
Inventronics Announces
2006 Q2 Results
Calgary, Alberta – (August 16, 2006) – Inventronics Limited (IVX:TSXV), a designer and
manufacturer of custom metal enclosures for the communications, electronics and
other industries in North America, today announced its 2006 second-quarter
financial results.
Inventronics reported sales of $5.087 million for the
second quarter of 2006, compared to second-quarter sales of $4.187 million in
2005. The increase in sales reflects a
strengthening telecommunications market and growing sales to new customers.
The net earnings for the quarter ended June 30, 2006
were $102,000, or 2 cents per share, compared to net earnings of $157,000, or 4
cents per share for the same quarter in 2005. For the 6 months ended June 30,
2006 sales were $10,148,000 and net earnings were $501,000, or 11 cents per
share versus sales of $7,800,000 and a loss of $1,299,000, or a 36-cent per
share loss in the same period a year ago.
Margin improvements reflect manufacturing efficiencies and greater
capacity utilization from increasing sales.
“Our
balance sheet is stronger than it has been in years, sales growth is continuing
as planned and we expect to continue to be profitable,” said Dan Stearne, President
and CEO. “Earnings for the quarter were
lower than last year because of a further devaluation of the US dollar and
consulting costs incurred to identify possible strategic partners.”
About
Inventronics
Inventronics Limited designs and manufactures custom
enclosures and other products for an array of customers in the
telecommunications, electronics, traffic controls, electric utilities and
computer services industries in North America. Inventronics’ enclosures are
sophisticated products that function as permanent packaging to address a
variety of customer concerns including security, protection from the outside
environment, ventilation and thermal management, noise abatement, aesthetics
and styling, electromagnetic compatibility and component integration. The
Corporation owns its ISO 9001-registered production facility in Brandon,
Manitoba, and has sales and corporate offices in Calgary, Alberta.
Shares of Inventronics trade on the TSX Venture
Exchange under the symbol “IVX.” For more information about the Corporation,
its products and its services, go to www.inventronics.com.
Inventronics’ 2006 second-quarter results will be
filed with SEDAR at www.sedar.com by August 28, 2006.
Disclaimer
This news release contains forward looking information that represents
the Corporation’s internal projections, expectations, estimates or beliefs
concerning, among other things, future operating results and various components
thereof or the Corporation’s future economic performance. These statements relate to future events or
future performance. All statements
other than the statements of historical fact may be forward-looking
statements. In some cases,
forward-looking statements can be identified by terminology such as “may”,
“will”, “should”, “expects”, “projects”, “plans”, “anticipates”, and similar
expressions. The projections, estimates
and beliefs contained in such forward-looking statements are based on
management’s assumptions relating to the production performance of
Inventronics’ assets, the cost and competition throughout the
telecommunications industry in 2006, and the continuation of the current
regulatory and tax regimes in the jurisdictions in which the Corporation
operates, and necessarily involve known and unknown risks and uncertainties,
including risks and assumptions relating to exchange rates, costs of
production, outlook for sales, and other factors that may cause actual
performance and financial results in future periods to differ materially from
any projections of future performance or results expressed or implied by such
forward-looking statements.
Accordingly, readers are cautioned that events or circumstances could
cause results to differ materially from those predicted. The Corporation does not undertake to update
any forward-looking information in this document whether as to new information,
future events or otherwise.
Selected Financial Information:
|
Income
Statement Highlights |
Three Months Ended |
Six Months Ended |
||
|
June 30, 2006 |
June 30, 2005 |
June 30, 2006 |
June 30, 2005 |
|
|
|
|
|
|
|
|
Sales |
$ 5,087 |
$ 4,187 |
$
10,148 |
$ 7,805 |
EBITDA
|
347 |
414 |
1,001 |
679 |
|
Net earnings |
$ 102 |
$ 157 |
$ 501 |
$ (1,299) |
|
Earnings per
share – Basic |
2˘ |
4˘ |
11˘ |
(36)˘ |
|
Balance
Sheet Highlights |
June 30, 2006 |
December 31, 2005 |
|
|
|
|
|
Working
capital |
$ 773 |
$ 230 |
|
Capital
assets |
6,102 |
6,148 |
|
Long-term
debt (excluding current portion) |
3,980 |
3,980 |
|
Shareholders’
equity |
$ 2,849 |
$ 2,351 |
|
|
|
|
|
|
|
|
11,404
FOR FURTHER
INFORMATION PLEASE CONTACT:
Dan J. Stearne,
President and CEO (403)
265-4880, dstearne@inventronics.com