Thermal Energy Reports Financial Results for the Fiscal Quarter ending on
November 30, 2009

OTTAWA, Jan. 29 /CNW/ - Thermal Energy International Inc. (TSX-V:TMG) (www.thermalenergy.com) (the "Company" or "Thermal Energy") today announced its financial results for the fiscal quarter ending on November 30, 2009.

Total sales for the second quarter ended November 30, 2009 were $1,564,527, an increase of 37% compared to $1,140,563 from the same period in 2008. For the six months ended November 30, 2009 sales were $2,869,463, up 30% compared to $2,198,881 from the same period in 2008.

Gross profit for the second quarter ended November 30, 2009 was $854,989 (55%) compared with $822,863 (72%) from the same period in 2008. The drop in gross margin on a comparative basis from the same period in 2008 was due to a lesser proportion of revenue coming from GEM sales which tend to have a higher gross margin than waste energy recovery products. For the six months ended November 30, 2009 gross profit was $1,869,966 (65%), up 38% compared to $1,350,966 (61%) from the same period in 2008.

Administration and Selling, Marketing and Business Development expenses in the second quarter ended November 30, 2009 totalled $1,472,853, a decrease of $2,536 or 0.1% from the $1,475,389 incurred in the second quarter in 2008. However included in administration costs for the current quarter is a $180,000 provision against accounts receivable related to amounts owing pursuant to the Thermal-AUD(TM) financed contract and a $190,000 provision intended to account for possible net liabilities resulting from a claim and a counterclaim with a former President of the Company. Excluding these provisions selling, marketing and business development expenses for the second quarter ended November 30, 2009 decreased $372,536 or 25% compared with the same period last year. The decrease in Administration and Selling, Marketing and Business Development expenses is due to cost cutting measures undertaken by the Company.

Loss before income taxes and non-controlling interest for the second quarter ended November 30, 2009 was $889,422, an increase of $56,091 from the same period last year. Excluding the $370,000 in provisions noted above the Loss before income taxes and non-controlling interest for the second quarter ended November 30, 2009 would have been $519,422, an improvement of $313,909 from the same period last year.

For the six months ended November 30, 2009 the loss before income taxes and non-controlling interest was $1,457,506. Excluding the $370,000 in provisions noted above the loss before income taxes and non-controlling interest for the six months ended November 30, 2009 would have been $1,087,506 an improvement of $359,493 from the same period last year.

Liquidity and Solvency: At November 30, 2009, the Company had working capital of $2,156,069 and the Company's net cash (Cash and cash equivalents less Bank loans) position was $970,881, a decrease of $619,365 during the quarter.

All figures are in Canadian dollars. Full financial results including Management's Discussion and Analysis and accompanying notes to the financial results, are available on www.SEDAR.com and www.thermalenergy.com.

About Thermal Energy

Thermal Energy International Inc. is an innovative technology company providing custom energy and emission reduction, and bioenergy solutions. Headquartered in Ottawa, Canada, TEI is a designer, design build developer, fabricator, owner, operator and supplier of proprietary and patented energy conservation, renewable energy and environmental technology solutions. Thermal Energy is a fully accredited professional engineering firm, and offers advanced process and applications engineering services. The Company is a proud member of the Chicago Climate Exchange (CCX). FLU-ACE(TM), DRY-REX(TM), THERMALONOx(TM), THERMAL AUD(TM) and GEM(R) are trademarks of Thermal Energy International.

To find out more about Thermal Energy International Inc. (TSX-V: TMG), visit our website at http://www.thermalenergy.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Thermal Energy International Inc.

For further information: For further information: William Crossland, President and CEO, (613) 723-6776

Organization Profile

Thermal Energy International Inc.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890