ST. JOHN'S, NL, Feb. 13, 2012 /CNW/ - Today, Rutter Inc. (TSX: RUT) released its unaudited first quarter consolidated financial statements for the three month period ended November 30, 2011.
Summary financial information is provided in this press release which should be read in conjunction with the condensed consolidated interim financial statements and MD&A available on the Company's web site at www.rutter.ca or on SEDAR at www.sedar.com. Fraser H. Edison, President and CEO of the Company, and Karen M. Snook, Chief Financial Officer, will host a conference call on Thursday, February 16, 2012, to discuss the results. Details of this call will be announced in a press release dated February 14, 2012 and will also be available on the Company's web site.
SUMMARY OF RESULTS
The Company's quarterly results are summarized in the tables below:
|Revenue||Q1 2012||Q1 2011|
|Third party manufacturing||$||4, 404||$||5,854|
|Company owned products||1,049||919|
|Net earnings (loss)||$||(518)||$||222|
|Earnings (loss) per share||$||(0.007)||$||0.003|
|(1)||EBITDA is identified in the Company's financial statements as "Earnings before undernoted items" and is more fully defined in the Company's financial statements and MD&A.|
Third party manufacturing revenue is lower in the first quarter of the current year, as expected, as a result of a reduction in revenues from our primary customer and revenue from Company owned products increased slightly, resulting in an overall revenue decrease of $1,277,000.
The elements contributing to lower EBITDA performance include: lower revenues from third party manufacturing; the change in mix of products sold and higher professional fees.
The reduced EBITDA performance resulted in a net loss of $518,000, $(0.007) per share, as compared to net earnings of $222,000, $0.003 per share, in the prior year.
The Company is exploring growth opportunities, including opportunities to expand its manufacturing presence beyond its current location. This is expected to provide greater access to other manufacturing customers and to enhance the existing relationship with the Company's major customer. The Company is also exploring opportunities to expand its product reach through ventures providing complementary technology to the Company's existing radar capabilities.
Management continues to work toward the objective of obtaining a more appropriate debt facility which would provide both the opportunity to borrow at a more favourable interest rate and to net cash against a revolving credit line.
About Rutter Inc. - Rutter is an enterprise focused on providing innovative technologies and engineering solutions. Rutter's global network supplies technologies to improve efficiency and safety in the marine, defense, transportation, oil and gas sectors from its headquarters in the Province of Newfoundland and Labrador. For more information see www.rutter.ca
This press release may contain forward-looking statements that involve risks and uncertainties. These statements reflect current expectations and are subject to a number of risks and uncertainties including but not limited to, change in technology and general market conditions. Due to the many risks and uncertainties, Rutter Inc. cannot assure that forward-looking statements that may be contained in this press release will be realized.
The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
For further information:
Karen Snook, Chief Financial Officer and Corporate Secretary, Rutter Inc. +1 709 576 6666