1. Market Data
Fiscal Year March 30
Industry Oil & Gas
Market Cap $54.2
Price/Earnings (ttm) 44.7x
Price/Book (mrq) 5.6x
Price/Sales (ttm) 3.6x
EBITA (ttm) $1.9M
ROE (ttm) 13.8%
Shares Outstanding 45.2M
Float 6.6M
Avg. Daily Vol. (3 mos.) 7,130
Income Snapshot
FY12 YoY
Change
Revenue $15.9M 98.2%
Gross Profit $9.0M 92.6%
Gross Margin 56.7% -1.65pts
Operating Income $4.4M 86.6%
Operating Margin 27.4% -1.72pts
Net Income $3.2M 96.0%
Net Margin 20.0% -0.23pts
Balance Sheet Snapshot
3Q13
Cash $1.5M
NC Working Capital $5.9M
Current Ratio 4.46
D/E Ratio 0.0%
Book Value $0.21
February 15, 2013
Target Price: $2.15
Recent Price: $1.21
Profire Energy, Inc.
(OTCBB: PFIE)
Profire is well-positioned to drive continued revenue
growth as it benefits from favorable industry dynamics.
Profire Energy (“Profire” or the “Company”) is a technology company that assists
energy production companies in the safe and efficient transportation, refinement and
production of oil and natural gas. As energy companies seek greater safety for their
employees, compliance with more stringent EPA standards and enhanced margins
with their energy production processes, Profire's burner management systems
(“BMS”) are increasingly becoming part of their solution.
Investment Highlights
PFIE is growing rapidly and is in a strong financial position. Profire has
been ranked one of the 1,000 fastest growing companies in the world by The
International Business Times. The Company generated a 98% increase in revenue
from 2011 to 2012. Additionally, the company increased net income by 88% during
the same period. For the fiscal year ended March 31, 2012, the company earned a
34% return on assets and a 45% return on equity. Also, for this time period the
company held a cash and cash equivalents total of $1.9 million and carried no debt.
PFIE’s products serve a large unmet market need. Profire’s primary
product, its BMS technology, provides a safe and efficient solution for re-ignition
and temperature regulation for use on processing vessels in the oil and gas industry.
In order to process the oil or gas, these vessels require heat provided by a burner,
and occasionally the flame extinguishes, creating production inefficiencies.
Traditional methods for reigniting failed flames include using a rag tied to a stick, a
method in which the technician is put in danger. Profire’s BMS technology is able to
quickly and safely reignite a failed flame, minimizing production loss and keeping
employees safe.
PFIE positioned to benefit from improved worker safety initiatives. With
the expectation of increasing worker safety initiatives, Profire is poised to benefit, as
oil and gas companies are required to maintain compliance. Companies in the oil
and gas industry will need to comply by purchasing the type of products made by
Profire, or risk facing costly fines. Compared to other BMS technologies on the
market today, Profire’s technology meets or exceed all relevant codes or standards.
The Company has received appropriate CSA and UL certifications for its BMS
technology.

2. PFIE is expanding into the U.S. market. Profire initially focused its sales
efforts in Western Canada, with 95% and 100% of total revenues generated coming
from Canada for the years 2012 and 2011, respectively. Due to the success of
Profire’s systems in Canada, the Company is initiating an expansion of its sales
efforts into the U.S. The Company opened offices in Houston, Texas and Lindon,
Utah in order to serve current and expected clients in the regions. This expansion
impacted overall 3Q13 results, producing a nominal net loss of $0.3 million for the
period. On a nine-month basis the Company has maintained positive net income of
$0.9 million. We believe the expansion efforts will bear fruit in coming quarters as
Profire gains market share in the largely untapped U.S. market.
PFIE is in an advantageous competitive position. Profire has a first mover
advantage in a new multibillion dollar market and is the largest operator in the
space. The Company’s competitors are small private regionally-based companies,
the largest of which only does about one-third of the sales volume of Profire. Its
competitors also lack the service to support their products. In comparison, Profire
provides installation and maintenance services for its products. Because companies
purchase BMS technology to reduce waste and prevent injury, quality is the most
important competitive factor. Profire’s product quality has landed customers that
include Exxon-Mobile, Husky Oil, Devon Energy, Shell, Conoco-Phillips, and other
major multinationals.
Market
U.S. projected to experience unprecedented growth in energy
production. Profire is positioning its expansion into the U.S. market
during a time with an exceptionally favorable outlook. The U.S. Energy
Information Administration projects that by around 2020, the United States is
expected to become the largest oil producer in the world, overtaking Saudi Arabia,
and a net exporter of oil by around 2030. In a research report from the Harvard
Kennedy School, former oil industry executive Leonardo Maugeri projects that U.S.
production of oil will increase from the current 8.1 million barrels per day to 11.6
million barrels per day in 2020. Additionally, Baker Hughes, one of the world's
largest oilfield services companies, estimates the number of U.S. rigs has increased
to 1,759, nearly equal to the number oil and gas rigs in the rest of the world
combined.
Current penetration for BMS technology in the U.S. is estimated at 1% to 1.5% of a
$2.5 billion to $6.7 billion overall market. As U.S. production of oil and gas
continues to expand, Profire is positioned to benefit with its technology offerings.

3. The following diagram and explanations of oil and gas production activities indicate
where Profire BMS technology adds value (denoted on diagram by red flags):
1. Extraction. The gas comes up the well because it is lighter than air. The oil,
however, often requires a jack to help “pull” it up the well (if the pressure
belowground doesn’t force it up the pipe). The oil and gas travel up the same
well and arrive at the same wellhead.
2. Separation. At the surface, the oil and gas must undergo some initial
production processes before it can be transported or refined. Many applications
are used in this processing, which require heat to function properly. This heat is
provided by a burner flame, which can be managed by a Profire BMS.
3. Transportation. The gas from each well is piped through a “gathering line” to
a “mainline”, where it is compressed and then piped to a refinery. Line heaters
are used to intermittently heat the gas as it travels to a refinery. The oil can also
be piped to a refinery, or it can be stored temporarily in a heated tank, where a
truck will pick-up and transport it to a refinery. Adequate heat is needed for
these transportation processes to work properly. Heat is provided by a burner
flame, which can be managed by a Profire BMS.
4. Delivery. The oil and gas is refined and then transported to local areas for use.
These sophisticated refineries use very complex systems to ensure proper
refining.
Products
In the oil and natural gas industry, various applications (e.g. tanks, line heaters,
separators, dehydrators, amine reboilers, etc.) are used in the production and
transportation of oil and natural gas. These applications require heat, which is used
to facilitate the proper function of the application. To provide that heat, a burner is
used within the application.

4. Profire’s primary products monitor and manage burners. This technology helps to
make oil and gas companies safe, more efficient, and more compliant. Key features
of a BMS include:
With a BMS Without a BMS
Auto Re-Light The BMS quickly detects
the flame absence in the
combustion application,
and can quickly reignite
the burner flame.
Worker must discover and
reignite the extinguished
burner. The worker then
reignites the application
manually (often with a
fuel-soaked rag that’s tied
to a stick). This takes
worker time and can be
very dangerous.
Temperature Control The BMS will manage
temperature as set by the
user, ensuring that the
burner flame is on only
when needed.
No electronic temperature
control. The application
burns continuously, often
needlessly, until the flame
fails.
Remote Monitoring &
Control
The BMS is compatible
with remote monitoring
and control technologies
(i.e. telemetry). This
allows the user to
monitor and manage the
BMS from the comfort of
an office.
No remote monitoring or
control is possible.
Emergency Shutdown The BMS can detect
when certain application
inputs (e.g. high/low
pressure, level, etc.)
indicate a potential
problem, and can shut
down the application
safely.
No safety shutdown
capabilities exist.

5. Profire BMS technology provides numerous benefits for oil and gas companies:
Increased Operations Efficiency
 Combustion applications function only when needed.
 The BMS can monitor and reignite failed burner flame, allowing oilfield
professionals to manage more wells and get more done.
 Reliable burner management means less production-loss. You can rest
assured that the burner flame is working properly, so the application can
function as it should.
Increased Safety
 Antiquated and dangerous forms of re-ignition (such as the “rag-and-
stick” method) are replaced with safe, automated burner detection and
re-ignition.
Increased Compliance
 By providing a reliable form of re-ignition, many compliance
concerns are mitigated, especially when used in conjunction with
other Profire products.
Management
Brenton Hatch, CEO
Mr. Hatch co-founded Profire Combustion, Inc. (now a subsidiary of Profire
Energy) in 2002. Since that time he has served as the Chief Executive Officer and
General Manager of the Company.
Prior to founding Profire Combustion, between 2001 and 2002 he was a
management consultant and General Manager of Titan Technologies, Inc., an
oilfield service and distribution company in Edmonton, Alberta, Canada. In this
position, he performed an in-depth analysis of the operations and management of all
divisions of Titan Technologies. Based on his analysis, company-wide operational
changes were implemented to improve company performance.
From 1989 to 2000 he served as President and Chief Executive Officer of Keaton
International, Inc., an educational services company based in Edmonton, Alberta,
Canada. He managed all executive functions of the company and particularly
focused on the development and management of the company’s educational
services. During his time at Keaton International, Mr. Hatch led corporate

6. networking and marketing campaigns world-wide. He earned a Bachelor’s Degree
in Education from the University of Alberta in 1974.
Harold Albert, President & COO
Mr. Albert co-founded Profire Combustion, Inc. (now a subsidiary of Profire
Energy) in 2002. He has served as the President and Chief Operating Officer of
Profire Combustion since that time. Mr. Albert oversees R&D of all new products,
as well as all Canadian operations.
Prior to founding Profire Combustion, he worked in the oil services industry for
Titan Technologies, Inc. from 1996 to 2002. During that time, he served as an
Associate Manager overseeing the company’s burner division. From 1993 to 1996
he was employed with Natco Canada doing start up and commissioning of oil and
gas facilities in both Canada and Russia.
Andrew Limpert, CFO
In November 2007, Mr. Limpert joined Profire Energy and assumed management of
the Company’s financial responsibilities as CFO.
From 1998 to 2008, Mr. Limpert was an advisor with a regional firm, providing
wealth management direction and strategic and financial consulting for several
investment banks. For five years he served as a director of Ohr Pharmaceutical Inc.,
a New York-based biotech incubator. In April 2010, Mr. Limpert resigned as an
officer and director of Ohr Pharmaceutical. Over the course of 15 years, Mr.
Limpert has founded, consulted on, and funded numerous business ventures in both
the private and public arenas.
Mr. Limpert graduated from the University of Utah with a Bachelors of Science
degree in Finance in 1994. He earned a Masters of Business Administration with an
emphasis in Finance from Westminster College in 1998.

7. Peer Comparison
Name Ticker Price
Market
Cap (M)
P/E
(ttm)
Fwd.
P/E
P/S
(ttm)
P/B
(mrq)
Rev.
(ttm)
Rev. Per
Share
(ttm)
Rev 1
yr
growth
EV/EBITDA
(ttm)
BVPS
(mrq)
Fwd.
Revs.
Fwd.
Net
Income
Willbros Group WG 7.32 359.39 N/A 17.6x 0.2x 1.6x 1911.7 39.91 43.5 149.9x 4.44 2114.5 24.2
Gulf Island Fabrication GIFI 24.82 357.71 63.1x 13.8x 0.7x 1.3x 480.5 33.40 24.0 10.3x 19.61 450.2 25.3
ITP Energy ITPG 2.15 77.63 N/A N/A N/A 8.4x N/A N/A N/A N/A 0.26 N/A N/A
Greenhunter Energy GRH 1.90 58.95 N/A N/A 4.2x N/A 12.2 0.43 N/A N/A -0.43 38.3 0.8
Forbes Energy Services FES 3.20 67.69 N/A N/A 0.2x 0.5x 441.6 21.02 33.4 4.1x 6.53 509.6 3.2
Frontier Oilfield Services FOSI 1.90 35.73 N/A N/A 2.8x 6.1x 9.8 0.68 -89.4 N/A 0.31 N/A N/A
Bolt Technology BOLT 15.67 135.14 18.6x N/A 2.3x 2.0x 57.1 6.66 35.4 9.2x 7.75 N/A N/A
Global Geophsyical GGS 4.37 164.20 9.1x 9.6x 0.4x 1.2x 396.8 10.67 51.3 2.2x 3.60 361.6 27.0
Powersecure International POWR 8.46 154.89 62.1x N/A 1.1x 1.4x 155.0 8.23 35.1 20.5x 6.01 N/A N/A
Cal Dive International DVR 2.09 203.14 N/A N/A 0.4x 0.7x 445.9 4.82 -10.6 73.4x 3.03 540.4 1.1
T.G.C. Industries TGE 9.64 199.09 13.7x 12.6x 1.1x 2.6x 178.8 8.62 39.4 4.1x 3.75 N/A N/A
Mitcham Industries MIND 15.83 203.22 11.4x 10.9x 1.8x 1.2x 113.3 9.00 58.1 3.2x 13.40 115.7 22.2
Natural Gas Services NGS 18.44 227.39 19.1x 18.7x 2.6x 1.3x 88.8 7.30 20.9 5.9x 14.05 89.9 13.3
Median 18.6x 13.2x 1.1x 1.4x 7.5x
Profire Energy PFIE 1.20 54.19 44.7x 9.5x 3.6x 5.6x 15.2 0.34 98.0 27.7x 0.21 21.1 4.6
As of February 15, 2013
Source: Bloomberg
Valuation Conclusion
PFIE has shown tremendous growth relative to its peers, with FY2012
YoY revenue growth of 98% and YoY net income growth of 88%. Going
forward, the Company expects to gain market share in the fast growing
U.S. oil and gas market, which the U.S. Energy Information
Administration projects will overtake Saudi Arabia as the world’s top oil
producer by 2020. Companies such as Profire that provide products and
services to the oil and gas industry should benefit. Given PFIE’s
historical growth, expected U.S. expansion and the expansion of the U.S.
oil and gas industry, we believe it is appropriate to value PFIE at a
premium to the median forward P/E of its peer group. Applying a 17.0x
forward P/E multiple to Profire’s estimated forward earnings would give
PFIE a share price of approximately $2.15, representing upside of
approximately 80%.

8. Additional Information
Auditor: Sadler, Gibb & Associates LLC
Legal Counsel: Poulton & Yordan
Transfer Agent: OTC Stock Transfer, Inc.
Recent press releases
SEC filings

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Company Contact Info:
Profire Energy, Inc.
321 South 1250 West, Suite 1
Lindon, UT 84042
Phone: (801) 796-5127
Website: www.profireenergy.com
Investor Contact Info:
RedChip Companies, Inc.
500 Winderley Place, Suite 100
Maitland, FL 32751
Phone: (407) 644-4256
Website: www.redchip.com