SYMBOL: TSX: AGT
REGINA, Nov. 14, 2011 /CNW/ - Alliance Grain Traders Inc. ("AGT") has
announced its financial results for the three and nine months ended
September 30, 2011.
Results for the quarter include:
Sales of $190.6 million, compared to sales of $169.9 million for Q2
2011, and $137.6 million for Q3 2010.
Adjusted EBITDA* of $15.03 million, compared to $9.2 million for Q2
2011, and $5.1 million for Q3 2010.
Adjusted net earnings* of $10.5 million ($0.53 per common share, basic
and diluted basis), compared to $4.6 million for Q2 2011 ($0.23 per
common share, basic and diluted basis), and $0.45 million ($0.02 per
common share, basic and diluted basis) for Q3 2010.
"We are pleased with the results from this quarter, which build on the
positive progress we have made through the year. With ample crop
supply, and recent reported increase of exports from many origins, we
believe the outlook is positive through to the end of this year and
into the 2012 year. The agricultural sector continues to appear stable
and poised for growth, and AGT plans to take advantage of that. Our
previously announced acquisitions in key origins, as well as our
planned expansions in North America, with an added focus on food
ingredients and packaged consumer products, we feel positions us well
for future growth and continued diversification of our business. Demand
fundamentals remain strong for our staple food products and we continue
to build for long-term stability of our operations and earnings" said
Mr. Murad Al-Katib, President and CEO of AGT.
"As we execute our strategy, and continue to build on fundamental
strengths, we expect to see the anticipated growth in our business. In
prior periods, global conditions were affecting our ability to execute
our strategies and therefore adversely affecting our earnings, but
nonetheless we held steadfast. Our business diversification strategy,
combined with continued emphasis on our current strengths, such as
global origination, customer relationships, state-of-the-art processing
infrastructure and producer relationships is, we believe, the correct
path to future growth. Global economic conditions, and the related
uncertainty it creates, has the potential to increase the risk in
agricultural and agri-food businesses. However, we feel we have the
risk management tools in place to mitigate any adverse effects these
risks may bring," added Huseyin Arslan, Executive Chairman of the Board
of Directors of AGT.
AGT also announced a cash dividend for the quarter ending December 31,
2011 of $0.15 per common share. The dividend will be payable on January
6, 2012 to shareholders of record on December 30, 2011. This dividend
is an eligible dividend for Canadian income tax purposes. AGT's current
annualized cash dividend rate is approximately $0.60 per share.
The financial statements and notes for the three and nine months ended
September 30, 2011, as well as the related management's discussion and
analysis have been filed under AGT's profile on www.sedar.com and have been posted on the AGT web site at www.alliancegrain.com. All amounts are reported in Canadian dollars. Quarterly results are
now being reported based on International Financial Reporting Standards
("IFRS"). The new policies have been consistently applied to all
periods noted in this news release and all prior period information has
been restated or reclassified for comparative purposes unless otherwise
noted. Further details on the transition to IFRS are provided in the
notes to our interim consolidated financial statements for the three
and nine months ended September 30, 2011.
AGT invites you to join our third quarter 2011 conference call on
Tuesday, November 15, 2011 at 10:30 a.m. Eastern time. To join the
conference, please dial 1-800-319-4610 (Toll free in Canada & USA) or
+1-604-638-5340 (Outside Canada & USA).
A recording of the call will be available on our website at www.alliancegrain.com on November 16, 2011. A telephone replay will also be available until
midnight Eastern time, Tuesday, November 29, 2011. To access the
replay, please call 1-800-319-6413 (Toll free from Canada & USA) or
+1-604-638-9010 (from outside Canada & USA). When prompted, enter the
code 4537, followed by the number sign (#).
Alliance Grain Traders Inc. Profile
Alliance Grain Traders Inc. (AGT) is a value-added pulse, staple food
and ingredient processor for export and domestic markets. Through its
offices and processing facilities located in some of the best
agricultural growing regions in Canada, the U.S., Turkey, China,
Australia and South Africa and merchandising and sales offices in the
U.K., the Netherlands and Spain, AGT produces a full range of pulses
and specialty crops including lentils, peas, chickpeas, beans and
canary seed as well as food ingredients such as pulse flours, proteins,
starches and fibres. Through its subsidiaries in Turkey, the Arbel
Group, AGT also produces staple foods such as Arbella Pasta, rice, and
milled wheat products, including bulgur and semolina.
Certain statements in this press release are forward-looking statements.
The reader is cautioned that assumptions used in the preparation of
such information, although considered reasonable by AGT at the time of
preparation, may prove to be incorrect. Forward-looking statements
involve known and unknown risks, uncertainties and other factors which
may cause the actual results, performance or achievements of AGT
(including its operating subsidiaries) to be materially different from
any future results, performance or achievements expressed or implied by
the forward-looking statements. Such risks and uncertainties include,
among others, the actual results of harvests, fluctuations in the price
of lentils and other crops, failure of plant, equipment or processes to
operate as anticipated, accidents or labour disputes, risks relating to
the integration of acquisitions or to international operations, as well
as those factors referred to in the section entitled "Risk Factors" in
the Annual Information Form of AGT dated March 28, 2011 which is
available on SEDAR at www.sedar.com, and which should be reviewed in conjunction with this document.
Although AGT has attempted to identify important factors that could
cause actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors
that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that forward-looking
statements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward-looking statements. AGT expressly disclaims any intention or
obligation to update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise, except in
accordance with applicable securities laws.
* Non-IFRS Financial Measures
*EBITDA (Earnings before interest, income taxes, depreciation and
amortization), Adjusted EBITDA* (Earnings before interest, income
taxes, depreciation and amortization, one time acquisition costs and
any effects of non-cash foreign exchange adjustment) and Adjusted Net
Earnings* (Earnings before any effects of one time acquisition costs
and non-cash foreign exchange adjustments) are financial measures used
by many investors to compare companies on the basis of operating
results, asset value and the ability to incur and service debt.
Management believes that EBITDA*, Adjusted EBITDA* and Adjusted Net
Earnings* are important measures in evaluating the performance of AGT
and in determining whether to invest in AGT. However EBITDA*, Adjusted
EBITDA* and Adjusted Net Earnings* are not recognized earnings measures
under IFRS and do not have a standardized meaning prescribed by IFRS.
They are not intended to represent cash flow or results of operations
in accordance with IFRS. Therefore, EBITDA*, Adjusted EBITDA* and
Adjusted Net Earnings* may not be comparable to similar measures
presented by other issuers. Investors are cautioned that EBITDA*,
Adjusted EBITDA* and Adjusted Net Earnings* should not be construed as
alternatives to net earnings or loss or cash flows determined in
accordance with IFRS as an indicator of AGT's performance or liquidity.
For a reconciliation of net earnings determined in accordance with IFRS
to EBITDA*, Adjusted EBITDA* and Adjusted Net Earnings*, see the table
on page 35 in the management's discussion and analysis for the three
and nine months ended September 30, 2011 available under AGT's profile
on www.sedar.com and on the AGT web site at www.alliancegrain.com.
SOURCE Alliance Grain Traders Inc.
For further information: