Business
Sirit Reports Third Quarter 2009 Financial Results
Sirit Reports Third Quarter 2009 Financial Results
About this update from Torq Resources Inc.
[{"type":"text","content":"\n\n\n\nNov. 10, 2009 (Canada NewsWire Group) -- TORONTO, Nov. 10 /CNW/ -- Sirit Inc. (\"Sirit\") (TSX: SI), a leading provider of radio frequency identification (\"RFID\") technology, reports its financial results for the third quarter ended September 30, 2009. All amounts are stated in Canadian Dollars unless otherwise noted.Q3 2009 Financial ResultsBolstered by increasing sales in Latin America during the third quarter of 2009, Sirit continues to withstand the current weak economic environment achieving revenue growth for the third consecutive quarter in comparison to prior year quarterly results. For the third quarter of 2009, the Company is reporting revenue of $4.4 million (US$4.0 million) representing a 16% quarter over quarter improvement when compared to the $3.8 million (US$3.7 million) reported for third quarter of 2008.For the first three quarters of 2009, total revenue has reached $15.2 million compared to $12.9 million in the first three quarters of 2008, an improvement of almost 18%. The largest component of the 2009 revenue growth has been from toll related applications across North and South America in accordance with Sirit's strategy to focus on the AVI market. The Company now has its passive toll technology installed in five countries across Latin America, adding Argentina and Colombia during the third quarter. The Company is focusing on adding to this growing list over the next several months.Ongoing efforts to manage cash spend at Sirit have yielded strong results during the third quarter of 2009. In US Dollars, the Company achieved a cash neutral position beginning and ending the quarter with a cash balance of US$2.5 million. In Canadian Dollars, the reported cash balance of $2.7 million represents a small decline of $0.2 million for the quarter, due solely to a change in the exchange rates during the quarter. This does not impact daily operations as Sirit completes nearly all its business in US Dollars. As the Company has controlled its cash spend during these tough economic times, we expect continued progress as the economy starts to improve and revenue levels increase.AVI applications contributed $3.2 million or 73% of the reported $4.4 million revenue for the third quarter of 2009. This reflects a $0.5 million or 19% increase compared to AVI related revenue in Q3 2008 of $2.7 million. During the first t...