Chai-Na-Ta announces results for third fiscal quarter.LANGLEY Lang·ley , Mount A peak, 4,227.9 m (14,026 ft) high, in the Sierra Nevada of southern California. lang·ley n. pl. , British Columbia--(BUSINESS WIRE)--Oct. 30, 1995--CHAI-NA-TA CORP. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : CCCFF TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). : CC) -- Gerry Gill gill, in weights and measures gill, in weights and measures: see English units of measurement. , president and C.E.O. of Chai-Na-Ta Corp. (the "company") announces revenues of $2.6 million, net income of $317,000 and earnings of $0.02 per share for the three month period ending Aug. 31, 1995. For the nine months ending Aug. 31, 1995, the company reports revenue of $9.6 million, net income of $1.2 million and earnings of $0.08 ($0.07 fully diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. ). Additional financial details and U.S. equivalent figures are shown at the end of this release. Operating results show year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. revenue is up 12 percent from last year as a result of increased sales volume. Gross profit margins Gross profit margin Gross profit divided by sales, which is equal to each sales dollar left over after paying for the cost of goods sold. gross profit margin A measure calculated by dividing gross profit by net sales. have shown considerable improvement as a result of favourable exchange rate fluctuations and because a lower proportion of revenues are coming from ginseng ginseng (jĭn`sĕng), common name for the Araliaceae, a family of tropical herbs, shrubs, and trees that are often prickly and sometimes grow as climbing forms. root brokered from other growers. Expense growth is largely attributable to the effect of cost deferrals in 1994 from market development projects carried out in that year. Similar projects have not been carried out in 1995. Interest costs have increased due to higher interest rates and greater short and long term borrowing to finance growth. Year-to-date earnings of $0.08 per share compares with $0.10 per share in 1994. However, the 1994 results included a one-time gain of $639,000 which contributed $0.05 to earnings. After excluding the gain in 1994 for comparative purposes, net income from recurring re·cur intr.v. re·curred, re·cur·ring, re·curs 1. To happen, come up, or show up again or repeatedly. 2. To return to one's attention or memory. 3. To return in thought or discourse. operations has increased by $471,000 or $0.03 per share. Gill states, "Since the completion of the third quarter, the company has raised $2.6 million from its farming partnership with the President Enterprises Inc. and we are continuing to work on other projects which are expected to introduce new working capital in the near future." He adds, "With our current harvest underway and the prime ginseng selling cycle just beginning, we anticipate that our working capital will be substantially improved by year end. The fourth quarter represents the major selling period in our industry and we expect to see a strong finish to this fiscal year." Chai-Na-Ta Corp., through its subsidiaries, is the world leader in the cultivation cultivation, tilling or manipulation of the soil, done primarily to eliminate weeds that compete with crops for water and nutrients. Cultivation may be used in crusted soils to increase soil aeration and infiltration of water; it may also be used to move soil to or of ginseng root and a worldwide marketer of ginseng value-added products. -0-
CHAI-NA-TA CORP.
CONSOLIDATED FINANCIAL HIGHLIGHTS
FOR THE PERIODS ENDED AUG. 31, 1995 AND 1994
(unaudited)
Three Months Ended Three Months Ended
Aug. 31 Aug. 31
1995 1994 1995 1994
Canadian $000 (x)US $000 Equivalents
Revenues $2,599 $1,384 $1,883 $1,015 Income before taxes 440 (387) 319 (284) Net Income for the period 317 (342) 230 (251) Net Income per share - basic $0.02 ($0.02) $0.01 ($0.01) fully diluted $0.02 ($0.02) $0.01 ($0.01) Weighted average shares outstanding basic 14,509,345 14,362,462 fully diluted 15,857,776 14,757,747
Nine Months Ended Nine Months Ended
August 31 August 31
1995 1994 1995 1994
Canadian $000 (x)US $000 Equivalents
Revenues $9,595 $8,559 $6,952 $6,278 Income before taxes 1,671 (xx) 1,868 1,211 (xx) 1,370 Net income for the period 1,172 (xx) 1,340 849 (xx) 983 Net earnings per share - basic $0.08 (xx) $0.10 $0.06 (xx) $0.07 fully diluted $0.07 (xx) $0.09 $0.05 (xx) $0.07 Weighted average shares outstanding basic 14,467,828 14,145,224 fully diluted 15,857,776 14,757,747 US GAAP primary and fully diluted EPS $0.07 $0.08 $0.05 $0.06 US GAAP weighted average shares outstanding primary/ fully diluted 15,764,477 14,350,616 (x) US $ Equivalents - For period ended Aug. 31, 1995, conversion rate used is 1.3801 (0.724585); For period ended Aug. 31, 1994, conversion rate used is 1.3633 (0.733514). (xx) The period ending Aug. 31, 1994, includes a "one-time" reorganization gain of CDN (Content Delivery Network) A system of distributed content on a large intranet or the public Internet in which copies of content are replicated and cached throughout the network. $639,000 (US$469,000) or CDN$0.04 (US$0.03) per share fully diluted. CONTACT: CHAI-NA-TA CORP. Gerry Gill, Pres.& C.E.O. Russell Vatcher, Corp. Sec. 800/406-7668 604/533-8883 604/533-8891 (Fax) or INVESTOR RELATIONS Investor relations The process by which the corporation communicates with its investors. : Barretto Pacific Corp. Landon Barretto Adele Lang Lang language LANG Louisiana Army National Guard Lang Langobardian (linguistics) LANG Los Angeles Newspaper Guild 206/583-8370 206/292-4965 (Fax) |
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