(DTM.) Groupe Informatique DTM Inc. - growth of 81 percent in net earnings for DTM during third quarter.MONTREAL--(BUSINESS WIRE)--June 4, 1997--(ME DTM DTM dermatophyte test medium. .) For the third quarter ended April 30, 1997, Groupe Informatique DTM Inc. announces sales of $18.1 million, compared with $18.2 million for the corresponding period of the previous year. Net earnings rose to $315,396, up from $174,053 for the three months ended April 30, 1996, an increase of 81 percent. Earnings per share (basic) amounted to $0.09, up from $0.05 for the third quarter of 1996. The Company's excellent performance was mainly due to the increase in profit margins, especially those deriving from professional services (job) professional services - A department of a supplier providing consultancy and programming manpower for the supplier's products. . These operations provided the Company with a gross margin three times greater than computer equipment resales, in addition to enhancing customer loyalty and having a major impact on DTM's other business. Nine months - solid improvement in operating profitability Net earnings for the nine months ended April 30, 1997 stood at $556,222 or $0.16 per share, up 15 percent over $482,629 or $0.14 per share for the corresponding period in 1996. The operating profitability improved considerably, since net earnings for 1996 included a $193,187 gain on the disposal of assets. In fact, earnings before gain on disposal and income taxes climbed to $960,700 for the nine months ended April 30, 1997, compared with $636,152 for the same period of fiscal 1996, an increase of 48.9 percent. The higher relative share of the gross profit from services, which rose from 13.1 percent from 17.1 percent, was behind the strong growth in the Company's profitability. Intense internal development The Company has consolidated its leadership in personal computers: - Contract with Levesque Lé·vesque , René 1922-1987. Canadian politician who cofounded (1967) the Parti Québecois to further the cause of French-Canadian separatism. He served as premier of Quebec (1976-1985). Beaubien Geoffrion - $5 million. - Contract with Notarius - $20 million over three years. - T.J. Watson Award, granted by IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) , for customer service excellence. DTM was the only recipient of this award in Quebec. - Strategic alliance with MPACT MPACT Mississippi Prepaid Affordable College Tuition Plan Immedia Corporation (ME and TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). - IFM IFM Institut Français de la Mode (French Fashion Institute) IfM Institute for Micromanufacturing (Louisiana Tech University) IFM Interface Module IFM Instantaneous Frequency Measurement ) for the distribution of MPACT products by DTM. - Agreement with PBSC PBSC Peripheral Blood Stem Cell PBSC Performance-Based Service Contracting PBSC Pro Bono Students Canada PBSC Polar Bear Software Company PBSC Public Buildings and Site Commission (a subsidiary of IBM) to pursue the development of our training activities. Outlook - toward increased profitability By developing its professional services, DTM expects to increase its net earnings by more than 40 percent annually until the year 2000. "In light of our earnings before gain on disposal and income taxes for the first nine months of the current fiscal year (an increase of 48.9 percent), the Company's performance is perfectly in line with the objectives we had set. Planned acquisitions will even enable us to exceed our goals," indicated Karol Brassard, Chairman of the Board. Management meets financial community To raise the Company's profile in the financial community as well as to report on its recent developments and positive outlook, management has launched an important financial communications program Software that manages the transmission of data between computers, typically via modem and the serial port. Such programs were very popular for connecting to BBSs before the Internet took off. . A document describing the Company has been distributed to financial community players and management plans to make several presentations to brokers. A presentation will be held at the Westin Mont-Royal Hotel (Printemps Room) on June 17 at noon, to which you are cordially invited (please confirm your attendance with Nathalie Dion, at 842-1131). Profile Active in personal computers since 1977, DTM is currently the largest Canadian-owned integrator (1) In electronics, a device that combines an input with a variable, such as time, and provides an analog output; for example, a watt-hour meter. (2) See systems integrator. of personal computers in Quebec. The Company provides comprehensive technological solutions for a client base consisting mostly of medium-sized and large corporations. Among other things, it is a specialist in MICROSOFT platforms and one of its leading Solution Providers in Quebec. DTM, whose head office is in Lachine (Montreal), also has offices in Quebec City. Groupe Informatique DTM Inc. is listed on The Montreal Exchange Montreal Exchange A Canadian derivatives exchange that facilitates the trading of stock options, interest rate futures and options, as well as index options and futures. Located in Montreal, Quebec, it is the country's main financial derivative market, while the Winnipeg under the ticker symbol Ticker Symbol An arrangement of characters (usually letters) representing a particular security listed on an exchange or otherwise traded publicly. When a company issues securities to the public marketplace, it selects an available ticker symbol for its securities which investors DTM. -0-
Groupe Informatique DTM inc.
Summary of Results Three months ended Nine months ended
($) April 30, April 30,
1997 1996 1997 1996
___________________ __________________
Sales 18,102,149 18,216,254 48,028,444 44,304,462
Earnings before
gain on disposal
and income taxes 553,327 295,819 960,700 636,152
Gain on disposal of
assets and liabilities - (1,513) 15,113 193,187
Net earnings 315,396 174,053 556,222 482,629
Earnings per share
(basic) 0.09 0.05 0.16 0.14
CONTACT: Groupe Informatique DTM Inc. Martin Vidal, 514/828-4428 http://www.dtminfo.com |
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