SYMBOL: TSX: AGT
REGINA, Aug. 12, 2013 /CNW/ - Alliance Grain Traders Inc. ("AGT") has
announced its financial results for the three and six months ended June
30, 2013. Results include:
EBITDA* was $13.9 million for the three months ended June 30, 2013 compared to
$9.3 million for the three months ended June 30, 2012, an increase of
Revenue was $246.7 million for the three months ended June 30, 2013 compared to
$201.8 million for the three months ended June 30, 2012, an increase of
Adjusted net earnings were $4.9 million for the three months ended June 30, 2013 compared to
adjusted net earnings of $0.4 million for the three months ended June
30, 2012 and adjusted net earnings of $5.1 million for the three months
ended March 31, 2013.
Improvement in days inventory outstanding to 73 days for the quarter ended June 30, 2013, down from 86 days for
the year ended December 31, 2012 and 80 days for the quarter ended June
30, 2012. Days inventory outstanding decreased to 68 days for the six
months ended June 30, 2013, from 81 days for the six months ended June
Improvement in days accounts receivable outstanding to 69 days for the quarter ended June 30, 2013, down from 76 days for
the year ended December 31, 2012 and 74 days for the quarter ended June
30, 2012. Days accounts receivable outstanding decreased to 65 days
for the six months ended June 30, 2013, from 75 days for the six months
ended June 30, 2012.
Cash flow from operating activities improved by $35.4 million at June 30, 2013, from ($39.9) million at
March 31, 2013.
Minot facility construction complete with plant commissioning activities having begun.
Dividend of $0.15 per share for the quarter ($0.60 per share on an annualized
"We are pleased with the results reported for the quarter. Buying
activities we have seen in India and Turkey in this non-traditional
buying period appears positive, assisting in balancing the supply and
demand position of global lentil markets. We are optimistic about the
continuing gradual improvement of our margins and utilization as we
head into a promising North American harvest period. Our
diversification strategies in geographies and products are showing
positive momentum for the continued recovery of our traditional
business," said Mr. Murad Al-Katib, President and CEO of AGT.
"Our continued focus on managing our balance sheet and other management
initiatives appears to be providing the gradual improvement we have
forecasted, especially in this improving business environment. As a
management team, we will continue this focus which we feel will assist
in growing our new platforms, such as pulse ingredients, as well as our
expanding product offerings in our traditional and retail business,"
added Mr. Huseyin Arslan, Executive Chairman of the Board of Directors
of AGT. "Continuing our strategy going forward will assist in growing
our company and delivering more predictable returns and value to our
The financial statements and notes thereto for the three and six months
ended June 30, 2013 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.
AGT has also announced a cash dividend for the quarter ending September
30, 2013 of $0.15 per common share. The dividend will be payable on
October 4, 2013 to shareholders of record on September 30, 2013. This
dividend is an eligible dividend for Canadian income tax purposes.
AGT's current annualized cash dividend rate is approximately $0.60 per
AGT invites you to join our second quarter 2013 conference call on
Monday, August 12, 2013 at 1:30 p.m. Eastern time. To join the
conference, please dial 1-800-319-4610 (Toll free in Canada & the U.S.)
or +1-604-638-5340 (Outside Canada & the U.S.).
A recording of the call will be available at www.alliancegrain.com on Tuesday, August 13, 2013. A telephone replay will also be available
until midnight Eastern time, Monday, August 26, 2013. To access the
replay, please call 1-800-319-6413 (toll free from Canada & the U.S.)
or +1-604-638-9010 (from outside Canada & the U.S.). 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, merchandising and sales offices in the
U.K., the Netherlands and Spain and origination offices in Russia, 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 February 21, 2013 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
AGT provides some non-IFRS measures as supplementary information that
Management believes may be useful to investors to explain AGT's
financial results. These non-IFRS measures include EBITDA* (earnings
before finance expense, income taxes, depreciation and amortization,
restructuring costs and any effects of non-recurring and other costs
and foreign exchange adjustment), Adjusted Net Earnings* (earnings
before any effects of non-recurring and other costs, restructuring
costs and foreign exchange adjustments), Net Debt* (bank indebtedness,
short term financing and long term debt less cash) and Net Working
Capital* (current assets less current liabilities). Management believes
that these are important measures in evaluating performance and in
determining whether to invest in AGT. However, EBITDA*, Adjusted Net
Earnings*, Net Debt* and Net Working Capital* are not recognized
measures under IFRS and do not have standardized meanings prescribed by
IFRS. In addition, AGT may calculate these measures differently than
other companies; therefore, such measures may not be comparable.
Investors are cautioned that EBITDA*, Adjusted Net Earnings*, Net Debt*
and Net Working Capital* should not be construed as an alternative to
net earnings (loss) or cash flows as determined in accordance with IFRS
as an indicator of AGT's performance or liquidity. For a reconciliation
of net earnings (loss) determined in accordance with IFRS to EBITDA*
and Adjusted Net Earnings*, see the table on page 34 in the related
management's discussion and analysis for the three and six months ended
June 30, 2013.
SOURCE: Alliance Grain Traders Inc.
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