Business
Advantex announces results for Q1 2007
Advantex announces results for Q1 2007.
About this update from Advantex Marketing International Inc.
[{"type":"text","content":"\n\n\n\n\nADX: TSX\n\nTORONTO, Nov. 6 /CNW/ - Advantex Marketing International Inc. (TSX:ADX)\ntoday reported first quarter results for the three months ended September 30,\n2006.\nFor the quarter ended September 30, 2006, Gross Revenue from continuing\noperations was $19.0 million, compared with $17.8 million in corresponding\nquarter previous year. Net Revenue (defined as Gross Revenue less the Cost of\nPurchasing Transaction Credits) for Q1 of the current fiscal year was\n$2.3 million versus $1.9 million in the corresponding quarter in the previous\nyear. Net Revenue from core activities (Canadian Credit Card Loyalty and\nOnline Shopping Malls) for the quarter increased $0.5 million to $2.3 million.\n\"This quarter was a point of inflection for the Company,\" said G. Randall\nMunger, Chairman & Chief Executive Officer of Advantex. \"The year-over-year\nimprovements demonstrate the cost reductions implemented and the traction\ngained through the introduction of our Advance Purchase Marketing Programs.\nThe recently announced debt facility is required to enable the Company to\ncontinue this upward momentum, and is expected to deliver improved financial\nperformance throughout fiscal 2007.\"\n\"We are experiencing significant demand for our Advance Purchase\nMarketing programs,\" said Kelly E. Ambrose, President and Chief Operating\nOfficer of Advantex. \"Our programs meet the needs of merchants, securing their\nfuture sales, accelerating cash flow, delivering marketing with customer\nrewards, and increasing business intelligence. This approach is proving to be\nvery popular, resulting in a backlog of merchant funding commitments.\"\nNet Revenue from the Company's Canadian merchant loyalty programs\nincreased 23% over the corresponding quarter in the previous year, confirming\nthe positive impact that the Advance Purchase Marketing Programs are having on\nthe business.\nNet Revenue from the Company's Online Shopping Mall programs increased\n19% (in US dollars) when compared with the previous year. The Company earns\nits revenue in US Dollars from its Online Shopping Malls, reported in Canadian\ndollars on the consolidated financial statements. Revenue from Online Shopping\nMalls is expected to increase during Q2 2007, reflecting higher customer\npurchase activity for the holiday season.\nGross Profit was $1.5 million in the ...