Business
Urban Infrastructure Group Inc. Reports Financial Results For the Three and Nine Months Ended June 30th, 2024
Brampton, Ontario--(Newsfile Corp. - August 28, 2024) - Urban Infrastructure Group Inc. (TSXV: U...
About this update from Urban Infrastructure Group Inc.
[{"type":"text","content":"Urban Infrastructure Group Inc. Reports Financial Results For the Three and Nine Months Ended June 30th, 2024Brampton, Ontario--(Newsfile Corp. - August 28, 2024) - Urban Infrastructure Group Inc. (TSXV: UIG), a leading stage-one concrete and drainage infrastructure construction group, specializing in large scale new residential housing developments, announces its financial results for the three and nine months ended June 30th, 2024. All financial information is provided in Canadian dollars unless otherwise indicated. Ungad Chadda, CEO of UIG, stated, \"As we communicated at the end of May, the very well publicized halt in the low rise residential new home construction market has continued to prevail as at June 30th, 2024. 'Per Global News reports on the CMHC figures, the number of housing starts in the first half of 2024 has lagged behind the previous year, while June saw a 44-per cent drop year-on-year.' As a direct result of this industry-wide slowdown, Urban's Q3 results commensurately reflect this inability for developers in Ontario to get shovels-in-the-ground during the quarter.\"On a much more bullish note, the leading indicators of a return to work has been very evident at Urban. More specifically, Urban's unaudited July revenues have come in virtually as high as the revenues booked in all of Q3. In addition, the current Bid Pipeline sits at $17M+ and the Contracted Pipeline currently sits at $6M. Urban defines Bid Pipeline as all tenders or RFP's that Urban has been invited to bid on and for which the Company has submitted a bid. Contracted Pipeline is defined as the subset of the Bid Pipeline that has been confirmed as awarded by the customer to Urban.Urban is weathering the storm and is well positioned, with its skilled labour force, commitment to excellence and impeccable track record and brand, to capitalize on the recovery that appears to already be under way. An anticipated 3rd interest rate cut in September will act as a further catalyst for the recovery leg in this cycle.Management Commentary on the First Nine Months of Fiscal 2024:The Company recorded net loss of $2,213,949 ($0.06 per share) for the nine-month period ended June 30, 2024 as compared to net income of $1,353,606 ($6,768 per share) for the nine-month period ended June 30, 2023. The decrease in net income is the result of decreased revenue in the t...