Trojan Technologies Announces Second Quarter Results.Business Editors LONDON London, city, Canada London, city (1991 pop. 303,165), SE Ont., Canada, on the Thames River. The site was chosen in 1792 by Governor Simcoe to be the capital of Upper Canada, but York was made capital instead. London was settled in 1826. , Ontario--(BUSINESS WIRE)--April 20, 2001 Trojan A program that appears legitimate, but performs some illicit activity when it is run. It may be used to locate password information or make the system more vulnerable to future entry or simply destroy programs or data on the hard disk. Technologies Inc. (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :TUV (Technischer Überwachungs-Verein) Literally "Technical Watch-Over Association." A German certifying body involved with product safety for the European community. .) today announced its financial and operating results for the six month period ended February February: see month. 28, 2001. "Trojan Technologies has continued to make progress in its business", said Hank hank n. 1. A coil or loop. 2. Nautical A ring on a stay attached to the head of a jib or staysail. 3. A looped bundle, as of yarn. Vander Vander can refer to: People
supply of water available to animals for drinking supplied via nipples, in troughs, dams, ponds and larger natural water sources; an insufficient supply leads to dehydration; it can be the source of infection, e.g. leptospirosis, salmonellosis, or of poisoning, e.g. disinfection disinfection, n the process of destroying pathogenic organisms or rendering them inert. disinfection, full oral cavity, n a procedure used to reduce active periodontal disease, usually completed within a certain short time frame. system as well as an acquisition in an emerging market for drinking water treatment were made. These important market and strategic developments will benefit Trojan's ability to grow revenues for the future." Highlights include: - For the six months ended February 28, 2001, revenues grew 13.8% from $29.3 million in the prior year to $33.3 million. Revenue for the quarter was $14.9 million; an increase of 16.5% compared to $12.8 million in the second quarter of fiscal 2000. - On a year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. basis, earnings before interest, taxes, amortization and income from equity investment amounted to $94,300 compared to a loss of $4.6 million in fiscal 2000. For the quarter, the losses amounted to $177,200 compared to a loss of $1.4 million in the same quarter last year. - For the six-month period, the net loss after tax was $1.5 million as compared to $5.8 million in the prior year. On a per share basis, the Company reported a net loss per share of $0.09 compared to $0.34 per share in last fiscal year. Last fiscal year's results included a restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. of $2.5 million before tax. - For the second quarter, Trojan reported a net loss after tax of $881,600 compared to a $1.7 million loss in the same quarter last year. On a per share basis, the company reported a loss of $0.05 compared to $0.10 per share last year. - Consolidated gross margin for the six-month period increased to 36.0% or $12.0 million compared to 26.2% or $7.7 million in the prior year reflecting the implementation of the cost reduction and process improvement program. Consolidated gross margin for the quarter increased to 35.6% or $5.3 million from 28.2% or $3.6 million in comparison to the same quarter last year. - The Company had been actively involved in two very large projects for wastewater treatment that have been subject to bidding delays. These two projects, valued at approximately C$30 million and located in the United States, have completed the initial stages of the bidding process. Trojan's UV systems were exclusively offered on both projects as equipment to be supplied by the bidding contractors. The municipalities are now evaluating the general contractors' proposals for each project and purchase decisions and order placements have not yet been made. Both of these contracts would be larger than any other contract award received in Trojan's history. - UV can also be used to remove harmful toxic chemical contaminants from drinking water. These contaminants, referred to as exotic contaminants, are resistant to biodegradation and are difficult to treat by conventional technologies. For the past two years, Trojan and Advanced Ultraviolet Solutions (AUVS), of Tucson, Arizona, have been cooperating in the development of a UV system to treat contaminated water. Trojan has now purchased the assets of AUVS to accelerate its entry into this rapidly emerging market opportunity. "Our six-month results are encouraging in comparison to last year - particularly from cost reduction and operational perspectives," said Hank Vander Laan, President and Chief Executive Officer of Trojan Technologies Inc. "We maintain our commitment to reducing costs, improving quality and delivering superior customer service. We will continue to manage our business prudently pru·dent adj. 1. Wise in handling practical matters; exercising good judgment or common sense. 2. Careful in regard to one's own interests; provident. 3. Careful about one's conduct; circumspect. with a view to growing returns on our investment." More details about Trojan Technologies financial performance are contained in the following Report to Shareholders. Report to Shareholders for the Second Quarter of Fiscal 2001 President's Message To Our Shareholders Trojan Technologies has continued to make progress in its business. Recent announcements of significant bidding developments in our wastewater market, the first sale of our recently launched municipal drinking water disinfection system as well as an acquisition in an emerging market for drinking water treatment were made. These important market and strategic developments will benefit Trojan's ability to grow revenues for the future. We have also made significant improvements over the past 6-9 months in the areas of product quality and cost management. Trojan is now positioned to seize seize v. To exhibit symptoms of seizure activity, usually with convulsions. these opportunities and increase revenues in the remainder of this fiscal year. However, as we had stated to you at our Annual Meeting of Shareholders, we had anticipated that the second quarter of this fiscal year would reflect a cyclical cyclical Of or relating to a variable, such as housing starts, car sales, or the price of a certain stock, that is subject to regular or irregular up-and-down movements. reduction in revenue resulting in an unprofitable quarter. While this is the case, Trojan has not wavered in its commitment to maintain gross margins at profitable levels and to reduce its cost base. Overall, revenue for the six month period increased by 13.8% over the same period of fiscal 2000. Earnings per share also improved from a loss of $0.34 to a loss of $0.09 per share. These improvements reflect the strengthened internal operations of your Company. At the beginning of our third quarter, exciting progress was made in the Company's core market segment; wastewater disinfection. As we previously reported, the Company had been actively involved in two very large projects for wastewater treatment that have been subject to bidding delays. These two projects, valued at approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. C$30 million and located in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , have completed the initial stages of the bidding process. Trojan's UV systems were exclusively offered on both projects as equipment to be supplied by the bidding contractors. The municipalities are now evaluating the general contractors' proposals for each project and purchase decisions and order placements have not yet been made. Both of these contracts would be larger than any other contract award received in Trojan's history. We continue to be encouraged by the response for our new products. During the quarter, we were very pleased to announce our first sale for the recently launched municipal drinking water disinfection system, the Trojan UVSwift(TM). Interest in this system continues to grow as quotes worth over $130 million had been submitted for approximately 180 projects around the globe. However, the buyers' long decision cycle makes it likely that significant new revenues from this market will not emerge until fiscal 2002 and beyond. Our product for residential UV disinfection, Trojan UVMax(TM), is also now entering its busiest season of the year. Municipal governments and regulators continue to increase their focus and dedicate ded·i·cate tr.v. ded·i·cat·ed, ded·i·cat·ing, ded·i·cates 1. To set apart for a deity or for religious purposes; consecrate. 2. additional resources to drinking water protection efforts. UV can also be used to remove harmful toxic chemical Any chemical which, through its chemical action on life processes, can cause death, temporary incapacitation, or permanent harm to humans or animals. This includes all such chemicals, regardless of their origin or of their method of production, and regardless of whether they are produced contaminants from drinking water. These contaminants, referred to as exotic exotic not native, not indigenous. contaminants, are resistant to biodegradation Biodegradation The destruction of organic compounds by microorganisms. Microorganisms, particularly bacteria, are responsible for the decomposition of both natural and synthetic organic compounds in nature. and are difficult to treat by conventional technologies. For the past two years, Trojan and Advanced Ultraviolet An invisible band of radiation at the upper end of the visible light spectrum. With wavelengths from 10 to 400 nm, ultraviolet starts at the end of visible light and ends at the beginning of X-rays. The primary source of ultraviolet light is the sun. Solutions (AUVS AUVS Association for Unmanned Vehicle Systems ), of Tucson, Arizona Tucson (pronounced /ˈtusɑn/, Spanish: Tucsón [tuk'son] , have been cooperating in the development of a UV system to treat contaminated contaminated, v 1. made radioactive by the addition of small quantities of radioactive material. 2. made contaminated by adding infective or radiographic materials. 3. an infective surface or object. water. We have now purchased the assets of AUVS to accelerate our entry into this rapidly emerging market opportunity. To date, we have identified specific projects in California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). with revenue potential exceeding C$50 million over the next 3-5 years. Outlook Our first half-year results are encouraging in comparison to last year's results - particularly from cost reduction and operational perspectives. We have come a long way since this point in time last year and we continue to improve our performance. We maintain our commitment to reducing costs, improving quality and delivering superior customer service. For the last two years, the Years, The the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109] See : Time wastewater treatment industry has experienced project delays that in turn have reduced sales volumes. Given the slowing in the US economy, it is not clear how soon this market will rebound rebound (rē´bownd), n/v 1. a recovery from illness. n 2. an outbreak of fresh reflex activity after withdrawal of a stimulus rebound adjective . In the meantime Adv. 1. in the meantime - during the intervening time; "meanwhile I will not think about the problem"; "meantime he was attentive to his other interests"; "in the meantime the police were notified" meantime, meanwhile , Trojan has identified additional applications for UV technology, including municipal drinking water treatment, and has launched new products for these markets. We expect revenue growth during the third and fourth quarters that will allow us to return to profitability. Significant developments in both drinking water and wastewater treatment markets in this current fiscal year will have established a strong momentum for growth in fiscal years 2002 and beyond. We will continue to manage our business prudently with a view to growing returns on our investment. ( Signed ) H.J. (Hank) Vander Laan President and Chief Executive Officer Financial Analysis of Results Trojan's financial performance continues to be driven by three factors: revenue, gross margin and expense management. With better internal management of our gross margins and operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. now in place, Trojan's immediate challenge and focus continues to be revenue growth and a return to profitability. For the six months ended February 28, 2001, revenues grew 13.8% from $29.3 million in the prior year to $33.3 million. Revenue for the quarter was $14.9 million; an increase of 16.5% compared to $12.8 million in the second quarter of fiscal 2000. On a year-to-date basis, earnings before interest, taxes, amortization and income from equity investment amounted to $94,300 compared to a loss of $4.6 million in fiscal 2000. For the quarter, the losses amounted to $177,200 compared to a loss of $1.4 million in the same quarter last year. For the second quarter, Trojan reported a net loss after tax of $881,600 compared to a $1.7 million loss in the same quarter last year. On a per share basis, the company reported a loss of $0.05 compared to $0.10 per share last year. For the six-month period, the net loss after tax was $1.5 million as compared to $5.8 million in the prior year. On a per share basis, the Company reported a net loss per share of $0.09 compared to $0.34 per share in last fiscal year. Note that last fiscal year's results included a restructuring charge of $2.5 million before tax. Analysis by Product Revenues from the Municipal segment increased in the quarter by 15.6% to $12.8 million. The Clean Water segment experienced 22.2% growth to $2.1 million as compared to 1.8 million in the previous year's quarter. These increases were primarily due to the production realignment re·a·lign tr.v. re·a·ligned, re·a·lign·ing, re·a·ligns 1. To put back into proper order or alignment. 2. To make new groupings of or working arrangements between. program initiated in the second quarter of fiscal 2000. On a year-to-date basis, the Municipal segment achieved 9.5% growth reaching $28.8 million as compared to $26.3 million for the same six-month period last year. The Clean Water segment increased as well achieving $4.5 million in revenue; up 52.4% from $3.0 million in the first half of fiscal 2000. Gross Margin Consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: gross margin for the six-month period increased to 36.0% or $12.0 million compared to 26.2% or $7.7 million in the prior year reflecting the implementation of the cost reduction and process improvement program. Consolidated gross margin for the quarter increased to 35.6% or $5.3 million from 28% or $3.6 million in comparison to the same quarter last year. In comparison to the first quarter, consolidated gross margin remained stable. Gross margins in Europe Europe (y  r`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). have improved and
margins in all other markets are strong. Unabsorbed overhead, due to
lower quarterly production revenues, reduced consolidated gross margins
by approximately 8%. To achieve profitable growth, the Company remains
committed to achieving overall gross margins in the 40%-45% range.Operating Expenses Operating expenses, specifically administrative, selling and net research and development costs, increased slightly over the second quarter of fiscal 2000 from $5.0 million or 38.9% of sales to $5.5 million or 36.8% of sales. Last year's second quarter expenses benefited significantly from certain items that are non-recurring. On a year-to-date basis, operating expenses were $11.9 million or 35.7% of sales as compared to $12.3 million or 42.1% of sales in fiscal 2000. Liquidity and Capital Resources The Company's working capital position, excluding cash and bank indebtedness INDEBTEDNESS. The state, of being in debt, without regard to the ability or inability of the party to pay the same. See 1 Story, Eq. 343; 2 Hill. Ab. 421. 2. , stood at $32.8 million compared to $37.8 million at the beginning of the fiscal year largely due to a reduction in accounts receivable accounts receivable n. the amounts of money due or owed to a business or professional by customers or clients. Generally, accounts receivable refers to the total amount due and is considered in calculating the value of a business or the business' problems in paying and accrued ac·crue v. ac·crued, ac·cru·ing, ac·crues v.intr. 1. To come to one as a gain, addition, or increment: interest accruing in my savings account. 2. revenue. For the six-month period, cashflow from operations improved to $3.8 million from an outflow of $1.0 million in the prior year primarily due to improved operations. Cash used in investment activities declined to $1.2 million from $3.3 million because of reduced capital expenditures. During the quarter, Trojan was pleased to announce the establishment of a new credit facility with Scotiabank Scotiabank (Banque Scotia) (TSX: BNS NYSE: BNS), formally known as The Bank of Nova Scotia is one of Canada's Big Five banks. It is the third largest bank in Canada by assets (behind the Royal Bank of Canada and TD Bank Financial Group), and the second ; one of Canada's leading financial institutions. This facility, which replaces and increases the previously established operating line and revolving term loan, provides Trojan with $39.5 million of available credit. As at February 28, 2001, bank indebtedness stood at $19.7 million; down by 7.5% from $21.3 million at the beginning of the fiscal year. A conference call will be held for investors, analysts and media at 3:00pm EST EST electroshock therapy. EST abbr. electroshock therapy April 20, 2001. The conference call will be hosted by H.J.(Hank) Vander Laan, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and will include Douglas Douglas, city, Isle of Man Douglas, city (1991 pop. 19,950), capital of the Isle of Man, Great Britain. It is a popular resort, connected by rail to Ramsey and Port Erin, on the Irish Sea. Tourism is the chief industry. Alexander, CFO See Chief Financial Officer. and Marvin DeVries COO (Cell Of Origin) See mobile positioning. . The phone number to call is (416) 695-5806 or (800) 273-9672. A taped version of the call will be available until midnight April 27th by calling (416) 695-5800 or (800) 408-3053 and dialing passcode number 743554. Trojan Technologies is a Canadian Canadian (kənā`dēən), river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma. based, high technology environmental company operating internationally. With more than 20 years of experience, Trojan has the largest installed base of UV disinfection systems operating around the world. Trojan designs, manufactures and sells ultraviolet disinfection Ultraviolet disinfection is a form of wastewater treatment. It is commonly used in garden pond filtration systems to kill algae. Large scale urban UV wastewater treatment is performed in cities such as Edmonton, Alberta. systems for municipal wastewater, drinking water systems for residential, municipal and commercial use, and industrial systems for food and beverage F&B is a common abbreviation in the United States and Commonwealth countries, including Hong Kong. F&B is typically the widely accepted abbreviation for "Food and Beverage," which is the sector/industry that specializes in the conceptualization, the making of, and delivery of foods. , pharmaceutical, and semiconductor applications. This document contains certain statements that are forward-looking for·ward-look·ing adj. Concerned with or making provision for the future: forward-looking educators; a forward-looking corporate plan. Adj. 1. relative to the company's future strategy and performance. They involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to be materially different from any future performance suggested in this document. Further, the Company operates in an industry where it may be influenced by economic and other factors beyond the Company's control.
TROJAN TECHNOLOGIES INC.
FINANCIAL HIGHLIGHTS
(in thousands of dollars)
(unaudited) For the six months ended
---------------------------------------------------------------------
February 28 February 29
2001 2000
---------------------------------------------------------------------
Revenue $ 33,337.9 $ 29,299.5
Earnings (loss) before interest,
taxes, amortization, equity income
and restructuring charge $ 94.3 $ (4,649.8)
Net loss $ (1,471.2) $ (5,814.1)
Loss per share (in dollars)
Basic $ (0.09) $ (0.34)
Fully diluted $ (0.09) $ (0.34)
Number of shares
Basic 17,168.4 17,152.0
Fully diluted 17,799.7 17,879.8
TROJAN TECHNOLOGIES INC.
CONSOLIDATED STATEMENTS OF INCOME
(in thousands of dollars)
(unaudited)
For the six months ended For the three months ended
---------------------------------------------------------------------
February 28 February 29 February 28 February 29
2001 2000 2001 2000
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REVENUE $ 33,337.9 $ 29,299.5 $ 14,919.4 $ 12,806.9
Cost of goods
sold 21,328.5 21,619.8 9,608.9 9,201.4
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Gross Margin 12,009.4 7,679.7 5,310.5 3,605.5
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EXPENSES
Administrative
and selling
expenses 10,123.3 8,805.7 4,625.1 3,368.7
Research and
development 1,791.8 3,523.8 862.6 1,619.0
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11,915.1 12,329.5 5,487.7 4,987.7
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Earnings (loss)
before interest,
taxes, amortization,
income from equity
investment and
restructuring
charge 94.3 (4,649.8) (177.2) (1,382.2)
Other expenses (income)
Interest on
long-term debt 130.2 213.7 61.5 106.7
Interest and bank
charges 799.4 753.7 351.7 342.5
Amortization 1,537.2 1,750.1 772.8 1,037.8
Interest income (61.3) (153.2) (26.6) (33.3)
Income from equity
investment (390.0) (300.0) (195.0) (150.0)
Restructuring charge - 2,500.0 - -
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Operating loss (1,921.2) (9,414.1) (1,141.6) (2,685.9)
Income taxes -
current 85.0 (1,640.0) 34.0 (292.0)
Income taxes -
future (535.0) (1,960.0) (294.0) (660.0)
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Net loss (1,471.2) (5,814.1) (881.6) (1,733.9)
Retained earnings,
beginning of
period 3,190.1 10,907.7 2,600.5 6,827.5
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Retained earnings,
end of period $ 1,718.9 $ 5,093.6 $ 1,718.9 $ 5,093.6
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---------------------------------------------------------------------
Loss per share
(in dollars)
Basic (0.09) (0.34) (0.05) (0.10)
Fully diluted (0.09) (0.34) (0.05) (0.10)
---------------------------------------------------------------------
---------------------------------------------------------------------
Number of shares
(in thousands)
Basic 17,168.4 17,152.0 17,168.4 17,168.4
Fully diluted 17,799.7 17,879.8 17,792.3 17,852.6
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See accompanying notes
TROJAN TECHNOLOGIES INC.
CONSOLIDATED BALANCE SHEETS
(in thousands of dollars)
(unaudited)
February 28 August 31
2001 2000
---------------------------------------------------------------------
ASSETS
Cash and cash equivalents $ 1,154.1 $ 718.0
Accounts receivable 21,019.8 23,943.6
Accrued revenue on contracts in
progress 13,358.6 16,289.7
Inventory 11,740.8 12,283.2
Prepaid expenses 316.5 394.0
Income taxes receivable 1,146.1 950.4
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Total current assets 48,735.9 54,578.9
Investments in other companies 2,136.9 1,746.9
Investment tax credits recoverable 3,488.0 3,178.0
Future income taxes 3,694.9 2,922.0
Capital assets 23,374.6 23,722.7
Patents, trademarks and licenses 1,291.7 1,305.8
Goodwill 800.7 782.2
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$ 83,522.7 $ 88,236.5
---------------------------------------------------------------------
---------------------------------------------------------------------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Bank indebtedness $ 19,749.5 $ 21,347.8
Accounts payable and accrued charges 13,811.5 15,127.2
Current portion of long-term debt 941.7 915.0
---------------------------------------------------------------------
Total current liabilities 34,502.7 37,390.0
---------------------------------------------------------------------
Long-term debt 3,943.6 4,298.9
---------------------------------------------------------------------
Shareholders' equity
Share capital 43,357.5 43,357.5
Retained earnings 1,718.9 3,190.1
---------------------------------------------------------------------
45,076.4 46,547.6
$ 83,522.7 $ 88,236.5
---------------------------------------------------------------------
---------------------------------------------------------------------
See accompanying notes
TROJAN TECHNOLOGIES INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands of dollars)
(unaudited)
For the six months ended For the three months ended
---------------------------------------------------------------------
February 28 February 29 February 28 February 29
2001 2000 2001 2000
---------------------------------------------------------------------
OPERATING ACTIVITIES
Net loss $ (1,471.2) $ (5,814.1) $ (881.6) $ (1,733.9)
Add (deduct)
charges (credits)
to operations
not involving cash
Amortization 1,537.2 1,750.1 772.8 1,037.8
Income from
equity
investment (390.0) (300.0) (195.0) (150.0)
Future income
taxes (535.0) (1,960.0) (345.0) (660.0)
Investment tax
credits
recoverable (310.0) - (110.0) -
Net change in non-cash
working capital
balances related
to operations 4,966.2 5,336.7 (903.4) 3,400.9
---------------------------------------------------------------------
Cash provided by
(used in)
operating
activities 3,797.2 (987.3) (1,662.2) 1,894.8
---------------------------------------------------------------------
INVESTMENT ACTIVITIES
Additions to capital
assets, net (949.3) (3,135.3) (511.1) (1,723.2)
Additions to patents,
trademarks and
licenses (121.8) (356.0) (52.3) (219.5)
Dividend received
from equity
investment - 343.0 - 343.0
Acquisitions (115.2) (149.5) - -
---------------------------------------------------------------------
Cash used in
investment
activities (1,186.3) (3,297.8) (563.4) (1,599.7)
---------------------------------------------------------------------
FINANCING ACTIVITIES
Decrease in bank
indebtedness (1,814.8) (7,468.2) 1,900.9 (4,573.0)
Issuance of common
shares - 348.5 - -
Repayment of long-term
debt (359.9) (580.8) (222.7) (443.2)
---------------------------------------------------------------------
Cash provided by
(used) in
financing
activities (2,174.7) (7,700.5) 1,678.2 (5,016.2)
---------------------------------------------------------------------
Net increase
(decrease) in
cash and cash
equivalents during
the period 436.1 (11,985.6) (547.5) (4,721.1)
Cash and cash
equivalents,
beginning of
period 718.0 11,985.6 1,701.6 4,721.1
---------------------------------------------------------------------
Cash and cash
equivalents,
end of period 1,154.1 - 1,154.1 -
---------------------------------------------------------------------
---------------------------------------------------------------------
See accompanying notes
1. BASIS OF PRESENTATION The accompanying ac·com·pa·ny v. ac·com·pa·nied, ac·com·pa·ny·ing, ac·com·pa·nies v.tr. 1. To be or go with as a companion. 2. unaudited consolidated financial statements Consolidated Financial Statements The combined financial statements of a parent company and its subsidiaries. Notes: Because consolidated financial statements present an aggregated look at the financial position of a parent and its subsidiaries, they enable you to gauge have been prepared by the Company in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[] As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh. with accounting principles generally accepted in Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of . These unaudited condensed con·dense v. con·densed, con·dens·ing, con·dens·es v.tr. 1. To reduce the volume or compass of. 2. To make more concise; abridge or shorten. 3. Physics a. notes to the consolidated financial statements should be read in conjunction conjunction, in astronomy conjunction, in astronomy, alignment of two celestial bodies as seen from the earth. Conjunction of the moon and the planets is often determined by reference to the sun. with the audited financial statements and notes included in the Company's Annual Report for the fiscal year ended August 31, 2000. 2. INCOME TAXES The Company's effective tax rate for the quarter 23.4% of the operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. for the quarter as it includes a charge of $150,000 due to tax rate reductions as well as $85,000 for the Federal Large Corporations Tax.
3. SEGMENT INFORMATION (in thousands of dollars)
Six months ended February 28, 2001
---------------------------------------------------------------------
Municipal Clean Water All Other Total
$ $ $ $
---------------------------------------------------------------------
Sales 28,834.9 4,503.0 - 33,337.9
---------------------------------------------------------------------
Operating loss (1,023.3) (419.6) (478.3) (1,921.2)
---------------------------------------------------------------------
Six months ended February 29, 2000
---------------------------------------------------------------------
Municipal Clean Water All Other Total
$ $ $ $
---------------------------------------------------------------------
Sales 26,344.6 2,954.9 - 29,299.5
---------------------------------------------------------------------
Operating income
(loss) (6,473.3) 246.2 (3,187.0) (9,414.1)
---------------------------------------------------------------------
Three months ended February 28, 2001
---------------------------------------------------------------------
Municipal Clean Water All Other Total
$ $ $ $
---------------------------------------------------------------------
Sales 12,776.0 2,143.4 - 14,919.4
---------------------------------------------------------------------
Operating income
(loss) (705.7) (244.3) (191.6) (1,141.6)
---------------------------------------------------------------------
Three months ended February 29, 2000
---------------------------------------------------------------------
Municipal Clean Water All Other Total
$ $ $ $
---------------------------------------------------------------------
Sales 11,053.0 1,753.9 - 12,806.9
---------------------------------------------------------------------
Operating income
(loss) (2,598.0) 203.0 (290.9) (2,685.9)
---------------------------------------------------------------------
4. SUBSEQUENT EVENT Subsequent to the quarter end, the Company acquired the assets of Advanced Ultraviolet Solutions (AUVS) of Tucson, Arizona. The purchase agreement consists of an upfront payment of US$500,000 with milestone “Milemarker” redirects here. For the American indie rock band, see Milemarker (band). A milestone or kilometre sign is one of a series of numbered markers placed along a road at regular intervals, typically at the side of the road or in a median. and earn-out Earn-out Refers to an additional payment in a merger or acquisition that is not part of the original acquisition cost, which is based on the acquired company's future earnings relative to a level determined by the merger agreement. payments based on revenue generation and profitability over the next ten years. |
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