Advantex Announces Improvement in Results for Three and Nine Months Ended March 31, 2012
- Merchant participation which is the driver of revenues for the Company hit a record level of over 1,200 at the end of March 2012. - Revenues. Three and nine months increase of $618,000 and $1,707,000 respectively vs. corresponding previous periods. - Earnings from operations before amortization and interest (EBITDA (i)). Three and nine months increase of $252,000 and $595,000 respectively vs. corresponding previous periods. - Net Profit / (Loss). Three and nine months improves $92,000 and $394,000 respectively vs. corresponding previous periods. - Net Profit for nine months ended March 31, 2012 is at highest level, and is second instance of net profit at nine month stage since March 31, 2002.
(firmenpresse) - TORONTO, ONTARIO -- (Marketwire) -- 05/10/12 -- Advantex Marketing International Inc. ("Advantex" or the "Company") (CNSX: ADX), a leading specialist in merchant funding and loyalty marketing programs, today announced its results for the three and nine months ended March 31, 2012.
"The January to March quarter is normally the low point in Advantex's business cycle and it reflects a slow-down in consumer spending, at merchants participating in the Company's programs, after the October - December high season. The Company has weathered this quarter much better compared with corresponding period previous year," said Kelly Ambrose, Advantex President and Chief Executive Officer.
"Typically from April through December consumer spending progressively increases. Furthermore, during this period merchants explore avenues to improve their business and this is an opportunity for the Company to sell its working capital and / or loyalty marketing programs thereby increasing merchant participation. We are confident in our ability to continue to grow merchant base and ensure growth in future revenues and profitability," said Mr. Ambrose.
(i) EBITDA, and Earnings after cash interest, are non-GAAP financial measures which do not have any standardized meaning prescribed by the issuer's GAAP and are therefore unlikely to be comparable to similar measures presented by other issuers. For the Company, the most directly comparable measure to EBITDA is Earnings from operations before amortization and interest, and in case of Earnings after cash interest is Earnings from operations before amortization and interest less Stated interest expense and is presented to illustrate the Company's assessment of cash generated from its operating activities after reflecting stock based compensation expense but prior to changes in working capital items.
(ii) Some numbers in the presentation under Financial Highlights may not add due to rounding.
The increase in the Company's revenues and profitability is primarily a reflection of increase in the number of merchants participating in its programs.
The higher dollar cash interest cost is mainly a reflection of an increase in the utilization of the line of credit facility (Loan payable on the balance sheet) which the Company utilizes to expand its Advance Purchase Marketing (APM) program business. The APM program is the Company's premier product and source of revenue.
About Advantex Marketing International Inc.
Advantex is a specialist in the marketing services industry. Advantex partners with Canadian Imperial Bank of Commerce (CIBC), and Aeroplan Canada Inc. (Aeroplan). On a combined basis, Advantex has contractual marketing access to more than five million Canadian consumers with above-average personal and household income. The Company's merchant partner base currently consists of over 1,200 merchants operating restaurants, golf courses, independent inns, resorts and selected hotels, spas, retailers of men's and ladies fashion, footwear and accessories, retailers of sporting goods, florists and garden centres, book and newspaper stores, health and beauty centres, and gift stores, many of which are leaders in their respective categories. Advantex is traded on the Canadian National Stock Exchange under the symbol "ADX". For additional information on Advantex, please visit .
Forward-Looking Information
This Press Release contains certain "forward-looking information". All information, other than information comprised of historical fact, that addresses activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitutes forward-looking information. Forward-looking information is typically identified by words such as: anticipate, believe, expect, goal, intend, plan, will, may, should, could and other similar expressions. Such forward-looking information relates to, without limitation, information regarding: the Company's belief that the April through December period provides an opportunity to increase merchant participation; the Company's belief in its ability to continue to grow its merchant base and ensure growth in future revenues and profitability; and other information regarding financial and business prospects and financial outlook is forward-looking information.
Forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company, including certain assumptions and expectations of Management. With respect to the forward-looking information contained in this Press Release, the Company has made assumptions regarding, continued affinity partner participation; continued support from providers of loan payable and non-convertible debentures; the size of the market for its programs and its ability to increase merchant participation; its ability to access future financing to expand its APM program; future business levels and the cost structure required to operate at those levels; and future interest rates.
Forward-looking information is subject to a number of risks, uncertainties and assumptions that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, those listed under "General Risks and Uncertainties" and "Economic Dependence" in the Management's Discussion and Analysis for the three and nine month periods ended March 31, 2012 available on .
All forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.
Commitments (note 13)
Approved by the Board:
Contacts:
Advantex Marketing International Inc.
Mukesh Sabharwal
Vice-President and Chief Financial Officer
905-470-9558 ext. 249
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 10.05.2012 - 20:33 Uhr
Sprache: Deutsch
News-ID 145359
Anzahl Zeichen: 0
contact information:
Town:
TORONTO, ONTARIO
Kategorie:
Advertising, PR and Marketing
Diese Pressemitteilung wurde bisher 269 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Advantex Announces Improvement in Results for Three and Nine Months Ended March 31, 2012"
steht unter der journalistisch-redaktionellen Verantwortung von
Advantex Marketing International Inc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
