Gendis Inc.
TSX : GDS

Gendis Inc.

June 02, 2006 16:21 ET

Gendis Inc. Announces First Quarter Results for Fiscal 2007

WINNIPEG, MANITOBA--(CCNMatthews - June 2, 2006) - Gendis Inc. (TSX:GDS) today announced its financial results for the 1st quarter ended April 30, 2006 of the fiscal year ending January 31, 2007.

Revenue for the 1st quarter was $494,000 compared to $964,000 last year. The net loss for the 1st quarter was $219,000 ($0.01 per share) compared to earnings of $374,000 ($0.02 per share) last year.

At April 30, 2006, the Company's investments had a fair market value of approximately $44.2-million, which is $8.2-million in excess of carrying value. This represents an unrealized appreciation of approximately $0.53 per share, before income taxes.



Gendis Inc.
Consolidated Balance Sheet

April 30, Jan. 28,
(unaudited - in thousands of dollars) 2006 2006
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Assets

Cash and equivalents 228 95
Receivables 405 265
Note receivable - current portion 603 382
Prepaid expenses 201 203
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1,437 945
Investments 36,025 33,306
Note receivable 1,502 1,693
Deposit on income tax reassessment 28,361 28,361
Property and equipment 10,976 11,066
Future tax asset 2,647 2,847
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80,948 78,218
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Liabilities and Shareholders' Equity

Credit facilities 11,280 7,985
Payables and accrued liabilities 1,086 1,039
Income & capital taxes payable 3 333
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12,369 9,357
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Shareholders' equity
Capital stock 16,076 16,100
Retained earnings 52,503 52,761
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68,579 68,861
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80,948 78,218
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Gendis Inc.
Consolidated Statement of Earnings (Loss)

quarter ended
(unaudited - April 30 April 30
in thousands of dollars) 2006 2005
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Revenue
Investment 376 579
Real estate rental 118 385
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494 964
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Expenses
Property and administrative expenses 707 513
Amortization of property and equipment 90 82
Interest and finance expenses 127 -
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924 595
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Earnings (loss) before the undernoted (430) 369
Gain on sale of investments 433 40
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Earnings (loss) before taxes 3 409
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Provision for income taxes
Current 22 35
Future 200 -
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222 35
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Net earnings (loss) (219) 374
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Earnings (loss) per share -
basic and diluted (0.01) 0.02



Gendis Inc.
Consolidated Statement of Cash Flows

quarter ended
(unaudited - April 30, April 30,
in thousands of dollars) 2006 2005
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By operations:
Earnings (loss) for the period (219) 374
add (deduct) items not affecting cash:
Gain on sale of investments (433) (40)
Amortization of property and equipment 90 82
Future income taxes 200 -
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Cash flow from earnings (362) 416
Change in working capital 34 77
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(328) 493
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By investing activities:
Proceeds from sale of investments 2,188 135
Difference between distributions and
investment income 681 (10)
Investments acquired (5,155) (1,638)
Purchase of property and equipment - (26)
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(2,286) (1,539)
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By financing activities:
Advance from credit facilities 3,146 -
Refundable dividend tax (338) -
Purchase and cancellation of share capital (61) -
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2,747 -
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Increase (decrease in cash) 133 (1,046)
Cash - beginning of period 95 3,235
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Cash - end of period 228 2,189
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Gendis Inc.

Basis of Presentation of unaudited interim financial statements

These unaudited interim financial statements are prepared in accordance with accounting principles generally accepted in Canada and follow the same accounting policies and methods of application as the audited annual financial statements at January 28, 2006. These interim financial statements should be read in conjunction with the annual consolidated financial statements and notes thereto as presented in the Company's Annual Report for the fiscal year ended January 28, 2006.

Certain comparative figures have been restated to conform to the presentation adopted for the current period.

Contact Information

  • Gendis Inc.
    Albert D. Cohen
    President, C.E.O. and Chairman of the Board of Directors
    (204) 474-5200
    or
    Gendis Inc.
    James E. Cohen
    Executive Vice-President
    (204)474-5200
    (204)474-5201 (FAX)
    finance@gendis.ca
    www.gendis.ca