October 09, 2009 17:11 ET

Active Control Technology Releases Fiscal 2009 Results

Reports 21% increase in overall revenues driven by ActiveMine™

TORONTO, ONTARIO--(Marketwire - Oct. 9, 2009) - Active Control Technology Inc. (TSX VENTURE:ACT), a leading provider of advanced wireless productivity and safety systems, today announced its financial results for the fiscal year ended July 31, 2009.

The Corporation generated revenues of $1,251,031 during the year ended July 31, 2009 as compared to $1,030,612 during the comparable period in 2008. The increase in sales is attributable to the deployment of the Corporation's ActiveMine™ product.

Cost of sales for the year ended July 31, 2009 were $1,109,149 compared to $1,024,145 in the year ended July 31, 2008. The gross margin in the year increased compared to the same period last year due to reduced costs for the ActiveMine™ product.

Selling, general and administrative costs (not including interest expense) for the year ended July 31, 2009 were $5,629,498 compared to $4,137,706 for the comparable period in 2008. The increase can be attributed to higher marketing costs of $460,464 ($298,773 - 2008), salary increases in line with the growth of the ActiveMine™ product to $1,738,698 ($913,862 - 2008), higher professional fees of $319,783 ($240,052 - 2008), increased insurance premiums due to increased cross border liability issues and in particular expenditures related to the development of the ActiveMine™ product. The Corporation has a policy of expensing its research and development costs as they are incurred. During the year, the Corporation had invested a total of $1,128,339 in the development of its products, including $127,197 in new extensions for its Quick-Kee™ technology platform and $865,405 in the development of ActiveMine™.

Interest on capital leases and promissory notes for the year ended July 31, 2009 was $2,696 ($2,425 - 2008).

The net loss for the year ended July 31, 2009 was $5,482,312 or $0.037 per share compared to a net loss of $4,133,664 or $0.031 for the year ended July 31, 2008. While the loss for the year is significantly higher than the previous year it should be noted that the Corporation continues to invest substantially in the development of its ActiveMine™ product. The loss also includes a $597,334 write down of software licenses. All amounts incurred in research and development are expensed as incurred.

About Active Control Technology

Active Control Technology is a mining services company specializing in advanced wireless productivity and safety systems. The company's MSHA-approved ActiveMine system provides two-way wireless voice communication, real-time tracking of personnel and assets, and high bandwidth data applications such as streaming video and operational data from mining machinery, over a robust wireless Wi-Fi network. Located in Burlington, Ontario, Canada, Active Control trades publicly on the TSX Venture Exchange under the symbol ACT. For more information, visit

The audited annual consolidated financial statements for the fiscal years ended July 31, 2009 and July 31, 2008, and management's discussion and analysis of the results of operations can be found at

Get more out of your mine.™

Cautionary Note Regarding Forward-Looking Statements: This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the Company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. The reader is cautioned not to put undue reliance on such forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information