CanaDream Corporation Reports Third Quarter Earnings to Date of $3.1 Million
March 15 2012 - 11:23AM
Marketwired
CanaDream Corporation (TSX VENTURE:CDN) today announced financial
results for the nine months ending January 31, 2012, as
follows:
Revenues for the nine months ending January 31, 2012 are $22.8
million, 8% higher than the prior period; cash flow from operations
of $10.3 million (52 cents per share) is 15% higher than the prior
period.
The Company encourages interested parties to access CanaDream
Corporation's Management Discussion and Analysis (MD&A) on the
SEDAR website, www.sedar.com, for a more detailed discussion of
these results.
Summarized results for the nine months ended January 31, 2012
are as follows:
Nine months ending January 31,
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2012 2011 Change
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Revenue $ 22,833,000 $ 21,094,000 8%
Operating profit $ 4,899,000 $ 4,724,000 4%
Income before income tax $ 4,165,000 $ 3,586,000 16%
Net and comprehensive
income $ 3,074,000 $ 2,643,000 16%
Cash provided by
operating activity $ 10,348,000 $ 9,033,000 15%
Operating profit per
share 24.8 cents 23.9 cents 4%
Basic earnings per share 15.6 cents 13.4 cents 16%
Fully diluted earnings
per share 15.4 cents 13.2 cents 17%
Weighted average shares
outstanding 19,732,271 19,752,657 0%
Weighted average diluted
shares outstanding 19,976,534 20,063,290 0%
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For the nine months ending January 31, 2012, CanaDream recorded
operating profit of $4.9 million. Net and comprehensive income was
$3.1 million, a $431,000, or 16%, increase from the prior period of
$2.6 million. On a fully diluted basis, earnings per share
increased 2.2 cents, or 17%.
Total revenue increased $1.7 million, or 8%. Fleet sales revenue
increased $1.4 million, or 30%; rental revenue increased $291,000,
or 2%, over the prior period. Operating expenses increased $1.6
million, or 10%. As a result, operating profit of $4.9 million
increased $175,000, or 4%.
At January 31, 2012, investment in rental fleet was $24.8
million, which is inline with the April 30, 2011. The investment in
fleet inventory available for sale was $8.4 million at January 31,
2012, an increase of $3.4 million from April 30, 2011 year-end
levels due to unit sales and a transfer of rental fleet to fleet
inventory available for sale. Fleet and other financing increased
$2.3 million, or 9%, to $26.6 million from April 30, 2011.
The Company's core business, promoting the opportunity to
experience Canada at your own pace through the recreational vehicle
experience, is seasonal in nature with the majority of its revenue
being earned during the May to October period, the first and second
quarters of its fiscal year. The majority of the company's direct
expenses are incurred in that same period. The Company markets for
sale previously guest experienced recreational vehicles and fleet
inventory available for sale on a continuous basis throughout the
year, however sales of such units are generally strongest from
January to early summer. As a result of ongoing interest,
amortization and adjustments and selling, general and
administrative expenses, the last two quarters of the fiscal year
normally produce operating losses. Losses incurred in the last two
quarters may exceed profits earned in the first two quarters of the
fiscal year.
The financial data included in this release has been prepared in
accordance with International Financial Reporting Standard 34
Interim Financial Reporting (IAS 34) and IFRS 1 as issued by the
International Accounting Standards Board (IASB), except for the
term cash flow for operations per share. Cash flow per share is a
measure that provides shareholders and potential investors with
additional information regarding the Company's liquidity and its
ability to generate funds to finance its operations.
CanaDream Corporation promotes Canada and the opportunity to
"experience Canada at your own pace" in recreational vehicles and
sells its guest experienced recreational vehicle fleet on a
wholesale and retail basis. The Company is utilizing its
proprietary business-to-business web-enabled system,
(www.canadasbest.com), and its business-to-consumer on-line
internet reservation system, (www.canadream.com), to operate and
expand its network of RV rental locations in Canada. CanaDream
maintains six Company-operated locations in Calgary, Vancouver,
Whitehorse, Toronto, Montreal, and Halifax. CanaDream now offers a
global RV solution by partnering with Apollo Motorhome Holidays in
Australia, New Zealand and the USA. The Company is also leveraging
its proprietary technology to build a collective membership network
of associate dealers that are fully interconnected to CanaDream's
e-commerce systems. CanaDream currently has one associate dealer
franchisee in Edmonton, Alberta.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as the term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Contacts: CanaDream Corporation Mr. Brian Gronberg President
& CEO Toll Free: 800-461-7368BRIAN@canadream.com