Integrated Paving Concepts Inc.
TSX : IPA

Integrated Paving Concepts Inc.

July 29, 2005 12:48 ET

Integrated Paving Concepts Inc.: 2005 Second Quarter Financial Results

SURREY, BRITISH COLUMBIA--(CCNMatthews - July 29, 2005) - Integrated Paving Concepts Inc. (TSX:IPA) releases today, unaudited summary financial results for the three and six month periods ending June 30, 2005.



Three Months Ended Six Months Ended
June 30 June 30
In 000's 2005 2004 2005 2004
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Revenue $ 5,011 4,244 6,560 6,235
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Gross Profit 2,854 2,544 3,685 3,603

Earnings before
depreciation, interest
and income taxes 916 804 (179) 223
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Net earnings (loss) $ 458 436 (210) 20
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Earnings (loss)
per share - basic $ 0.07 0.07 (0.03) 0.01
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Total revenues for the second quarter increased by 18% over the second quarter of 2004. On a year to date basis, revenues have increased 5% over 2004. The revenue increase is primarily from the growth in sales of DuraTherm and the initial implementation of new Driveway Impressions franchises. The Company's earnings for the three months ended June 30, 2005 increased by $22,000 over the same 2004 period. For the six months ended June 30, 2005, earnings decreased by $330,000 over the first half of 2004. This is consistent with management's expectations.



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Revenue (in thousands)
For the three months ended June 30
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Other
North America Europe International
% % %
2005 2004 change 2005 2004 change 2005 2004 change
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Applied
Prod-
ucts $ 2,951 $ 2,672 10.4 $ 411 386 6.5 $ 447 $ 200 123.5
Equip-
ment &
Tooling 714 595 20.0 148 163 (9.2) 103 159 (35.2)
Other 219 48 356.3 18 9 100.0 - 12 (100.0)
Total $ 3,884 $ 3,315 17.2 $ 577 $ 558 3.6 $ 550 $ 371 48.2
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Revenue (in thousands)
For the six months ended June 30
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Other
North America Europe International
% % %
2005 2004 change 2005 2004 change 2005 2004 change
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Applied
Prod-
ucts $ 3,527 $ 3,414 3.3 $ 685 $ 647 5.9 $ 657 $ 491 33.8
Equip-
ment &
Tooling 1,032 974 6.0 244 280 (12.9) 149 282 (47.2)
Other 245 111 120.7 21 17 23.5 - 19 (100.0)
Total $ 4,804 $ 4,499 6.8 $ 950 $ 944 0.6 $ 806 $ 792 1.8
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"We are pleased with the revenue growth we achieved in the quarter. Overall we continue to focus on implementing growth initiatives which we expect will generate shareholder value in the longer term," stated Clark Quintin, President and Chief Executive Officer.

At June 30, 2005, the Company's financial position remains strong with $3.9 million (June 30, 2004 - $3.5 million) in working capital and $1.0 million (June 30, 2004 - $1.3 million) in cash and cash equivalents.

About Integrated Paving Concepts

Integrated Paving Concepts Inc., founded in 1992 and based in BC, Canada, provides innovative decorative paving processes and products. The Company has two basic product lines, StreetPrint Pavement Texturing™ (StreetPrint) and StreetPrint DuraTherm™ (DuraTherm), and all revenue is derived from the sales of Applied Products, Equipment & Tooling and associated services related to these product lines. The Company's products are marketed through its Licensed Applicator and franchisee networks throughout North America, and Master Licensees in countries throughout the world. The Company is committed to continued product and market development for decorative asphalt applications.

The shares of Integrated Paving Concepts Inc. trade under the symbol IPA on the Toronto Stock Exchange. Information regarding this news release, Integrated Paving Concepts Inc., or its products can be obtained by calling Janice Stasiuk, Chief Financial Officer & Corporate Secretary at (604) 574-7510 ext.227 or email: janice.stasiuk@streetprint.com. Full financial results and management discussion and analysis are available at www.sedar.ca and on the Company's website at www.streetprint.com.

Integrated Paving Concepts Inc.

Janice Stasiuk, Chief Financial Officer & Corporate Secretary

INTEGRATED PAVING CONCEPTS INC.


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