EDMONTON, Aug. 13 /CNW/ - PowerComm Inc. (PCG:TSX) ("PowerComm" or the
"Corporation") today released its financial results for the first quarter of
fiscal year 2010. The Corporation reported Net Profit after taxes of $13,000
as compared to a loss of $609,000 in the same period in the previous year.
EBITDA increased to $606,000 from a negative $167,000 in the comparable period
in the previous fiscal year.
Revenue increased to $16,000,000 as compared to $15,473,000 for first
quarter in Fiscal 2009, but showed a marked increase from $13,592,000 for the
previous quarter.
The Corporation's Backlog increased by almost $5,000,000 to $13,113,000
and overall margins increased 2% to 27% in the quarter.
"The Corporation showed positive results last quarter", said Wayne
Rutherford, PowerComm's President and CEO. "We are seeing the results of our
cost reduction measures that we have implemented since December of last year,"
he continued. "We are beginning to experience an increase in business
activity, evidenced by the number of requests for pricing," he concluded.
Due Diligence continues with respect to the potential acquisition of the
Corporation's assets as referenced in the Corporation's Press Release dated
June 23, 2009. Having regard to the potential transaction, the Corporation
will be holding its Annual General Meeting on December 15, 2009.
PowerComm remains in compliance with its banking arrangement pursuant to
which the bank has agreed to forbear from demanding or taking any action to
collect its loan.
Reader Advisory
The news release contains certain forward-looking statements, including
management's assessment of future plans and operations and capital
expenditures and the timing thereof, that involve substantial known and
unknown risks and uncertainties, certain of which are beyond PowerComm's
control. Such risks and uncertainties include, without limitation, risks
associated with the Corporation's ability to market successfully to current
and new customers; supply and demand for PowerComm's services and products and
industry activity levels; capital expenditure programs; projections of
commodity prices and costs; the Corporation's ability to obtain material and
equipment from suppliers; operating risk liability; expansion of services and
products by internal growth or acquisition; the Corporation's ability to
obtain additional financing on satisfactory terms; the impact of general
economic and industry conditions; changes in laws and regulations (including
the adoption of new environmental laws and regulations) and changes in how
they are interpreted and enforced; competitive conditions; the lack of
availability of qualified personnel or management; fluctuations in foreign
exchange or interest rates, stock market volatility; and obtaining required
approvals of regulatory authorities. PowerComm's actual results, performance
or achievements could differ materially from those expressed in, or implied
by, these forward-looking statements and, accordingly, no assurances can be
given that any of the events anticipated by the forward-looking statements
will transpire or occur, or if any of them do so, what benefits, including the
amount of proceeds, that PowerComm will derive therefrom. Readers are
cautioned that the foregoing list of factors is not exhaustive. All subsequent
forward-looking statements, whether written or oral, attributable to PowerComm
or persons acting on its behalf are expressly qualified in their entirety by
these cautionary statements. Furthermore, the forward-looking statements
contained in this news release are made as of the date of this news release
and PowerComm does not undertake any obligation to update publicly or to
revise any of the included forward-looking statements, whether as a result of
new information, future events or otherwise, except as may be required by
applicable securities laws.
