Symax Lift (Holding) Co. Ltd. Announces Third Quarter 2015 Financial Results
By Marketwired News
By Marketwired News
VANCOUVER, BRITISH COLUMBIA–(Marketwired – Nov. 30, 2015) – Symax Lift (Holding) Co. Ltd. (TSX VENTURE:SYL) (“Symax” or the “Company”) announces its financial results for the three-month period ending September 30, 2015.
- Sales increased to $9.75 million during the third quarter in 2015, representing a 2%increase over the same quarter of previous year; excluding the effect of RMB appreciation against Canadian dollar, sales decreased by 13%, as a result of the continued real estate industry slowdown in China, which commenced in the third quarter in 2014.
- Gross profit increased to $3.34 million during the third quarter in 2015, representing a 15% increase over the same quarter of previous year; excluding the effect of RMB appreciation, the gross profit decreased by 2%. Gross margin increased to 34% from 30% in the third quarter in 2015, due to higher gross margin orders delivered this quarter.
- G&A expenses increased by 30% to $1.71 million, and selling expenses increased by 14% to $1.43 million during the third quarter in 2015 over the same quarter of previous year; excluding the effect of RMB appreciation, G&A expenses increased by 14% and selling expenses decreased by 3%. The G&A expenses increase was mainly related to more bad debt expenses being recognized.
- The net loss was $0.39 million ($0.01 per share) during the third quarter in 2015, compared to net income of $0.16 million ($0.00 per share) in the same quarter of 2014. EBITDA was $0.38 million during the third quarter in 2015, compared to $0.60 million in the same quarter in 2014.
- As at September 30, 2015, the Company had total cash of $2.45 million and short term bank loans of $20.35 million.
SUMMARY FINANCIAL STATEMENTS
|in thousands of Canadian dollars||Three Months Ended September 30|
|except per share and percentage data||2015||2,014||% Change|
|Other income (loss)||(524||)||(113||)|
|Earnings per share – basic & diluted||($0.01||)||$0.01|
|Long term liabilities||3,366||3,748|
“Excluding the effect of RMB appreciation against Canadian dollar, Symax’s sales this quarter decreased by 13% year over year, the year over year decrease commenced in the third quarter of 2014 and continued into 2015. The decrease is due to the Chinese real estate industry’s slowdown which commenced in the third quarter of 2014”, stated Ms. Sabrina Zhang, CEO of Symax. “We expect that the real estate slowdown will continue into 2016, andour objective is to try to mitigate the reduction in sales and take actions to reduce costsas we move forward.”
About Symax Lift Holding
Symax is in the business of the development, manufacturing, and sale of elevators, as well as the provision of after-sales services in China and worldwide. Symax’s products and services are classified into two separate offerings; a main line of standardized products which include passenger elevators, goods/freight elevators, villa elevators, panorama elevators, hospital elevators, residential and commercial escalators and moving walkways; and customized elevator products.
This news release contains certain statements that may be deemed “forward looking statements”. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects,”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made. The Company undertakes no obligation to update these forward looking statements, except as required by law, in the event that management’s beliefs, estimates or opinions, or other factors, should change.
Symax Lift (Holding) Co. Ltd.
Mary Ma, CFO