GUELPH, ON, July 28, 2021 /CNW/ – BIOREM Inc. (TSXV: BRM) (“Biorem” or “the Company”) today announced its results for the three and six-month periods ended June 30, 2021. Biorem’s complete second quarter financial statements and MD&A have been filed on SEDAR (www.sedar.com).
FINANCIAL HIGHLIGHTS:
| in CDN$’000 except per share data | Three-months ended | Six-months ended | ||
|---|---|---|---|---|
| June 30 | June 30 | |||
| 2021 | 2020 | 2021 | 2020 | |
| Revenue | 5,634 | 5,957 | 9,063 | 12,855 |
| Gross Profit | 1,116 | 1,424 | 1,394 | 2,772 |
| Operating Expenses | 742 | 961 | 1,578 | 1,680 |
| Ebitda* | 467 | 504 | (11) | 1215 |
| Net earnings (loss) | 266 | 338 | (206) | 801 |
| EPS – basic | 0.007 | 0.009 | – | 0.021 |
| EPS – fully diluted | 0.007 | 0.009 | – | 0.021 |
*Earnings before interest, taxes and amortization, a non IFRS financial measure*
Biorem’s revenues for the second quarter were $5.6 million a 64% increase over the previous quarter and on par with the $5.9 million of revenues reported in the same quarter in 2020. Year to date revenues totalled $9.1 million, a 29% decrease over the $12.8 million reported for the first six months of 2020. The decrease in revenues for the first six months of 2021 compared to the prior year is due to multiple project delays in North America that are expected to be caught up in the second half of the year.
Gross profit for the quarter was $1.1 million or 20.0% of revenue compared to $1.4 million of gross profit representing 23.9 % of revenue recorded during the second quarter of 2020. Total operating expenses (net of other income) for the quarter were $742,000 against $961,000 in the same period the prior year. The decrease in operating expenses was primarily due to a decrease in sales travel expenses related to the Covid19 pandemic. Ebitda for the quarter was $467,000 compared to $504,000 of ebitda in the second quarter of 2020.
Net earnings for the quarter were $266,000, with year to date loss of $206,000 compared to net earnings of $801,000 for the first half of 2020.
“Second quarter results were a rebound from Q1 but project delays continued to hamper financial results”, said Derek S. Webb, President and CEO. “Barring some unforeseen developments we expect a much stronger second half of the year as we deliver to projects delayed from the first half of year as well to projects originally scheduled for delivery in the second half of the year”.
“New orders have continued to be secured, with approximately $5.5 million being closed in the second quarter. This results in the BIOREM order backlog being $30.0 million on June 30, 2021 which provides a strong foundation for revenue over the next twelve months.”
Cash on hand at June 30, 2021 stood steady at $10.2 million. Earnings from operating activities during the quarter generated $172,000 of cash and this was offset by $760,000 of cash used to fund increases in non-cash working capital particularly inventories and prepaid expenses.
About BIOREM Inc.
BIOREM is a leading clean technology company that designs, manufactures and distributes a comprehensive line of high-efficiency air emissions control systems used to eliminate odors, volatile organic compounds (VOCs), and hazardous air pollutants (HAPs). With sales and manufacturing offices across the continent, a dedicated research facility, a worldwide sales representative network and more than 1,600 installed systems worldwide, BIOREM offers state-of-the-art technology-based products and peace of mind for municipalities, industrial companies and their surrounding communities. Additional information on Biorem is available on our website at www.biorem.biz.
SOURCE Biorem Inc.
For further information: For further information contact: Derek S. Webb, President and Chief Executive Officer, dwebb@biorem.biz, Tel: (519) 767-9100 or Douglas Newman, Chief Financial Officer, dnewman@biorem.biz, Tel: (519) 767-9100 xt.287
Related Links
https://www.biorem.biz