Business
Sirit Begins '07 with Record Quarterly Revenue
Sirit Begins '07 with Record Quarterly Revenue.
About this update from Torq Resources Inc.
[{"type":"text","content":"\n\n\n\nStrong financial performance achieved at all levels\n\n\nTORONTO, May 15 /CNW/ - Sirit Inc. ("Sirit") (TSX: SI), a leading\nprovider of radio frequency identification ("RFID") technology, today reported\nits financial results for the first quarter ending March 31, 2007. All amounts\nare stated in Canadian Dollars unless otherwise noted.\n\n\nFinancial Achievements\n----------------------\n- Consecutive record-setting quarterly revenue of $6.5 million in Q1\n 2007 up 14% from the prior quarter's high of $5.7 million and over\n 20% growth from the first quarter of 2006\n- Realization of operational efficiencies and reduction of operating\n expenses by over $0.4 million from prior quarter; total expenses of\n $3.3 million in line with management expectations\n- Cash increase of $0.5 million during the quarter supported by sale of\n long-term investment\n- Net income for the quarter of $0.5 million compared to a net loss of\n $2.1 million in the fourth quarter of last year\n\n\n"Sirit has put forth a very strong first quarter with year over year\nrevenue increases across all areas culminating in a record-setting revenue\nlevel. In addition, operating expenses have been curtailed to pre-acquisition\nlevels as the Company received the full benefit of the integration efforts\ncompleted in 2006," commented Anastasia Chodarcewicz, Chief Financial Officer,\nSirit Inc. "Sirit is focused on revenue growth as well as expense management,\nand remains on target to achieve a cash flow neutral position by the end of\nthe year."\n\n\nRevenue from the Automatic Vehicle Identification (AVI) group of\n$5.2 million represented an impressive 21% growth rate over prior quarter of\n$4.3 million and an 18% growth rate over $4.4 million reported in Q1 2006.\nRadio Frequency Solutions (RFS) revenue of $1.3 million is in line with prior\nquarter and reflects a 30% growth over the same quarter last year. For Q1\n2007, AVI sales growth is attributed to increased volumes with our largest\ncustomers as well as revenue from the new SR-125 highway, a contract award\nannounced in 2006. RFS has experienced increased traction with new customers\nand strengthened revenue streams from existing OEM partners.\n\n\nGross profit of 34.8% during the quarter is consistent with annual 2006\nresults, as management continues to p...