CEMATRIX Announces 2022 Second Quarter Financial Results
11 August 2022 - 7:30AM
CEMATRIX Corporation (TSXV: CVX) (OTCQB: CTXXF)
("
CEMATRIX" or the "
Company") a
North American leading manufacturer and supplier of technologically
advanced cellular concrete products announced the release of its
consolidated financial results for the quarter ended June 30, 2022.
“Revenues for the second quarter were consistent
with the previous year, but below expectations as CEMATRIX
continued to be impacted by global supply chain challenges, in
particular, the shortage of cement supply in key markets that we
operate in,” stated Mr. Jeff Kendrick, President and CEO of
CEMATRIX. “Cement shortages resulted in project delays, higher
project input costs and a number of lost opportunities. We expect
these cement supply issues to continue for the balance of the
year.”
“The third quarter is traditionally our
strongest quarter and we are on track to deliver the best quarter
from a revenue standpoint in the history of the Company and as a
result, we are anticipating a solid next quarter financially.”
continued Mr. Kendrick.
“In addition, we continue to see a robust bid
pipeline that gives us confidence that we can continue to add to
and grow our backlog. This includes $20.3 million North Carolina
highway project announced subsequent to the quarter end that is
believed to be the largest cellular concrete project contracted in
North America for the backfill of a few overpasses, as part of the
construction of a new freeway corridor in that state. The project
was awarded approximately two and a half years ago by Letter of
Intent, and finally contracted subsequent to the quarter end by our
U.S. subsidiary MixOnSite (“MOS”) based in Chicago. After numerous
delays, this project is finally underway and MOS is expected to be
placing material at this project early in the new year. Most of the
project is scheduled to be completed in 2023” stated Mr.
Kendrick.
“Despite the slower than anticipated start to
the year, and the expected cement shortage supply chain issues, we
remain very optimistic for the second half of 2022 that we can
exceed revenue totals from past years and lay the foundation for
what we anticipate being a very exciting 2023” concluded Mr.
Kendrick.
The following are the business and financial
highlights for the second quarter and year to date:
Business highlights for the
Quarter:
- Announced $3.9 million in new
contracts (June 16, 2022)
- Announced the completion of phase 2
and phase 3 of its strategic investment in Glavel Inc (May 2,
2022)
- Announced $4.1 million in new
contracts (April 6, 2022)
Business highlights subsequent to the
Quarter:
- Announced $22.5 million in new
contracts (August 3, 2022), which included largest infrastructure
project ever awarded in North America a $20.3 million overpass
backfill project in North Carolina
Financial highlights for the second
quarter:
- Revenue was $4.0 million in Q2 2022
versus $4.0 million in Q2 2021
- Operating loss was $2.0 million in
Q2 2022 versus a $1.5 million loss in Q2 2021
- Adjusted EBITDA was negative $1.2
million in Q2 2022 versus negative $0.9 million in Q2 2021
- Cashflow from operations was
negative $1.3 million in Q2 2022 versus negative $1.0 million in Q2
2021
- Invested an additional $1.125
million USD in Glavel Inc (“Glavel”) bringing the total investment
in Glavel by CEMATRIX up to $1.68 million USD.
Financial highlights for the six months
ended June 30th (year to date
results):
- Revenue was $9.1 million in YTD
2022 versus $8.5 million in YTD 2021.
- Operating loss in YTD 2022 was $3.8
million versus a loss of $2.6 million YTD 2021.
- Adjusted EBITDA was negative $2.8
million in YTD 2022 versus negative $1.4 million in YTD 2021.
- Cashflow from operations was
negative, with cash used in operating activities of $2.8 million in
YTD 2022 versus $1.5 million used in 2021.
- Working capital as at the end of
the June 30 was $12.0 million with $13.8 million in cash.
ABOUT CEMATRIX
CEMATRIX is a rapidly growing company that
manufactures and supplies technologically advanced cellular
concrete products developed from proprietary formulations across
North America. This unique cement-based material with superior
thermal protection delivers cost-effective, innovative solutions to
a broad range of problems facing the infrastructure, industrial
(including oil and gas) and commercial markets. Through recent
acquisitions of Chicago based MixOnSite and Bellingham based
Pacific International Grout, CEMATRIX is now North America’s
largest Cellular Concrete company. For more information please
visit our website at www.cematrix.com.
CAUTIONARY STATEMENT REGARDING FORWARD LOOKING
STATEMENTS
This news release contains forward-looking
statements and forward-looking information (together,
"forward-looking statements") within the meaning of applicable
securities laws. All statements, other than statements of
historical facts, are forward-looking statements. Generally,
forward-looking statements can be identified by the use of
terminology such as "plans", "expects", "estimates", "intends",
"anticipates", "believes" or variations of such words, or
statements that certain actions, events or results "may", "could",
"would", "might", "will be taken", "occur" or "be achieved". The
forward-looking statements contained in this news release are based
on certain key expectations and assumptions made by the Company,
including satisfaction of regulatory requirements in various
jurisdictions and the Company’s anticipated use of the net proceeds
of the Offering. Forward looking statements involve risks,
uncertainties and other factors disclosed under the heading "Risk
Factors" and elsewhere in the Company's filings with Canadian
securities regulators, which could cause actual results,
performance, prospects and opportunities to differ materially from
those expressed or implied by such forward-looking statements.
Although the Company believes that the
assumptions and factors used in preparing these forward-looking
statements are reasonable based upon the information currently
available to management as of the date hereof, actual results and
developments may differ materially from those contemplated by these
statements. Readers are therefore cautioned not to place undue
reliance on these statements, which only apply as of the date of
this news release, and no assurance can be given that such events
will occur in the disclosed times frames or at all. Except where
required by applicable law, the Company disclaims any intention or
obligation to update or revise any forward-looking statement,
whether as a result of new information, future events or
otherwise.
Neither 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.
For further information, please
contact:Jeff Kendrick - President and Chief Executive
Officer Phone: (403) 219-0484
Glen Akselrod – President, Bristol CapitalPhone: (905) 326 1888
ext 1glen@bristolir.com
Jeff Walker, The Howard Group – Investor
RelationsPhone: (888) 221-0915 or (403) 221-0915
jeff@howardgroupinc.com
Cematrix (TSXV:CVX)
Historical Stock Chart
From Mar 2024 to Apr 2024
Cematrix (TSXV:CVX)
Historical Stock Chart
From Apr 2023 to Apr 2024