MONTREAL, Nov. 16 /CNW Telbec/ - Mindready Solutions Inc. (TSX: MNY)
("Mindready"), a leading supplier of innovative solutions for test and
embedded systems, today reported its financial results for the third quarter
and nine months ended September 30, 2005.
Sales for the third quarter of 2005 declined to $3.2 million compared to
$5.8 million for the same period in 2004. This decline results from several
factors including the closing of our Raleigh operations in the second quarter,
lower business from Nortel and Flextronics, and an unfavourable exchange rate
impact on the conversion of U.S. and U.K. sales into Canadian dollars.
Operating loss before certain items was $561,000 compared to $9,000 for the
third quarter of 2004.
"We expect a strong rebound in fourth quarter 2005 sales to approximately
$5.0 million, reflecting the acquisition of Radical Systems closed on
October 11, 2005, early revenues from the Austin office opened in July 2005,
and increased sales efforts," said Claude Delage, President & CEO of
Mindready. "Additional sales may also be recorded depending on the completion
of the acquisition of UTTC United Tri-Tech Corporation ("UTTC") announced
today."
Details of the UTTC acquisition are contained in a press release issued
today by Mindready.
Financial position
As of September 30, 2005, Mindready held cash and cash equivalents of
$1.8 million. These resources are in addition to a US$4.0 million credit
facility, of which US$1.75 remained undrawn and available.
"We continue to control costs as we reposition the business into high-
growth areas through restructuring of internal resources and accretive
acquisitions," said Marc Lamy, Chief Financial Officer.
Management Discussion and Analysis
The MD&A for the third quarter and nine months ended September 30, 2005,
as well as the unaudited consolidated financial statements for these periods
are available at sedar.com.
About Mindready
Mindready Solutions Inc. (TSX: MNY) is a leading supplier of innovative
solutions for test and embedded systems serving the aerospace & defense,
automotive & transportation and telecommunications markets from design to
manufacturing. Mindready clients include companies such as Lockheed Martin,
Raytheon, Northrop Grumman, Boeing, Visteon, NASA, Ford, Nissan, Motorola,
Panasonic, Rockwell Collins, Renault, Harris, Flextronics, Nortel and Alcatel.
More information about Mindready and its products, systems and
engineering services can be found at www.mindready.com.
(x) Forward-looking statements contained in this press release involve
known and unknown risks, uncertainties or other factors that may cause actual
results, performance or achievements of the company to be materially different
from any future results, performance or achievements expressed or implied by
such forward-looking statements.
