VANCOUVER, Aug. 17, 2017 /CNW/ - Grande West Transportation Group Inc. (TSXV: BUS; OTC PINK: GWTNF) ("Grande West" or the "Company"), a Canadian bus manufacturer of heavy-duty mid-sized transit buses for sale in Canada and the United States, is pleased to announce financials for the second quarter ending June 30, 2017.
Q2 Highlights
Selected Quarterly Information
| 3 months ended |
3 months ended, |
|
| (unaudited) |
(unaudited) |
|
| Revenue |
11,780,851 |
85,423 |
| Gross Profit |
1,926,105 |
15,910 |
| Net earnings (loss) |
221,884 |
-908,610 |
| Basic and diluted earnings (loss) per share |
0.00 |
-0.02 |
| Cash and cash equivalents |
6,496,447 |
3,784,813 |
| Working Capital |
13,312,118 |
639,872 |
| Total Assets |
38,728,690 |
7,962,955 |
| Non-current financial liabilities |
1,016,168 |
86,462 |
The following table shows results for the quarter ended June 30, 2017 and three months ended May 31, 2016 stated in Canadian dollars.
Management reports Q2 2017 results of thirty two (32) Vicinity buses delivered, revenue of $11,780,851, net income of $221,884 and gross profit margin of 17%. The Vicinity continues to gain adoption in the market and the Company is now in full production and delivery mode for orders accepted in 2016. This is Grande West's second consecutive quarter with record deliveries and revenue, with the first profitable quarter since being founded in 2008. Management expects to deliver a minimum of two hundred Vicinity buses during 2017, setting up continued profitable and record setting quarters for the second half of 2017. The sales pipeline in Canada and the US is robust and new and repeat orders are expected in both markets to continue to fill the backlog of orders for 2018 while 2017 deliveries are met.
Backlog: Current total firm orders for Q3 2017 through 1H 2018 delivery are for two hundred thirty three (233) buses valued at over $84 million CAD.
William Trainer, Grande West CEO stated, "I am very pleased to announce the first profitable quarter in Grande West's history, another major milestone for the Company. Many years of hard work and effort went into making the inflection to profitability. I sincerely thank all the members of our team, exceptional customers, and our supportive shareholders who all played a part in Grande West achieving this goal. As we grow and expand, we are confident and well positioned to continue to build on the first of many profitable quarters. Our ramp up in production and deliveries continues and will result in additional new record quarterly achievements in deliveries, revenue and profit for the second half of 2017 and into 2018."
Additional information about current operations, production and Buy America production plans can be located in the Management's Discussion and Analysis under Recent Highlights and Developments at http://sedar.com/.
A conference call to discuss these results will be held today at 8:00 AM PST / 11:00 AM EST. The call-in number is (866) 215-5508 or (514) 841-2157 and can be accessed by entering passcode 45310688. A recording of the call will be available on the website shortly at http://www.grandewest.com/investors/videocentre.
About Grande West Transportation Group
Grande West Transportation Group is a Canadian bus manufacturer which designs, engineers and manufactures mid-size buses for transit authorities and commercial enterprises. Grande West's Best-in-Class rated Vicinity bus is available in 27.5, 30 and 35 foot models designed with affordability, accessibility and global responsibility in mind. It costs significantly less than a regular 40 foot transit bus, burns less fuel and emits less harmful emissions.
The Company has been successful in supplying Canadian municipal transportation agencies and private operators with new buses and is receiving follow-on orders in many Canadian transit agencies. Grande West is Buy America compliant, and along with ABG, its exclusive US distributor, has sold Vicinity buses to US–based public and private operators and is actively pursuing more opportunities throughout the US.
For further information please contact:
Grande West Transportation
John LaGourgue
Director
Ph: 1-604-607-4000
[email protected]
www.grandewest.com
Neither the TSX-V nor its Regulation Service Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This press release includes certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding the use of proceeds from the Private Placement, are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ materially from Grande West's expectations include uncertainties relating to the receipt of final approval from the TSX-V; and other risk and uncertainties disclosed in Grande West's reports and documents filed with applicable securities regulatory authorities from time to time. Grande West's forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made. Grande West assumes no obligation to update the forward-looking statements or beliefs, opinions, projections, or other factors, should they change, except as required by law.
SOURCE Grande West Transportation Group Inc.
Grande West Transportation, John LaGourgue, Director, Ph: 1-604-607-4000, [email protected], www.grandewest.com
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