Business
Komet releases its 2008 financial results
Despite the economic slowdown and a significant initiative to pay down its long-term debt, the Co...
About this update from Brunswick Exploration, Inc.
[{"type":"text","content":"\n\n\n\nDespite the economic slowdown and a significant initiative to pay down\n\n\nits long-term debt, the Company posts a profit\n\n\nMONTREAL, Feb. 16 /CNW Telbec/ - Komet Manufacturers Inc., "Komet"\n(TSX-V: AQD), today disclosed its financial results for the 2008 fiscal year,\nended September 30, 2008.\n\n\nDuring this period, the Company recorded revenues of $7,435,233 from\ncurrent business activities. By means of comparison, during the nine-month\nperiod ended September 30, 2007, Komet recorded revenues of $6,859,275. A\nproduct of the slowdown being felt throughout the manufacturing sector, this\ndecrease is in particular due to a marked decline in sales and stock being\nretained in inventory by the Company's clientele as well as to a significant\ndrop in the exchange rate during most of the fiscal period, which led certain\nmajor clients to import products directly from Asia.\n\n\nBefore-tax profits on earnings totalled $19,568, compared to $221,360\nrecorded during the nine-month period ended September 30, 2007. This profit\nreflects the sound management of the Company's operations during difficult\neconomic times. These results also reflect a loss on exchange of $22,483 in\n2008, compared to a gain on exchange of $55,401 in 2007. This loss on exchange\nwas recorded late in fiscal 2008, a period that saw a rapid drop in the\nCanadian dollar.\n\n\nThe Company's cash flow stands at $292,212, compared to $479,688 during\nthe previous period. It should also be noted that Komet paid down $270,935 of\nits long-term debt while directing $15,935 towards the acquisition of fixed\nassets.\n\n\nDuring the 2008 fiscal period, the Company increased its cash position by\n$303,745, while at the same time paying $540,000 towards its line of credit.\n\n\nPerspective\n\n\n"The future looks promising for Komet, with the company expecting to\nbenefit from a number of strategic and operational initiatives begun in 2008,"\nstated Francois Nadeau, the Company's Chief Executive Officer, upon the\ntabling of the annual financial results. "In addition to continuing our\nexcellent business relationships with major clients such as Rona, Reno-Depot\nand Home Depot, the creation of a new kitchen division will both diversify our\nproduct offering and increase our sources of revenue. In short, Komet\ncurrently finds itself i...