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GUELPH, ON, March 30 /CNW/ - BIOREM Inc. (TSXV: BRM) announced today its results for the fourth quarter and the year ended December 31, 2008:
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Quarter Ended Year Ended
December 31 December 31
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Information in table is in
thousands except per share data 2008 2007 2008 2007
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REVENUE $ 4,639 $ 2,938 $ 14,400 $ 9,470
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GROSS PROFIT 1,754 1,247 5,769 3,347
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EBITDA(1) 438 77 220 (1,889)
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NET EARNINGS 191 (153) (432) (3,001)
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BASIC EARNINGS PER SHARE 0.01 (0.01) (0.04) (0.25)
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DILUTED EARNINGS PER SHARE 0.01 (0.01) (0.04) (0.25)
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WEIGHTED AVERAGE COMMON SHARES 11,978 11,978 11,978 11,978
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Q4 revenue of $4,639,000 is higher than in the fourth quarter of 2007 by $1,701,000 or 58%, while Q4 gross profit of $1,755,000 was up $508,000 or 41%. This resulted in Net Earnings for the quarter of $190,000 being a substantial improvement from a net loss of $153,000 from the prior year.
The Company obtained the following major achievements for the fiscal year: - Bookings in 2008 were $17,377,000 compared to $12,000,000 in 2007, which represents a 45% increase; - The order Backlog is $14,803,000 compared to $10,000,000 at December 31, 2007 for a 48% increase; - Revenue in 2008 was $14,400,000 compared to $9,470,000 in 2007, which is a 52% increase; - Gross profit in 2008 was $5,769,000 compared to $3,347,000 in 2007, which is a 72% increase; - Operating expenses were $5,549,000 compared to $5,236,000 in 2007, which is only a 6% increase; and - EBITDA for 2008 was positive $220,000 compared to a loss of $1,889,000 in 2007.
"We are satisfied that all of the 2008 key performance metrics for the Company increased substantially from 2007. We also are encouraged with the improvement in gross margin for 2008 of 40% of revenue compared to 35% in 2007." said Peter Bruijns, President and CEO. "Biorem focused 2008 on building its sales organization, operational skill sets and product Research and Development. In each area, the Company is very pleased with the progress. For 2009, the sales pipeline remains healthy and the Company will continue an ambitious R&D program building upon previous successes." added Mr. Bruijns.
At the end of the year, the Company had cash and cash equivalents in the amount of $2,199,000 and net working capital of $6,935,000 which is $3,072,000 increase from the beginning of the year. This strong working capital working position is considered adequate to fund the future operating requirements of the business for the foreseeable future.
About BIOREM Inc.
BIOREM manufactures Biosorbens(R) biofilter media and is a leading supplier of biofilters and biotrickling for air pollution control in municipal and industrial applications, including BIOCUBE(R) modular units and Mytilus(R) biotrickling filters. With over 600 installed systems and over a decade of experience, the Company's products are the technology of choice for odor control at wastewater treatment plants across North America. Additional information on BIOREM is also available at our web site at www.biorem.biz.
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The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved of the contents of this release.
Forward-Looking Statements
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
Non-GAAP Measures
(1) EBITDA is a non-GAAP earnings measure, therefore, it does not have
any standardized meaning prescribed by Canadian generally accepted
accounting principles and may not be similar to measures presented
by other companies. EBITDA represents earnings before interest,
income taxes, depreciation and amortization. This measure is
important to management since it is used by potential lenders to
evaluate the ongoing cash generating capability of the Company and
thus the amounts those lenders are willing to lend to the Company.
"Order Bookings" and "Order Backlog" do not have any standardized meaning prescribed by Canadian generally accepted accounting principles ("GAAP") and may not be comparable to measures presented by other companies. Order Bookings and Order Backlog are non-GAAP 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 currency changes.
%SEDAR: 00020304E