REGINA, May 1, 2014 /CNW/ - Input Capital Corp. ("Input") (TSX Venture Exchange: INP) is releasing its monthly update for April 2014 summarizing canola deliveries and the acquisition of new multi-year canola streams.
Input sold a record 2,234 metric tonnes (MT) of canola in April at an average price of $493 per MT, for monthly revenue of $1.1 million. This is the first time that Input has recorded more than $1 million in monthly revenue. Input also received a further 471 MT in March subsequent to the publication of the monthly update, pushing March deliveries to 1,816 MT.
"We have now delivered and sold almost half of the 2013 crop," said President and CEO Doug Emsley. "In addition, the strength of our marketing program is demonstrated by the fact that April's sales have increased our average realized price for the 2013 crop year.
"Input's business is growing rapidly. Canola is being delivered and converted to cash, and new streams are being signed which will grow the company's canola sales very significantly over the years to come."
Input expects to receive 18,697 base tonnes of canola from the 2013 growing season.
The following table summarizes canola sales for the 2013 growing season:
| Base Tonnes Sold
| % of 2013 Growing
Season Base Tonnes
| Average Realized
| Bonus Tonnes
New Canola Streams
During the month of April 2014, Input also entered into six canola streaming contracts with farmers in Saskatchewan for total up-front payments of $9.7 million, a new monthly record. Three of the contracts represent expanded or new contracts with existing farm partners as a result of farm expansions undertaken by these farmers, while the other three contracts are with farmers new to Input. All of the farms are located in Saskatchewan.
Emsley added, "This brings our deployment for this season to more than $22.8 million to date, which is 65.4% higher year-over-year and ahead of our internal investment objectives. Our deal pipeline also continues to grow as farmers discover how a streaming contract can provide liquidity to farming operations, particularly when crop sales are slow, or when expansion opportunities come along."
Input has now invested a total of $42.1 million to date, in multi-year canola streaming contracts with 20 farmers.
Streaming Contract Summary at April 30, 2014
|Contracted volume for growing season|
|Contract Base Tonnes||18,697||35,278||30,278||30,413||30,428||30,428||16,195||1,885|
|Average Cash Cost(1) / Base MT||$71.85||$64.57||$75.09||$74.61||$74.28||$74.13||$80.25||$54.49|
|Claim to Bonus Tonnes||15%||15%||15%||15%||15%||15%||15%||15%|
Now that the active farming season is beginning, this update is the last monthly update Input will provide. The company will continue to update investors on canola sales and new canola streams via its regular quarterly reporting schedule.
Input to Release Fourth Quarter and Annual Results
Today, Input also announced that it will release its fiscal year 2014 fourth quarter and annual results on Tuesday, May 27, 2014, after market close.
Webcast and Conference Call Details
A conference call will be held on Wednesday, May 28, 2014 starting at 8:30 am Saskatchewan time (10:30 am Eastern time) to further discuss the fourth quarter and annual results. To participate in the conference call use the following dial-in number:
Participant Dial in #: (888) 231-8191 (North America Toll Free)
It is recommended that participants dial in five minutes prior to the commencement of the conference call. Soon after the completion of the call, the webcast will be available for download on the Input Capital website.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Input is an agriculture commodity streaming company with a focus on canola, the largest and most profitable crop in Canadian agriculture. Input enters into multi-year canola streaming contracts with canola farmers in western Canada. Pursuant to the streaming contract, Input purchases a fixed portion of the canola produced, at a fixed price, for the duration of the term of the contract. Input is a non-operating farming company with a diversified portfolio of canola streams, all of which produce canola and revenue for Input within a year of being signed. Input plans to grow and diversify its low cost canola production profile through entering into additional canola streaming contracts with farmers across western Canada.
Input is focused on farmers with quality production profiles, excellent upside yield potential, and strong management teams. Input has multi-year canola streams with twenty farmers located across Alberta and Saskatchewan.
Forward Looking Statements
This release includes forward-looking statements regarding Input and its business. Such statements are based on the current expectations and views of future events of Input's management. In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting Input, including risks regarding the agricultural industry, economic factors and the equity markets generally and many other factors beyond the control of Input. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Input undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
SOURCE: Input Capital Corp.
For further information:
President & CEO
Executive Vice-President & CFO