Empire Industries Ltd., today reported its unaudited consolidated financial results for the quarter ended September 30, 2015. The unaudited consolidated financial statements and MD&A have been filed on SEDAR and can be viewed at www.sedar.com or at www.empind.com.
Summary of the Third Quarter 2015 results
- • Revenues increased by $5.3 million, or 14% (to $42.1 million from $36.8 million in the third quarter 2014)
- • Adjusted EBITDA decreased by $0.3 million, or 13% (to $2.0 million from $2.3 million in the third quarter 2014)
- • Net Income increased by $0.3 million, or 43% (to $1.0 million from $0.7 million in the third quarter 2014)
1 Adjusted earnings (loss) before interest, tax, depreciation and amortization (Adjusted EBITDA) is not defined by IFRS. The definition of Adjusted EBITDA does not take into account the Group's share of profit of an associate investment, gains and losses on the disposal of assets, fair value changes in foreign currency forward contracts and non-cash components of stock based compensation. Adjusted EBIT is the result of the Group's Adjusted EBITDA less depreciation and amortization expenses. While not IFRS measures, Adjusted EBITDA and Adjusted EBIT are used by management, creditors, analysts, investors and other financial stakeholders to assess the Group's performance and management from a financial and operational perspective.
"The company continues to make prudent investments into its Media Based Attractions segment that are showing positive results, notwithstanding the challenges being dealt with in its two business segments in Western Canada," said Guy Nelson, Empire's Chief Executive Officer. "Moreover, the company continues to work hard at realizing shareholder benefits on several strategic initiatives."
Earnings are impacted by "Unrealized Mark-to-Market Losses" from outstanding foreign currency forward contracts where the settlement rates are less than the current prevailing rates at the end of the period. Recording the changes in the fair value of the outstanding forward contracts each period in non-operating earnings captures the potential future impact of the outstanding contracts at the current market exchange rates. The actuals amounts that will be "realized" will be adjusted to reflect the prevailing rates on the actual date of settlement.
About Empire Industries Ltd.
Empire Industries Ltd. manufactures specialized engineered products and sells these products domestically and in select international export markets. The company develops, designs and engineers products for the rapidly growing, global, media based attractions market. The company designs and manufactures Hydrovac trucks for excavation service providers to the oil and gas industry and the municipal markets. The company provides steel fabrication & installation services, primarily to the industrial, commercial and infrastructure market in Western Canada. The company has two key strategic equity partnerships; a 49% ownership of ACE Industrial Services that operates in the oil sands industrial maintenance services market, and a 45% ownership of a Chinese joint venture company in the steel fabrication market in Asia. Empire's common shares are listed on the TSX Venture Exchange under the symbol EIL.
For more information about the Company, visit www.empind.com.
This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Empire's business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". These forward-looking statements are based on current expectations, and are naturally subject to uncertainty and changes in circumstances that may cause actual results to differ materially. Readers are cautioned not to place undue reliance on such forward-looking statements. Forward-looking information is provided as of the date of this press release, and Empire assumes no obligation to update or revise them to reflect new events or circumstances, except as may be required under applicable securities laws. Neither the TSX Venture Exchange nor its Regulation Services
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Empire Industries Ltd.
Chief Executive Officer
Empire Industries Ltd.
Vice President - Corporate Affairs and Administration