results
Our total revenues during the year ended March 31, 2015 increased 45% to $51.2 million from $35.4 million in the year ended March 31, 2014. Increased equipment-purchasing activity in oil and gas for the first half of the fiscal year, combined with our opening of multiple offices, increased hiring of sales and service personnel, and an expansion of our product line helped contribute to our increased sales—especially in the United States.

Gross profit increased to $27.2 million or 53% of total revenues, compared to $20.0 million or 57% of total revenues in the prior year.

Total operating expenses increased to $18.7 million or 37% of total revenues from $11.4 million or 32% of total revenues in the prior year. Compared to the prior fiscal year, operating expenses for research and development increased 161%, payroll increased 53%, and depreciation increased 102%. With the Company’s growth focus during much of the fiscal year, the increased operational costs were expected.

 
 
 
 
Net income was $5.7 million or $0.11 per diluted share, compared to net income of $5.6 million or $0.12 per diluted share in the prior year.

Cash and cash equivalents totaled $14.1 million at March 31, 2015, as compared to $4.5 million in the year ago period, the increase being largely attributable to the equity raise completed during our second fiscal quarter. The Company continues to operate debt-free.

Management Commentary
“This was a record year for Profire and we are very pleased with what we were able to accomplish,” said Brenton Hatch, president and CEO of Profire Energy. “The baseline driver of growth continues to be the unique ability of our products to make oil and gas production safer, more efficient, and more compliant with industry regulations. Our amazing employees, customers, and suppliers each played an important role in helping the Company reach these new heights.

“Although we are in the midst of a very difficult environment, we believe the Company is well positioned to manage through this downturn and grow again when the market improves. We have no debt, and as of this past week, we had $18.1 million in cash reserves, which gives the Company a lot of options moving forward. While we know that the next couple quarters will be challenging for us, we are still very optimistic about the market opportunity and future of Profire. As we manage through this volatile period, we anticipate that, with time, our strategic investments and significant cost reductions, will help us improve our operational leverage and strengthen our industry leadership over the long-term.

Fiscal 2016 Guidance
Based on the current industry environment and its expected continued impact on the Company we are expecting a difficult year. For fiscal 2016, we are guiding for total revenues of $25.0-30.0 million and net income of $(1.0)-2.0 million. One of the biggest challenges that the Company faces is the lack of visibility into sales in the short term. We expect the latter half of the fiscal year to present a better sales environment than the first half, which we expect to coincide with an improved Company capability to sell products into the current environment.

Profire management will host a conference call later today to discuss these financial results. Please call the conference telephone number at least five minutes prior to the start time. An operator will register your name and organization.

Date: Monday June 15, 2015
Time: 5:00 p.m. EDT (3:00 p.m. MDT)
Toll-free dial-in number: 1-855-327-6837
International dial-in number: 1-778-327-3988

 
 
 
 
The conference call will be webcast live and available for replay via this link: http://public.viavid.com/index.php?id=114851. The webcast replay will be available for one year.

Please call the conference telephone number five minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting to the conference call, please contact Tanner Lamb at 1-801-796-5127.

A replay of the call will be available after 8:00 p.m. EDT on the same day through June 22, 2015.
Toll-free replay number: 1-877-870-5176
International replay number: 1-858-384-5517
Replay ID: 112870

About Profire Energy, Inc.

Profire Energy assists energy production companies in the safe and efficient production and transportation of oil and natural gas. As energy companies seek greater safety for their employees, compliance with more stringent regulatory standards, and enhanced margins with their energy production processes, Profire Energy's burner management systems are increasingly becoming part of their solution. Profire Energy has offices in Lindon, Utah; Houston, Texas; Victoria, Texas; Oklahoma City, Oklahoma; Tioga, Pennsylvania; Greeley, Colorado; and Edmonton, Alberta, Canada. For additional information, visit www.profireenergy.com.

Cautionary Note Regarding Forward-Looking Statements. Statements made in this release that are not historical are forward-looking statements. This release contains forward-looking statements, including, but not limited to, statements regarding its sales, marketing, and operational advancements/expansions, including, but not limited to, the increased activity from a larger sales force, strengthened customer relationships, and increased sales efficacy; the company’s ability to leverage their cash position; statements regarding the market difficulties facing the company for the next couple of quarters; the industry impact on the Company's growth; the Company's long-term outlook and market opportunity of the Company; the curtailing of the Company's aggressive-growth initiatives; the intention of the Company to reduce costs and be wise about future costs, and the effects of such actions; the effects of the Company’s strategic investments, the company’s financial expectations, including revenue and net income, for fiscal year 2016; the company’s sales performance in the upcoming fiscal year; and the ability of the Company to successfully navigate the volatile industry conditions. Forward-looking statements are not guarantees of future results or performance and involve risks, assumptions and uncertainties that could cause actual events or results to differ materially from the events or results described in, or anticipated by, the forward-looking statements. Factors that could materially affect such forward-looking statements include certain economic, business, public market and regulatory risks and factors identified in the company's periodic reports filed with the Securities Exchange Commission. All forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All forward-looking statements are made only as of the date of this release and the Company assumes no obligation to update forward-looking statements to reflect subsequent events or circumstances, except as required by law. Readers should not place undue reliance on these forward-looking statements.

 
 
 
 
Contact:
Profire Energy, Inc.
Nathan McBride, VP Strategy & Finance
(801) 796-5127

Profire Energy, Inc.
Tanner Lamb, Investor Relations Manager
(801)796-5127

 
 
 
 
 
PART I. FINANCIAL INFORMATION
  
Item 1 Financial Information
  
             
PROFIRE ENERGY, INC. AND SUBSIDIARY
  
Consolidated Balance Sheets
  
             
ASSETS
  
             
   
March 31,
  
March 31,
  
   
2015
  
2014
  
     
 
 
CURRENT ASSETS
            
Cash and cash equivalents
   $ 14,144,796     $ 4,456,674  
Accounts receivable, net
     9,462,378       8,873,471  
Inventories
     11,766,535       6,579,858  
Prepaid expenses & other current assets
     112,741       32,263  
                 
Total Current Assets     35,486,450       19,942,266  
                 
LONG-TERM ASSETS
                
Deferred tax asset
     501,921       420,978  
                 
PROPERTY AND EQUIPMENT, net
     9,275,965       4,385,881  
                 
OTHER ASSETS
                
Goodwill
     997,701       -  
Intangible assets, net of accumulated amortization
     594,019       -  
                 
Total Other Assets
     1,591,720       -  
                 
                 
TOTAL ASSETS
   $ 46,856,056     $ 24,749,125  
                 
LIABILITIES AND STOCKHOLDERS' EQUITY
  
                 
CURRENT LIABILITIES
                
Accounts payable
   $ 1,040,530     $ 1,461,138  
Accrued liabilities
     332,229       193,727  
Income taxes payable
     347,486       1,605,133  
                 
Total Current Liabilities
     1,720,245       3,259,998  
                 
LONG-TERM LIABILITIES
                
Deferred income tax liability
     631,353       107,857  
                 
TOTAL LIABILITIES
     2,351,598       3,367,855  
                 
STOCKHOLDERS' EQUITY
                
Preferred shares: $0.001 par value,10,000,000 shares authorized: no shares issued and outstanding
     -       -  
Common shares: $0.001 par value, 100,000,000 shares authorized: 53,199,136 and 47,836,543 shares issued and outstanding, respectively     53,199       47,836  
Additional paid-in capital
     25,525,052       6,496,980  
Accumulated other comprehensive income
     (1,888,981 )     (231,051 )
Retained earnings
     20,815,188       15,067,505  
                 
Total Stockholders' Equity
     44,504,458       21,381,270  
                 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
   $ 46,856,056     $ 24,749,125  
 
These financial statements should be read in conjunction with form 10K as well as the accompanying footnotes.

 
 
 

PROFIRE ENERGY, INC. AND SUBSIDIARY
  
Consolidated Statements of Operations and Other Comprehensive Income
  
   
               
     
For the Years Ended
  
     
March 31,
  
     
2015
    
2014
  
REVENUES
              
Sales of goods, net
   $ 47,768,556     $ 33,646,158  
Sales of services, net
     3,410,836       1,745,950  
 
Total Revenues
     51,179,392       35,392,108  
                   
COST OF SALES
                
Cost of goods sold-product
     21,240,363       14,131,527  
Cost of goods sold-services
   $ 2,716,272       1,221,410  
 
Total Cost of Goods Sold
     23,956,635       15,352,937  
                   
GROSS PROFIT
     27,222,757       20,039,171  
                   
OPERATING EXPENSES
                
General and administrative expenses
     10,287,493       6,466,177  
Research and development
     1,832,671       703,266  
Payroll expenses
     6,008,663       3,921,174  
Depreciation and amortization expense
     558,231       276,661  
                   
 
Total Operating Expenses
     18,687,058       11,367,278  
                   
INCOME FROM OPERATIONS
     8,535,699       8,671,893  
                   
OTHER INCOME (EXPENSE)
                
Interest expense
     -       (2,692 )
Gain on disposal of fixed assets
     8,014       2,867  
Other income
     21,865       3,990  
Interest income
     26,010       5,863  
                   
 
Total Other Income (Expense)
     55,889       10,028  
                   
NET INCOME BEFORE INCOME TAXES
     8,591,588       8,681,921  
                   
INCOME TAX EXPENSE
     2,843,905       3,074,612  
                   
NET INCOME
   $ 5,747,683     $ 5,607,309  
                   
FOREIGN CURRENCY TRANSLATION GAIN (LOSS)
   $ (1,657,930 )   $ (602,517 )
                   
TOTAL COMPREHENSIVE INCOME
   $ 4,089,753     $ 5,004,792  
                   
BASIC EARNINGS PER SHARE
   $ 0.11     $ 0.12  
   
FULLY DILUTED EARNINGS PER SHARE
   $ 0.11     $ 0.12  
                   
BASIC WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING
     51,609,760       46,230,669  
                   
FULLY DILUTED WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING
     51,680,775       46,822,984  

These financial statements should be read in conjunction with form 10K as well as the accompanying footnotes.
 
 
 
 
PROFIRE ENERGY, INC. AND SUBSIDIARY
  
Consolidated Statements of Stockholders' Equity
  
                                     
                                     
               
Additional
    
Other
          
Total
  
   
Common Stock
    
Paid-In
    
Comprehensive
    
Retained
    
Stockholders'
  
   
Shares
    
Amount
    
Capital
    
Income
    
Earnings
    
Equity
  
                                     
Balance, March 31, 2013
     45,250,000     $ 45,250     $ 585,735     $ 371,466     $ 9,460,196       10,462,647  
                                                 
Fair value of options vested
     -       -       1,433,984       -       -       1,433,984  
                                                 
Stock issued for services
     20,000       20       28,340       -       -       28,360  
                                                 
Stock Issuance
     2,259,393       2,259       4,330,716                       4,332,975  
                                                 
Exercised options
     307,150       307       118,205               -       118,512  
                                                 
Foreign currency translation adjustment
     -       -       -       (602,517 )     -       (602,517 )
                                                 
Net Income for the year ended March 31, 2014
     -       -       -       -       5,607,309       5,607,309  
                                                 
Balance, March 31, 2014
     47,836,543       47,836       6,496,980       (231,051 )     15,067,505       21,381,270  
                                                 
Exercised Options
     596,635       597       327,365       -       -       327,962  
                                                 
Stock issuance, less offering costs of $1,529,057
     4,500,000       4,500       16,420,188       -       -       16,424,688  
                                                 
Stock issued for asset acquisition
     265,958       266       999,734       -       -       1,000,000  
                                                 
Fair value of options vested
    -       -       1,280,785       -       -       1,280,785  
                                                 
Foreign currency translation
    -       -       -       (1,657,930 )     -       (1,657,930 )
                                                 
Net Income for the year ended March 31, 2015
     -       -       -       -       5,747,683       5,747,683  
                                                 
Balance, March 31, 2015
     53,199,136       53,199       25,525,052       (1,888,981 )     20,815,188       44,504,458  
 
 
These financial statements should be read in conjunction with form 10K as well as the accompanying footnotes.
 
 
 
 

PROFIRE ENERGY, INC. AND SUBSIDIARY
  
Consolidated Statements of Cash Flows
  
             
    For the Years Ended  
    March 31,  
    2015    
2014
  
OPERATING ACTIVITIES
            
Net Income
   $ 5,747,683     $ 5,607,309  
Adjustments to reconcile net income to net cash provided by operating activities:
                
Depreciation and amortization expense
     1,140,319       359,305  
Gain on disposal of fixed assets
     (8,014 )     (2,867 )
Common stock issued for services
     -       28,360  
Bad debt expense
     (7,577 )     (605 )
Stock options issued for services
     1,280,785       1,433,984  
Changes in operating assets and liabilities:
                
Changes in accounts receivable
     (912,606 )     (3,264,108 )
Changes in inventories
     (5,472,869 )     (3,249,235 )
Changes in prepaid expenses
     (80,770 )     (30,296 )
Changes in deferred tax asset/liability
     (80,943 )     (420,978 )
Changes in accounts payable and accrued liabilities
     (302,782 )     77,785  
Changes in income taxes payable
     (618,146 )     1,488,619  
                 
Net Cash Provided by Operating Activities
     685,080       2,027,273  
                 
INVESTING ACTIVITIES
                
Proceeds from disposal of equipment
     7,867       33,910  
Cash paid for asset acquisition
     (750,000 )     -  
Purchase of fixed assets
     (6,167,945 )     (2,659,295 )
                 
Net Cash Used in Investing Activities
     (6,910,078 )     (2,625,385 )
                 
FINANCING ACTIVITIES
                
Proceeds from stock issued for cash, net of stock offering costs
     16,424,688       118,512  
Proceeds from stock issued in exercise of stock options
     327,961       4,332,975  
                 
Net Cash Provided by Financing Activities
     16,752,649       4,451,487  
                 
Effect of exchange rate changes on cash
     (839,529 )     (205,473 )
                 
NET INCREASE IN CASH
     9,688,122       3,647,902  
CASH AT BEGINNING OF PERIOD
     4,456,674       808,772  
                 
CASH AT END OF PERIOD
   $ 14,144,796     $ 4,456,674  
                 
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
                
                 
CASH PAID FOR:
                
Interest
   $ 17,043     $ 2,692  
Income taxes
   $ 3,471,027     $ 1,585,993  
NON CASH INVESTING AND FINANCING ACTIVITIES:
                
Stock issued for acquisition
   $ 1,000,000     $ -  
 
These financial statements should be read in conjunction with form 10K as well as the accompanying footnotes.