Business
BluMetric Announces Financial Results for Q2 FY2020
Ottawa, Ontario--(Newsfile Corp. - July 15, 2020) - BluMetric Environmental Inc. (TSXV: BLM), ...
About this update from Blumetric Environmental Inc.
[{"type":"text","content":"BluMetric Announces Financial Results for Q2 FY2020Ottawa, Ontario--(Newsfile Corp. - July 15, 2020) - BluMetric Environmental Inc. (TSXV: BLM), a full-service environmental consulting and engineering cleantech firm, today announced its financial results for the quarter ended March 31, 2020, recording revenue of $5.0 million and a net loss of $2.3 million. The net loss includes a non-cash impairment of goodwill of $1.6 million, which was required due to the decline in the Company's market capitalization resulting from the economic impacts of the COVID-19 pandemic.BluMetric's decrease in revenue and gross profit for Q2 FY2020 was the result of a variety of factors. Most notably, the Company experienced a significant reduction in revenue within its Military and Government markets over last year's comparable quarter as a result of several one-time contracts which did not repeat in FY2020. This decline was slightly offset by a marginal increase in the Company's Commercial and Industrial market where BluMetric has refocused resources over the past year in order to pursue more private sector business. Also contributing to the quarter's weaker results was a greater proportion of time invested in business development that has not yet translated to revenue due to both longer sales cycles as well as projects being put on hold due to the uncertainty of the pandemic. Additionally, there were various revenue adjustments required to account for the ambiguity of certain projects continuing given both the economic turmoil and the restrictions imposed by the government as a result of the pandemic. \"The pandemic has been disruptive to our operations. However, BluMetric was fortunate to have much of its work deemed essential amid the COVID-19 shutdowns,\" said Scott MacFabe, CEO of BluMetric. \"Our approach to market diversification and keeping the safety of our people and clients first will enable BluMetric to move forward effectively.\"Q2 FY2020 Operational HighlightsA permanent office was opened in Whitehorse, Yukon with the intent of growing a stronger local presence to facilitate future work in this region. This is a key growth area which highlights the Company's strength of executing complex field programs in remote, northern settings. Through the quarter the Company maintained its strength in the commercial brownfield redevelopment space p...