Business
Allen-Vanguard announces financial results for second quarter of fiscal 2007
Allen-Vanguard announces financial results for second quarter of fiscal 2007.
About this update from Verisante Technology, Inc.
[{"type":"text","content":"\n\n\n\n- Record $23.5M revenue, $3.4M EBITDA, record U.S. revenue\n\n\n- Results in line with expectations for record year\n\n\n- Increased order visibility into fiscal 2008\n\n\n- Active acquisition program\n\n\nOTTAWA, le 11 mai /CNW Telbec/ - Allen-Vanguard Corporation (the\n"Company" or "Allen-Vanguard") (TSX: VRS) of Ottawa, Canada reported today its\nfinancial results for the second quarter ended March 31, 2007. All figures are\nin Canadian dollars.\n\n\nRevenue was $23.5 million in Q2 2007, an increase of 75% over\n$13.4 million in Q2 2006. EBITDA(1) was $3.4 million in Q2 2007, compared to\n$1.1 million in Q2 2006. The net loss for Q2 2007, after a stock-based\nmanagement bonus payment, was $1.1 million or $0.02 per share, compared to net\nearnings of $0.2 million or $0.01 per share in Q2 2006.\n\n\nThe Company noted that revenue more than doubled compared to the first\nquarter of 2007. The improved performance reflects a strong contribution from\nthe electronic counter measures ("ECM") business, which represented 51% of\nrevenue, primarily from its technology license and supply agreement with\nLockheed Martin Corporation ("LM"). Also, sales of Explosive Ordnance Disposal\n("EOD") product categories increased three-fold year over year. The result was\nrecord U.S. revenue in the quarter of $10.4 million, up from $1.6 million last\nyear and up from $4.3 million in the first quarter of fiscal 2007. Gross\nprofit of $9.9 million was also more than twice as high as last quarter, and\nincreased by 80% year over year.\n\n\nExpenses in the quarter included a management bonus payment, which is\nestimated at $3.5 million, of which $3.1 million was recognized in the\nquarter. This payment is tied to share price performance and is being accrued\nalmost entirely in the second quarter as stock-based compensation expense. As\npreviously disclosed, this performance bonus is not payable until June 1,\n2007. Since EBITDA is defined as earnings before stock-based compensation, all\nEBITDA figures presented are exclusive of this bonus payment. Selling and\nadministration expenses were $5.0 million (21.2% of revenue), an increase of\n$1.7 million over $3.4 million (25.0% of revenue) for the same period last\nyear. Increases in financial, administrative and service support have been put\nin p...