VANCOUVER, March 5, 2015 /CNW/ - Polaris Materials Corporation (TSX:PLS) today reported financial results for the fourth quarter and full year ending December 31, 2014. The financial results are in US dollars unless otherwise noted.
Sales in the fourth quarter of 2014 were 750,000 tons and revenue $10.0 million, both 29% lower compared with the fourth quarter of 2013. Gross profit in the quarter was $657,000, or $0.88 per ton compared with a gross profit in the prior year of $1.2 million, or $1.16 per ton.
For the year ending December 31, 2014, gross profit increased to $1.2 million compared with $24,000 in the prior year. Revenue of $45.2 million was effectively unchanged from revenue of $44.9 million recorded in 2013. Sales volume increased by 2% to 3.43 million tons compared with the prior year. The net loss attributable to shareholders for the year reduced to $6.7 million ($0.08 loss per share) from a net loss of $8.2 million ($0.11 loss per share) for the prior year. At December 31, 2014, the Company had working capital of $19.0 million, including $14.2 million of cash, compared with working capital of $11.8 million, including cash of $9.4 million, at the prior year end.
Selected Quarterly Data (Unaudited)
|
(US$000, except per share amounts)
|
2014
|
2013
|
|
YTD
|
Q4
|
Q3
|
Q2
|
Q1
|
YTD
|
Q4
|
|
Sales
|
45,241
|
10,038
|
13,429
|
13,246
|
8,528
|
44,893
|
14,067
|
|
Gross profit/(loss)
|
1,193
|
657
|
720
|
129
|
-313
|
24
|
1,234
|
|
Net profit/(loss) attributable to shareholders
|
-6,416
|
-1,170
|
-2,096
|
-1,624
|
-1,526
|
-8,208
|
63
|
|
Net profit/(loss) per share
|
-0.08
|
-0.02
|
($0.02)
|
($0.02)
|
($0.02)
|
($0.11)
|
$0.00
|
Herb Wilson, President and CEO, commented: "The Company continued to improve performance with a gross profit of $1.2 million. Adjusted EBITDA* of $540,000, or $0.16 per ton, compared favorably with $100,000, or $0.03 per ton last year. Demand in northern California remained strong, although sales in the fourth quarter were adversely affected by short term draft restrictions at Redwood City, and exceptionally wet weather in November and December". He continued: "We advanced prices at the beginning of 2015 and in March, average prices will further benefit from the completion of deliveries at fixed prices to two contracts that began in 2013. We are anticipating further growth in our existing markets in 2015 and look forward to the commencement of operations in the Port of Long Beach where the new terminal is nearing completion".
This financial summary should be read in conjunction with the Company's December 31, 2014, Consolidated Financial Statements and Management's Discussion and Analysis, both of which are available on www.sedar.com.
* Please refer to the Company's Management's Discussion and Analysis for details of this non-IFRS measure. Adjusted EBITDA is a measure of cash generated from operations.
Conference Call
The Company will host a conference call on Friday, March 6th, 2014 at 11:00 am Pacific Time. Details to access the call live are as follows:
The webcast will be archived for 90 days following the call at the above noted link. The conference call will also be recorded and available for replay until March 20th, 2015, at 11.59PM. To access the replay, dial 1-888-390-0541 or 416-764-8677 and use Access Code 014318# to hear the recording.
Polaris Minerals Corporation is exclusively focused on the development of quarries and the production of construction aggregates in British Columbia for marine transportation to urban markets on the west coast of North America to meet local supply deficits. In 2007, Polaris began shipping sand and gravel from the Orca Quarry to San Francisco Bay, Vancouver, BC and Hawaii.
This press release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities laws. These statements and information appear in this document and include estimates, forecasts, information and statements as to management's expectations with respect to, among other things, the future financial or operating performance of the Company, increases in sales volumes and selling prices, costs of production, capital and operating expenditures, requirements for additional capital, government regulation of quarrying operations, environmental risks, reclamation expenses, and title disputes. Often, but not always, forward-looking statements and information can be identified by the use of words such as "may", "will", "should", "plans", "expects", "intends", "anticipates", "believes", "budget", and "scheduled" or the negative thereof or variations thereon or similar terminology. Forward-looking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Readers are cautioned that any such forward-looking statements and information are not guarantees and there can be no assurance that such statements and information will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed under the heading "Risks and Uncertainties" in the Company's Short Form Prospectus dated June 20, 2014, which is filed with Canadian regulators on SEDAR (www.sedar.com). The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements and information whether as a result of new information, future events or otherwise. All written and oral forward-looking statements and information attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements.