Dectron Announces First Quarter Results for Fiscal 2006
15 Juin 2005 - 4:44PM
PR Newswire (US)
Dectron Announces First Quarter Results for Fiscal 2006 NASDAQ:
DECT TSX: DTL MONTREAL, June 15 /PRNewswire-FirstCall/ -- Dectron
Internationale, Inc., a leading supplier in the heating,
ventilation and air conditioning, indoor air security and water
generation markets, is pleased to announce its financial results
for the first quarter of operations. Revenues for the three months
period ended April 30, 2005 were $10,910,643, a 6.66% increase over
prior year revenues of $10,229,096. Dectron's sales growth reflects
revenues arising primarily from its stronger presence in the
Canadian market for commercial HVAC products and related services.
Gross profit decreased by $274,626 to $2,995,813 over the same
period. As a percentage of revenues, gross profit decreased from
31.97% to 27.46%. Despite certain productivity gains, the gross
profit margin was adversely affected by higher raw material costs
and aggressive pricing strategies in certain HVAC markets. Selling
expenses increased by $108,091 in the three months period ended
April 30, 2005 compared to $1,216,521 for the period ended April
30, 2004. As a percentage of revenues, selling and marketing
expenses increased from 11.89 to 12.14%. General and administrative
expenses increased by $ 149,554 to $1,004,576 compared to $854,962
for the period ended April 30, 2004. As a percentage of revenues,
general and administrative increased from 8.36% to 9.21%.
Amortization expenses increased to $323,362 in the three months
period ending April 30, 2005 compared to $314,578 in 2004 following
the acquisition of new machinery and equipment during the last
fiscal year. As a percentage of revenues, amortization expenses
decreased from 3.08% to 2.96%. Financing expenses decreased from
$383,476 to $233,650, a decrease of $149,826. As a percentage of
revenues, financing expenses decreased from 3.75% to 2.14%. The
lower interest expense is due primarily to repayments of short-
term debt and long-term debt during the last fiscal year.
Provisions for Income tax as a percentage of taxable income
decreased from 35.80% for the three months ended April 30, 2004 to
31.02% for 2004. Tax expenses have decreased by $145,298 due to a
decrease in taxable revenue. Mostly as a result of a lower margin
and higher selling and administration expenses, net earnings before
discontinued operation was $75,653 compared to $321,584 for the
three months period ending April 30, 2004. As a percentage of
sales, net earnings before discontinued operations decrease from
3.14% to 0.69%. Losses from discontinued operations net of taxes
for the three months period ending April 30, 2005 was $98,327
compared to $270,577 in the corresponding period in 2004, both
resulting from the discontinued operations of Liberty Drive
Property, Inc. Gain on disposal of discontinued operations was
$63,576 for the three months period ending April 30, 2005 compared
to $71,646 for the comparative period in 2004. As a result of the
above factors, net earnings in the three months period ending April
30, 2005 was $40,902 compared to earnings of $112,653 in the
corresponding period in 2004. Dectron Internationale, Inc. is a
global provider of custom and semi- custom IAQ (indoor air quality)
and HVAC (heating, ventilation and air conditioning) products and
services to the building systems, food processing, medical,
petrochemical, and various industrial and commercial markets.
Dectron Internationale's core businesses are conducted by its five
principal subsidiaries: Dectron Inc., RefPlus Inc., Circul-Aire
Inc., Thermoplus Air Inc. and International Water Makers Inc.
Dectron, Circul-Aire and Thermoplus Air serve customers in
commercial and residential buildings, through a network of
manufacturers' representatives and dealers. Industrial facilities
and OEM clients also form the customer base of these business
units. RefPlus manufactures and supplies commercial refrigeration
through a network of wholesalers and dealers in Canada and the
United States. International Water Makers Inc. manufactures
proprietary water-generation-from-air systems for industrial
processes and military and commercial applications. Established in
Montreal, the Company sells about 50% of its products in the United
States and has 400 employees in its manufacturing facilities. Its
shares are listed on the NASDAQ under the ticker symbol DECT.
DATASOURCE: DECTRON INTERNATIONALE INC. CONTACT: Dectron
Internationale, Inc.: Mauro Parissi, Chief Financial Officer;
Aurelio Useche, Vice President; (514) 334-9609, Fax: (514)
334-4820, ; Renmark Financial Communications Inc.: Tina Cameron, ;
Henri Perron, ; Media - Cynthia Lane-Filiatrault, ; (514) 939-3989,
Fax: (514) 939-3717, http://www.renmarkfinancial.com/
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