EDMONTON, April 13 /CNW/ - Mr. Wayne Wadley, president of CERF GP Corp.,
the general partner of Canadian Equipment Rental Fund Limited Partnership (the
"Partnership"), is pleased to report the results for the nine month period
ending December 31, 2005. Becoming a limited partnership necessitated the year
end change to December 31. Therefore, the nine month period ending
December 31, 2005 is compared to the previous eleven month March 31, 2005
period end of 4-Way Equipment Rentals Ltd.
Year-end highlights include:
- Total revenues of $4,657,210 for nine months compared to $4,679,197
for previous eleven months
- Cashflow of $1,151,731 for nine months compared to $905,562 for
previous eleven months
- Earnings of $588,404 representing $0.21 per unit basic for the nine
months compared to $357,495 for previous eleven months
- Net additions of $850,128 of equipment to the fleet.
Mr. Wadley comments, "This marks our first year-end as a publicly trading
limited partnership. The growth in business the 4-Way Equipment Rentals Ltd.
experienced over the past several years continues into the partnership
structure. Utilization rates remain extremely high as our customers continue
to be very active in all sectors. Demand for equipment and manpower challenge
both the partnership and our customers alike. With nine month revenues almost
matching the previous eleven month numbers, activity remained very brisk
throughout the fall and winter. Significant capital additions to the rental
fleet were made throughout the period to address customer demand. These
additions also served to increase revenue which translated directly into an
increase in profitability. Cash distributions also began in a timely fashion
as the first payout was made on December 23, 2005 and another scheduled for
April 14, 2006."
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Balance Sheets
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December 31, March 31,
2005 2005
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Assets
Current assets:
Accounts receivable $ 1,888,359 $ 1,481,767
Inventory and other 397,200 75,616
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2,285,559 1,557,383
Property and equipment 4,265,327 3,415,199
Prepaid rent 88,200 88,200
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$ 6,639,086 $ 5,060,782
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Liabilities and Partners' Equity
Current liabilities:
Bank indebtedness $ 560,749 $ 459,021
Accounts payable and accrued liabilities 983,365 809,681
Income taxes payable - 38,733
Callable bank debt 340,060 1,912,310
Current portion of long-term debt 477,901 51,416
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2,362,075 3,271,161
Long-term debt 1,331,625 50,575
Notes payable 800,000 -
Future income taxes - 347,092
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4,493,700 3,668,828
Partners' equity 2,145,386 1,391,954
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$ 6,639,086 $ 5,060,782
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Statements of Operations
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Eleven
Nine months months
ended ended
December 31, March 31,
2005 2005
-------------------------------------------------------------------------
Revenues:
Rental $ 3,615,083 $ 3,545,397
Sales 740,252 812,980
Labor, cartage and other 301,875 320,820
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4,657,210 4,679,197
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Expenses:
Cost of sales 557,692 612,561
General and administrative 388,130 573,589
Interest 129,085 97,613
Operating 2,421,515 2,455,295
Amortization of property and equipment 608,034 596,539
Gain on disposal of property and equipment (44,707) (129,740)
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4,059,749 4,205,857
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Income before income taxes 597,461 473,340
Income taxes 9,057 97,845
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Net income for the period $ 588,404 $ 375,495
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Net income per unit
Basic $ 0.21 $ 0.18
Diluted $ 0.21 $ 0.18
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Statements of Cash Flows
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Eleven
Nine months months
ended ended
December 31, March 31,
2005 2005
-------------------------------------------------------------------------
Cash provided by (used in):
Operating:
Net income $ 588,404 $ 375,495
Adjustments to reconcile income from
operations to net cash provided:
Amortization of property and equipment 608,034 596,539
Gain on sale of property and equipment (44,707) (129,740)
Future income tax - 63,268
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1,151,731 905,562
Changes in operating assets and liabilities:
Accounts receivable (406,592) (259,017)
Inventory and other (321,584) (18,550)
Accounts payable and accrued liabilities 120,150 (124,771)
Income taxes payable (38,733) 81,595
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504,972 584,819
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Investing:
Accounts payable related to purchase of
property and equipment 53,534 119,255
Purchase of property and equipment (2,154,073) (2,110,954)
Proceeds on sale of property and equipment 740,618 765,867
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(1,359,921) (1,225,832)
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Financing:
Proceeds of bank indebtedness 101,728 17,553
Proceeds of callable bank debt 351,786 986,113
Repayment of callable bank debt (1,924,036) (390,774)
Proceeds of partnership units, net of
issue costs 818,834 -
Repayment of note payable (59,764) -
Distribution to partners (141,134) -
Proceeds on long-term debt 1,880,741 96,253
Repayments of long-term debt (173,206) (68,132)
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854,949 641,013
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Net change in cash in the period - -
Cash, beginning of period - -
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Cash, end of period $ - $ -
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Supplementary information:
Interest paid $ 122,710 $ 96,576
Taxes paid (received) $ 47,790 $ (47,018)
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Additional information and full financial statements for current and past
periods may be found on the SEDAR web site at www.sedar.com.
CERF LP is a Canadian limited partnership engaged in the rental, sale and
service of industrial and construction equipment. CERF LP trades on the TSX
Venture Exchange under the symbol "CFL.UN" and currently has 3,250,967 units
issued and outstanding.
>>
%SEDAR: 00022335E
