TSX Symbol: CH
TORONTO, Aug. 8 /CNW/ - Century II Holdings Inc. today announced its consolidated financial results for the second quarter ended June 30, 2007. The Company's operations principally reflect its investment in Information Communication Services (ICS) Inc. (operating as ICS Courier).
The Company reported net earnings in the second quarter of 2007 of $2.5 million ($0.22 per share) unchanged from the same period last year. Earnings before income tax expense of $4.0 million represents an improvement of $3.7 million in pre-tax earnings compared to the same period last year. Net earnings for the six months ended June 30 were $4.6 million compared to $5.3 million in 2006. Comparisons of net earnings for both the three and six month periods are impacted as a result of the Company incurring income tax expense in 2007 and the reversal of a future income tax assets valuation allowance in the second quarter of 2006. Comparison of pre-tax earnings for the second quarter is impacted because of expenses recognized in June 2006 associated with stock options and the renewal of the CEO's employment agreement.
Revenue for the second quarter of 2007 was $25.2 million compared with $23.1 million in 2006, an increase of 8.9% over the prior year's quarter. Revenue for the six months was $49.2 million, a 6.8% increase.
Commenting on the financial performance for the first half of 2007, Mr. Geoff Davies, President and Chief Executive Officer of the Company, said that "growth in revenues together with effective cost controls are driving the improvement in our financial performance for the first 6 months of this year".
About Century II Holdings Inc. (TSX Symbol: CH)
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Century II Holdings Inc. is a publicly listed holding company whose wholly owned subsidiary, ICS Courier, operates a structured route courier business servicing in excess of 35,000 accounts largely in the insurance, financial, travel, optical, dental and hearing appliance business sectors across Canada.
Certain statements in this press release constitute forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance and achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, competition and technological changes. These factors and other risks and uncertainties are discussed in the Company's Annual Report for the year ended December 31, 2006 and in the subsequent reports filed by the Company with the Ontario Securities Commission.
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