Trading Symbol: MCV
TORONTO, Nov. 29 /CNW/ - McVicar Resources Inc. ("McVicar" or the
"Company") is pleased to announce that it has filed its interim financial
statements and management's discussion and analysis (MD&A) for the quarter
ended September 30, 2007. The detailed financial statements and MD&A can be
found on www.sedar.com
McVicar reported revenues of $8.0 million, and net income of
$0.25 million for the quarter ended September 30, 2007, compared with nil
revenue and a net loss of $0.13 million in the same period of 2006. The net
income for the third quarter of 2007 would have been $349,168 excluding
adjustment for foreign exchange loss of $28,694 due to an increase in the
Canadian dollar and stock option expenses of $69,844. Earnings per share were
$0.01 for the third quarter of 2007.
For the nine months ended September 30, 2007, McVicar reported sales of
$20.4 million and net income of $3.2 million. Earnings per share were $0.14
for the nine months of 2007, consistent with the first six months of 2007.
In September 2007, McVicar purchased an additional 6,122,750 common
shares (being 5.8% of the issued shares of JITE) from four shareholders of
JITE for a total consideration of $3,061,375 or $0.50 per share to be
satisfied by the issuance of 2,354,904 shares of McVicar at a deemed issue
price of $1.30 per share. As a result, the Company's total equity interest in
JITE as of September 30, 2007 was 49,218,750 shares or 46.7%.
During this quarter, McVicar's subsidiary, Zhejiang Hongbo Chemical Co.
Ltd, ("Hongbo") made significant progress in penetrating international markets
with its wide ranges of products, evidenced by a strategic order from DuPont
USA for US $20 million over four years.
Hongbo generated sales of $2.94 million in the quarter, an increase of
108% or $1.5 million compared to $1.4 million for the second quarter of 2007,
close to the total amount of $2.98 million for the first six months of 2007,
mainly due to its significant progress in penetrating the international market
such as orders to DuPont and its main chemical product series, the NPT series
to a South Korean customer.
During this quarter, McVicar's chemical subsidiary, McVicar (Hongkong)
Advanced Materials Co. Ltd. ("MAM"), signed a letter of intent to acquire 100%
interest in Hongzhou Changlong Chemical Co. Ltd. ("Changlong"), China.
Changlong's product lines complement Hongbo's existing portfolio in the
"I am very pleased with the results," said Dr. Gang Chai, President and
CEO. "We continue to see progress on all fronts in our investments and
acquisitions as part of our China strategy. With all business foundations laid
out, we are more confident for achieving faster growth in the near future."
This press release contains forward-looking statements which reflect the
Corporation's current expectations regarding future events. The
forward-looking statements involve risks and uncertainties. Actual results
could differ materially from those projected herein. Although we believe that
our expectations are based on reasonable assumptions, we can give no assurance
that our expectations will materialize.
The TSX Venture Exchange Inc. has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information:
For further information: Henry Tse, Chief Financial Officer, Tel: (416)
456-7803; Gang Chai, Chief Executive Officer, Tel: (416) 366-7420