VANCOUVER, BC--(Marketwired - August 29, 2016) - Mission Ready Services Inc. ("Mission Ready" or the "Company") (TSX VENTURE: MRS) announces that its quarterly unaudited financial statements, related Management's Discussion & Analysis ("MD&A") and National Instrument ("NI") 52-109FV2 reports for the period ended June 30, 2016 were filed on SEDAR on August 29, 2016 and can be viewed at http://www.sedar.com.
For the six months ended June 30, 2016 the Company's gross revenues decreased by $2.5 million to $2.3 million (2015 - $4.8 million), a 52% decrease over the same period in the prior year. This decrease is due to lower gross revenues of the Company's Cleaning and Remediation division by $3.0 million partially offset by increased revenues of the Research Development & Manufacturer Representation divisions and the start of revenues generated by the Manufacturing division. Total expenses included in determining Income (Loss) Before Other Items decreased 31% to $3.1 million from $4.6 million. Income Before Other items decreased by $1.1 million from income in 2015 of $0.26 million to a loss of $0.87 million in 2016. The decrease in revenues and expenses is primarily due to the Company's performance of a one year contract for the US Marines in 2015 that was completed in September 2015.
The Company's overall net comprehensive loss for the year increased from $0.17 million for the same period in the prior year to $1.65 million for the current year. This loss is mainly attributed to: non-cash expenses of $0.55 million for Amortization & Depreciation, a foreign currency translation loss of $0.22 million and by net loss from operations of $0.88 million in the current year. The net loss from operations is primarily due to the set up costs of the manufacturing division of $0.25 million and a $0.59 million loss in the cleaning and remediation division. The Company has reorganized the cleaning and remediation division effective the end of May 2016 to minimize overhead costs and increase efficiencies in order to move the division back towards profitable operations.
During the second quarter the Company launched its protective gear manufacturing division in Jacksboro, TN offering a full range of products dedicated to the tactical and defense industry. The Company's portfolio of products includes tactical outerwear, canine armor products, bomb suits/blankets, riot control protection, carriers, textiles with integrated electronics and ballistic panels. Prospective Clients/Markets include the Department of Defense, State Department, Government Services Administration, Department of Homeland Security, law enforcement agencies, fire & rescue, e-Commerce companies, tactical distributors/dealers, security companies and GSA support companies.
About Mission Ready
MRSI's mission is to save lives and enhance the performance of military personnel, first responders, and those who protect us by working to ensure they are equipped with the best possible personal protective equipment.
Headquartered in Vancouver, BC, Mission Ready has three distinct, synergistic operating divisions:
- Strategic consulting services and manufacturers representation
- Equipment inspection, cleaning/decontamination and repair services of personal protection equipment
- Product research and development
Mission Ready's management team offers over 100 years of combined industry experience and is composed of industry experts in developing products, contracting, and selling to the federal government, first responders and tactical markets through open market procurements, teaming arrangements, and a variety of federal contract tools.
Mission Ready Services Inc.
(signed "Rod Reum")
President & CEO
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "anticipate", "believe", "plan", "expect", "intend", "estimate", "forecast", "project", "budget", "schedule", "may", "will", "could", "might", "should" or variations of such words or similar words or expressions. Forward-looking information is based on reasonable assumptions that have been made by Mission Ready Services Inc. as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Mission Ready Services Inc. to be materially different from those expressed or implied by such forward-looking information.
Forward-looking statements are based on assumptions management believes to be reasonable. Although Mission Ready Services Inc. has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Mission Ready Services Inc. does not undertake to update any forward-looking information that is included herein, except in accordance with applicable securities laws.
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.