Business
Sirit Closes Fiscal 2008 with its Strongest Quarter
TORONTO, March 11 /CNW/ - Sirit Inc. ("Sirit") (TSX: SI), a global provider of radio frequency id...
About this update from Torq Resources Inc.
[{"type":"text","content":"\n\n\n\nTORONTO, March 11 /CNW/ - Sirit Inc. ("Sirit") (TSX: SI), a global\nprovider of radio frequency identification ("RFID") technology, today reports\nits financial results for the fourth quarter and year ended December 31, 2008.\nAll amounts are stated in Canadian Dollars unless otherwise noted.\n\n\nQ4 2008 Financial Results\n\n\nAs a result of higher revenue and continued expense management, the last\nquarter of 2008 was the strongest quarter of the year for Sirit. Total revenue\nreached $6.3 million compared to $5.4 million reported in the fourth quarter\nof 2007. The increase in revenue for the quarter is attributed to automatic\nvehicle identification ("AVI") related applications with higher volumes of\ntoll transponder sales as well as new sales into South America.\n\n\nThe Company's cash spend for Q4 2008 was under $0.1 million which is\nin-line with the cash flow neutral position reported in Q4 2007. This is a\nsignificant improvement in the use of cash compared to the first three\nquarters of 2008 demonstrating once again the Company's ability to adapt to\nchanging economic circumstances and ensuring long-term operational\nsustainability.\n\n\nAVI related applications contributed $5.6 million to Q4 2008 revenue\ncompared to $4.2 million in Q4 2007, an increase of $1.4 million. Revenue from\nRadio Frequency Solutions ("RFS") applications contributed $0.7 million in the\nlast quarter of 2008 compared to $1.3 million in the same period in 2007. The\ndecline in RFS revenue in the last quarter reflects a reduction in spending by\ncustomers who are experiencing the impacts of the current economic\nuncertainty. Revenue from the operations of RSI ID Technologies, Inc. acquired\nby Sirit on April 1, 2008 is consolidated within either Sirit's AVI or RFS\nrevenue based on the nature of the revenue generated.\n\n\n"The Company is pleased to have ended the year on an improving trend in\naccordance with our expectations discussed during the fourth quarter. Revenue\nwas up while cash expenses were down, culminating in the strongest quarter of\nfiscal 2008. The net result was a considerable reduction in the use of cash\nresources during the quarter. The Company continues to demonstrate its ability\nto quickly adapt to challenging situations and we are confident in our\nlong-term future ...