Second quarter 2007 results: Lassonde Industries Enjoys Sustained Growth in Sales



    ROUGEMONT, QC, Aug. 10 /CNW Telbec/ - Lassonde Industries Inc.
(LAS.A-TSX) today announced that its net sales for the second quarter of 2007
totalled $102.9 million, representing a 13.3% increase when compared to the
amount of $90.8 million recorded for the same quarter in the preceding fiscal
year. For the same quarter, the cost of goods sold and operating expenses
amounted to $92.2 million, an increase of 14.1% over the amount of
$80.8 million recorded for the same period last year.
    Operating income was 6.8% ahead of the second quarter of the preceding
fiscal year. Lassonde's net earnings for the second quarter of the 2007 fiscal
year were $5.3 million (or $0.79 per share) compared with $1.9 million for the
same quarter last year. It should be reminded that the second quarter of 2006
was affected by charges resulting from income taxes regulatory and legislative
changes. The enactment by the Quebec government on June 13, 2006 of An Act to
amend the Taxation Act and other legislative provisions ("Bill 15") and
changes in the federal tax rate for corporations caused a net negative
variance of approximately $3 million in the financial results of the 2006
second quarter.

    
                           Key Financial Data (*)
               (in thousands, excluding the amounts per share)

                                                         Q2-2007     Q2-2006
                                                       Unaudited   Unaudited
    Net sales                                           $102,889    $ 90,842
                                                      -----------------------
    Cost of goods sold and operating expenses             92,211      80,834
    Amortization                                           2,563       2,412
                                                      -----------------------
                                                          94,774      83,246
                                                      -----------------------
    Operating income                                       8,115       7,596
    Other items
      Financial expenses                                     451         778
      Loss (gain) on disposal of fixed assets                 10          (2)
                                                      -----------------------
    Earnings before income taxes                           7,654       6,820
    Income taxes                                           2,356       4,901
                                                      -----------------------
    Net earnings                                        $  5,298    $  1,919
                                                      -----------------------
    Basic and diluted earnings per share                $   0.79    $   0.28
                                                      -----------------------
    Dividends declared per share                        $  0.125    $  0.155
                                                      -----------------------

    Weighted average number of shares outstanding          6,699       6,814


    (*) Note: These are financial highlights only. The Company's
        Management's Discussion and Analysis, and the unaudited consolidated
        financial statements and accompanying notes for the quarter ended
        June 30, 2007 are available on the SEDAR Web site at www.sedar.com
    

    "These results are in line with our expectations and reflect our strategy
of sustained growth always aiming at increasing the presence of all our
product lines in all of our markets," commented Mr. Pierre-Paul Lassonde,
Chairman of the Board and Chief Executive Officer of Lassonde Industries Inc.

    Financial results

    During the second quarter of the current financial year, net sales of
$102.9 million reflect a moderate increase of the price of our products
combined with a sustained growth in market share. Our strategy of increasing
    penetration in selected markets with strong growth potential has enabled
the Company to achieve these sales volumes.  For the first six months, our net
sales were $190.1 million.  This represents an increase of close to
$20 million over the net sales of the first six months of the 2006 financial
year.
    Net earnings of the second quarter of the current fiscal year are
$5.3 million, 176.1% higher than the $1.9 million for the corresponding period
in 2006. In addition, the basic and diluted earnings per share were $0.79, an
increase of 182.1% over the basic and diluted earnings per share of $0.28 in
the second quarter of 2006. Net income for the first half of the current
fiscal year is $8.0 million representing a 45.9% increase over the
$5.5 million of net earnings recorded for the same six-month period in 2006.
    Lassonde Industries' future outlook remains in keeping with management
expectations. "The quality of our products as well as the scope of our focused
efforts in Canada, lead us to believe that the continuous growth which has
characterized the results of Lassonde Industries over the years should be
sustained during the coming years," concluded Mr. Lassonde.

    This press release contains forward-looking statements that are based on
certain assumptions. These forward-looking statements are subject to a number
of risks and uncertainties that could cause actual results or events to differ
materially from current expectations. Additional factors are discussed in
materials filed from time to time with the securities regulatory authorities
in Canada. Lassonde Industries Inc. disclaims any intention or obligation to
update or revise any forward-looking statements.
    %SEDAR: 00002099EF




For further information:

For further information: Guy Blanchette, Vice-President, Finance
Lassonde Industries Inc., (450) 469-4926, ext. 782


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