CALGARY, May 24, 2012 /CNW/ - MATRRIX Energy Technologies Inc. ("MATRRIX" or the "Corporation") (TSX-V: MXX) announces financial results for the first quarter of 2012.
- MATRRIX achieved revenue of $5,428,770 and EBITDA of $850,420 in Q1 2012. This is the Corporation's third full quarter of operations, and its first high activity (Q1 winter drilling season) quarter.
- The Corporation's concurrent job capacity was 12 directional or horizontal drilling systems during Q1. The construction of 6 additional systems is in process, targeted for deployment in Q3 2012.
- Areas of operation include Alberta, Saskatchewan, British Columbia and Texas (USA).
FINANCIAL SUMMARY HIGHLIGHTS
| Three Months Ended
March 31, 2012
|EBITDA per share|
|Income per share|
|Weighted Average diluted shares||31,454,884|
|At March 31, 2012|
|Common shares outstanding||30,853,238|
MATRRIX was incorporated on January 7, 2011 and did not commence business operations until July 2011 with the acquisition of Oilfield Guidance Inc. ("OFG"). OFG had been operating since 2005 for the purpose of supplying directional or horizontal drilling systems sales, service, and rental equipment to the directional drilling industry. As part of the OFG transaction, the Corporation acquired 2 directional or horizontal drilling systems. Capacity increased with the construction of 10 additional systems in Q4 2011, which were deployed in Alberta, Saskatchewan and British Columbia in Q3 2011 and Q1 2012. As at the date of this press release the Corporation had a total of 12 directional or horizontal systems available for deployment to those markets.
In addition, the Corporation continued its drilling motors operations in west Texas that commenced in Q4 2011.
The Corporation achieved EBITDA of $850,420 during the first quarter, an increase of $493,850 from the fourth quarter.
President Richard Ryan states, "With MATRRIX beginning operations in July of last year, our Q1 2012 results are reflective of the company's first quarter of high oil and gas activity in Canada. The MATRRIX team continues to exploit sales and operational opportunities, as we have assembled a solid core support team that creates scalable systems and processes designed to grow with our field operation. With a strong balance sheet we look forward executing our growth plan in both Canada and the USA".
The board is pleased to announce the appointment of Imran Gulam, CA MST as MATRRIX CFO, effective immediately. Imran has acted for the company in the capacity of Finance Manager since November 16, 2011 and has been instrumental in assisting in the creation of systems and controls as the company has evolved. Previous to joining MATRRIX, Imran spent 4 years at Brookfield Residential Properties in various capacities including Treasurer and Commercial Controller, 2 years as the VP Finance at UTI, 3 years at Petro-Canada as a US Senior Tax Advisor and 6 years at PricewaterhouseCoopers LLP as a tax manager. He received his CA designation in 2000 and his Masters in US Taxation from Golden Gate University in 2004. Murray Hinz, former CFO of MATRRIX, has agreed to remain as a consultant to the company, and the board wishes to express our sincere gratitude for his hard work and effort during the formative months of MATRRIX.
The Corporation's financial statements and management's discussion and analysis for the three month period ended March 31, 2012 will be available on SEDAR at www.sedar.com.
This press release contains references to EBITDA. This financial measure is not a measure that has any standardized meaning prescribed by IFRS and is therefore referred to as a non-GAAP measure. The non-GAAP measures used by the Corporation may not be comparable to similar measures used by other companies.
(i) EBITDA is defined as "income (loss) before interest, taxes, business acquisition transaction costs, reverse takeover adjustments, depreciation, stock based compensation expense, gains on disposal of property and equipment and foreign exchange." Management believes that in addition to net and total comprehensive income (loss), EBITDA is a useful supplemental measure as it provides an indication of the results generated by the Corporation's principal business activities prior to consideration of how these activities are financed, how the results are taxed in various jurisdictions, or how the results are effected by the accounting standards associated with the Corporation's stock based compensation plan.
| Three Months Ended
March 31, 2012
|Income (loss) before income taxes and interest||$||506,514|
|Share based compensation||$||140,307|
|Foreign exchange (gain)/loss||$||2,366|
MATRRIX is engaged in the acquisition and supply of horizontal and directional drilling technologies for the oil and gas industry in North America.
This press release contains certain statements or disclosures relating to MATRRIX that are based on the expectations of MATRRIX as well as assumptions made by and information currently available to MATRRIX which may constitute forward-looking information under applicable securities laws. In particular, this press release contains forward-looking information related to: the continued growth in both Canada and the USA. Such forward-looking information involves material assumptions and known and unknown risks and uncertainties, certain of which are beyond MATRRIX's control. Many factors could cause the performance or achievement by MATRRIX to be materially different from any future results, performance or achievements that may be expressed or implied by such forward looking information. MATRRIX's documents filed with securities regulatory authorities (accessible through the SEDAR website www.sedar.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. MATRRIX disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
President & Chief Executive Officer
MATRRIX Energy Technologies Inc.
Tel: (403) 984-5062