Victoria, British Columbia, Canada - Wednesday, August 13, 2008 - Carmanah Technologies Corporation (TSX: CMH) announces its financial results for the three-month period ended June 30, 2008.
The second quarter of 2008 represented a further milestone for Carmanah as the Company completed the final phase of its strategic renewal, entering into some significant partnerships, increasing sales, further reducing expenses, improving efficiency and achieving its second profitable Adjusted EBITDA (adjusted for restructuring charge) quarter in a row.
Highlights for the Quarter
Increased sales: quarter-over-quarter sales up approximately 13.2%, after adjusting for the late 2007 sale of the home power business
Gross margin up: 32.5% for 2008, up from 20.1% in 2007
Operating costs reduced: $5.0 million (excluding restructuring costs), down from $6.7 million for the same period of 2007
Improved bottom line: Net loss of $0.4 million compared to $3.0 million for the same period of 2007
Higher Adjusted EBITDA: Adjusted EBITDA of $0.4 million compared to $(3.9) million for the same period in 2007
Continued positive cash flow from operations: $1.5 million, compared to $2.2 million for the same period in 2007
Cash balance increased: $5.5 million, up from $1.5 million for the same period of 2007
Summary of Results
The second quarter of 2008 saw considerable change, as Carmanah embarked on the next phase in its restructuring with the goal of increasing its focus and returning the Company to sustained, profitable growth.
