IBEX Technologies Inc. (TSX VENTURE: IBT), today reported its financial results for the third quarter ended April 30, 2009.
Solely for the convenience of the reader, selected financial results expressed in Canadian dollars on the financial statements, have been translated into U.S. dollars at the April 30, 2009 month-end rate C$1.00 equals US$ 0.8382. This translation should not be construed as an application of the recommendations relating to the accounting for foreign currency translation, but rather as supplemental information for the reader.
HIGHLIGHTS FOR THE QUARTER:
"IBEX had another excellent quarter in both profits and sales" said Paul Baehr, IBEX CEO "with sales driven by real growth and a favourable foreign currency exchange rate".
FINANCIAL RESULTS FOR THE THIRD QUARTER
Sales for the quarter ended April 30, 2009 totaled $1,072,603 (US$899,056) an increase of 51% as compared to $712,997 to the same period in the prior year, and representing an increase of 8% vs. the previous quarter.
Sales of enzymes increased by 30% vs. the previous year, although down by 6% vs. the very strong previous quarter. Most of this increase traces to continued strong demand for the point of care disposables sold by IBEX customers, but gains are also seen in the use of our enzymes in manufacturing quality control.
Sales of arthritis assays increased by 125% vs. year ago, and increased 56% vs. the previous quarter.
Net earnings for the quarter ended April 30, 2009 were $242,582 (US$203,332), or $0.01 per share, compared to net earnings of $259,269, or $0.01 per share, for the same period year ago, (a decrease of 6%) with increasing revenues offset by a $117,725 negative charge to the foreign exchange account.
Net earnings for the third quarter declined 16% versus the second quarter, however, excluding foreign exchange swings, net earnings were $360,307, up 18% over year ago, 8% versus the second quarter and up 135% when compared with first quarter. The two first quarters benefited from a $168,617 gain in foreign exchange due to the increased strength of the US currency, while the current quarter recorded a foreign exchange loss of $117,725 due to a decline in the value of the US dollar vs. the last quarter.
Expenses during the quarter increased 22% vs. year-ago but decreased by 11% vs. the previous quarter. This increase is mainly attributable to the increase in the level of business activity vs. year ago.
Cash, Cash Equivalents, and Marketable Securities increased 15% during the quarter to $2,118,086. The Company's working capital was $2,557,888 as at the end of the third quarter ended April 30, 2009 and up from $2,390,884 as at the end of the prior quarter ending January 31, 2009.
Financial Summary for the quarters ending
April 30, April 30,
2009 2008
Revenues $1,072,603 $712,997
Earning Before Interests, Tax, Depreciation
& Amortization $265,103 $266,932
Depreciation & Amortization $26,470 $15,763
Net Earnings $242,582 $259,269
Profit per Share $0.01 $0.01
Cash, Cash Equivalents & Marketable Securities $2,118,086 $1,398,745
Working Capital $2,557,888 $1,629,408
Outstanding shares at report date (Common
Shares) 24,703,244 24,703,244
LOOKING FORWARD
IBEX has been successful in bringing its existing business to profitability and is now turning its attention to pursuing growth opportunities, including further growing its base business, and maximizing shareholder value through strategic initiatives with companies where increased market strength and synergies might be obtained.
While the Company expects the last quarter of Fiscal 2009 to be profitable, it will not benefit from the same level of foreign exchange gains, nor will it see the same level of sales (the third quarter was an exceptionally good quarter, the fourth quarter is typically the smallest quarter).
ABOUT IBEX
The Company manufactures and markets a series of proprietary enzymes (heparinases and chondroitinases) for use in pharmaceutical research by our customers, as well Heparinase I, which is used in many leading hemostasis monitoring devices.
IBEX also manufactures and markets a series of arthritis assays which are widely used in pharmaceutical research by our customers. These assays are based on the discovery and increasing role of a number of specific molecular biomarkers associated with collagen synthesis and degradation.
For more information, please visit the Company's web site at www.ibex.ca.
Safe Harbor Statement
All of the statements contained in this news release, other than statements of fact that are independently verifiable at the date hereof, are forward-looking statements. Such statements, based as they are on the current expectations of management, inherently involve numerous risks and uncertainties, known and unknown. Some examples of known risks are: the impact of general economic conditions, general conditions in the pharmaceutical industry, changes in the regulatory environment in the jurisdictions in which IBEX does business, stock market volatility, fluctuations in costs, and changes to the competitive environment due to consolidation or otherwise. Consequently, actual future results may differ materially from the anticipated results expressed in the forward-looking statements. IBEX disclaims any intention or obligation to update these statements.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release
Contacts:
IBEX Technologies Inc.
Paul Baehr
President & CEO
514-344-4004 x 143
