CEMATRIX Corporation

TSX VENTURE : CVX


CEMATRIX Corporation

November 15, 2012 18:37 ET

CEMATRIX Corporation Reports Third Quarter Financial Results

CALGARY, ALBERTA--(Marketwire - Nov. 15, 2012) - CEMATRIX Corporation (TSX VENTURE:CVX) (the "Corporation" or the "Company" or "CEMATRIX") is pleased to announce the release of its consolidated financial results for the quarter and nine months ended September 30, 2012.

Third Quarter Highlights

  • The Company added $3.0 million of sales orders bringing the total in the year to $11.7 million. The Company now has $8.7 million of contracted sales for work scheduled in 2012 and another $3.0 million for work scheduled for 2013.

  • The Company reported third quarter sales of $2.4 million compared to $3.4 million for the same period in 2011; the decline in sales from the same period in the previous year was due to a shift in 2012 sales into the fourth quarter.

  • The Company reported third quarter earnings of $222,127, compared with $739,188 in the same period in 2011; the decline is due to the timing of sales year over year as discussed above.

Financial Results

Selected financial information for the quarters and nine months ended September 30, 2012 and 2011 is as follows:

Quarter ended September 30 Nine months ended September 30
2012 2011 Change 2012 2011 Change
Revenue $ 2,367,047 $ 3,424,336 $ (1,057,289 ) $ 5,605,882 $ 6,080,442 $ (474,560 )
Gross margin 688,893 1,264,155 (575,262 ) 1,326,127 1,821,947 (495,820 )
Operating expenses (426,639 ) (486,687 ) 60,048 (1,393,330 ) (1,200,858 ) (192,472 )
Operating income (loss) 262,254 777,468 (515,214 ) (67,203 ) 621,089 (688,292 )
Finance costs and other items (40,127 ) (38,280 ) (1,847 ) (102,965 ) (151,066 ) 48,101
Comprehensive income (loss) $ 222,127 $ 739,188 $ (517,061 ) $ (170,168 ) $ 470,023 $ (640,191 )
Income (loss)per common share $ 0.007 $ 0.022 $ (0.015 ) $ (0.005 ) $ 0.014 $ (0.019 )

The outlook for 2012 remains positive. The Company has $8.7 million of sales contracted for projects that are currently scheduled for completion in 2012.

This press release should be read in conjunction with the Corporation's unaudited Consolidated Financial Statements and Management Discussion and Analysis for the quarter and nine months ended September 30, 2012, both of which can be found on SEDAR.

CEMATRIX is an Alberta corporation with its head offices in Calgary, Alberta. The Corporation, through its wholly owned subsidiary, is a manufacturer and supplier of technologically advanced cellular concrete products with applications in a variety of markets, including oil and gas construction and infrastructure construction. Cellular concrete provides a cost and labour saving solution as a replacement for rigid and other insulating materials in frost-susceptible or permafrost conditions. Cellular concrete is also used in void filling situations and as a replacement for granular fills and weak or unstable soils.

Forward-looking information: This news release contains certain information that is forward looking and is subject to important risks and uncertainties (such statements are usually accompanied by words such as "anticipate", expect", "would' or other similar words). Forward looking statements in this document are intended to provide CEMATRIX security holders and potential investors with information regarding CEMATRIX and its subsidiaries' future financial and operations plans and outlook. All forward looking statements reflect CEMATRIX's beliefs and assumptions based on information available at the time the statements were made. Readers are cautioned not to place undue reliance on this forward looking information. CEMATRIX undertakes no obligation to update or revise forward looking information except as required by law. For additional information on the assumptions made and the risks and uncertainties which may cause actual results to differ from the anticipated results, refer the CEMATRIX's Management Discussion and Analysis dated November 14, 2012 under CEMATRIX's profile on SEDAR at www.sedar.com and other reports filed by CEMATRIX with Canadian securities regulators.

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

  • The Howard Group
    Jeff Walker
    Investor Relations
    (888) 221-0915 or (403) 221-0915
    jeff@howardgroupinc.com

    CEMATRIX Corporation
    Jeff Kendrick
    President and Chief Executive Officer
    (403) 219-0484