WINDSOR, ON, Feb. 22, 2017 /CNW/ - Reko International
Group Inc. (TSX-V: REK) today announced results for its second
quarter ended January 31,
2017.
Financial Highlights:
|
Three
Months
(unaudited)
|
Six Months
(unaudited)
|
|
Fiscal
2017
|
Fiscal
2016
|
Fiscal
2017
|
Fiscal
2016
|
|
Sales
|
$11,213
|
$13,831
|
$21,573
|
$24,145
|
|
Net income
|
789
|
1,176
|
1,425
|
2,382
|
|
EPS basic
|
0.12
|
0.18
|
0.22
|
0.37
|
|
Working
capital
|
|
|
19,104
|
20,603
|
|
Shareholders'
equity
|
|
|
42,037
|
41,896
|
|
Shareholders' Equity
per Share
|
|
|
6.52
|
6.50
|
Consolidated sales for the quarter ended January 31, 2017, were $11.2 million, compared to $13.8 million in the prior year, a decrease of
$2.6 million or 18.9%. The decrease
in sales was largely due to lower volumes in the transportation and
oil and gas sectors.
Gross profit for the quarter ended January 31, 2017, was $2.0
million, or 18.0% of sales, compared to a gross profit of
$2.9 million, or 20.9% of sales in
the prior year. The decrease in gross profit was related to the
decrease in sales and the product mix during the period.
Selling and administrative expenses for the quarter ended
January 31, 2017, were $0.9 million, or 8.5% of sales, compared to
$1.2 million, or 8.4% of sales in the
prior year. The decrease in SG&A is primarily due to a decrease
in wage costs and professional fees.
Net income for the quarter ended January
31, 2017, was $0.79 million or
$0.12 per share, compared to net
income of $1.18 million, or
$0.18 per share in the prior
year.
"We are pleased to report second quarter net income that is
almost 24% higher than that reported in the first quarter," stated
Diane Reko, chief executive officer.
"The demand in the automotive portion of our business has been
strong, and we have seen evidence of demand improvements in our
other markets as well. We continue to implement business
development strategies and improve efficiencies, while monitoring
the potential risks and opportunities arising from a dynamic export
market."
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:REK) 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.
