Gross profits climbed to CAD102,497 compared to CAD47,568, a 147% gross profit improvement. As revenues soared and costs remained in check, gross profit margins rose to 25% in the first three months of fiscal 2009 compared to 17% a year ago. Quarter over Quarter EBITDA profits and margins remained enviable. EBITDA profits were CAD57,383 versus a loss of CAD2,130 over the same period last year. Cost control efforts enabled the company to surpass its annual fiscal 2008 net profit margin of 10% and attain an unprecedented 11.8% in its first quarter of the year.
Traditionally the first three months of the fiscal year have been challenging for GIE as sales lag and fix costs generate losses. That said, this quarter was a turning point for GIE as the company’s slowest quarter has yielded unprecedented revenues and profits. GIE has, for the first time in over eight quarters, surpassed the CAD400,000 mark in quarterly sales. In addition, GIE’s cost containment efforts have resulted in a 25% gross profit margin and a net profit margin of close to 12%. In an economy filled with challenges GIE has been able to muster opportunities that are yielding impressive results quarter over quarter, said GIE Environment president and chief executive officer, Charles Abikhzer.
Quarterly Highlights
Gross profits margins soared by 147% to CAD102,497 as a result of higher sales volumes.
Net margins improved to 11.8%.
First quarter results set the tone for another blockbuster year.
Outlook
Top and bottom line organic growth will remain the main objective for fiscal 2009. GIE enters Fiscal 2009 on an ideal footing as sales and net profits set the stage for another record performance. These latest results continue to reiterate GIE’s belief that its revenue outlook remains positive even in the current economic context, as the company continues to enjoy contract wins, concluded Abikhzer.
