GUELPH, ON, Aug. 24, 2012 /PRNewswire/ - BIOREM Inc. (TSXV: BRM) ("Biorem" or
"the Company") today announced its results for the three-month period
ended June 30, 2012. Biorem's complete 2012 second quarter financial
statements and MD&A have been filed on SEDAR (www.sedar.com).
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RESULTS FROM OPERATING ACTIVITIES
BASIC EARNINGS/(LOSS) PER SHARE|
DILUTED EARNINGS/(LOSS) PER SHARE
Revenues for the three months ended June 30, 2012 were $2.8 million
compared to $3.3 million recorded the previous quarter, and $3.9
million in the similar period in the prior year. Six month revenues to
June 30 totaled $6.1 million, a $1.5 million decrease from $7.6 million
in revenues for the six months ended June 30, 2011.
Gross profit for the quarter was $490,000 representing 17% of revenues,
a $110,000 improvement over the $380,000 of gross profit and 11.7% of
revenues in realized in Q1 2012.
The Company recorded a net loss for the quarter of $680,000 representing
a loss of $0.05 per share. The net loss for the six months ended June
30, 2012 was $1,224,000, a loss per share of $0.09.
The Company's backlog of orders at June 30, 2012 stood at $13.6 million,
a $1.6 million improvement over the order back log at June 30, 2011.
However, as at August 21, 2012 this backlog had grown to $17.5 million.
As previously announced, during Q2 2012 the Company issued convertible
secured debentures for gross proceeds of $659,000.
Subsequent to June 30, 2012 the Company improved its working capital
position by issuing additional convertible secured debentures for gross
proceeds of $1.1 million and received $500,000 in additional debt
financing through an amending agreement with the existing lender of a
12.75 % debenture.
"Due to our strained working capital situation that had developed
through the first and into the second quarters we anticipated a
significant slowdown in shipments from our vendors in the quarter" said
Peter Bruijns, President and CEO. "With the two capital raises, plus
the incremental debt the company has added $2,272,000 of working
capital which has enabled shipments to resume in Q3. With our high
current backlog and improving project margins we anticipate improved
performance from the company through the remainder of 2012."
About BIOREM Inc.
Biorem is a leading clean technology company that designs, manufactures
and distributes a comprehensive line of high-efficiency air emissions
control systems used to eliminate odors, volatile organic compounds
(VOCs), and hazardous air pollutants (HAPs). With sales and
manufacturing offices across the continent, a dedicated research
facility, a worldwide sales representative network and more than 700
installed systems worldwide, Biorem offers state-of-the-art
technology-based products and peace of mind for municipalities,
industrial companies and their surrounding communities. Additional
information on Biorem is available on our website at www.biorem.biz.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
This press release contains forward-looking statements based on current
expectations. These forward-looking statements contain various risks
and uncertainties that could cause actual results to differ materially
from those reflected in the forward-looking statements. Risks and
uncertainties about the Company's business are more fully discussed in
the disclosure materials, financial statements and MD&A filed with the
securities regulatory authorities in Canada on www.sedar.com.
Order Bookings and Order Backlog are non-IFRS measures that the Company
uses to evaluate its sales performance. Order Bookings are those
binding contracts that the Company enters into with a third party for
the delivery of our products or services. As Order Bookings are
received, the contract value (before any associated sales taxes) is
included in the Order Backlog. The Order Backlog is reduced by the
revenue that is recognized on each project and then adjusted for any
SOURCE Biorem Inc.