VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 29, 2011) - Royal Oak Ventures Inc. ("Royal Oak" or "the company") recorded comprehensive income, which consists of net income and other comprehensive income, of $0.9 million for the three months ended March 31, 2011. This increased equity by $0.01 per common share or 5%. Comprehensive income in the same period in the prior year was $2.7 million.
The company reported net income of $0.2 million or $nil per common share for the three months ended March 31, 2011 compared to $0.9 million or $0.01 per common share in the corresponding period of 2010. Net income in the prior year included $0.6 million of foreign exchange revaluation gains as well as a higher amount of investment income earned on the investment portfolio and cash balances.
The company recorded an unrealized gain of $0.7 million during the three months ended March 31, 2011 (2010 – $1.8 million), as a result of an increase in the fair value of the company's marketable securities portfolio.
| Statements of Operations | ||||||
| Three months ended March 31 | ||||||
| Thousands, except per share amounts | 2011 | 2010 | ||||
| Revenue | ||||||
| Investment income | $ | 220 | $ | 396 | ||
| Expenses | ||||||
| General, administrative and other | 119 | 131 | ||||
| Interest expense | — | 175 | ||||
| 119 | 306 | |||||
| 101 | 90 | |||||
| Foreign currency revaluation | (2 | ) | 572 | |||
| Income before income taxes | 99 | 662 | ||||
| Deferred income tax recovery | 74 | 286 | ||||
| Net income | $ | 173 | $ | 948 | ||
| Net income per share | $ | — | $ | 0.01 | ||
| Changes in Equity | |||||||||
| Three months ended March 31 | |||||||||
| 2011 | 2010 | ||||||||
| Thousands, except per share amounts | Total | Per Share | Total | Per Share | |||||
| Equity, beginning of period | $ | 35,598 | $ | 0.22 | $ | 28,684 | $ | 0.17 | |
| Net income | 173 | - | 948 | 0.01 | |||||
| Other comprehensive income | 707 | 0.01 | 1,796 | 0.01 | |||||
| Comprehensive income | 880 | 0.01 | 2,744 | 0.02 | |||||
| Equity, end of period | $ | 36,478 | $ | 0.23 | $ | 31,428 | $ | 0.19 | |
| Balance Sheets | |||||||||
| (Unaudited) | March 31 | December 31 | |||||||
| Thousands | 2011 | 2010 | |||||||
| Assets | |||||||||
| Current Assets | |||||||||
| Cash and cash equivalents | $ | 9,407 | $ | 9,038 | |||||
| Marketable securities | 23,048 | 22,541 | |||||||
| Accounts receivable | 347 | 320 | |||||||
| 32,802 | 31,899 | ||||||||
| Non-current assets | |||||||||
| Loans receivable | 3,816 | 3,915 | |||||||
| $ | 36,618 | $ | 35,814 | ||||||
| Liabilities and equity | |||||||||
| Current liabilities | |||||||||
| Accounts payable and accrued liabilities | $ | 140 | $ | 216 | |||||
| Equity | 36,478 | 35,598 | |||||||
| $ | 36,618 | $ | 35,814 | ||||||
The company is currently up to date on all outstanding filings. The company is taking steps to remove the cease trade order issued on the previously listed shares and is seeking a new listing on the TSX Venture Exchange.
Contact Information:
Derek E. Gorgi
Vice-President Finance
(416) 363-9491