EDMONTON, ALBERTA--(Marketwire - Nov. 26, 2012) - Titan Logix Corp., (TSX VENTURE:TLA), an advanced technology industrial instrumentation and controls company, announces its results for the three months and year ended August 31, 2012.
Financial results are summarized as follows:
|Earnings before income taxes
|Basic earnings per share
Summary of Sales Revenue and Net Earnings:
Titan Logix Corp.'s sales for fiscal 2012 totaled $17,941,757, an increase of $6,836,782 from sales of $11,104,975 in the previous year. Earnings before income tax, for the fiscal year ended August 31, 2012 was $4,271,468 compared to $1,108,264 in fiscal 2011. Net earnings and comprehensive income were $3,657,718 compared to $1,709,599 for fiscal 2011. This represents a 62% increase in sales and a 114% increase in net earnings. The fiscal 2012 results reflect the successful execution of our strategic plan, our continually improving operational strength, and the increased customer demand for our oilfield fluid transport products.
In the fourth quarter of 2012 Titan's sales were $5,131,387, an increase of $1,674,037 from the fourth quarter sales of $3,457,350 in fiscal 2011. The net earnings in the fourth quarter of fiscal 2012 were $878,981 compared to net income of $1,262,889 in the fourth quarter of fiscal 2011. The decrease in net earnings is attributable to the fourth quarter increase of $40,549 in income tax expense as compared to the $608,209 income tax recovery recorded in the fourth quarter of fiscal 2011, offset by the increase in earnings before tax.
Fiscal 2012 marked the achievement of record revenues in Titan's history. Titan's sales outside of Canada, primarily to the U.S., were $8,677,531 in fiscal 2012, an increase of 139% from sales of $3,627,594 in fiscal 2011. This substantial increase in U.S. sales is a reflection of the success of Titan's strategy and response to the increasing market demand.
Summary of Operating Expenses:
In fiscal 2012, total expenses were $4,842,309, an increase from $3,881,859 in the previous year. General and administration expenses were $2,370,093 compared to $1,635,124 in fiscal 2011. Marketing and sales expenses were $1,638,066 compared to $1,325,741 in the previous year. Engineering and development expenses were $739,919 compared to $789,280 for the previous year. Total engineering and development expenditures prior to the capitalization of development costs and the recording of recoveries for funding received were $1,061,661 for fiscal 2012 compared to $1,095,017 for the previous fiscal year. Titan had a loss on foreign exchange of $18,936 due to changes in the value of the Canadian dollar as compared to a loss in fiscal 2011 of $61,196.
At August 31, 2012 working capital was $8,557,406 compared to the August 31, 2011 year-end balance of $4,430,414. Cash and cash equivalents were $5,060,318 at the end of fiscal 2012 compared to $1,457,324 on August 31, 2011. Titan does not have any debt except for trade payables and accrued liabilities. Titan continues to maintain a strong balance sheet and a good cash position.
"I am very pleased with how well Titan did in fiscal 2012," said Board Chair, R. W. (Bob) Logan. "We were able to keep operating costs in line while serving our customers' overwhelming demand for our products."
Summary of our Focus and Initiatives for Fiscal 2013
Fiscal year 2012 was an exceptional year for Titan.
Titan looks forward to the opportunities available in Fiscal 2013. There has been a reduction in truck tanker manufacturing levels and some manufacturers are no longer in the crude oil tanker business. These are market indicators that Titan management tracks on an ongoing basis. "We are viewing Fiscal 2013 with cautious optimism," said Greg McGillis, President and CEO. "The markets we serve are ever-changing. We monitor the activity and act accordingly."
The Company's strategy is to develop, manufacture, market and support the right products to ensure its customers achieve a high return on investment/low true cost of ownership through advanced technology. Titan sells engineered, purpose-built products that meet market needs today while providing the facility for future expansion as customer needs change.
Titan Logix Corp.'s strategic objectives for fiscal year 2013 are:
- Sustain financial strength
- Pursue profitable, strategic acquisitions and partnerships
- Grow our market share of fluid transport gauging in U.S. crude oil tanker manufacturing
- Grow into other transport gauging markets, including through the release of new Stik products
- Explore opportunities outside our core product offerings
- Further develop our Quality Management System (QMS)
- Further integrate our business systems
- Strengthen our R&D capabilities
- Continue to enhance the expertise of our team in the bulk/fluids transportation industry
- Develop and grow all staff
- Further strengthen our safety program
Titan's core focus of its business is portrayed in its theme "Advanced Technology Fluid Management Solutions, In the Field, On the Road and In the Office".
Titan Logix Corp.'s audited financial statements and management's discussion and analysis for the fiscal year ended August 31, 2012 are available on SEDAR at www.sedar.com and on the Company's website, www.titanlogix.com.
About Titan Logix Corp.:
Founded in 1979, Titan Logix Corp. ("Titan" or "the Company") is a high technology company specializing in Research and Development (R&D), manufacturing and marketing of advanced technology fluid management solutions, particularly for use in mobile tanker applications. The Company's world class Guided Wave Radar (GWR) solutions are currently used in the oil and gas, waste collection and aviation industries. These technologies and their derivatives under development are applicable to a variety of additional markets which Titan plans to expand into at the appropriate time. A common practice in many of these markets is the use of manual methods for measurement and control. Due to safety considerations, the rising cost of many fluids, awareness and concerns about the environment and technological advancements enabling better operational efficiencies, we are experiencing a continued demand for our advanced technology products. We will continue to pursue expansion into other markets.
The products we manufacture are part of a complete asset management solution. The full solution consists of our own market leading products integrated with best-in-class third party solutions to enable our customers to benefit from complete fluid management, throughout each stage of their fluid handling processes. This is captured by our slogan "Advanced Technology Fluid Management Solutions, In the Field, On the Road, In the Office"™.
- In the Field: "In the Field" refers to Titan's solution offerings for storage tanks and process vessels.
- On the Road: "On the Road" refers to Titan's solution offerings for mobile tanker trucks and trailers.
- In the Office: "In the Office" refers to Titan's solution offerings that enable customers to monitor their fluid assets from the convenience of their dispatch center or other back office environment through a wired or wireless connection.
Titan Logix Corp. is a public company listed on the TSX Venture Exchange and its shares trade under the symbol, TLA.
This news release contains certain statements with information that may be forward-looking and subject to unknown risks and uncertainties. The actual results, performance and achievements of Titan Logix Corp. may differ materially from the results, performance and achievements expressed or implied by such forward-looking statements. These forward-looking statements may not relate strictly to historical or current facts. They represent management's views as of the date of this press release and we assume no obligation to update them. We caution you not to place undue reliance on these forward-looking statements.
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.