Business
Allen-Vanguard announces financial results for third quarter of fiscal 2007
Allen-Vanguard announces financial results for third quarter of fiscal 2007.
About this update from Verisante Technology, Inc.
[{"type":"text","content":"\n\n\n\n- Slow deliveries in third quarter a prelude to anticipated strong\n deliveries and record performance in fourth quarter\n\n- Company maintains guidance for exceptionally strong finish to fiscal\n 2007, with quantum growth anticipated from Lockheed Martin orders and\n Med-Eng and HMS acquisitions\n\n\nOTTAWA, Aug. 14 /CNW Telbec/ - Allen-Vanguard Corporation (the "Company"\nor "Allen-Vanguard") (TSX: VRS) of Ottawa, Canada reported today its financial\nresults for the third quarter ("Q3") ended June 30, 2007. All figures are in\nCanadian dollars.\n\n\nSummary of Q3 financial results\n\n\nRevenue was $12.4 million in Q3 2007, a decrease of 14% over\n$14.5 million in Q3 2006. EBITDA(1) was a loss of ($1.3) million in Q3 2007,\ncompared to EBITDA of $1.9 million in Q3 2006. The net loss for Q3 2007, was\n$1.8 million or $0.03 per share, compared to net earnings of $0.6 million or\n$0.02 per share in Q3 2006.\n\n\nThe Company noted that third quarter activity was a period of slow\ndeliveries and increased administrative and development expense to ramp up for\nanticipated record deliveries in Q4 of bomb disposal robots and volume orders\nfor Symphony electronic counter measures (ECM) equipment from Lockheed Martin,\nwhich are tracking to schedule. Unusual expenses also included a residual\none-time stock based compensation charge of $0.6 million.\n\n\nOutlook and subsequent events\n\n\n"As stated in our update of July 5, 2007, we continue to expect a very\nstrong finish to fiscal 2007, with most deliveries expected to occur in the\nfourth quarter," said David E. Luxton, President and CEO. "ECM orders from\nLockheed Martin are now flowing as anticipated. Advance deliveries began in\nJuly and are continuing at a brisk pace through Q4 and are expected to provide\na healthy backlog as we enter fiscal 2008." The Company said that it expects\nECM deliveries and the contribution from its acquisition of Hazard Management\nSolutions Ltd (HMS) to push revenue for the second half of fiscal 2007 to a\nnew high of $45-$50 million, with record EBITDA and profitability on the year\noverall.\n\n\nThe Company confirmed its expectation, as stated in its update of July 5,\n2007, that the kind of volume orders of ECM component systems now flowing from\nLockheed Martin will continue to build towar...