OTTAWA, Aug. 29 /CNW/ - RAMTelecom Inc. (TSXV:RTC) (the "Corporation")
today announced that its 2007 second quarter interim financial and operating
results for the three months ended June 30, 2007 have been filed on the SEDAR
system. The highlights provided in this press release should be read in
conjunction with the Corporation's unaudited interim financial statements and
Management Discussion and Analysis for the first quarter.
The results represent the Corporation's second quarter financials as a
public company. No previous fiscal year comparisons can be made. In lieu
thereof, management feels that comparisons to previous quarterly results of
Misener Telecom, the Corporation's operating subsidiary, provide a meaningful
assessment of measuring progress in the Corporation's business development.
The Corporation reported second quarter revenues of $954,439, a 7%
increase over Misener Telecom results of $885,822 for Q2 2006. The loss, net
of non-cash expenditures, was $206,610 with a negative EBITDA of $99,710,
compared to a negative EBITDA for Misener Telecom of $90,732 in Q2 2006.
The gross margins for the Corporation in Q2 2007 were $250,304 or 27.6%
compared to $251,948 or 28.4% for Misener Telecom in Q2 2006. This represents
a .07% decrease in the quarter compared to Q2 2006. The decrease is directly
attributed to a change in product sales experienced in the quarter. As a
result of the Premier Distributor contract signed with Stratos Global in Q1
2007, lower margin mobile satellite revenues increased substantially while the
early shutdown of spring drilling operations in Alberta resulted in lower
Linkstar(R) service sales for the quarter.
The Corporation's overall Q2 financial results are a combination of
increased revenues from lower margin mobile sales combined with a temporary
decrease in higher margin Linkstar(R) services. It is not indicative of the
overall direction RAMTelecom Inc is taking in 2007. The Corporation is in
various proposal stages with drilling companies and its reseller network,
planning increased commitments for the 2008 winter drilling season. The
Corporation's satellite network upgrade to meet TELUS standards will be
completed by mid September 2007. TELUS will complete the installation of their
network equipment for client connectivity to the Corporation's satellite
network. The Corporation continues on track to reach its goal of profitability
by the end of Q4 2007.
On August 24 2007, Board approval was received to issue Robert L. Ardiel
50,000 incentive stock options at an exercise price of $0.25, subject to
regulatory approvals, as part of the Corporation's Director Compensation
About the Corporation
The Corporation is a publicly traded corporation shares of which are
listed for trading on the TSX Venture Exchange under symbol RTC. The
Corporation is a satellite service provider delivering flexible, scalable
solutions for broadband data and voice business communications. Its fixed and
mobile satellite-based communication services and value-add solutions are
designed for medium and large enterprises in oil and gas, mining, and forestry
and government agencies. With complete coverage of the North American market,
the Corporation's satellite broadband services help organizations achieve
greater operational efficiency by providing continuous real-time
communications between central offices and remote locations anywhere in North
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
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For further information:
For further information: RAMTelecom Inc., Ralph Misener, President and
CEO, Tel: (613) 747-1836 Ext 125, Email: firstname.lastname@example.org; CHF Investor
Relations, Alison Tullis, Account Manager, Tel: (416) 868-1079 Ext 233, Email: