HONG KONG, Sept. 28 /CNW/ - PACRIM INTERANTIONAL CAPITAL INC. (PCN: TSX)
(the "Company"), is pleased to report the Company's results for the year ended
June 30, 2007.
FOR THE YEAR ENDED JUNE 30, 2007:
- FINANCIAL HIGHLIGHTS
Year ended June 30,
Revenue 4,195,354 18,558,744
Income from properties 504,081 1,257,716
Net Income (loss) (1,421,387) (922,568)
Funds from Operations (12,151,843) (881,979)
Total Assets 51,014,645 63,369,604
Income Properties 15,667,154 35,543,857
Mortgages 6,185,530 20,329,725
Per Common Share
Net Income (0.022) (0.015)
- REVIEW OF OPERATIONS
A breakdown of the Company's revenue for the year ended June 30, 2007
compared to the year ended June 30, 2006 is as follows:
Year ended June 30,
Rental properties 604,091 1,657,334
Hospitality 1,453,280 13,965,751
Condominium sales and other 2,137,983 2,935,659
Total 4,195,354 18,558,744
Revenue in 2007 decreased by $14,363,390.
Revenue from rental properties decreased by $1,053,243 from $1,657,334 in
2006 to $604,091 this year. Revenue was mainly generated from Greenland Garden
this year while in 2006 the revenue was recognized from Greenland Garden and
Wedgewood Plaza which were sold in the third quarter of 2006.
Hospitality revenue from the three hotels, owned by a subsidiary,
decreased by $11,018,559, from $12,331,433 in 2006 to $1,312,874 this year.
Revenue from the restaurant division decreased by $1,578,981 from $1,727,120
in 2006 to $148,139 this year.
Revenue from condominium sales and other decreased by $797,676 from
$2,935,659 in 2006 to $2,137,983 this year.
Condominium sales include revenue from one remaining development - The
Royalton in Halifax, Nova Scotia. A total of 4 units were closed in the 2007
fiscal year compared to 11 units in the previous year.
Income from properties
Year ended June 30,
Rental properties (773,555) 227,569
Hospitality 162,415 1,005,057
Condominium sales and other 1,115,221 25,090
Total 504,081 1,257,716
Rental properties - Income decreased by $1,001,124. Rental revenue
decreased by 1,053,243 and total expenses decreased by $52,119.
Hospitality - Income decreased by $842,642 from $1,005,057 in fiscal 2006
to $162,415 in fiscal 2007.
Condominium sales and other - Income increased by $1,090,131 due to the
decrease in revenue of $797,676, the increase in amortization of $125,540, and
the decrease in direct costs of $2,013,347.
Net loss for this fiscal year increased by $498,819 to a loss of
$1,421,387 when compared to last fiscal year. In the fiscal 2007 the Company
sold the remaining Canadian income properties including the hotel portfolio
and realized a gain of $6,176,600.
The Company has chosen to change its strategic direction from being a
firm focused on Canadian real estate to one that is focused on one of the
fastest growing economies in the world - China.
Using the same formula as in the past, management believes the company
will successfully transition into the Chinese marketplace and continue to grow
through a well-defined internal growth and external acquisition program.
Management intends to seek out and take advantage of opportunities in the
Asian market and will not restrict itself to the real estate or hospitality
The full financial statements for the year end and the related
Management's Discussion & Analysis are available on the System for Electronic
Document Analysis and Retrieval (SEDAR) and can be accessed electronically at
Caution concerning forward-looking statements
Statements made in this news release, other than those concerning
historical financial information, should be considered forward-looking and
subject to various risks and uncertainties. Such forward-looking statements
are based on management's beliefs and assumptions regarding the information
currently available. The Company's actual results or developments could differ
materially from those expressed in the forward-looking statements. Factors
that could cause results or developments to differ include, among other
things, those expressed in the Company's filings or developments with Canadian
securities regulatory authorities. All information presented herein should be
read in conjunction with such filings.
For further information:
For further information: Guy Lam, Chief Executive Officer, Pacrim
International Capital Inc., Tel. (852) 2526-1554