WINDSOR, ON, March 11, 2021
/CNW/ - Reko International Group Inc. (TSX-V: REKO) today
announced results for its quarter ended January 31, 2021.
Financial Highlights:
(in 000 's except for per share amounts)
|
Three
Months
|
Six Months
|
(unaudited)
|
(unaudited)
|
Fiscal
|
Fiscal
|
Fiscal
|
Fiscal
|
2021
|
2020
|
2021
|
2020
|
Sales
|
$10,982
|
$9,538
|
$17,825
|
$18,888
|
Net income
|
468
|
57
|
(428)
|
197
|
EPS basic
|
0.07
|
0.01
|
(0.07)
|
0.03
|
Working
capital
|
|
|
19,890
|
17,286
|
Shareholders'
equity
|
|
|
46,031
|
46,501
|
Shareholders' Equity
per Share
|
|
|
7.57
|
7.37
|
Consolidated sales for the second quarter of 2021 were
$11.0 million compared to
$9.5 million in the same period last
year, an increase of $1.4 million or
15%. The increase in sales volumes was a result of companies
being more willing to kick off new awards. While the pandemic
will continue to present challenges, the improvement in sales is a
positive sign.
Gross profit for the quarter ended January 31, 2021 was $1.1
million compared to $1.0
million for the same period in the prior year. Gross
profit as a percentage of sales of 9.8% for the quarter is an
improvement from the first quarter's gross profit of 5%. An
increase in sales volumes has helped improve operational
efficiencies, which in turn positively impact gross
margin.
Selling and administrative expenses for the second quarter of
fiscal 2021 totalled $1.0 million
compared to $1.2 million for the same
period in fiscal 2020. The Company continues to diligently
control discretionary spending.
Net income for the three months ended January 31, 2021 was $0.5
million or $0.07 per share
compared to $0.05 million or
$0.01 per share for the same period
in the prior year. For the six months ended January 31, 2021, net loss was $0.4 million or $0.07 per share, compared to $0.2 million or $0.03 per share in the same period last year.
During the quarter ended January 31,
2021, Reko purchased and subsequently cancelled 137,800
shares under the provision of the normal course issuer bid. A
total of 158,900 common shares have been purchased and cancelled
during the fiscal year at a cost of $0.5
million.
"The quarter included a long-awaited improvement in workload
consistent with the increasing demand seen in some of our markets",
noted Diane Reko, CEO. "We continue
to focus on operational efficiencies as we step up to assist our
customers in capturing their share of this pent-up demand."
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
About Reko International Group Inc.
Reko International Group Inc. (TSX-V:REKO) is a diversified,
technology-driven manufacturing organization located in
Southwestern Ontario, just minutes
from the U.S. border. Areas of expertise include robotic factory
automation solutions, the precision machining of large critical
parts, and plastic injection and low compression acoustic tooling.
Reko's family-oriented culture embraces past experience, fosters
innovation, and always ensures the highest standard of quality.
Reko believes in strengthening communities by advancing
manufacturing.
SOURCE Reko International Group Inc.