OTTAWA, Aug. 1, 2014 /CNW/ - Clearford Water Systems Inc.
("Clearford" or the "Company"), (TSXV: CLI), today issued its
unaudited financial results for the 3 and 6 month periods ending
June 30, 2014. The statements are
presented in accordance with IFRS (all figures in Canadian dollars
unless otherwise noted).
Revenue for the quarter was $86,378 compared with $207,228 for the same quarter last year and
$298,245 in the prior quarter. The
Company's operating loss before financing costs was $977,238 for the quarter compared with
$780,254 for the same quarter last
year and $752,370 in the prior
quarter. Net financing costs for the quarter were $301,167 compared with $142,437 for the same quarter last year and
$299,272 in the prior quarter,
resulting in a net loss for the quarter of $1,261,533 or $0.02
per share compared with a net loss of $929,149 or $0.02
for the same quarter last year and a net loss of $1,051,642 or $0.02
per share in the prior quarter.
For the six months ended June 30,
2014, the Company recorded revenue of $384,623 compared to $279,080 for the same period last year. The
Company's operating loss was $1,729,608 compared to $1,632,977 for the same period last year. Net
financing costs during this period were $600,439 compared to $255,783 in the same period last year resulting
in a year to date loss of $2,296,547
or $0.03 per share as compared to
$1,894,344 or $0.03 per share in the same period last year.
During the quarter the Company completed the first phase of its
project in Cayunda, Colombia.
Subsequent to the quarter end the Company received 50% of the
principal amount of the loan outstanding plus all accrued interest
on this contract. The Company has extended the due date on the
remainder of the loan. The extension is subject to the condition
that the Company's customer begins construction on the remainder of
the project during the Company's third quarter of fiscal 2014.
Additionally, as previously announced and subsequent to the
quarter end, the Company entered into a short-term financing
arrangement with a Canadian lender in the amount of $600,000 to fund short-term working capital
commitments. The Company's financial statements and MD&A are
available on WWW.SEDAR.COM.
Kevin Loiselle, President &
CEO of Clearford sees 2014 as the beginning of substantial
participation by Clearford Water Systems in the Canadian and
international demand for cost-effective and sustainable water and
waste water systems. "Key results in this quarter were the
completion of Phase I installation of Clearford One™ in Cayunda,
Colombia. Furthermore, Clearford
Water Systems expects to begin construction of its Clearford
OneTM installation for Fetherston Mobile Home Park in
North Grenville Ontario during the third quarter of fiscal 2014.
The system which is being built by Clearford Water Systems in
conjunction with a 30 year operating agreement is expected to be
fully operational during the fourth quarter of fiscal 2014. The
response to the Clearford OneTM system, particulary in
Colombia, India and Ontario, continues to be very encouraging",
Mr. Loiselle said.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
About Clearford Water Systems Inc.
Clearford Water
Systems Inc. (TSX-V: CLI) is a provider of unified water management
and sanitation systems based on Clearford One™. Clearford One™ is a
proprietary system comprised of ClearDigest™ smart digester, SBS®
ClearConvey™ small bore sewer, and ClearRecover™. For more
information on Clearford Water Systems, please visit
www.clearford.com.
Forward Looking Statements
This news release contains
certain statements that constitute forward-looking statements as
they relate to the Company and its management.
Forward-looking statements are not historical facts but represent
managements current expectation of future events, and can be
identified by words such as "believe", "expects", "will",
"intends", "plans", "projects", "anticipates", "estimates",
"continues" and similar expressions. Although management
believes that the expectations represented in such forward-looking
statements are reasonable, there can be no assurance that they will
prove to be correct.
By their nature, forward-looking statements include assumptions
and are subject to inherent risks and uncertainties that could
cause actual future results, conditions, actions or events to
differ materially from those in the forward-looking
statements. If and when forward-looking statements are set
out in this news release, Clearford will also set out the material
risk factors or assumptions used to develop the forward-looking
statements. Except as expressly required by applicable securities
law, the Company assumes no obligation to update or revise any
forward looking statements. The future outcomes that relate to
forward-looking statements may be influenced by many factors,
including, but not limited to: industry cyclicality; the ability to
secure third party agreements; successful integration of
Clearford's system with third party technology; competition;
reduction in demand for products; collection from customers;
relationships with suppliers; product liability; intellectual
property; reliance on key personnel; environmental; interest rates;
uninsured and underinsured losses; operating hazards; risks of
future legal proceedings; income tax matters; credit facilities;
availability and terms of financing; distribution of securities;
restrictions on potential growth; effect of market interest rates
on price of securities; and potential dilution.
SOURCE Clearford Industries Inc.
