Avcorp announces third quarter 1995 results.MONTREAL, Quebec--(BUSINESS WIRE)--Aug. 21, 1995--AVCORP INDUSTRIES (ME:AVP AVP arginine vasopressin. ) Avcorp Industries Inc. of Montreal Of Montreal is an American indie pop band formed in Athens, Georgia, fronted by Kevin Barnes. It was among the second wave of groups to emerge from The Elephant 6 Recording Company. announced today that its third quarter results for the nine months ended June 30, 1995 are as follows: -0-
Three Months Ended Nine Months Ended
June 30 June 30
(000's) 1995 1994 1995 1994
Sales $9,706 $5,811 $23,666 $16,917 Cost of sales and expenses (8,291) (5,832) (22,109) (17,024) Interest (16) (68) (132) (191) Non-recurring items - - 1,748 9,066 Net earnings (loss) 1,399 (89) 3,173 8,768 Net earnings (loss) Basic $0.20 $(0.02) $0.45 $2.05 Fully diluted 0.17 (0.02) 0.40 2.05 -0- Sales for the nine months to June 30, 1995 were $23,666,000, an increase of 40 per cent over the same period last year. Sales for the three months to June 30, 1995 were $9,706,000, an increase of 29 per cent over the previous quarter. These increases are a direct result of the Company's concentrated efforts to target both new programs with existing customers and new customers, production rate increases in existing programs, and final settlement of a terminated EH101 production contract resulting in recorded sales of $1,964,000. Contract wins have been based on the Company's product quality, on-time delivery, price and on profiting solutions to customers' in-house or outside manufacturing problems. The Company's operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. for the nine months to June 30, 1995 or $1,425,000, including the revenue less related costs of the settlement referred to above, compared to a $298,000 loss for the same period last year. Operating earnings Operating Earnings Profits after subtracting expenses such as marketing, cost of goods sold, administration and general operating costs from revenue. Notes: Tax and interest expenses are not subtracted - operating earnings are synonymous with EBIT (earnings before will continue to be depressed as new contracts come on line, one-time costs are incurred and until full production rates are reached. The Company's policy has been to expense these up-front costs as incurred rather than amortize them over the contract term. Net earnings of $3,173,000 for the nine months to June 30, 1995 also included the settlement of a prior year's contract termination Defense procurement: the cessation or cancellation, in whole or in part, of work under a prime contract or a subcontract thereunder for the convenience of, or at the option of, the government, or due to failure of the contractor to perform in accordance with the terms of the contract (default). that resulted in a non-recurring net recovery of $1,748,000. The prior year's results included a $9,066,000 non- recurring gain from the debenture debt restructuring Debt Restructuring A method used by companies with outstanding debt obligations to alter the terms of the debt agreements in order to achieve some advantage. Notes: . The Company's cash position of $2,013,000 at June 30, 1995 compares to a bank loan position of $2,567,000 as at September 30, 1994. This improvement of $4,580,000 over the nine month period includes the private placement of 3,333,334 common shares for $3,700,000 less the purchase of fixed assets fixed assets npl → activo sg fijo fixed assets npl → immobilisations fpl fixed assets fix npl → of $1,760,000. The current ratio has also improved over the same period from 1.50 to 2.88. Shareholders' equity Shareholders' Equity A firms' total assets minus its total liabilities. Equivalently, it is share capital plus retained earnings minus treasury shares. Shareholders' equity is the amount by which a company is financed through common and preferred shares. has increased 105 per cent over the same period from $6,062,000 to $12,425,000 with the deficit of $1,646,000 at September 30, 1994 being eliminated and retained earnings Retained Earnings The percentage of net earnings not paid out in dividends, but retained by the company to be reinvested in its core business or to pay debt. It is recorded under shareholders equity on the balance sheet. being recorded of $1,408,000 as at June 30, 1995. Avcorp Industries Inc. is a Canadian aerospace industry manufacturer. The Company is a single-source supplier for design, fabrication fabrication (fab´rikā´sh  n),n the construction or making of a restoration. and assembly of metal, composite and plastic components and is made up of four divisions: Aerostructures, Composites, Metal Products and Engineering. CONTACT: C.E. Butterfield Chief Financial Officer and Corporate Secretary (604) 278-9821 |
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