CAVU Resources, Inc. announces sale of $2.645M property to homebuilder JP Orleans, releases Q1 earnings, and reaffirms annual guidance

Rhea-AI Summary

CAVU Resources, Inc. (OTC: CAVR) has announced the sale of Alexander Manor to JP Orleans for the development of high-end homes in Charlotte, NC. The company reported Q1 2021 earnings of $0.1 million on revenue of $1.3 million, maintaining guidance amid industry inflation. CEO Kevin Vincent Cox expressed confidence in the company's strategy and potential growth, aiming for record results in real estate. The company's trailing twelve-month performance shows $10.3 million in revenue and over $1 million in EBITDA, with a promising project pipeline.

Positive

• Sale of Alexander Manor expected to stimulate growth in the real estate division.
• Q1 2021 revenue and earnings maintained despite inflation, reflecting resilience.
• Trailing twelve-month revenue of $10.3 million with EBITDA exceeding $1 million.
• Strong project pipeline indicates potential for future revenue growth.

Negative

• None.

CHARLOTTE, N.C., May 26, 2021 (GLOBE NEWSWIRE) -- CAVU Resources, Inc’s (OTC: CAVR) wholly owned subsidiary, Sinacori Builders, closed on the sale of Alexander Manor to JP Orleans who will build million-dollar homes in the South Park area of Charlotte. In addition, the company released its Q1 earnings, and its CEO, Kevin Vincent Cox re-affirmed the company’s annual guidance. maintained its revenue and earnings in its Q1 2021 report despite record inflationary pressures within the industry. The company is reporting Q1 earnings of $0.1 million on Q1 revenue of $1.3 million.

“While it took longer than expected, we are excited to announce the sale of Alexander Manor. We expect to begin several significant projects which we believe will deliver strong results in future quarters and I believe the real estate division will achieve record year over year growth in 2021 over 2020.” – Russ Sinacori, President and COO

“I have reviewed our financials and have confidence in our annual reporting for 2020 and for Q1 2021. We have established good processes and internal controls to ensure timely and accurate filings. On a trailing twelve-month basis our revenue and earnings contain solid growth with earnings before interest, taxes, depreciation and amortization, a non-GAAP measure, of over $1.0 million on over $10.3 million of revenue. Our Work in Progress and closing pipeline is dramatically higher than it was at this point last year, and we expect to see the positive impact of that on our financials through the rest of this year.” – Grant Edwards, CFO

The company is implementing the strategy laid out by Bob Silver, Russ Sinacori, and Kevin V. Cox earlier this year.

“The projects we have in place, the acquisitions we intend to make, and the operational changes we are implementing in our real estate division will have a material positive impact on earnings for the company this year. I am confident we will achieve the record results in our real estate division we have forecasted. When we layer in execution of our strategy in each of our other four divisions – I believe the annual results for the entire company will not only meet our forecast, we will likely will surprise on the upside.” – Kevin V. Cox, CEO

CAVU Resources, Inc

CAVU Resources is a platform holding company dedicated to building, acquiring, investing in, and advancing companies and products that help people live, learn, socialize, endure, and enjoy their own personal pursuit of happiness. The firm has established five major verticals for accomplishing this effort – real estate, technology, education, entertainment, and health and wellness. For more, visit www.cavuresource.com.

SINACORI BUILDERS

Sinacori Builders, a CAVU Resources company, is a technology-driven real estate company with more than 13 million dollars in assets and over 11 million dollars in secured contracts/closings in 2021. This wholly owned CAVU subsidiary has a strong foothold in Charlotte, North Carolina, and is expanding its footprint throughout the Southeast. The Company plans on growing its brand and enhancing shareholder value by leveraging its connections with the country's top builders to become a national player. To learn more, visit  www.sinacoribuilders.com.

NON-GAAP MEASUREMENTS

Management believes that certain non-GAAP financial measures may be useful in providing additional meaningful comparisons between current results and results in prior periods. In addition, within this release, reference is made to earnings before interest, taxes, depreciation, and amortization (EBITDA). EBITDA is a metric used by management to evaluate performance and frequently used by the financial community which provides insight into an organization’s operating trends and facilitates comparisons between peer companies, since interest, taxes, depreciation, and amortization can differ greatly between organizations as a result of differing capital structures and tax strategies.

FORWARD-LOOKING STATEMENTS:

Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, among other thing, statements regarding the offering, the expected gross proceeds, the expected use of proceeds and the expected closing of the offering. Any forward-looking statements contained herein are based on current expectations and are subject to a number of risks and uncertainties. These forward-looking statements are identified by the use of words such as "continue," "expect," "believe" and "expand," among others. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the Company's ability to develop, market and sell its products; the expected benefits and efficacy of the Company's products; the availability of substantial additional funding for the Company to continue its operations and to conduct research and development, and future product commercialization; uncertainties relative to the COVID-19 pandemic and economic development, and, the Company's business, research, product development, marketing and distribution plans and strategies. The company disclaims any obligation to update these forward-looking statements, except as required by law.

Contact – Kevin Vincent Cox

Email - info@ltbh.com

FAQ

What were CAVU Resources' Q1 2021 earnings?

CAVU Resources reported Q1 2021 earnings of $0.1 million on revenue of $1.3 million.

What is the significance of the sale of Alexander Manor for CAVR?

The sale of Alexander Manor is expected to enhance CAVU's growth by providing opportunities for high-end real estate development in Charlotte.

How does CAVU Resources plan to achieve future growth?

CAVU Resources plans to achieve future growth through strategic projects, acquisitions, and operational changes in its divisions.

What is the outlook for CAVU Resources in 2021?

CAVU Resources maintains a positive outlook for 2021, expecting to meet or exceed its financial forecasts across its divisions.