BluMetric Announces Profitable Third Quarter

OTTAWA, Aug. 31, 2015 /CNW/ - BluMetric Environmental Inc. (TSX-V: BLM), an Ottawa-based cleantech company, announced its unaudited financial results for the third quarter of fiscal 2015 ending June 30, 2015. 

"BluMetric's positive performance in this quarter reflects our commitment to stakeholders to contain and control costs, build sales, and improve efficiencies across the board," said CEO Roger Woeller.  "We are doing what we said we would do and are energized by the results.  We will continue to build on this success with a focus on sustained profitability."

The full results are available at www.sedar.com

Financial Highlights

• Revenue in the third quarter rose to $8.7 million compared with $6.5 million for the quarter ended June 30, 2014. In the nine months, revenue increased to $24.2 million from $20.7 million.
• Revenue in the third quarter includes approximately $500,000 from the results of favourable negotiations of a significant contract.
• The increase in year to date revenue is mainly a result of ongoing design/build projects, which typically yield higher margins than fee for service work.
• The gross margin period-over-period increased from 20% to 23% in the quarter ended June 30, 2015.
• Sales, general, and administrative (SG&A) expenses increased slightly to $1.5 million in Q3 2015 from $1.4 million in Q3 2014 and decreased substantially for the nine-month period ($4.3 million for the nine months ended June 30, 2015 compared to $4.7 million in 2014), reflecting steady and continued cost control.
• EBITDA (a non-IFRS measure of net income before interest expense, income taxes, depreciation, and amortization) rose significantly to $661,000 and $1.8 million respectively for the three- and nine-month periods ended June 30, 2015, compared to the same periods in the previous year.
• Net income for the third quarter was $322,068 compared with net loss of ($291,397) for the comparable prior quarter. For the nine months, net income is $681,912 compared to a net loss of ($1.3) million in the previous year.

Highlights of the Quarter

• Added several large new contracts with existing clients, including the previously announced work for Vale in Sudbury.
• Signed an international co-operation agreement with global water company, Aquarion (announced July 2, 2015) which extends BluMetric's reach into Europe and Asia and provides access to new technologies that can improve BluMetric's product and service portfolio.
• Appointed David Haig as President and COO, a move that deepens management bench strength and expertise (announced July 8, 2015)
• Subsequent to the quarter's end, implemented a new structure to align the Company with its core growth strategies, which focus on improving synergies between Professional Services and Water Systems to deliver innovative and holistic solutions. The new design has the following executives reporting directly to Haig:
  • Jim Hotchkies, Senior Vice President, Business Development & Growth
  • Nell van Walsum, Senior Vice President, Operations
  • Dan Scroggins, Senior Vice President, Research & Innovation

Outlook

Professional Services and Water Systems are being brought together under a single brand and direction, which we anticipate will enhance and support the ongoing effort to grow the business, build margins, contain costs, and develop new process and technology

BluMetric's improved performance this quarter demonstrates solid progress against our strategic priorities.  We will continue to focus on areas where we have differentiation and opportunity. 

About BluMetric

BluMetric Environmental Inc. is a diverse water, earth, and energy company providing solution-oriented consultation, design, products, and construction services to clients with complex environmental issues in more than 61 countries.  With our award-winning team of industry experts and technology, BluMetric provides the finest effective and sustainable solutions to environmental challenges.  BluMetric is a publicly traded Canadian company (TSX-V: BLM), headquartered in Ottawa, Ontario.  For more information, visit www.BluMetric.ca.

Forward-Looking Statements
Some of the statements in this press release, including those relating to the Company's strategies and other statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "expects", "anticipates", "intends", "plans", "believes", "estimates", or similar expressions, are forward-looking statements within the meaning of securities laws. Forward-looking statements include, without limitation, the information concerning possible or assumed future results of operations of the Company. These statements are not historical facts but instead represent only the Company's expectations, estimates, and projections regarding future events. The Company does not undertake any obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events, except as required by law.

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

SOURCE BluMetric Environmental Inc.