OML Omni Lite Industries Canada Inc

CERRITOS, CA, July 4, 2011 /CNW/ -- OML-TSX VENTURE CERRITOS, CA, July 4, 2011 /CNW/ - For the period ended March 31, 2011, Omni-Lite Industries Canada Inc. is pleased to announce that revenue was $1,482,314 US. Cash flow was $637,813 US. Net income was $307,899. Earnings per share were $0.03 US per share. "This is a very productive time at Omni-Lite with key brake, battery, and military programs all going ahead simultaneously. These future revenue streams should have a very positive effect on the growth of the Company," stated David F. Grant, CEO.  "As an example, the revenue in the second quarter was $2,131,000 US, a 44% increase from Q1 2011." Highlighting the quarter were the following events: 1) For the first time in the Company's recent history, gross margins were affected by large orders of a product that provides one of the lowest margins in the Company's inventory of products. Sales of these products approached 150 percent of typical first quarter sales and drove the contribution of that division from 11 percent of revenue in 2010 to 22 percent of revenue in 2011. These sales portend a strong year in this division overall. While these sales have continued at record pace in the second quarter of 2011, the Company's financial model indicates that margins should return to historical levels in the near future as the product mix changes in subsequent quarters. 2) The transition to International Financial Reporting Standards (IFRS). While Omni-Lite was not severely affected by this change, the planning and preparation for this event took significant Company resources. In addition, Omni-Lite has had its Q1 balance sheet reviewed to IFRS and as a result does not foresee additional resources devoted to the IFRS transition. Because of the balance sheet audit, Omni-Lite has delayed releasing the first quarter results by approximately 30 days, a delay which was approved by the TSX Venture Exchange to assist all issuers in the transition to IFRS. 3) The earnings per share numbers were affected by the financing completed in February 2011. The weighted average number of shares increased by about 11 percent in Q1 2011 over Q1 2010. 4) The Company's revenue was partially affected by the reduction in orders for one military program pending the replacement product currently in the final approval stage. The Company expects to be in production with the new component in third quarter of 2011. Financial Highlights Revenue: For the period ended March 31, 2011, Omni-Lite reported revenue of $1,482,314 ($1,441,150 CDN), a decrease of 19 percent from the prior period in 2010. The Automotive division represented the largest portion of sales with 27 percent of revenue. Sales in this division were higher by 47 percent when compared to the period ended March 31, 2010.  The Military division contributed 26 percent of revenue, a 65 percent decrease from 2010.  The Aerospace division contributed 24 percent of revenue, an increase of 8 percent from the same period in 2010.  The Sports and Recreation division contributed 22 percent of revenue, a 150 percent increase from 2010.  The Commercial divisions provided 1 percent of the revenue. Sales by division and by geographic location are summarized below: Division/ Sport & Segments Military Aerospace Recreation Automotive Commercial Q1 2011 26% 24% 22% 27% 1% Q1 2010 59% 18% 7% 15% 1% Net Income: Net income was $307,899 ($299,349 CDN) versus $484,087 in 2010, a decrease of 36 percent.  A decrease in military revenue was largely responsible for the reduction in revenue and income in the first quarter of 2011 as compared with 2010. Earnings per share: Basic earnings per share were $0.03 ($0.03 CDN) compared to $0.05 ($0.05 CDN) in 2010 based on the weighted average number of shares outstanding of 11,769,089. The actual number of shares outstanding was 13,419,166.  The weighted average number of shares increased approximately 11 percent over the first quarter of the prior year.  Under the Normal Course Issuer Bid, 34,700 shares were repurchased for cancellation. SUMMARY OF FINANCIAL HIGHLIGHTS (US $) All figures in US dollars unless noted. ____________________________________________________________________ |Basic Weighted Average |For the period|For the period | % | |Shares Issued And | ended | ended |Increase | |Outstanding: 11,769,089 |March 31, 2011|March 31, 2010 |(Decrease)| |__________________________|______________|_______________|__________| |Revenue | $1,482,314 | $1,834,076 | (19%) | |__________________________|______________|_______________|__________| |Cash flow from operations(| | | | |(2)) | 637,813 | 768,309 | (17%) | |__________________________|______________|_______________|__________| |Net Income | 307,899 | 484,087 | (38%) | |__________________________|______________|_______________|__________| |EPS (US) | 0.03 | 0.05 | (44%) | |__________________________|______________|_______________|__________| |EPS (CDN) | 0.03 | 0.05 | (47%) | |__________________________|______________|_______________|__________| (Note: at 3/31/11, $1US = $0.9722 CDN; 3/31/10, $1US = $1.0192 CDN) ((2) ) Cash flow from operations is a non-GAAP term requested by the oil and gas investment community that represents net earnings adjusted for non-cash items including depreciation, depletion and amortization, future income taxes, asset write-downs and gains (losses) on sale of assets, if any. Quarterly Information The following table summarizes the Company's financial performance over the last eight quarters. All figures in US dollars unless noted. ALL FIGURES IN US DOLLARS UNLESS NOTED __________________________________________________________________________________________ | | Mar | Dec | Sep | Jun | Mar | Dec | Sept | Jun | | | 31/2011 | 31/2010 | 30/2010 | 30/2010 | 31/2010 | 31/2009 | 30/2009 | 30/2009 | |__________|_________|_________|_________|_________|_________|_________|_________|_________| |Revenue |1,482,314|1,126,037|1,720,995|2,439,705|1,834,076|1,175,516|1,084,771|1,151,296| |__________|_________|_________|_________|_________|_________|_________|_________|_________| |Cash Flow | | | | | | | | | |from | | | | | | | | | |Operations| | | | | | | | | |((2)) | 637,813 | 523,347 | 881,838 |1,005,306| 768,309 | 429,416 | 314,077 | 395,702 | |__________|_________|_________|_________|_________|_________|_________|_________|_________| |Net Income| 307,899 | 220,290 | 427,806 | 687,889 | 484,087 | 83,011 | 95,078 | 170,322 | |__________|_________|_________|_________|_________|_________|_________|_________|_________| |EPS - | .026 | .017 | .048 | .066 | .045 | .008 | .009 | .016 | |basic (US)| | | | | | | | | |__________|_________|_________|_________|_________|_________|_________|_________|_________| |EPS - | .025 | .017 | .048 | .067 | .045 | .008 | .009 | .016 | |basic | | | | | | | | | |(CDN) | | | | | | | | | |__________|_________|_________|_________|_________|_________|_________|_________|_________| |EPS - | .026 | .016 | .047 | .066 | .045 | .008 | .009 | .016 | |diluted | | | | | | | | | |(US) | | | | | | | | | |__________|_________|_________|_________|_________|_________|_________|_________|_________| |EPS - | .025 | .016 | .047 | .067 | .045 | .008 | .009 | .016 | |diluted | | | | | | | | | |(CDN) | | | | | | | | | |__________|_________|_________|_________|_________|_________|_________|_________|_________| ((2) ) Cash flow from operations is a non-GAAP term requested by the oil and gas investment community that represents net earnings adjusted for non-cash items including depreciation, depletion and amortization, future income taxes, asset write-downs and gains (losses) on sale of assets, if any. For complete results, please visit www.sedar.com or request a copy from the Company. Omni-Lite is a rapidly growing high technology company that develops and manufactures precision components utilized by several Fortune 500 companies including Boeing, Airbus, Alcoa, Ford, Caterpillar, Borg Warner, Chrysler, the U.S. Military, Nike, and adidas. Except for historical information contained herein this document contains forward-looking statements. These statements contain known and unknown risks and uncertainties that may cause the Company's actual results or outcomes to be materially different from those anticipated and discussed herein. THE TSX-VENTURE EXCHANGE NEITHER APPROVES NOR DISAPPROVES OF THE INFORMATION CONTAINED HEREIN.   To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/July2011/04/c3078.html p align="justify" Mr. Tim Wang, CFObr/ Tel. No.  (562) 404-8510 or (800) 577-6664 (Canada and USA)br/ Fax. No. (562) 926-6913, email: a cr="true" href="mailto:info@omni-lite.com"info@omni-lite.com/a /p p align="justify" Website:  a href="http://www.omni-lite.com"www.omni-lite.com/a /p

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