Symax Lift (Holdings) Co. Ltd. Announces Third Quarter 2013 Financial Results
November 29 2013 - 9:00AM
Marketwired
Symax Lift (Holdings) Co. Ltd. Announces Third Quarter 2013
Financial Results
TORONTO, ONTARIO--(Marketwired - Nov 29, 2013) - Symax Lift
(Holdings) Co. Ltd. (TSX-VENTURE:SYL) ("Symax" or the "Company")
announces its financial results for the three-month period ending
September 30, 2013.
Highlights
- Sales increased to $8.9 million in the third quarter of 2013,
representing a 42% increase over the same quarter of previous
year.
- During the third quarter, sales of the Dingtai Passenger
Elevator increased by 24% to $4.3 million, sales of Green Passenger
Elevator increased by 213% to $1.1 million, and sales of other
elevators & after-sale service decreased by 57% to 0.7 million.
The increase in Dingtai and Green elevators was mainly due to the
postponed orders which resumed delivery and improvement in the
Company's overall sales network.
- Gross profit increased to $2.5 million in the third quarter of
2013, representing a 26% increase over the same quarter of the
previous year; and gross margin decreased to 27% in this quarter
compared to 31% in the same quarter of previous year.
- Operating expenses increased by 16% to $1.9 million in the
third quarter of 2013 over the same quarter of the previous year.
The increase was the result of increased advertising costs, sales
staff salary and sales & service center operation expenses,
G&A expenses also increased as a result of the start-up costs
for developing stairlift products.
- Net income increased to $232,000 ($0.01 per share) in the third
quarter of 2013, compared to 111,000 ($0.00 per share) in the same
quarter of 2012. EBITDA was $769,000 during this quarter,
representing an increase of 68% over the same quarter of the
previous year.
- As at September 30, the Company had total cash of $2.2 million
and short term bank loans of $12.3 million.
"Sales growth in the third quarter reached our expectation, and
the growth is expected to continue in the fourth quarter. In
addition, the development of the Symax stairlift products is
proceeding as anticipated," stated Ms. Sabrina Zhang, CEO of Symax.
"We look forward to realizing higher revenues and tightening our
costs to deliver improved bottom line results for the year of
2013."
SUMMARY FINANCIAL STATEMENTS
in thousands of Canadian dollars except per share
and percentage data |
Three Months Ended September 30 |
|
|
Nine Months Ended September 30 |
|
2013 |
|
2012 |
|
% Change |
|
|
2013 |
|
2012 |
|
% Change |
|
Sales |
|
8,910 |
|
|
6,293 |
|
42 |
% |
|
|
22,386 |
|
|
21,333 |
|
5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit |
|
2,425 |
|
|
1,921 |
|
26 |
% |
|
|
5,884 |
|
|
5,732 |
|
3 |
% |
Gross
margin |
|
27 |
% |
|
31 |
% |
|
|
|
|
26 |
% |
|
27 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses |
|
1,880 |
|
|
1620 |
|
16 |
% |
|
|
4,773 |
|
|
4,460 |
|
7 |
% |
Operating income (loss) |
|
545 |
|
|
301 |
|
|
|
|
|
1,111 |
|
|
1,272 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
income (loss) |
|
(244 |
) |
|
(154 |
) |
|
|
|
|
(678 |
) |
|
(570 |
) |
|
|
Income taxes |
|
69 |
|
|
36 |
|
|
|
|
|
131 |
|
|
133 |
|
|
|
Net
income (loss) |
|
232 |
|
|
111 |
|
109 |
% |
|
|
302 |
|
|
569 |
|
-47 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
|
769 |
|
|
457 |
|
68 |
% |
|
|
1,639 |
|
|
1,696 |
|
-3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share - basic |
$ |
0.01 |
|
$ |
0.00 |
|
|
|
|
$ |
0.01 |
|
$ |
0.02 |
|
|
|
Earnings per share - diluted |
$ |
0.01 |
|
$ |
0.00 |
|
|
|
|
$ |
0.01 |
|
$ |
0.02 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance Sheet Highlights |
|
September 30, 2013 |
|
|
|
December 31, 2012 |
|
Total
assets |
|
42,774 |
|
|
|
|
|
35,387 |
|
|
|
Current liabilities |
|
32,200 |
|
|
|
|
|
25,447 |
|
|
|
Long
term liabilities |
|
363 |
|
|
|
|
|
498 |
|
|
|
Shareholders' equity |
|
10,211 |
|
|
|
|
|
9,443 |
|
|
|
Expansion Initiatives
Symax has undertaken an expansion of its domestic Chinese
business with a new manufacturing facility located in Wanzhou. The
land use rights for this facility have been acquired and
construction commenced in June, 2012. Upon completion, this
facility is expected to double the Company's production capacity by
2014.
The Company has also undertaken an expansion of its service
network in support of its geographic expansion. As of September,
2013, the Company set up 12 sales and services centers throughout
the whole China and completed the Company's sales network
restructure.
About Symax Lift Holdings
Symax is in the business of the development, manufacturing, and
sale of elevators, as well as the provision of after-sales services
in China and worldwide. Symax's products and services are
classified into two separate offerings; first, a main line of
standardized products which include passenger elevators,
goods/freight elevators, villa elevators, panorama elevators,
hospital elevators, residential and commercial escalators and
moving walkways; and second, customized elevator products.
This news release contains certain statements that may be
deemed "forward looking statements". Forward looking statements are
statements that are not historical facts and are generally, but not
always, identified by the words "expects,", "plans", "anticipates",
"believes", "intends", "estimates", "projects", "potential" and
similar expressions, or that events or conditions "will", "would",
"may", "could" or "should" occur. Although the Company believes the
expectations expressed in such forward looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results may differ materially from
those in forward looking statements. Forward looking statements are
based on the beliefs, estimates and opinions of the Company's
management on the date the statements are made. The Company
undertakes no obligation to update these forward looking
statements, except as required by law, in the event that
management's beliefs, estimates or opinions, or other factors,
should change.
For Corporate Information:Skyone International Securities
CorporationMichael
Zheng416.268.6178michael.zheng@skyoneisec.comMary
MaCFO604.277.6678info@symax.ca