TEST - Kara 11 - Dectron Announces Fiscal 2008 Year-End Results
May 28 2008 - 3:25PM
PR Newswire (US)
TSX: DTL MONTREAL, May 28 /PRNewswire-FirstCall/ -- Dectron
Internationale, Inc. (TSX: DTL), a leader in the heating,
ventilation and air conditioning, indoor air security and water
generation markets, is pleased to announce its financial results
for the fiscal year ended January 31, 2008 (in thousands of
Canadian dollars). Total sales decreased slightly by 0.4% to
$64,746 during the fiscal year ended January 31, 2007 from $65,006
in 2006. The Company experienced sales growth in the US of $4.8
million which was offset by declines in Canada and internationally.
Geographically sales outside Canada accounted for 52.4% of total
sales in 2007, compared with 51.2% the previous year. Gross profit
decreased $110 (0.4%) to $16,330 in 2008 from $16,440 in 2007,
gross profit margin decreased marginally to 25.2% from 25.3%.
Notwithstanding the relative stability of gross profit annually,
weaker results in the fourth quarter offset improved results
earlier in the year. The fourth quarter sales and profitability
were adversely affected by economic conditions in the US market
which saw some building projects postponed due to difficulties in
obtaining financing as well as increased price competition brought
on by this market. Selling expenses decreased by 5.3%, to $6,748 in
2008 from $7,127 in 2007. This reduction is primarily due to lower
promotion and travel expenditures. General and administrative
expenses decreased slightly by 3.3% to $4,747 in 2008 from $4,910
in 2007. As a percent of sales, selling, general and administrative
expenses dropped to 17.7% from 18.6%. Amortization decreased to
$1,288 versus $1,518 in 2007. Financial expenses decreased 31.9%
versus the prior year at $1,215 from $1,785 in 2007 due to lower
levels of debt. In relation to sales, operating expenses totaled
21.6%, lower than 23.6% recorded last year. Overall, operating
income more than doubled to $2,332 to 3.6% of sales from $1,100 in
2007. In fiscal year 2008 the Corporation, based on a review of its
operations recorded a charge for goodwill impairment of $1,499.
Income taxes of $1,066 were recorded in 2008 versus $192 accounted
for fiscal 2007. In 2007 the provision reflected the realization
and utilization of tax losses from prior years. As a result of the
write-off of goodwill and the provision for income taxes in 2008
the Corporation recorded a net loss of $233 ($0.07 per share) in
comparison to net earnings of $908 or $0.29 per share in fiscal
2007, The weighted average number of common shares outstanding
stood at 3,155,000 same as fiscal 2007. More detailed information
on the Company and its results are available with the TSX
(http://www.sedar.com/). Dectron Internationale, Inc. is a global
provider of custom and semi-custom IAQ (indoor air quality) and
HVAC (heating, ventilation and air conditioning) products and
services to the building systems, food processing, medical,
petrochemical, and various industrial and commercial markets.
Established in Montreal, the Company has 400 employees in its
manufacturing facilities. Its shares are listed on the TSX (DTL).
DATASOURCE: Dectron Internationale Inc. CONTACT: Dectron
Internationale, Inc.: Glenn La Rusic, (514) 334-9609,
http://www.dectron.com/; Renmark Financial Communications Inc.: Dan
Symons, ; Henri Perron, , (514) 939-3989, Fax: (514) 939-3717,
http://www.renmarkfinancial.com/
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