Clearford Announces Sharply Higher Revenues for Third Quarter
OTTAWA, Nov. 26, 2012 /CNW/ –Clearford Industries Inc. (“Clearford” or the “Company”), (TSXV:CLI) today announced financial results for quarter ending September 30, 2012 (all figures in Canadian dollars unless otherwise noted).
For the quarter ended September 30, 2012 the Company recorded revenues of $671,019 compared with $7,107 in the same period last year. Net loss for the period was reduced by 47% to $484,561 or $0.01 per share as compared to $926,281 or $0.01 per share for the same period of the prior year. The improved results reflect both revenue generating contracts and savings from cost containment measures undertaken by the Company at the end of the previous fiscal year. The savings were partially offset by interest expense and debt issue costs relating to the long-term loan the company entered into in March 2012.
For the quarter ended September 30, 2012, cash generated in continuing operations was $44,752 compared to cash used in continuing operations of $558,539 for the same period in the prior year. For the nine months ended September 30, 2012, cash used in operations was $2,105,891 compared to cash used in operations of $1,927,789 in the same period in the prior year.
As previously announced, during the September 30th quarter end the Company completed a license and financing agreement for the use of its Small Bore Sewer ™ (SBS™) with Lakepoint Village, a Customer in Ontario. It also signed its first contract in India to implement its SBS™ with a subsidiary company of the Hiranandani Group. The contract in Positano, Peru, which the Company announced in March 2012, began delivery and generated revenues during the quarter.
“Signing our first contract in India and signing a Canadian licensing deal, combined with the continued progress on construction of our Peru installation, has made for a very active quarter at Clearford. We are very pleased at the prospect of having reference sites on three continents in the near future and expect this to result in increased interest in the Clearford SBSTM solution” said President Kevin Loiselle.
About Clearford Industries Inc.
Clearford Industries Inc. (TSX-V: CLI) is the developer of the patented Small Bore Sewer ™ (SBS™) based solution, which enables the efficient collection and treatment of sewage. Its superior operational and environmental performance is achieved at a significantly lower operational cost when compared to historic gravity sewers. Clearford’s SBS™ technology and industry expertise provide the enabling platform to deliver on a global basis, a turnkey, wastewater collection and treatment solution that is ideally suited for; water-scarce regions, communities with unreliable water distribution networks, and new developments seeking a greener approach to full water and wastewater management. For more information on Clearford, please visit www.clearford.com.
Forward Looking Statements
This news release contains certain statements that constitute forward-looking statements as they relate to the Company and its management. Forward-looking statements are not historical facts but represent managements current expectation of future events, and can be identified by words such as “believe”, “expects”, “will”, “intends”, “plans”, “projects”, “anticipates”, “estimates”, “continues” and similar expressions. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that they will prove to be correct.
By their nature, forward-looking statements include assumptions and are subject to inherent risks and uncertainties that could cause actual future results, conditions, actions or events to differ materially from those in the forward-looking statements. If and when forward-looking statements are set out in this news release, Clearford will also set out the material risk factors or assumptions used to develop the forward-looking statements. Except as expressly required by applicable securities law, the Company assumes no obligation to update or revise any forward looking statements. The future outcomes that relate to forward-looking statements may be influenced by many factors, including, but not limited to: industry cyclicality; the ability to secure third party agreements; successful integration of Clearford’s system with third party technology; competition; reduction in demand for products; collection from customers; relationships with suppliers; product liability; intellectual property; reliance on key personnel; environmental; interest rates; uninsured and underinsured losses; operating hazards; risks of future legal proceedings; income tax matters; credit facilities; availability and terms of financing; distribution of securities; restrictions on potential growth; effect of market interest rates on price of securities; and potential dilution.
SOURCE: Clearford Industries Inc.
For further information:
Clearford Industries Inc.
Phone: (613) 762-8402