MONTREAL, QUEBEC--(Marketwired - Jun 27, 2013) - IBEX Technologies Inc. (TSX VENTURE:IBT) today reported its financial results for the nine months ended April 30, 2013. These results include four months of the newly acquired Bio-Research Products ("BRP").
"While I'm pleased to report that sales have increased 60% for the quarter and 29% for the nine month period, due in part to our acquisition of BRP our operating profit is below expectation, primarily due to higher than expected professional fees associated with the acquisition, and to a temporary disruption in manufacturing of one of BRP's major products", said Paul Baehr, President and CEO of IBEX. "We do however expect to be back on track in the fourth quarter" said Mr. Baehr.
FINANCIAL RESULTS FOR THE THIRD QUARTER OF FISCAL 2013
Sales for the quarter ended April 30, 2013 totaled $1,268,908, an increase of 60% compared to the same period year ago. These results include a 26% increase in sales from IBEX Pharmaceuticals and the remaining increase derives from BRP.
Despite this increase in sales, the Company recorded a net loss of $63,812 in the quarter. This compares to a gain of $217,438 for the same period year ago, and a loss of $459,993 in the previous quarter. The loss for this period traces to expenses attributable to the acquisition and to the temporary disruption in manufacturing at BRP with regard to one of its major products (sales of this product have now resumed).
Expenses increased to $1,332,720 in the quarter compared to $577,263 in the year-ago quarter. This increase is mainly attributable to the inclusion of the operating expenses of the newly acquired BRP ($516,253) and professional fees related to the purchase of BRP (approximately $89,000).
FINANCIAL RESULTS FOR NINE MONTH ENDED APRIL 30, 2013
Sales for the nine months ended April 30, 2013 totaled $2,764,912, an increase of 29% compared to the same period in 2012. This result includes a 12% increase in sales for IBEX Pharmaceuticals with the remaining increase deriving from BRP.
Net loss for the nine months ended April 30, 2013 was $455,135 compared to net earnings of $303,624 in the same period last year. This year-on-year change is mainly attributable to professional fees related to the purchase of BRP (approximately $253,000), an operating loss at the newly acquired BRP ($261,000) due to a now-resolved production interruption with a major product, and a swing in the capitalization of inventory (approximately $240,000).
Total Expenses for the nine months ended April 30, 2013 increased to $3,220,047 from $1,835,969, principally due to the inclusion of BRP expenses and the factors mentioned above.
|Financial summary for the nine months ending|
|April 30, |
|April 30, |
|Earnings (Loss) Before Interests, Tax, Depreciation & Amortization||($248,352||)||$395,726|
|Depreciation & Amortization||$200,884||$116,568|
|Net (loss) earnings||($455,135||)||$303,624|
|(Loss) Earnings per Share||($0.02||)||$0.01|
|Cash, Cash Equivalents & short-term investments||$1,367,333||$2,145,874|
|Outstanding shares at report date (Common Shares)||24,703,244||24,703,244|
The Company, through its wholly owned subsidiaries, IBEX Pharmaceuticals Inc. (Montreal, QC) and Bio-Research Products Inc. (North Liberty, IA), manufactures and markets enzymes for biomedical use. IBEX also manufactures and markets a series of arthritis assays which are widely used in osteoarthritis research.
For more information, please visit the Company's website at www.ibex.ca.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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.