SYLVAN LAKE, AB, Nov. 29, 2012 /CNW/ - Lonestar West Inc. (TSXV: LSI)
today announced its business performance for the first quarter of
fiscal 2013. Lonestar experienced another great quarter which included
record gross revenues, growth in fleet size and improved utilization
rates.
Highlights for the first quarter of fiscal year 2013 include:
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Revenues increased 61.5% to $6,156,643 from $3,812,418 in the previous
year equivalent quarter.
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EBITDAC increased 120.4% to $1,267,231 compared to $574,893 in the
previous year equivalent quarter.
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EBITDAC per share rose 100.0% to $0.08 from $0.04 in the previous year
equivalent quarter.
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Net income of $664,585 in comparison to the $318,027 net income in the
previous year equivalent quarter.
The fleet expansion program resulted in a 44.0% increase in fleet size
as the Company went from 25 units available for work at the end of the
first quarter of fiscal 2011 to 36 units available for work at the end
of the first quarter of fiscal 2013.
On November 2, 2012, the Company issued 2,172,928 common shares at $1.40
per share for proceeds of $3,042,100. The funds raised were utilized
for working capital and fleet acquisition. Management estimates that
approximately four HVACs will be added in the second quarter and
approximately seven will be added in the third quarter, thereby
resulting in approximately 47 units in the fleet by the end of the
third quarter.
President and CEO James Horvath commented, "We have had another
profitable quarter for the first three months of fiscal 2013. The
utilization rates for our fleet have all increased in relation to the
prior year quarter which had a direct impact on our profits. Our
current strategy of growing our fleet has resulted in a strong quarter
with expectations for additional growth for Lonestar in the future."
As always, Lonestar is committed to customer service, safety and our
employees which enable us to continue to grow into a major
multi-national HVAC competitor. For complete details on the September
30, 2012 interim and June 30, 2012 year end audited financial
statements, as well as the related MD&A's, please refer to SEDAR at www.sedar.com.
Business Description
Lonestar West Inc. (www.lonestarwest.com) operates a fleet of 36 HVAC and vacuum trucks throughout Western
Canada from its base in Sylvan Lake, Alberta. It is focused on
profitably growing its HVAC services to become a major competitor in
the multi-national market.
Lonestar's shares trade on the TSX Venture Exchange under the symbol
LSI.
Certain information and statements contained herein constitute
forward-looking information, including the anticipated costs associated
with the purchase of capital equipment, expectations concerning the
nature and timing of growth within the business operated by Lonestar,
expectations respecting the competitive position of such business,
expectations concerning the financing of future business activities and
statements as to future economic and operating conditions. Readers
should review the cautionary statement respecting forward-looking
information that appears in Lonestar's complete MD&A.
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SOURCE: Lonestar West Inc.
Investor Relations, The Howard Group Inc.
Jeff Walker (888) 221-0915
jeff@howardgroupinc.com (403) 221-0915