Imaflex Inc. announces results for the second quarter ended June 30, 2009



    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)                    -------   -------     ---       ---
    -------------------------------------------------------------------------
    Sales                               12,384    14,014    26,195    26,128
    -------------------------------------------------------------------------
    Cost of sales                       10,229    12,100    21,300    22,337
    -------------------------------------------------------------------------
    Gross profit ($) (before
     amortization)                       2,155     1,914     4,895     3,791
    -------------------------------------------------------------------------
    Gross profit (%)(before
     amortization)                        17.4%     13.7%     18.7%     14.5%
    -------------------------------------------------------------------------
    Amortization of production
     equipment                             715       778     1,450     1,505
    -------------------------------------------------------------------------
    Gross Profit                         1,440     1,136     3,445     2,286
    -------------------------------------------------------------------------
    Gross profit (%)                      11.6%      8.1%     13.2%      8.7%
    -------------------------------------------------------------------------
    Expenses                               892     1,310     2,022     2,648
    -------------------------------------------------------------------------
    FX loss (gain)                         260        37       247       137
    -------------------------------------------------------------------------
    Income (loss) before income taxes      288      (211)    1,176      (499)
    -------------------------------------------------------------------------
    Provision for income taxes             209        70       453       258
    -------------------------------------------------------------------------
    Net income (loss)                       79      (281)      723      (757)
    -------------------------------------------------------------------------
    Basic and diluted earnings per
     share                               0.002    (0.010)    0.018    (0.020)
    -------------------------------------------------------------------------
    EBITDA                               1,162       777     2,995     1,599
    -------------------------------------------------------------------------

    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:

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


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