We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Entrec Corporation | TSXV:ENT | TSX Venture | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 0 | - |
Entrec Transportation Services Ltd. ("ENTREC" or the "Company") (TSX VENTURE:ENT) is pleased to announce its financial results for the transitional year ended December 31, 2011. ENTREC achieved revenue of $32.4 million during the 14 month period ended December 31, 2011. This amount reflects revenue generated from each of its business acquisitions from their respective dates of acquisition, beginning with the completion of the Company's Qualifying Transaction in May 2011. ENTREC recently changed its fiscal year-end from October 31 to December 31 to better align its financial reporting with the calendar year and seasonality of its business. As a result, the Company has reported a 14 month transitional year ending December 31, 2011. ENTREC's revenue of $32.4 million reflects a 52% increase from the combined pro forma revenue of $21.3 million generated from each of ENTREC's business acquisitions, on a combined basis, in the comparative period ended December 31, 2010 (the comparative figures reflecting revenue generated from each business acquisition commencing one year prior to their respective date of acquisition). During the two month period ended December 31, 2011, ENTREC also achieved revenue of $12.7 million, representing a 59% increase from the combined pro forma revenue of $8.0 million generated from each of the Company's business acquisitions, on a combined basis, in the corresponding two month period ended December 31, 2010. This significant revenue improvement was driven by increasing customer demand for ENTREC's services and improved utilization of equipment. In addition, higher service capabilities provided from recent business acquisitions and the cross-utilization of equipment among branches allowed the Company to support this increased revenue volume. Revenue during the 14 month period ended December 31, 2011 resulted in Adjusted EBITDA of $4.9 million (see "Non-GAAP Financial Measures") and net earnings of $0.8 million or $0.04 per share. In the two month period ended December 31, 2011, the Company generated Adjusted EBITDA of $2.1 million (see "Non-GAAP Financial Measures") and net earnings of $0.6 million or $0.02 per share. Positive Outlook for 2012 "Capital spending on projects within the Alberta oil sands region and across western Canada has grown significantly commencing in the second half of 2011 resulting in increased demand for heavy haul transportation services," comments Rod Marlin, ENTREC's Chairman and CEO. "Since May 12, 2011, we have received requests for sales quotes on customer projects in excess of $200 million. Several of these quotes have converted to committed customer projects for completion in 2012 and 2013. In addition, we expect to be awarded additional contracts related to these quotes in the upcoming months." Increased Revenue Guidance for Fiscal 2012 Based on current expectations for future business activity and assuming no further business acquisitions are completed, ENTREC currently estimates revenue for the year ending December 31, 2012 will be between $70 million and $75 million. This represents an increase from ENTREC's previous revenue guidance of between $65 million and $70 million. Once completed, ENTREC also estimates that its acquisitions of Singer Specialized Ltd. and the Mains Group of Companies could initially contribute an additional $45 million of revenue to operations on an annual basis. Further increases in ENTREC's revenue guidance for 2012 may be possible should fundamentals within the heavy haul transportation industry continue to improve. ENTREC will also continue to aggressively pursue its growth strategies in 2012. Future business acquisitions completed in fiscal 2012 will further increase its revenue estimates. Approved $22.3 million 2012 Capital Expenditure Program ENTREC has approved a total 2012 capital expenditure program of $22.3 million. This program consists of $3.1 million in maintenance capital expenditures and $19.2 million in growth capital expenditures to significantly expand its truck and trailer fleet. Growth capital expenditures in fiscal 2012 will consist of several prime mover power units and other tractors, picker trucks, and a wide range of conventional heavy haul trailers. The Company will also be taking possession of 48 lines of Goldhofer hydraulic platform trailers, which were first ordered in the fall of 2011. A complete set of ENTREC's most recent financial statements and Management's Discussion and Analysis will be filed on SEDAR (www.sedar.com) and posted on the Company's website (www.entrec.com). About ENTREC ENTREC specializes in the transportation and rigging of overweight and oversized cargo for the oil and gas, construction, petrochemical, mining and power generation industries. The common shares of ENTREC trade on the TSX Venture Exchange under the trading symbol "ENT". Non-GAAP Financial Measures Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and stock-based compensation. In addition to net earnings, Adjusted EBITDA is a useful measure as it provides an indication of the financial results generated by ENTREC's principal business activities prior to consideration of how these activities are financed or how the results are taxed in various jurisdictions and before certain non-cash expenses such as amortization and stock-based compensation. Please see ENTREC's Management Discussion & Analysis for the 14 months ended December 31, 2011 for a reconciliation of Adjusted EBITDA to net earnings, the most directly comparable financial measure calculated and presented in accordance with GAAP. Forward-looking Statements This press release contains forward-looking statements which reflect ENTREC's current beliefs and are based on information currently available to ENTREC. These statements require ENTREC to make assumptions it believes are reasonable and are subject to inherent risks and uncertainties. Actual results and developments may differ materially from the results and developments discussed in the forward-looking statements as certain of these risks and uncertainties are beyond ENTREC's control. Examples of such forward-looking statements in this press release relate to, but are not limited to: ENTREC's projection that revenue for the year ending December 31, 2012 will be between $70 million and $75 million before considering the impact of future business acquisitions; that the acquisitions of Singer Specialized Ltd. and the Mains Group of Companies could contribute initially an additional $45 million of revenue to operations on an annual basis; that further increases in the Company's revenue guidance may be possible should fundamentals within the heavy haul transportation industry continue to improve; expectation ENTREC will be awarded additional contracts related to the $200 million in sales quotes requested from customers since May 12, 2011 in the upcoming months; and expectation the Company will execute its 2012 capital expenditure program of $22.3 million. These forward-looking statements involve a number of significant assumptions. Key assumptions utilized in developing forward-looking statements related to ENTREC's future growth expectations include achieving its internal revenue, net earnings and cash flow forecasts for 2012 and 2013. Achieving these forecasts is largely dependent on a number of factors beyond ENTREC's control including all of the risks discussed further under the "Business Risks" section in ENTREC's Management Discussion and Analysis for the 14 months ended December 31, 2011. These risk factors are interdependent and the impact of any one risk or uncertainty on a particular forward-looking statement is not determinable. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, Entrec. These forward-looking statements are made as of the date of this press release. Except as required by applicable securities legislation, ENTREC assumes no obligation to update publicly or revise any forward-looking statements to reflect subsequent information, events, or circumstances.
1 Year Entrec Corporation Chart |
1 Month Entrec Corporation Chart |
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions