COM DEV Announces Fourth Quarter and Year End Fiscal 2009 Results
CAMBRIDGE, ON,
Fiscal Year 2009 Highlights
- Revenue was $240.4 million, a 14% increase over the fiscal 2008 total
of $210.3 million.
- Gross margin was 27%, compared to 26% in 2008.
- Net income was $15.3 million, or $0.21 per share, compared to a net
income of $12.4 million or $0.18 per share the previous year.
- New orders totaled $249 million in the fiscal year, compared to
$230 million in 2008.
- COM DEV established subsidiary exactEarth(TM) Ltd to commercialize
space-based AIS and other data services.
Fourth Quarter Highlights
- Q4 2009 revenue was $58.3 million, compared to $59.8 million recorded
a year earlier.
- Gross margin was 25%, compared to 29% in the fourth quarter of 2008.
- Net income was $0.9 million, or $0.01 per share, compared to
$4.8 million or $0.07 per share in Q4 2008.
- New orders won in the fourth quarter totaled $67 million, compared to
$60 million a year earlier and $45 million in the third quarter of
fiscal 2009.
- Backlog at October 31, 2009 was $163 million, compared to
$156 million at the end of Q3 2009.
"We had a successful year overall in 2009, despite a weaker than expected finish in the fourth quarter," said
Financial Review
Fiscal 2009 revenues of
COM DEV received new orders totaling
Gross margin was
Total research and development spending increased less than 1% to
Selling, general and administrative expense increased by
Fiscal 2009 net income of
COM DEV ended the year with
COM DEV had outstanding debt of
The Company's basic share count averaged 73,551,227 (fully diluted: 73,604,941) in fiscal 2009, and stood at 76,100,289 on
A complete set of audited financial statements and management's discussion and analysis for the quarter and year ended
Change to Board of Directors
COM DEV also announced that
"On behalf of the board and the entire company, I would like to thank Keith for his decades of contributions to COM DEV," said
Conference Call
A conference call will be held
About COM DEV
COM DEV International Ltd. (www.comdevintl.com) is a leading global designer and manufacturer of space hardware subsystems. With facilities in
This news release contains statements that, to the extent they are not recitations of historical fact, may constitute "forward-looking statements" within the meaning of applicable Canadian securities laws. Forward-looking statements may include financial and other projections, as well as statements regarding COM DEV's future plans, objectives or economic performance, or the assumptions underlying any of the foregoing. COM DEV uses words such as "may", "would", "could", "will", "likely", "expect", "anticipate", "believe", "intend", "plan", "forecast", "project", "estimate" and similar expressions to identify forward-looking statements. Any such forward-looking statements are based on assumptions and analyses made by COM DEV in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors COM DEV believes are appropriate under the relevant circumstances. However, whether actual results and developments will conform to COM DEV's expectations and predictions is subject to any number of risks, assumptions and uncertainties. Many factors could cause COM DEV's actual results, historical financial statements, or future events to differ materially from those expressed or implied by the forward-looking statements contained in this news release. These factors include, without limitation: uncertainty in the global economic environment; fluctuations in currency exchange rates; delays in the purchasing decisions of COM DEV's customers; the competition COM DEV faces in its industry and/or marketplace; and the possibility of technical, logistical or planning issues in connection with the deployment of COM DEV's products or services.
The triangular logo and the word COM DEV are each registered trademarks and the property of COM DEV Ltd. All rights reserved.
COM DEV International Ltd.
Consolidated Statements of Operations
(Canadian dollars in thousands, except for per share figures)
For the three months ended October 31 2009 2008
-------------------------------------------------------------------------
Revenue $ 58,344 $ 59,820
Cost of revenue 43,942 42,674
----------- -----------
Gross margin 14,402 17,146
----------- -----------
Research and development costs 3,573 5,398
Research and development recovery 971 2,910
----------- -----------
Net research and development 2,602 2,488
Selling and general expenses 9,071 7,645
----------- -----------
Operating income 2,729 7,013
Interest expense 167 482
Foreign exchange loss 1,579 1,497
Other expense 138 269
----------- -----------
Income before non-controlling interest 845 4,765
Non-controlling interest (13) (20)
----------- -----------
Net income $ 858 $ 4,785
----------- -----------
----------- -----------
Earnings per share
Basic and diluted earnings per share $ 0.01 $ 0.07
COM DEV International Ltd.
Consolidated Statements of Operations
(Canadian dollars in thousands, except for per share figures)
For the year ended October 31 2009 2008
-------------------------------------------------------------------------
Revenue $ 240,410 $ 210,348
Cost of revenue 175,553 156,227
----------- -----------
Gross margin 64,857 54,121
----------- -----------
Research and development costs 17,475 17,381
Research and development recovery 3,914 7,832
----------- -----------
Net research and development 13,561 9,549
Selling and general expenses 33,065 29,531
----------- -----------
Operating income 18,231 15,041
Interest expense 533 845
Foreign exchange loss 2,002 1,375
Other expense 428 455
----------- -----------
Income before non-controlling interest 15,268 12,366
Non-controlling interest (38) (13)
----------- -----------
Net income $ 15,306 $ 12,379
----------- -----------
----------- -----------
Earnings per share
Basic and diluted earnings per share
from continuing operations $0.21 $0.18
Basic weighted average number of shares 73,551,227 68,057,380
Diluted weighted average number of shares 73,604,941 68,332,462
COM DEV International Ltd.
Consolidated Balance Sheets
(Canadian dollars in thousands)
As at As at
October 31, October 31,
2009 2008
-------------------------------------------------------------------------
Assets
Current
Cash and cash equivalents $ 21,404 $ 16,102
Accounts receivable 53,674 41,085
Inventory 51,114 45,941
Prepaids and other 3,112 1,772
Income taxes recoverable 4,615 2,819
Future income tax assets - current 6,192 3,957
----------- -----------
140,111 111,676
Property, plant and equipment 69,537 66,863
Intangible assets 21,459 18,510
Goodwill 2,388 2,522
Future income tax assets - long term 1,723 3,958
----------- -----------
Total assets $ 235,218 $ 203,529
----------- -----------
----------- -----------
Liabilities
Current
Accounts payable and accrued
liabilities $ 32,939 $ 35,467
Deferred revenue 22,510 14,828
Current portion of loans payable 6,587 6,203
----------- -----------
62,036 56,498
----------- -----------
Long term
Loans payable 13,401 23,223
Employee future benefits 1,872 2,224
----------- -----------
15,273 25,447
----------- -----------
Total liabilities 77,309 81,945
----------- -----------
Non-controlling interest 486 524
----------- -----------
Shareholders' equity
Share capital 345,885 323,975
Contributed surplus 2,804 1,879
Deficit (188,759) (204,065)
Accumulated other comprehensive income (2,507) (729)
----------- -----------
Total shareholders' equity 157,423 121,060
----------- -----------
Total liabilities and shareholders' equity $ 235,218 $ 203,529
----------- -----------
----------- -----------
COM DEV International Ltd.
Consolidated Statements of Cash Flows
(Canadian dollars in thousands)
For the three months ended October 31 2009 2008
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Operating activities
Net income $ 858 $ 4,785
Amortization 2,800 2,862
Loss on disposal of assets 41 119
Defined benefit expenses 398 202
Stock compensation expense 241 207
Employee stock option plan awards 48 45
Unrealized foreign exchange loss on long
term debt - 686
Unrealized foreign exchange (gain) loss
on derivatives 1,843 3,128
Non-controlling interest (13) (20)
----------- -----------
6,216 12,014
Net change in non-cash working capital
items 6,598 (472)
----------- -----------
Operating activities 12,814 11,541
----------- -----------
Financing activities
Shares issued (61) -
Repayment of long term debt (1,597) (1,309)
----------- -----------
Financing activities (1,658) (1,309)
----------- -----------
Investing activities
Acquisition of capital assets (7,309) (501)
Proceeds on disposal of property, plant,
and equipment 35 -
Acquisition of intangible assets (3,595) (3,502)
Business acquisition - (40)
Employee future benefits contributions (584) (264)
----------- -----------
Investing activities (11,453) (4,307)
----------- -----------
Effect of exchange rate changes on cash 1,899 (870)
----------- -----------
Net increase in cash from continuing
operations 1,602 5,055
Net cash used in discontinued operations - (80)
----------- -----------
Net increase in cash 1,602 4,975
Cash and cash equivalents, beginning of
period 19,802 11,127
----------- -----------
Cash and cash equivalents, end of period $ 21,404 $ 16,102
----------- -----------
----------- -----------
Interest paid $ 186 $ 376
----------- -----------
----------- -----------
COM DEV International Ltd.
Consolidated Statements of Cash Flows
(Canadian dollars in thousands)
For the year ended October 31 2009 2008
-------------------------------------------------------------------------
Operating activities
Net income $ 15,306 $ 12,379
Amortization 11,300 9,891
Gain on disposal of assets - (92)
Defined benefit expenses 398 202
Stock compensation expense 898 812
Employee stock option plan awards 185 179
Unrealized foreign exchange loss on long
term debt - 1,528
Unrealized foreign exchange (gain) loss
on derivatives (3,639) 5,998
Non-controlling interest (38) (13)
----------- -----------
24,410 30,884
Net change in non-cash working capital
items (14,339) (32,144)
----------- -----------
Operating activities 10,071 (1,260)
----------- -----------
Financing activities
Shares issued 21,752 2
Advance of long term debt - 18,174
Repayment of long term debt (6,923) (3,320)
----------- -----------
Financing activities 14,829 14,856
----------- -----------
Investing activities
Acquisition of capital assets (13,016) (9,610)
Proceeds on disposal of property, plant,
and equipment 79 213
Acquisition of intangible assets (7,548) (4,494)
Business acquisition (140) (13,525)
Employee future benefits contributions (584) (264)
----------- -----------
Investing activities (21,209) (27,680)
----------- -----------
Effect of exchange rate changes on cash 1,611 (1,176)
----------- -----------
Net increase (decrease) in cash from
continuing operations 5,302 (15,260)
Net cash used in discontinued operations - (351)
----------- -----------
Net increase (decrease) in cash 5,302 (15,611)
Cash and cash equivalents, beginning of year 16,102 31,713
----------- -----------
Cash and cash equivalents, end of year $ 21,404 $ 16,102
----------- -----------
----------- -----------
Interest paid $ 965 $ 1,456
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For further information: Gary Calhoun, Chief Financial Officer, Tel: (519) 622-2300 ext. 2826, [email protected]; Jeff Codispodi, The Equicom Group, Tel: (416) 815-0700 ext. 261, [email protected]
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