IPICO Inc. announces strong growth in second quarter revenues

    BURLINGTON, ON, Aug. 23 /CNW/ - IPICO Inc. (TSX-V:RFD) ("IPICO" or the
"Company") today announced results for the three months ended June 30, 2007.
Revenue more than doubled to $1,010,367 for the second quarter compared to
$474,599 in the second quarter of 2006 and the first quarter of 2007 of
$500,506. Gross margin also more than doubled to $337,894 compared with
$158,372 in 2006. The increase reflects the building of its sports timekeeping
(STK) service line following the execution of the exclusive distributor
relationship late in the first quarter with US based Mercury Sports Group Inc.
(IPICO Sports). Net loss for the quarter was $2,134,827 ($0.07 per share)
compared to $1,732,444 ($0.07 per share) in 2006 reflecting the Company's
increased investment in the commercialization of its Radio Frequency
Identification (RFID) products.

                                                 Three months ending June 30
    (in Canadian dollars, except per share)              2007           2006
    Revenue                                       $ 1,010,367      $ 474,599
    Gross margin                                      337,894        158,372
    Total operating expenses                        2,214,192      1,889,086
    Net loss                                       (2,134,827)    (1,732,444)
    Net loss per share (basic and diluted)              (0.07)         (0.07)

    On June 28, 2007, the Company completed a private placement of 4,891,715
common shares for gross proceeds of $3,424,200 to support the continued
investment in the commercialization of the Company's products including the
investment in working capital to support the planned growth in revenues. Cash
and cash equivalents was $4,670,657 at June 30, 2007 compared to $6,159,203 at
December 31, 2006.
    The Company's unaudited interim consolidated financial statements for the
second quarter ended June 30, 2007 along with management's discussion and
analysis thereon can be on found on SEDAR at www.sedar.com under the trading
symbol TSX-V:RFD.


    IPICO Inc. is an RFID solution supplier with operations in the USA, South
Africa, Europe, Asia and Australia. IPICO produces smart labels and tags based
on the IP-XTM communication protocol. IPICO's low interference readers are
designed to meet regulatory requirements in many major markets, and allow for
multi-reader rollout in close proximity. IPICO's low cost RFID products excel
at long read range, fast multi-read anti-collision and high thru-beam
read-speeds of dynamic tag populations. These products are used to optimize
the management of items, people, animals and processes within the logistic
supply chain and other value chains. For further information, go to

    This news release contains certain forward-looking statements pertaining
to future anticipated projected plans, performance and developments, as well
as other statements relating to future operations and results, including,
without limitation, statements as to sales forecasts and required minimum
future revenues. Any statements in this news release that are not statements
of historical fact may be considered to be forward-looking statements. Written
words such as may, will, expect, believe, anticipate, estimate, intends, goal,
objective, seek, attempt, suggest or variations of these or similar words,
identify forward-looking statements. These statements by their nature are
estimates of future results only.
    Actual results could differ materially from those contained in the
forward-looking statements and are based on current expectations that involve
substantial risks and uncertainties, including but not limited to the failure
to meet market growth, order volume, delivery commitment or minimum revenue
expectations, political intervention, and those other risks and uncertainties
detailed from time to time in IPICO's periodic reports filed on SEDAR


    %SEDAR: 00023515E

For further information:

For further information: Gordon Westwater, President, IPICO Inc., Tel:
(905) 631-6310, email: gordon.westwater@ipico.com; Ted Irwin, Chief Financial
Officer, IPICO Inc., Tel: (905) 631-6310, email: ted.irwin@ipico.com

Organization Profile


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