Firan Technology Group Corporation Announces Third Quarter Results
Firan Technology Group Corporation (“Company”) announced today the third quarter results for the period ended August 27, 2004.
Third Quarter Results (three months ended August 27, 2004,
compared with three months ended August 29, 2003)
Net Income/(Loss): $758,000
EPS - basic: $0.05
EPS -diluted: $0.04
Net Income/(Loss): ($2,364,000)
EPS - basic: ($0.22)
EPS - diluted: ($0.22)
Year to Date Results (nine months ended August 27, 2004,
compared with nine months ended August 29, 2003)
Net Income/(Loss): ($164,000)
EPS - basic and diluted: ($0.01)
Net Income/(Loss): ($1,902,000)
EPS - basic and diluted: ($0.20)
*EBITDA – Earnings before interest, tax, depreciation and amortization
Revenue for the third quarter increased $5,327,000 or 60% over the same period in 2003. The increase is primarily attributable to the merger between Circuit World Corporation and Firan Technology Group Inc. in July of 2003.
Sales for the current quarter were the highest since the merger. As compared to the second quarter of 2004, sales increased $23,000. While the increase is nominal, it came during what is traditionally a slow quarter for the Company. The slowdown was experienced in the Circuits division, where revenues fell $405,000 or 3% from the last quarter.
The Aerospace division posted its best quarter ever. Sales in the third quarter increased $428,000 or by 20% over the previous quarter. The primary reason for the increase was strong customer demand and the division’s ability to increase capacity during the period. The increase in capacity was achieved by increasing the division’s second shift and an overall improvement in manufacturing efficiencies.
“I am pleased with our overall performance and particularly the results from our Aerospace division. The Aerospace division experienced strong demand in virtually all of its target markets. Improved performance in our engineering and manufacturing operations were the main contributors to the strong quarterly results,” stated Mr. Bourne, President and CEO of FTG.
“Looking forward to the fourth quarter, backlog remains strong at the Aerospace division”, added Mr. Bourne. “We have experienced a slowdown in order activity at the Circuits division. It is our belief is that this situation is temporary as we continue to build new prototypes and position ourselves on key customer programs. FTG has built a strong foundation for future growth and will continue to focus on new opportunities in the aerospace/military markets as well as the high technology/ high reliability commercial markets.”
In addition to the strong operating results, the Company strengthened its financial position during the quarter by entering into a new banking arrangement with the Royal Bank of Canada. The $11,250,000 credit facility enables the Company to advance both its internal and external growth objectives. The company had $2,790,000 of cash on hand at the end of the quarter.
The Company will host a live conference call on Monday, September 27, 2004 at 9:00am (ET) to discuss the results of the third quarter.
Anyone wishing to participate in the call should dial 416-695-9709 or 888-334-9269 and identify that you are calling into the FTG conference call. The Chairperson is Bradley Bourne. A replay of the call will be available until Monday, October 4, 2004. The number to call for the rebroadcast is 416-695-5275 or 888-509-0081.
ABOUT FIRAN TECHNOLOGY GROUP CORPORATION
Firan Technology Group Corporation has two operating divisions. FTG Circuits is a leading supplier of high reliability, high technology printed circuit boards. FTG Aerospace manufactures illuminated panels and keyboards for the civil and military aviation industries. All manufacturing operations are located in Scarborough, Ontario.
The Company's shares are traded on the Toronto Stock Exchange under the symbol FTG.
This news release contains certain forward-looking statements that reflect the current views and/or expectations of FTG with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Actual results and events may vary significantly.
For further information please contact:
Bradley C. Bourne, President and CEO Tel: (416) 299-4000 x314
Firan Technology Group Corporation firstname.lastname@example.org
John Bartkiw, CFO Tel: (416) 299-4000 x390
Firan Technology Group Corporation email@example.com