WHITE PLAINS, NY / ACCESSWIRE / April 19, 2017 / Debt Resolve, Inc. (OTC PINK: DRSV) filed Form 10-K on April 17, 2017 for the period ending December 31, 2016. Revenues for the period ending December 31, 2016 were $4,530,184, as compared to $5,713,905 for the period ending December 31, 2015. The reduced revenue in the current period reflects the loss of sales due to the suspension of sales in February 2016 of its Majority-owned subsidiary, Progress Advocates LLC. These losses were mitigated in part by the start-up of a new majority-owned subsidiary, Student Loan Care LLC, on June 1, 2016. Both of these companies operate in the document preparation industry for Federal Student Loan consolidation and eventual modification.
Operating loss for the period ending December 31, 2016 was ($382,821), as compared to an operating loss of ($413,646) for the period ending December 31, 2015. The change in subsidiaries, noted above, resulted in an operating income of $560,320 for the quarter ending December 31, 2016, as compared to an operating loss of ($595,266) for the quarter ending December 31, 2015.
In the period ending December 31, 2016, the Company, on a consolidated cash flow basis, had an increase in cash and cash equivalents of $562,621 from December 31, 2015. In addition to a reduction in Debt financing of $374,612 in the period ending December 31, 2016 as compared to the period ending December 31, 2015.
"After a year of operations in 2015, we realized the business model for Progress Advocates was flawed and our partners, operators of Progress Advocates, were unwilling to change. Our new partners, Hutton Ventures LLC, share our vision for developing a profitable growth business in this space," said Bruce Bellmare, CEO of Debt Resolve. "Our 2016 second half performance of accelerating growth in revenue and operating income, is a testament to our new business model for this industry and our future," Mr. Bellmare added.
"We are extremely excited and proud of the fast and successful start we have made," said Jeffrey Da Pra, COO of Student Loan Care LLC. "And we are very happy with the first six months of our relationship with Debt Resolve. Their financial and managerial support has enhanced our ability to move forward quickly and to assist in the development of future enhancements to our business model."
About Debt Resolve, Inc.
Debt Resolve's traditional SaaS business provides lenders, debt buyers, collection agencies, collection law firms and hospitals with a patent-protected online bidding system for the resolution and settlement of consumer debt. The company also provides web-based revenue management platforms for the healthcare industries that include cost-effective collection solutions for every stage of collection and recovery. Student Loan Care LLC is a Debt Resolve Inc. majority owned joint venture and provides documentation preparation submission services for loan modification and consolidation of federal student loans. The company is publicly held and trades on the OTC Markets under the symbol DRSV. Debt Resolve is headquartered in White Plains, New York.
Forward-Looking Statements
Certain statements in this press release and elsewhere by management of the Company that are neither reported financial results nor other historical information are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and other factors which may cause or contribute to actual results of the Company's operations varying significantly and materially from anticipated results. Debt Resolve undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by SEC rules. Investors are advised to consult any further disclosures made on related subjects in the Company's reports filed with the SEC.
Company Contact:
Wayne Travis
Debt Resolve, Inc.
[email protected]
(914) 949-5500 x238
For Investor Relations: Synergy 1-888-259-9173
SOURCE: Debt Resolve, Inc.