REGINA, Feb. 6, 2014 /CNW/ - Input Capital Corp. ("Input" or the "Company") (TSX Venture Exchange: INP) announces its unaudited results for the third quarter ended December 31, 2013. All figures are presented in Canadian dollars unless otherwise noted.
THIRD QUARTER HIGHLIGHTS:
- Input made its first canola sales during the quarter, bringing its initial canola streams full cycle. Revenue generated by these canola sales is now available for deployment into a new round of Streaming Contracts.
- Input sold 2,646 MT of canola at an average price of $472.06 for total revenue of $1,249,261.
- Input completed the quarter by registering positive operating cash flow of $961,419 ($0.02 per share). The Company is also operating cash flow positive for the year to date, which is its first full fiscal year of operation.
- On October 4th, Input closed a private placement and public offering, raising gross proceeds of $41,002,779 for the purpose of expanding its portfolio of Streaming Contracts.
- Statistics Canada released its final crop report of 2013, highlighting the biggest crop in Canadian history. The report estimated a record canola crop of 18M MT, surpassing the 14M MT grown in Canada last year.
- As a result of good crop results, the Company also expects to receive a yet-to-be-established number of bonus tonnes of canola this year. The Company is in the final stages of determining bonus tonnes for the year.
- Input finished the quarter with:
- Cash and cash equivalents of $40,652,411;
- Total canola interests of $16.9 million (current portion and long-term portion);
- 10 multi-year Streaming Contracts with 14,506 contracted base tonnes of canola remaining to be delivered to the Company; and
- No debt.
Input President and CEO Doug Emsley said, "Our fiscal third quarter saw us deliver on our initial promises. The first canola streams have come full cycle; capital was deployed, canola was collected and converted into cash, and the capital is now being redeployed. The capital raised in October will be the foundation of our deployment program over the next twelve months and the positive operating cash flow Input is already generating will bolster that."
Mr. Emsley added, "Input has not been immune to the industry-wide delays caused by a congested railway transportation system. We see the potential for delay of our canola deliveries from the 2013 harvest to extend beyond March 31 and into our next fiscal year. And on the plus side, in the face of an unusually crowded grain handling and transportation environment, many farmers are seeing the potential advantages in a streaming contract, and this is leading to enhanced deployment opportunities for Input."
This earnings release should be read in conjunction with Input's Management's Discussion and Analysis ("MD&A") and unaudited Financial Statements, which are available on the Company's website at www.inputcapital.com and have been posted on SEDAR at www.sedar.com.
Webcast and Conference Call Details
A conference call will be held on Friday, February 7, 2014 starting at 8:30 am Saskatchewan time (9:30 am Eastern time) to further discuss the third quarter results. To participate in the conference call use the following dial-in number:
Participant Dial in #:
1 (647) 427-7450 (Local Toronto)
1 (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 completed canola Streaming Contracts in Northern Alberta, Western Saskatchewan and throughout Eastern 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:
Chairman, CEO & President
Executive Vice-President, CFO & Director