Business
Advantex Announces Fiscal 2009 Third Quarter Results
ADX: TSX TORONTO, May 15 /CNW/ - Advantex Marketing International Inc. (TSX:ADX), a leading speci...
About this update from Advantex Marketing International Inc.
[{"type":"text","content":"\n\n\n\nADX: TSX\n\n\nTORONTO, May 15 /CNW/ - Advantex Marketing International Inc. (TSX:ADX),\na leading specialist in loyalty marketing programs and merchant funding, today\nannounced its results for the Fiscal 2009 third quarter ended March 31, 2009.\nAll references to quarters or years are for the fiscal periods and all\ncurrency amounts are in Canadian dollars unless otherwise noted.\n\n\n"The Company's third quarter results were impacted by soft consumer spend\nin a weak economy, and seasonality during our historically weak third quarter\nthat is reflective of decline in consumer spend, following the holiday period,\nin the CIBC Advantex programs, and Online business," said Kelly E. Ambrose,\nPresident and Chief Executive Officer.\n\n\n"The business model is sound, and the Company continues to experience\nstrong demand for its Advance Purchase Marketing (APM) product offering. The\nCompany is committed to achieving a profit before non cash items for Fiscal,\n2009. In order to do so in difficult economic times, the Company is working on\ntwo fronts: increasing the number of establishments participating in its\nprograms to offset the decline in the consumer spend, and cutting costs, "Mr.\nAmbrose said.\n\n\nA detailed look at the results for the three and nine months ended March\n31, 2009 is set out:\n\n\nResults of Operations\n\n(in millions of dollars) Q3 Q3 YTD YTD\n -- -- --- ---\n Fiscal Fiscal Fiscal Fiscal\n ------ ------ ------ ------\n 2009 2008 2009 2008\n ---- ---- ---- ----\n (x) (x) (x) (x)\n --- --- --- ---\n\nRevenue:\n CIBC Advantex programs\n Advance Purchase Marketing Model $ 1.2 $ 1.2 $ 4.5 $ 3.5\n Marketing Only Model 0.9 0.7 2.6 2.4\n Online Shopping Malls 0.5 0.6 2.0 2.6\n ----- ----- ----- -----\n\n Total revenue 2.6 2.5 9.1 8.6\nDirect Expenses (1.0) (0.7) (3.1) (3.3)\n ----- ----- ----- -----\n ----- ----- ----- -----\nGross Profit 1.6 1.8 5.9 5.3\nSelling, general and administrative expenses 1.8 1.7 5.1 5.2\n ----- ----- ----- -----\nContribution from operations (0.2) 0.1 0.8 0.1\n\nStock based compensation 0.0 0.0 (0.1) 0.0\n ----- ----- ----- -----\nProfit/(Loss) before amortization and\n Interest (0.2) 0.1 0.8 0.1\nAmortization, accretion charge on\n debentures and amortization of deferred\n financing charges (0.3) (0.2) (0.7) (0.5)\nStated interest on convertible debenture/\n...