EDMONTON, Aug. 14, 2007 /CNW/ - PowerComm Inc., (PCG:TSX) released its
first quarter (fiscal year 2008), consolidated financial statements today.
Gross profit was $2,773,000 on revenue of $10,565,000 representing a margin of
26.2%; compared to a margin of 27.6% for the same period for fiscal year 2007.
General and Administrative expenses increased by approximately $1,000,000
from the prior year's first quarter partly due to the acquisition of Redhill
Systems Inc. and Drayton Valley offices and the commencement of taking a
charge for "Stock Based Compensation" which amounted to slightly more that
$200,000. This resulted in the corporation showing a loss of $569,000 or
$0.01 per share.
"We experienced a decline in sales due to a reduction in our construction
volumes," said Wayne Rutherford, President and CEO, "there was a delay in the
commencement of several projects, but we currently have the largest order
backlog in the company's history," Mr. Rutherford said, "at this time it
exceeds thirteen million dollars when the normal backlog at this time is
usually around five to eight million dollars, therefore we expect our annual
construction volume to be equal to or better than last year," he concluded.
A complete copy of the financial Statements and the MD&A will be
available at www.sedar.com or on the company web site, www.powercomm.ca.
The news release contains certain forward-looking statements, including
management's assessment of future plans and operations and capital
expenditures and the timing thereof, that involve substantial known and
unknown risks and uncertainties, certain of which are beyond PowerComm Inc.'s
control. Such risks and uncertainties include, without limitation, risks
associated with the Corporation's ability to market successfully to current
and new customers; supply and demand for PowerComm Inc.'s services and
products and industry activity levels; capital expenditure programs;
projections of commodity prices and costs; the Corporation's ability to obtain
material and equipment from suppliers; operating risk liability; expansion of
services and products by internal growth or acquisition; the Corporation's
ability to obtain additional financing on satisfactory terms; the impact of
general economic and industry conditions; changes in laws and regulations
(including the adoption of new environmental laws and regulations) and changes
in how they are interpreted and enforced; competitive conditions; the lack of
availability of qualified personnel or management; fluctuations in foreign
exchange or interest rates, stock market volatility; and obtaining required
approvals of regulatory authorities. PowerComm Inc.'s actual results,
performance or achievements could differ materially from those expressed in,
or implied by, these forward-looking statements and, accordingly, no
assurances can be given that any of the events anticipated by the
forward-looking statements will transpire or occur, or if any of them do so,
what benefits, including the amount of proceeds, that PowerComm Inc. will
derive therefrom. Readers are cautioned that the foregoing list of factors is
not exhaustive. All subsequent forward-looking statements, whether written or
oral, attributable to PowerComm Inc. or persons acting on its behalf are
expressly qualified in their entirety by these cautionary statements.
Furthermore, the forward-looking statements contained in this news release are
made as of the date of this news release and PowerComm Inc. does not undertake
any obligation to update publicly or to revise any of the included
forward-looking statements, whether as a result of new information, future
events or otherwise, except as may be required by applicable securities laws.
For further information:
For further information: contact Wayne R. Rutherford, President and
Chief Executive Officer, or J.D. Snowdon, Executive Vice President Corporate
Services at (780) 465-7038 or at email@example.com