TICKER SYMBOL: IFX.A
MONTREAL, Aug. 12 /CNW Telbec/ - Imaflex Inc. (the "Company") (TSX
Venture Exchange - IFX.A) announces results for the second quarter ended June
30, 2009.-------------------------------------------------------------------------
(unaudited)
Q2 2009 Q2 2008
------- -------
(CDN $ thousands, except per Q2 2009 Q2 2008 YTD YTD
share amounts) ------- ------- --- ---
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Sales 12,384 14,014 26,195 26,128
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Cost of sales 10,229 12,100 21,300 22,337
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Gross profit ($) (before
amortization) 2,155 1,914 4,895 3,791
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Gross profit (%)(before
amortization) 17.4% 13.7% 18.7% 14.5%
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Amortization of production
equipment 715 778 1,450 1,505
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Gross Profit 1,440 1,136 3,445 2,286
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Gross profit (%) 11.6% 8.1% 13.2% 8.7%
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Expenses 892 1,310 2,022 2,648
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FX loss (gain) 260 37 247 137
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Income (loss) before income taxes 288 (211) 1,176 (499)
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Provision for income taxes 209 70 453 258
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Net income (loss) 79 (281) 723 (757)
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Basic and diluted earnings per
share 0.002 (0.010) 0.018 (0.020)
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EBITDA 1,162 777 2,995 1,599
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The results include those of Imaflex Inc. ("Imaflex") located in Montréal
(Québec) and its division Canguard Packaging ("Canguard") located in
Victoriaville (Québec), and its wholly owned subsidiaries, Imaflex USA, Inc.
("Imaflex USA") located in Thomasville (North Carolina) and Canslit Inc.
("Canslit") located in Victoriaville (Québec).
Summary - Results of Operations
-------------------------------Three months ended
The gross profit for the three month period ended June 30, 2009 improved
by $304,000 due primarily to better product mix as compared to the same period
in 2008.
Six months ended
The gross profit for the six month period ended June 30, 2009 improved by
$1,159,000 due primarily to better product mix and procurement of lower priced
raw materials.Sales
-----Three months ended
For the three month period ending June 30, 2009 decrease in sales of
$1,630,000 or 11.6% was primarily due to a decreased demand and more
competitive market conditions, as compared to the same period in 2008.
Six months ended
The sales for the six month period ending June 30, 2009 remained
comparable to the same period in 2008.Gross profit margin
-------------------Three months ended
The gross profit for the three month period ended June 30, 2009 improved
by $304,000 due primarily to better product mix as compared to the same period
in 2008.
Six months ended
The gross profit for the six month period ended June 30, 2009 improved by
$1,159,000 due primarily to better product mix and procurement of lower priced
raw materials.Income taxes
------------
The income tax provision reflects the taxes on the income generated by the
Company's Canadian operations. No income tax expense has been recorded on
Imaflex USA's operating income due to the loss carry forward.
Outlook
-------Operational profits are slowly increasing in both our Canadian and US
entities. For the first time in its brief history Imaflex USA actually has
positive EBITDA on a year to date basis. With this new reality management is
confident to finish the year on a profitable note.
This confidence stems from the knowledge that we have not yet attained
all the raw material cost savings envisioned from our investments in 2008. As
these savings come on stream, and further operational improvements are
realized during the next two quarters, management will once again be able to
consider new investments aimed at further increasing profitability in 2010.Safe Harbor Statement
---------------------Certain statements and information included in this release constitute
"forward-looking statements". Such forward-looking statements involve known
and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company to be materially different
from any future results, performance or achievements expressed or implied in
such forward-looking statements. Additional discussion of factors that could
cause actual results to differ materially from management's projections,
estimates and expectations is contained in the Company's other public filings.
Unless otherwise required by the securities authorities, we do not undertake
to update any forward-looking statements that may be made from time to time by
us or on our behalf.Non-GAAP Measure
----------------The Company's management uses a non-GAAP measure in this press release,
namely EBITDA. Management wishes to specify that in the performance of the
Company's financial results, EBITDA is shown as "Earnings before interest,
taxes, non-controlling interest, depreciation and amortization". While EBITDA
is not a standard GAAP measure, management, analysts, investors and others use
it as an indicator of the Company's financial and operating management and
performance. EBITDA should not be construed as an alternative to net income
determined in accordance with GAAP as an indicator of the Company's
performance. The Company's method of calculating EBITDA may be different from
those used by other companies.The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information: Imaflex Inc.: Joseph Abbandonato, President and
C.E.O; Robert Nagy, CMA, CIA - Corporate Controller, (514) 935-5710, Fax:
(514) 935-0264, info@imaflex.com; www.imaflex.com
