/EINPresswire.com/ -- VANCOUVER, BC--(Marketwired - May 30, 2017) - HIT Technologies Inc. (TSX VENTURE: HIT) ("HIT" or the "Company"), which designs, develops, manufactures and distributes the world's most advanced adventure products for iPhone, today reported its third quarter (Q3 F2017) financial and operating results for the quarter and nine months ended March 31, 2017 prepared in accordance with International Financial Reporting Standards (IFRS). All results are reported in Canadian dollars unless otherwise stated.

"We are pleased to report that despite our reduced spend levels, and the resulting decrease in current period sales, we have launched the new HITCASE PRO 7," said Brooks Bergreen, Chairman and CEO of HITCASE. "We ran a successful KickStarter campaign for the HITCASE PRO 7 launch and have exceeded our funding target, which we believe is a good indication of the quality of our completely re-designed flagship offering. With our tighter budget, we are laser focused on producing the best cases on the planet, and reviewers are agreeing with us - such as the Cult of Mac who said 'it's the best waterproof case I've ever tested'. Our new HITCASE SHIELD and soon to be launched HITCASE PRO 7 have already had a great response from customers and media. We are proud of these new designs and believe we are a standout in the market with both products and our evolving ecosystem."

Continued Mr. Bergreen, "Strategically, we believe that by designing our best possible product suite and conducting limited production and sales runs to capture important market feedback, we can position HITCASE to win the support of a large U.S. retailer for a formal re-launch program. With our iPhone 7 launching in June 2017, new product lineup transition is complete, and we are now looking forward to turning up our sales channels to position us for broader distribution in the coming fall and winter season. We expect to accomplish this through our partnership with Crowd & Company, an accomplished group of former Lifeproof executives, who have successfully positioned us for opportunities with proven big-box U.S. retailers. Importantly, we are executing on this against a backdrop of reduced development and marketing costs, and by focusing where we have the best return on our investment to minimize our capital requirements."

Operational Summary for Q3 Fiscal 2017 include:

• Generated sales of $147,459 in Q3 F2017, down 60% from $365,749 in Q3 Fiscal 2016. The decline reflects the Company's reduced spending on sales, marketing and distribution, and to intentionally keeping production runs limited until the full product line for iPhone 7 is completed.
• Gross margin of $43,679 in Q3 F2017 was down from $136,299 generated in Q3 of last year due to decreased sales. The gross margin percent decreased to 30% compared to 37% last year.
• During the quarter, the Company reduced operating expenditures (excluding non-cash items and cost of sales) to $447,829, a 38% reduction from Q3 F2016. The Company continues to look for additional opportunities to realize further reductions while maintaining its ability to continue its product development and to pursue the support of a large partner to re-launch the product-line;
• Reported an Adjusted EBITDA loss of $426,830 for Q3 F2017, a 24% reduction from $562,747 in Q3 F2016;
• Closed the quarter with working capital of $64,980 including cash and cash equivalents of $268,661 and inventory of $412,339 at March 31, 2017.
• The Company completed private placements of secured convertible debentures and Units for gross proceeds of $362,000 in the quarter. Subsequent to March 31, 2017, the Company closed an additional private placement of secured convertible debentures for gross proceeds of $330,000.
• Subsequent to quarter end, completed the new HITCASE PRO design for iPhone 7 and 7+, and launched the product via a successful "crowdfunding" campaign with shipments beginning in June 2017. The Company's "crowdfunding" campaign exceeded its $50,000 targeted funding.
• Announced a partnership with Crowd & Company for sales and marketing initiatives. Crowd & Company executives have extensive experience in marketing and selling protective iPhone cases to large US retailers, having successfully launched a protective iPhone case line by the name of Lifeproof in 2011. With completion of the HITCASE PRO-7, Crowd & Company has been successful at generating interest from large U.S. based retailers for the full HITCASE line-up.

Non-IFRS Measures
Adjusted EBITDA is a non-IFRS measure and management defines this metric as the loss and comprehensive loss under IFRS, adjusted by adding back interest, taxes, amortization, and other non-cash expenses. Please review the reconciliation of Adjusted EBITDA to net income (loss) in the Company's MD&A for the corresponding period.

This press release should be read in conjunction with our unaudited interim Consolidated Financial Statements for the three months ended December 31, 2016 and the accompanying Management Discussion and Analysis, which can be found on SEDAR at www.sedar.com and on the Company's website http://www.hitcase.com/invest.

About HIT Technologies Inc.
HIT Technologies, Inc. (TSX VENTURE: HIT) develops and markets a portfolio of products that transform Apple iPhones into high-performing, weather- and shock-resistant video cameras. Both its, flagship product, HITCASE PRO and its newer SNAP allows users to easily capture action photo and video content hands-free, using a variety of HIT Technologies' patented Railslide™ mounts that attach to virtually any surface. Swappable lenses and accessories provide a variety of perspectives otherwise unattainable while participating in adventure sports. HIT Technologies is headquartered in Vancouver, British Columbia, Canada and trades on the TSX Venture Exchange. For more information about HITCASE, visit www.HITCASE.com. Search #hitcase on Instagram to see some of the amazing images created by HITCASE customers.

Forward Looking Statements
This news release contains certain "forward-looking information" within the meaning of applicable Canadian securities laws that are based on expectations, estimates and projections as at the date of this news release. The information in this release about the Company's anticipated use of available funds, and the future plans and objectives of the Company are forward-looking information.

Any statements that involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information and are intended to identify forward-looking information.

This forward-looking information is based on reasonable assumptions and estimates of management of the Company at the time it was made, and involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, global economic climate; dilution; the Company's limited operating history; future capital needs and uncertainty of additional financing; the competitive nature of the industry; currency exchange risks; the need for the Company to manage its planned growth and expansion; the effects of product development and need for continued technology change; protection of proprietary rights; the effect of government regulation and compliance on the Company and the industry; network security risks; the ability of the Company to maintain properly working systems; theft and risk of physical harm to personnel; reliance on key personnel; global economic and financial market deterioration impeding access to capital or increasing the cost of capital; and volatile securities markets impacting security pricing unrelated to operating performance. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to revise or update any forward-looking information other than as required by law.

Cautionary Statement
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy of this release.