OTTAWA,
June 22, 2012 /CNW/ -
Seprotech Systems Incorporated (TSXV: SET) ("Seprotech" or the
"Company") announces the following unaudited results for the three
and nine months ended May 31, 2012
with comparative unaudited results for the equivalent periods in
fiscal 2011.
|
Three Months Ended
May 31 |
|
Nine Months Ended
May 31 |
|
2012 |
2011 |
|
2012 |
2011 |
|
$000 |
$000 |
|
$000 |
$000 |
Revenue |
2,746 |
678 |
|
5,347 |
2,197 |
Gross Margin |
669 |
159 |
|
1,323 |
583 |
Net Loss |
(76) |
(505) |
|
(569) |
(1,088) |
Loss per share |
(0.00) |
(0.01) |
|
(0.01) |
(0.01) |
Third quarter 2012 revenues continued to grow as compared with
both the preceding quarter and the same quarter in 2011.
Margins are beginning to recover, and with the exception of margins
on water and wastewater systems, are returning to historical levels
or better. There was strong revenue growth from each sector of
operations.
Operating costs were significantly higher than
for both the prior quarter and the equivalent period in 2011, which
largely reflected incremental hiring costs as required to execute
new business, as well as travel costs arising from business
development activities.
The net loss of $76,332 in the quarter and a net loss of
$569,296 in the nine months is a
significant improvement over the comparable periods in 2011, with
the Company now operating at close to break-even.
"These numbers reflect continued improvement in both our sales
efforts and getting our product out the door," said Harry Marshall, President and CEO. "We see this
trend continuing as we execute on our plan -- fulfilling current
orders and building future sales opportunities. Our new team is
focused on this growth strategy to regain profitability."
The Company also announced during the quarter
that it had entered into a non-binding letter of intent to acquire
100% of privately held WESA in a reverse takeover (the
"Transaction"). Upon completion of the Transaction, the combined
entity (the "Resulting Issuer") is expected to be a leading
provider of earth sciences expertise, water resources and
environmental engineering services, and wastewater/water treatment
systems. The intent is to build an integrated product and service
organization that provides intelligent solutions to complex
environmental problems both in Canada and abroad. The merger is subject to
shareholder and regulatory approvals, including the approval of the
TSX Venture Exchange, and is targeted to close by the end of
August, 2012.
About Seprotech:
Seprotech is a provider of pre-engineered water
and wastewater treatment solutions to the municipal/land
development, resource sector, and military market place.
Products include Reverse Osmosis water purification systems,
ROTORDISK® biological sewage treatment package plants and
CrystalBlue™ membrane-based water recycling systems.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. The TSX Venture Exchange has neither
approved nor disapproved of the information contained herein. Some
of the statements in this press release, including those relating
to the Company's strategies and other statements that are
predictive in nature, that depend upon or refer to future events or
conditions, or that include words such as "expects", "anticipates",
"intends", "plans", "believes", "estimates" or similar expressions,
are forward-looking statements within the meaning of securities
laws. Forward-looking statements include, without limitation, the
information concerning possible or assumed future results of
operations of the Company. These statements are not historical
facts but instead represent only the Company's expectations,
estimates and projections regarding future events. The Company does
not undertake any obligation to update or release any revisions to
these forward-looking statements to reflect events or circumstances
after the date of this presentation or to reflect the occurrence of
unanticipated events, except as required by law.
SOURCE Seprotech Systems Incorporated