Carmanah Technologies Corporation
TSX : CMH

Carmanah Technologies Corporation

October 12, 2016 17:35 ET

Carmanah Releases Preliminary Financial Results for Q3 2016

VICTORIA, BRITISH COLUMBIA--(Marketwired - Oct. 12, 2016) - Carmanah Technologies Corporation (TSX:CMH) ("the Company" or "Carmanah") has released preliminary selected financial estimates for the quarter ended September 30, 2016. As is the Company's normal practice, this preliminary release includes revenue guidance and commentary respecting order backlogs and gross margins. Full financial statement disclosure is scheduled to be made after market close on November 9, 2016.

Revenues from continuing operations1 for the third quarter of 2016 were approximately USD $11.3 million, down approximately 9% from revenues of USD $12.4 million in the third quarter of 2015.

  • Signals Segment revenue was approximately USD $10.0 million, down from USD $11.4 million in the third quarter of 2015. This decrease is isolated to softer revenues from our Offshore Wind and Marine verticals, which are down by approximately 22% over prior year, mainly due to the timing of larger project sales. Offsetting this are increases to our other Signals verticals, which are up approximately 9% over 2015.
  • Illumination Segment revenue was approximately USD $1.3 million, up from USD $1.0 million from the third quarter of 2015. Fluctuations continue to be expected in this segment and are primarily due to the timing of project sales.

Blended gross margins from continuing operations1 are estimated to be higher, with the exclusion of the Power Segment.

Order backlog from continuing operations1 as at September 30, 2016, was approximately USD $4.3 million, down approximately USD $2.5 million from June 30, 2016. The majority of the order backlog is expected to be completed in the fourth quarter of 2016.

Full financial statement disclosure is scheduled to be made after market closes on November 9, 2016, followed by the analyst conference call, details for the analyst call will be released approximately one week prior to the call.

1 Excludes results and values associated with the Power Segment which the Company intends to divest, as described in the press release issued October 11, 2016.

About Carmanah Technologies Corporation
Carmanah designs, develops and distributes a portfolio of products focused on energy optimized LED solutions for infrastructure. Since 1996, we have earned a global reputation for delivering durable, dependable, efficient and cost-effective solutions for industrial applications that perform in some of the world's harshest environments. We manage our business within three reportable segments: Signals, Illumination and Power. The Signals segment includes serves the Airfield Ground Lighting, Aviation Obstruction, Offshore Wind, Marine and Traffic markets. The Illumination segment provides solar powered LED outdoor lights for municipal and commercial customers. The Power segment serves both On-Grid and Off-Grid verticals.

This release may contain forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "expects," "plans," "estimates," "intends," "believes," "could," "might," "will" or variations of such words and phrases. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Carmanah or Sabik to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Such factors include, but are not limited to: our ability to become a worldwide leader in the marine aids to navigation industry, the potential growth of the off shore wind safety market or our ability to participate in any growth and other general uncertainties that may impact actual outcomes. These forward-looking statements are based on management's current expectations and beliefs but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. Carmanah disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.

For additional information on these risks and uncertainties, see Carmanah's most recently filed Annual Information Form (AIF) and Annual MD&A, which are available on SEDAR at www.sedar.com and on the Company's website at www.carmanah.com. The risk factors identified in Carmanah's AIF and MD&A are not intended to represent a complete list of factors that could affect Carmanah.

Contact Information

  • Carmanah Technologies Corporation
    Evan Brown
    (250) 380-0052
    Chief Financial Officer/Corporate Secretary
    investors@carmanah.com