Victoria, BC, Canada - (March 10, 2009) - Carmanah Technologies Corporation (TSX: CMH) today posted 2008 revenues of $60.6 million including a 40% increase from strategic businesses, along with a strong operating performance prior to a non-cash write down of goodwill due to market conditions.
2008 Highlights
Sales: $60.6 million for 2008, up 2% from $59.3 million in 2007
Strategic sales of $34.1 million for 2008, up 40% from $24.3 million in 2007 (primarily from solar LED lighting)
Tactical sales of $26.5 million for 2008, down 24% from $35.0 million in 2007 (due to the 2008 exit of transit & distribution, and late 2007 exit of home power tactical markets)
Gross margin: 34.3% for 2008, up from 26.3% in 2007
Goodwill and intangible impairment: $10.7 million for 2008.This impairment is non-cash and does not affect liquidity, cash flows from operating activities or impact future operations.
Net income: $1.3 million (excluding the impact of the goodwill and intangible impairment charges) for 2008, compared to a net loss of ($6.9) million in 2007
Adjusted EBITDA: $4.7 million for 2008, compared to ($7.6) million in 2007
Positive cash flow from operations: $4.0 million for 2008, compared to $2.0 million in 2007
Cash balance: $7.9 million as at December 31, 2008, up from $4.1 million at the end of 2007
Nil debt: Continued debt-free operation
Fourth Quarter Summary
Sales: $15.8 million for Q4 2008, up 21% from $13.1 million in 2007
Strategic sales of $12.0 million for 2008, up 96% from $6.1 million in 2007 (primarily from solar LED lighting)
Tactical sales of $3.8 million for 2008, down 46% from $7.0 million in 2007 (due to the 2008 exit of transit & distribution, and late 2007 exit of home power tactical markets)
Gross margin: 33.8% for Q4 2008, up from 18.7% in 2007
Net income: $0.8 million (excluding the impact of the goodwill and intangible impairment charge) for Q4 2008, compared to a net loss of ($2.7) million in 2007
Adjusted EBITDA: $2.2 million for Q4 2008, compared to ($2.7) million in 2007
Positive cash flow from operations: $2.2 million for Q4 2008, compared to $2.1 million in 2007
To view full financials, click here.
Summary of Results
Throughout 2008, Carmanah reinforced its strategic focus, controlled costs, and increased its investment in relevant R&D to foster a stronger and more resilient business, said Ted Lattimore, Carmanah CEO.