Business
Augen reports Q2 2007 results
Augen reports Q2 2007 results.
About this update from Gensource Potash Corp.
[{"type":"text","content":"\n\n\n\nShares outstanding: 36,170,615\n\n\nTORONTO, Aug. 24 /CNW/ - Augen Capital Corp. ("Augen") (TSX-V: AUG) is\npleased to announce its interim consolidated financial results for the second\nquarter ended June 30, 2007. The highlights are as follows:\n\n\n- Income for the quarter increased to $1.8 million from $1.6 million\n for the same quarter in 2006;\n\n- Net realized gain (loss) on the sale of MB investments rose 47% to\n $1.3 million, offset by unrealized loss of $1.7 million reflecting\n the unrealized fluctuations in the fair value of the Merchant Banking\n portfolio;\n\n- Expenses for the quarter declined to $0.8 million from $1.0 million\n for the same quarter in 2006;\n\n- Fair value of Assets increased 44% to $14.9 million at June 30, 2007\n from $10.3 million at December 31, 2006.\n\n\nThe 2007 adoption of CICA Handbook Section 3855, which now requires the\nreporting of unrealized fluctuations in the fair value of the Merchant Banking\n("MB") investment portfolio, has resulted in greater volatility in the net\nearnings of Augen since Q1 2007. The newly adopted accounting standards\nprovide insight into the current fair value of the MB investment portfolio but\ndo not necessarily provide an accurate indication of the ultimate realized\ngain or loss, which will be different. This is the first year in which\nunrealized fluctuations in the MB investment portfolio have been recorded.\n\n\nThe Q2 2007 net earnings, before unrealized loss on MB investments of\n$1.7 million as described above, were $1.5 million or $0.04 per share,\nreflecting a sharp increase in earnings as compared to $0.5 million or $0.02\nper share in Q2 2006. Net realized gain (loss) on the sale of MB investments\nrose 44% to $1.3 million for the quarter as compared to $0.9 million in 2006,\nreflecting strong performance and active trading of the MB investment\nportfolio. Net loss for the quarter was $0.3 million as compared to net income\nof $0.5 million in 2006, representing $0.01 loss per share as compared to\nearnings of $0.02 per share.\n\n\nUnrealized loss on MB investments was $1.7 million for the quarter which\nreflects the unrealized decline in the fair value of the MB investment\nportfolio during the quarter. There is no comparative in 2006 due to the\nprospective application of CICA Handbook Section 3855. The fair valu...