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5N Plus Inc. Reports Second Quarter Results for Fiscal Year 2011

^{Published on 2011-01-11 15:46:05 - Market Wire}
 

 -------------------- (1) EBITDA is a non-GAAP measure and means earnings from continued operations before financing costs, interest income, income taxes, depreciation and amortization and is presented on a consistent basis from period to period. The definition of this non-GAAP measure used by the Company may differ from that used by other companies. (2) Backlog is a non-GAAP measure that represents the expected value of orders we have received but have not yet executed and that are expected to translate into sales within the next 12 months. 5N Plus Inc. Interim Consolidated Statements of Income Three and six-month periods ended November 30 (unaudited) Three months Six months ------------------------------------------------------ (in Canadian dollars, except number of shares) 2010 2009 2010 2009 ------------------------------------------------------------------------- $ $ $ $ Sales 19,667,879 15,753,445 38,438,107 31,806,665 Cost of sales 10,805,652 8,393,988 21,223,612 16,828,854 ------------------------------------------------------------------------- Gross profit 8,862,227 7,359,457 17,214,495 14,977,811 ------------------------------------------------------------------------- Expenses Selling, general and administrative 2,214,510 1,435,349 4,134,406 3,729,219 Research and development 689,997 418,229 1,457,593 794,101 Depreciation of property, plant and equipment 650,115 619,774 1,269,725 1,247,556 Amortization of intangible assets 65,206 25,728 129,800 60,080 Foreign exchange gain (262,622) (28,948) (858,279) (129,874) Financial 84,711 56,677 192,090 96,233 Interest income (227,965) (129,859) (376,882) (269,851) ------------------------------------------------------------------------- 3,213,952 2,396,950 5,948,453 5,527,464 ------------------------------------------------------------------------- Earnings before income taxes from continuing operations 5,648,275 4,962,507 11,266,042 9,450,347 Income taxes 1,629,012 1,558,725 3,213,555 3,031,957 ------------------------------------------------------------------------- Net earnings from continuing operations 4,019,263 3,403,782 8,052,487 6,418,390 Net loss from discontinued operations - (186,034) - (186,034) ------------------------------------------------------------------------- Net earnings 4,019,263 3,217,748 8,052,487 6,232,356 ------------------------------------------------------ ------------------------------------------------------ Earnings per share from continuing operations Basic 0.09 0.07 0.18 0.14 Diluted 0.09 0.07 0.17 0.14 ------------------------------------------------------------------------- Earnings per share Basic 0.09 0.07 0.18 0.14 Diluted 0.09 0.07 0.17 0.14 ------------------------------------------------------------------------- Weighted average number of common shares outstanding Basic 45,744,338 45,554,974 45,715,678 45,537,505 Diluted 46,126,406 45,942,683 46,149,288 45,948,651 ------------------------------------------------------------------------- 5N Plus Inc. Interim Consolidated Balance Sheets As at As at November 30, May 31, 2010 2010 (in Canadian dollars) (unaudited) (audited) ------------------------------------------------------------------------- Assets $ $ Current assets Cash and cash equivalents 54,748,840 65,992,321 Temporary investment 2,000,000 2,000,000 Accounts receivable 6,678,645 4,774,460 Inventories 36,340,934 27,705,149 Prepaid expenses and deposits 2,416,912 1,073,025 Derivative financial instruments 74,394 1,362,804 Income taxes recoverable 669,840 516,602 Future income taxes 292,656 150,598 ------------------------------------------------------------------------- 103,222,221 103,574,959 Property, plant and equipment 34,586,527 26,437,302 Intangible assets 1,669,881 1,770,913 Goodwill 4,454,762 4,381,762 Future income taxes 2,012,920 2,311,191 Convertible debenture 3,175,077 - Other assets 77,670 45,181 ------------------------------------------------------------------------- 149,199,058 138,521,308 --------------------------- --------------------------- Liabilities Current liabilities Accounts payable and accrued liabilities 7,147,581 4,646,220 Current portion of long-term debt 572,820 622,820 Future income taxes 263,531 444,662 Income taxes payable - 43,826 ------------------------------------------------------------------------- 7,983,932 5,757,528 Long-term debt 4,050,725 4,197,803 Deferred revenues 483,473 553,578 Future income taxes 2,305,533 2,333,862 ------------------------------------------------------------------------- 14,823,663 12,842,771 ------------------------------------------------------------------------- Shareholders' Equity Share capital 83,426,845 82,389,870 Contributed surplus 1,414,300 1,372,523 Accumulated other comprehensive income (2,965,875) (2,531,494) Retained earnings 52,500,125 44,447,638 ------------------------------------------------------------------------- 134,375,395 125,678,537 ------------------------------------------------------------------------- 149,199,058 138,521,308 --------------------------- --------------------------- 5N Plus Inc. Reconciliation of EBITDA Three months ended November 30 ---------------------------------------- 2010 2009 Increase ------------------------------------------------------------------------- $ $ Net earnings 4,019,263 3,403,782 24.9% Financial expenses & interest income (143,254) (73,182) 95.8% Depreciation and amortization 715,321 645,502 10.8% Income taxes 1,629,012 1,558,725 4.5% ------------------------------------------------------------------------- EBITDA 6,220,342 5,534,827 13.6% ---------------------------------------- ---------------------------------------- Six months ended November 30 ---------------------------------------- 2010 2009 Increase ------------------------------------------------------------------------- $ $ Net earnings 8,052,487 6,418,390 25.5% Financial expenses & interest income (184,792) (173,618) 6.4% Depreciation and amortization 1,399,525 1,307,636 7.0% Income taxes 3,213,555 3,031,957 6.0% ------------------------------------------------------------------------- EBITDA 12,480,775 10,584,365 17.9% ---------------------------------------- ---------------------------------------- 5N Plus Inc. Cash Flows Three months ended Six months ended November 30 November 30 ------------------------------------------------------ 2010 2009 2010 2009 ------------------------------------------------------------------------- $ $ $ $ Operating activities (1,158,030) 6,557,254 (749,565) 6,218,775 Investing activities (6,015,388) (1,709,671) (11,938,390) (2,902,829) Financing activities 538,926 94,333 1,699,799 1,654,421 Effect of foreign exchange rate changes on cash and cash equivalents and cash designated (616,906) 18,939 (255,325) 51,323 Decrease from discontinued operations - (599,644) - (599,644) ------------------------------------------------------------------------- Net (decrease) increase in cash and cash equivalents (7,251,398) 4,361,211 (11,243,481) 4,422,046 ------------------------------------------------------ ------------------------------------------------------