- Second Quarter Fiscal 2021 Revenue of US$1.2 million, a decline of 26% Compared to Second Quarter Fiscal Year 2020 and Comparable to First Quarter Fiscal 2021
- Adjusted EBITDA Loss Stabilized at COVID Impacted Revenue Levels
- Free Cash Flow Loss of Approximately US$93,000, a 26% Improvement Over the First Quarter
- Liquidity in Excess of US$3.1 Million
TSXV: OML
OTCQX: OLNCF
LOS ANGELES, Aug. 25, 2021 (GLOBE NEWSWIRE) -- Omni-Lite Industries Canada Inc. (the "Company" or “Omni-Lite”; TSXV: OML) today reported results for the fiscal second quarter ending June 30, 2021. Full financial results are available at sedar.com.
Second Quarter Fiscal 2021 Results
Revenue for the second quarter of fiscal 2021 was approximately US$1.2 million, a decrease of approximately 26% as compared to the second quarter of fiscal 2020, and a decrease of approximately 5.5% as compared to the first quarter of fiscal 2021. The decrease in revenue compared to the second quarter of 2020 was due principally to the impact of the COVID-19 pandemic on the commercial aerospace and other markets offset by an incremental increase in defense electronics products. Adjusted EBITDA(1) was approximately US$(258,000) as compared to approximately US$(143,000) in the year ago second quarter. The negative Adjusted EBITDA was the result of the reduced revenue levels combined with a cost structure with a high component of fixed overhead expenses. Free Cash Flow(1) was a use approximately US$93,000 in the fiscal second quarter, as compared to a US$127,000 use in the first quarter of fiscal 2021, representing an improvement of approximately 26%.
Management Comments
David Robbins, Omni-Lite’s President and CEO, stated "Omni-Lite Industries continued to respond to the impact of the COVID-19 pandemic by highly focusing on all aspects of operational performance along with disciplined cash flow management. We are actively engaged within the broad marketplace of high performance component manufacturing for several exciting new opportunities targeting applications in the Industrial, Defense, and Aerospace markets with potential for long-running production requirements. Our engineering investment in these, along with signs of early stages of a commercial aerospace recovery point towards future growth trajectories for Omni-Lite. We also see favorable business combination market conditions and look to our monetization of our real estate holding to fuel potential in this area,” remarked Mr. Robbins.
“Lastly, the Company’s liquidity position remains strong as a result of our strict and disciplined approach to management of our costs and spending. The Company ended the second quarter of fiscal 2021 with approximately US$1.6 million in cash and approximately US$1.5 million available under its revolving credit facility,” concluded Mr. Robbins.
Financial Summary
All figures in (US$000) unless noted.
|
For the three months ended
June 30, 2021 |
For the three months ended
March 31, 2021 |
For the three months ended
December 31, 2020 |
For the three months ended
June 30, 2020 |
| Revenue |
$1,200 |
|
$1,270 |
|
$1,285 |
|
$1,624 |
|
| Adjusted EBITDA(1) |
|
(258 |
) |
|
(135 |
) |
|
(615 |
) |
|
(143 |
) |
| Free Cash Flow(1) |
|
(93 |
) |
|
(127 |
) |
|
221 |
|
|
321 |
|
| Net (Loss)income |
|
(448 |
) |
|
(354 |
) |
|
143 |
|
|
(263 |
) |
| Diluted EPS |
($0.04 |
) |
($0.03 |
) |
$0.02 |
|
($0.02 |
) |
|
For the six months ended
June 30, 2021 |
For the six months ended
June 30, 2020 |
| Revenue |
$2,470 |
|
$3,769 |
|
| Adjusted EBITDA(1) |
|
(393 |
) |
|
54 |
|
| Free Cash Flow(1) |
|
(220 |
) |
|
(26 |
) |
| Net (Loss) |
|
(802 |
) |
|
(350 |
) |
| Diluted EPS |
($0.07 |
) |
($0.03 |
) |
(1) Adjusted EBITDA is a non-IFRS financial measure defined as earnings before interest, taxes, depreciation, amortization, stock-based compensation provision, gains (losses) on sale of assets, and non-recurring items, if any. Free Cash Flow is a non-IFRS financial measure defined as cash flow from operations minus capital expenditures. These are non-IFRS financial measures, as defined herein, and should be read in conjunction with IFRS financial measures and they are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with IFRS. The non-IFRS financial measures as used herein may not be comparable to similarly titled measures reported by other companies. We believe the use of Adjusted EBITDA and Free Cash Flow along with IFRS financial measures enhances the understanding of our operating results and may be useful to investors in comparing our operating performance with that of other companies and estimating our enterprise value. Adjusted EBITDA and Free Cash Flow are also useful tools in evaluating the operating results of the Company given the significant variation that can result from; for example, the timing of capital expenditures and the amount of working capital in support of our customer programs and contracts. We also use Adjusted EBITDA and Free Cash Flow internally to evaluate the operating performance of the Company, to allocate resources and capital, and to evaluate future growth opportunities.
Please see Second Quarter 2021 Management Discussion and Analysis for additional notes and definitions.
Investor Conference Call
Omni-Lite will host a conference call for investors on Thursday, August 26, 2021, beginning at 11 A.M. Eastern Time to discuss the second quarter of fiscal 2021 results and review of its business and operations. To join the conference call, (888) 437-3179 in the USA and Canada, or (862) 298-0702 for all other countries. Please call five to ten minutes prior to the scheduled start time. A replay of the conference call will be available 48 hours after the call and archived on the Company’s investors page of the Company’s website at www.omni-lite.com for 12 months.
About Omni-Lite Industries Canada Inc.
Omni-Lite Industries Canada Inc. is an innovative company that develops and manufactures mission critical, precision components utilized by Fortune 100 companies in the aerospace and defense industries.
For further information, please contact:
Mr. David Robbins
President and Chief Executive Officer
Tel. No. (562) 404-8510 or (800) 577-6664
Email: d.robbins@omni-lite.com
Website: www.omni-lite.com
Forward Looking Statements
Except for statements of historical fact, this news release contains certain “forward-looking information” within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as “plan”, “expect”, “project”, “intent”, “believe”, “anticipate”, “estimate” and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward-looking information in this press release includes, but is not limited to, the expect future performance of the Company. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information. Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: general economic conditions in Canada, the United States and globally; industry conditions, governmental regulation, including environmental consents and approvals, if and when required; stock market volatility; competition for, among other things, capital, skilled personnel and supplies; changes in tax laws; and the other risk factors disclosed under our profile on SEDAR at www.sedar.com. Readers are cautioned that this list of risk factors should not be construed as exhaustive.
The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We undertake no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.
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.
