With a view to continuity and stability, Francois Nadeau, Chairman of the
Company's board, succeeds Marc Leblanc
MONTREAL, May 26 /CNW Telbec/ - Komet Manufacturing Inc. "Komet" (TSX-V: AQD) today disclosed its financial results for its second quarter of 2008, ended March 31, 2008.
During this quarter, Komet recorded net income of $59,205. This is slightly down from the second quarter of 2007 when net income was $93,873. This decline is mainly attributable to the temporary slowdown in sales experienced by superstore retailers in Canada, which is the Company's primary clientele.
The Company's manufacturing costs and sales and administration expenses totalled $2,136,899 during the same period, which compares to the $2,620,956 recorded for the same quarter in 2007.
Furthermore, Komet recorded revenues of $2,296,648 from current business activities. At the same date last year, the Company recorded revenues of $2,837,962. This decline is also attributable to the slowdown mentioned above.
In addition, cash and cash-equivalents reached $1,098,356 for the six-month period ended March 31, 2008. As at March 31, 2007, there was a deficit of $39,421. Interest revenues generated by the Company's temporary investments over the last quarter were $12,743, whereas they were $151 over the same period last year.
Change in the Company's management
Mr. Marc Leblanc, President and Chief Executive Officer, announced his departure from the Company to accept an executive position with a non-competing, pan-Canadian company. "The eight years which I have spent with Komet have been extremely rewarding. Unquestionably, it is a dynamic, experienced and prosperous company that is full of potential. I would like to sincerely thank the employees, clients, as well as the shareholders and board members, in particular the members of the Nadeau family. Knowing that Komet will be in the hands of a visionary leader and manager of Francois Nadeau's calibre, certainly made my decision easier," added Mr. Leblanc.
Mr. Francois Nadeau, the Company's Chairman of the Board of Directors and President and Chief Executive Officer of the Aquadis Group, will take on the interim position of President and Chief Executive Officer of Komet. "On behalf of the Komet board members, I would like to express our deepest gratitude toward Mr. Leblanc. Both shareholders and the Company's staff have benefited from his expertise, pragmatism and business sense. With regret, we accept his decision to leave for new challenges and we wish him the greatest success," added Mr. Nadeau.
The leadership change, effective May 30, will allow for the continuity and smoothness of Komet's operations. "The Board of Directors appointed me to ensure the Company's leadership and I am honoured. In addition to optimizing its current operations, Komet will continue its development and solidify its existing business relationships, while targeting new markets," concluded Mr. Nadeau.
Forward looking statements
This document may contain certain forward-looking statements that reflect the current expectations of management regarding future events. These forward-looking statements depend on a certain number of factors involving risks and uncertainties. The actual results could differ from those anticipated. Management disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information or future events.
About Komet
Komet, a Quebec corporation headquartered in Blainville, has been listed on the TSX Venture Exchange since 2007. The Company specializes in designing and manufacturing bathroom furniture products, which are marketed under the Aquadis brand name. Since the Company's launch, Komet has rapidly enjoyed success in the home improvement market due to the quality, affordability and ease-of-assembly of its wide range of bathroom furniture products. In Canada, Komet's market presence is assured by the distribution of its products in multiple superstore outlets across the country, notably Rona, Reno-Depot, Canadian Tire and Home Depot. Komet's furniture selection includes vanities, medicine cabinets, linen cabinets and mirrors. These are all available in several colours and models to which porcelain sinks and taps can be added to provide a complete kit. Thanks to its preferred access to numerous Asian suppliers, the Company is able to offer its complete product line at competitive pricing.
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adequacy or accuracy of this release.
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