TRITON MIAMI, INC.
BALANCE SHEET
(UNAUDITED)
September 30, 2016 | ||||
Assets | ||||
Current assets: | ||||
Cash and cash equivalents | $ | 735,625 | ||
Account receivable | 1,347,199 | |||
Inventory | 988,882 | |||
Prepaid expenses and other assets | 1,182 | |||
Current portion due from related party | 28,963 | |||
Total current assets | 3,101,851 | |||
Due from related party, net of current portion | 225,763 | |||
Property and equipment, net | 63,354 | |||
Other assets | 7,112 | |||
Total assets | $ | 3,398,080 | ||
Liabilities and Equity | ||||
Current liabilities: | ||||
Accounts payable | $ | 504,741 | ||
Accrued expenses and other liabilities | 185,672 | |||
Current portion of notes payable | 75,541 | |||
Total current liabilities | 765,954 | |||
Notes payable, net of current portion | 485,604 | |||
Total liabilities | 1,251,558 | |||
Stockholders’ equity: | ||||
Common stock, 500 shares authorized, 500 shares issued and outstanding, no par value | 78,882 | |||
Retained earnings | 2,067,640 | |||
Total stockholders’ equity | 2,146,522 | |||
Total liabilities and stockholders’ equity | $ | 3,398,080 |
TRITON MIAMI, INC.
STATEMENTS OF INCOME
(UNAUDITED)
Nine Months Ended September 30, | ||||||||
2016 | 2015 | |||||||
Net sales | $ | 10,438,149 | $ | 8,388,868 | ||||
Cost of sales | 7,178,370 | 5,864,054 | ||||||
Gross profit | 3,259,779 | 2,524,814 | ||||||
Selling, general and administrative expenses | 1,629,592 | 1,394,191 | ||||||
Income from operations | 1,630,187 | 1,130,623 | ||||||
Other income (expense): | ||||||||
Interest expense | (12,079 | ) | (13,677 | ) | ||||
Other income | 15,147 | 29,080 | ||||||
Total other income | 3,068 | 15,403 | ||||||
Net income | $ | 1,633,255 | $ | 1,146,026 |
TRITON MIAMI, INC.
STATEMENTS OF CASH FLOWS
(UNAUDITED)
Nine Months Ended September 30, | ||||||||
2016 | 2015 | |||||||
Cash Flow from Operating Activities | ||||||||
Net income | $ | 1,633,255 | $ | 1,146,026 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 12,821 | 16,862 | ||||||
Realized investment income | (15,147 | ) | (29,080 | ) | ||||
Bad debt expense | 14,579 | 14,807 | ||||||
Changes in assets and liabilities: | ||||||||
Accounts receivable | (373,373 | ) | (162,415 | ) | ||||
Inventory | 324,031 | (55,089 | ) | |||||
Prepaid expenses and other assets | (2,100 | ) | 136,639 | |||||
Accounts payable | (91,392 | ) | 419,595 | |||||
Accrued expenses and other liabilities | 9,973 | (371,498 | ) | |||||
Net cash provided by operating activities | 1,512,647 | 1,115,847 | ||||||
Cash Flows from Investing Activities | ||||||||
Proceeds from investments | – | 316,647 | ||||||
Purchases of property and equipment | (16,363 | ) | (24,442 | ) | ||||
Net cash provided by (used in) investing activities | (16,363 | ) | 292,205 | |||||
Cash Flows from Financing Activities | ||||||||
Repayments on note payable | (61,064 | ) | (62,455 | ) | ||||
Distributions to stockholders | (1,529,383 | ) | (1,118,404 | ) | ||||
Net cash used in financing activities | (1,590,447 | ) | (1,180,859 | ) | ||||
Net increase (decrease) in cash and cash equivalents | (94,163 | ) | 227,193 | |||||
Cash and cash equivalents, beginning of period | 829,788 | 789,430 | ||||||
Cash and cash equivalents, end of period | $ | 735,625 | $ | 1,016,623 |
TRITON MIAMI, INC.
NOTES TO FINANCIAL STATEMENTS
Note 1 – Description of Business
Triton Miami, Inc. (“the Company”) was incorporated under the laws of the state of Florida in 2004. The Company's principal business is to serve as a reseller of new, refurbished and used telecommunications networking equipment to other distributors, retailers, and end users. The Company specializes in the voice over IP and IP telephone industry, central office switching, and transmission equipment space.
Note 2 – Notes Payable
The Company had two outstanding loans of approximately $0.3 million each at September 30, 2016. Subsequent to September 30, 2016, both of the loan balances were paid in full before the Company was acquired on October 14, 2016.