TORONTO, ONTARIO--(Marketwired - Aug. 23, 2016) - Augusta Industries Inc. (the "Corporation") (TSX VENTURE:AAO) today released its financial results for the six months ending June 30, 2016. For the period ending June 30, 2016, the Corporation had record revenues of $1,818,000, an increase of $800,000 or 82% as compared to the six months ending June 30, 2015.
"We are extremely pleased as to how the first part of 2016 has unfolded," said Allen Lone, President of the Corporation. "The results for the first two quarters of 2016 is an indication of the success that the Corporation has experienced in its sales efforts in 2015 and the first part of 2016. The results are a true reflection of the Corporation's efforts to increase its sales, decrease costs and focus on a growing market."
- Net income for the six months ending June 30, 2016 was $149,000 or a net gain of $0.001 per share, an increase of $627,000 or $0.002 per share, as compared to a loss of $478,000 or $0.003 per share for the six months ending June 30, 2015.
- Gross profit for the six months ending June 30, 2016 was $692,000 (38.1%) compared to $305,000 (30.06%) for the six months ending June 30, 2015. The Corporation also reduced its operating expenses in the six months ending June 30, 2016 to $541,000 from $617,000 for the same period in 2015.
Consolidated Financial Highlights
|June 30, 2016||December 31, 2015|
|Total current assets||$ 1,200,000||$ 911,000|
|Total non-current assets||49,000||56,000|
|Total Assets||$ 1,249,000||$ 967,000|
|Current liabilities||$ 1,016,000||$ 866,000|
|Total Shareholders' Equity||193,000||51,000|
|Total Liabilities & Shareholders' Equity||$ 1,249,000||$ 967,000|
|6 months ended||6 months ended|
|June 30, 2016||June 30, 2015|
|Revenue||$ 1,818,000||$ 1,018,000|
|Cost of sales||(1,126,000)||(713,000)|
|Research and development||74,000||106,000|
|General and administrative||448,000||489,000|
|Total operating expenses||541,000||617,000|
|Earnings from operations||151,000||(312,000)|
|Finance expense, foreign exchange and loss on investments||4,000||(166,000)|
|Net income (loss) for the period before taxes||155,000||(478,000)|
|Net income (loss) for the period||$ 149,000||$ (478,000)|
|Earnings (loss) per share:||$ 0.001||$ (0.002)|
|Basic and diluted|
The financial statements, notes to the financial statements and Management's Discussion and Analysis for the three months ending June 30, 2016 are available on SEDAR at www.sedar.com.
About the Corporation:
Through its wholly owned subsidiaries, Marcon International Inc. ("Marcon") and Fox-Tek Canada Inc. ("Fox-Tek"), the Corporation provides a variety of services and products to a number of clients.
Marcon is an industrial supply contractor servicing the energy sector and a number of US Government entities. Marcon's principal business is the sale and distribution of industrial parts and equipment (Electrical, mechanical and Instrumentation.) In addition to departments and agencies of the U.S. Government, Marcon's major clients include Saudi Arabia-Sabic Services (Refining and Petrochemical), Bahrain National Gas Co, Bahrain Petroleum, Qatar Petroleum, Qatar Gas, Qatar Petrochemical, Gulf of Suez Petroleum, Agiba Petroleum and Burullus Gas Co.
Fox Tek develops non-intrusive asset health monitoring sensor systems for the oil and gas market to help operators track the thinning of pipelines and refinery vessels due to corrosion/erosion, strain due to bending/buckling and process pressure and temperature. The Corporation's FT fiber optic sensor and corrosion monitoring systems allow cost-effective, 24/7 remote monitoring capabilities to improve scheduled maintenance operations, avoid unnecessary shutdowns, and prevent accidents and leaks.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains forward-looking statements based on assumptions, uncertainties and management's best estimates of future events. Actual results may differ materially from those currently anticipated. Investors are cautioned that such forward-looking statements involve risks and uncertainties. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements are detailed from time to time in the Corporation's periodic reports filed with the Ontario Securities Commission and other regulatory authorities. The Corporation has no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Augusta Industries Inc.
(905) 275 -8111 ext. 226