Welcome!

News Feed Item

Reko Announces Third Quarter Results for Fiscal 2014

WINDSOR, ONTARIO -- (Marketwired) -- 06/12/14 -- Reko International Group Inc. (TSX VENTURE:REK) today announced results for its third quarter ended April 30, 2014.


                                                                            
Financial Highlights:                                                       
                                            Three Months      Nine Months   
                                            (unaudited)       (unaudited)   
                                         -----------------------------------
                                         -----------------------------------
                                           Fiscal   Fiscal   Fiscal   Fiscal
                                             2014     2013     2014     2013
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Sales                                     $10,561  $10,871  $28,328  $32,112
Net income                                    151      224      247    1,187
EPS basic                                    0.02     0.03     0.04     0.18
Working capital                                               9,092    8,690
Shareholders' equity                                         27,978   27,219
Shareholders' Equity per Share                                 4.36     4.24
----------------------------------------------------------------------------

Consolidated sales for the quarter ended April 30, 2014, were $10.6 million, compared to $10.9 million in the prior year, a decrease of $0.3 million or 2.8%. The decrease in sales was largely related to reductions in demand in the automotive market, offset by an increase in demand in the capital equipment market. Consolidated sales for the nine months ended April 30, 2014 were $28.3 million, compared to $32.1 million in the prior year, a decrease of $3.8 million, or 11.8%.

Gross profit for the quarter ended April 30, 2014, was $1.6 million, or 15.1% of sales, compared to a gross profit of $1.7 million, or 15.6% of sales, in the prior year. The decrease in gross profit relates to increases in fixed costs associated with our manufacturing facility as demand in the automotive market continues to be low, offset by improved overhead absorption from increase in sales from the capital equipment market. Gross profit for the nine months ended April 30, 2014 was $4.3 million, or 15.2% of sales, compared to a gross profit of $5.1 million in the prior year, or 15.9% of sales in the prior year.

Selling and administrative expenses for the quarter ended April 30, 2014 were $ 1.1 million, or 10.4% of sales, compared to $1.2 million, or 11.0% sales, in the prior year. The decrease in SG&A relates to decreases in costs such as accounts receivable insurance and sales commission as our sales volumes decreased. Selling and administrative expenses for the nine months ended April 30, 2014 were $3.4 million, or 11.8% of sales, compared to $3.5 million in the prior year, or 10.9% of sales.

Net income for the quarter ended April 30, 2014 was $0.2 million or $0.02 per share, compared to net income of $0.2 million, or $0.03 per share in the prior year. During the quarter, amortization increased by $200 ($0.03 per share) as a result of a change in accounting estimate. Net income for the nine months ended April 30, 2014 was $0.2 million or $0.04 per share, compared to net income of $1.2 million or $0.18 per share in the prior year.

"We are pleased that Reko's third quarter results showed improvement over prior quarters," stated Diane Reko, chief executive officer. "Income from operations improved significantly, increasing 56% over quarter two results, primarily due to higher demand in the capital equipment market. We are beginning to see signs of improvement in our automotive market and expect this to positively impact future quarters."

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.

About Reko International Group Inc.

Reko International Group Inc. is a publicly traded, certified woman owned manufacturing company located in Southwestern, Ontario. Established in 1976, Reko International Group Inc. is a diverse value-added designer and manufacturer of customized machining and engineering solutions to OEMs and their Tier I suppliers in dynamic sectors as rail equipment, oil and gas distribution, mining, military, capital equipment, and automotive. For more information, visit www.rekointl.com.


                                                                            
REKO INTERNATIONAL GROUP INC.                                               
469 Silver Creek Industrial Drive Lakeshore, Ontario                        
N8N 4W2                                                                     
http://www.rekointl.com/                                                    
                                                                            
                                                                            
SUBSIDIARIES/DIVISIONS:                                                     
                                                                            
Canada:                                                                     
- Concorde Precision Machining Inc.                                         
- Reko Manufacturing Group Inc.                                             
                                                                            
United States:                                                              
- Reko International Sales Inc.                                             
- Reko International Holdings Inc.                                          
  - Reko Global Services, LLC                                               

Contacts:
Reko International Group Inc.
Carl A. Merton
Chief Financial Officer
(519) 727-3287
www.rekointl.com

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
Some people worry that OpenStack is more flash then substance; however, for many customers this could not be farther from the truth. No other technology equalizes the playing field between vendors while giving your internal teams better access than ever to infrastructure when they need it. In his session at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will talk through some real-world OpenStack deployments and look into the ways this can benefit customers of all sizes....
SYS-CON Events announced today that CA Technologies has been named “Platinum Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business – from apparel to energy – is being rewritten by software. From ...
Cloud Expo, Inc. has announced today that Andi Mann and Aruna Ravichandran have been named Co-Chairs of @DevOpsSummit at Cloud Expo 2017. The @DevOpsSummit at Cloud Expo New York will take place on June 6-8, 2017, at the Javits Center in New York City, New York, and @DevOpsSummit at Cloud Expo Silicon Valley will take place Oct. 31-Nov. 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, Cloud Expo and @ThingsExpo are two of the most important technology events of the year. Since its launch over eight years ago, Cloud Expo and @ThingsExpo have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors! In this blog post, I provide 7 tips on how, as part of our world-class faculty, you can deliver one of the most popular sessions at our events. But before reading the...
In recent years, containers have taken the world by storm. Companies of all sizes and industries have realized the massive benefits of containers, such as unprecedented mobility, higher hardware utilization, and increased flexibility and agility; however, many containers today are non-persistent. Containers without persistence miss out on many benefits, and in many cases simply pass the responsibility of persistence onto other infrastructure, adding additional complexity.
The best way to leverage your Cloud Expo presence as a sponsor and exhibitor is to plan your news announcements around our events. The press covering Cloud Expo and @ThingsExpo will have access to these releases and will amplify your news announcements. More than two dozen Cloud companies either set deals at our shows or have announced their mergers and acquisitions at Cloud Expo. Product announcements during our show provide your company with the most reach through our targeted audiences.
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In his general session at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will explore...
In his session at @ThingsExpo, Steve Wilkes, CTO and founder of Striim, will delve into four enterprise-scale, business-critical case studies where streaming analytics serves as the key to enabling real-time data integration and right-time insights in hybrid cloud, IoT, and fog computing environments. As part of this discussion, he will also present a demo based on its partnership with Fujitsu, highlighting their technologies in a healthcare IoT use-case. The demo showcases the tracking of patie...
In his general session at 18th Cloud Expo, Lee Atchison, Principal Cloud Architect and Advocate at New Relic, discussed cloud as a ‘better data center’ and how it adds new capacity (faster) and improves application availability (redundancy). The cloud is a ‘Dynamic Tool for Dynamic Apps’ and resource allocation is an integral part of your application architecture, so use only the resources you need and allocate /de-allocate resources on the fly.
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
In his keynote at 19th Cloud Expo, Sheng Liang, co-founder and CEO of Rancher Labs, discussed the technological advances and new business opportunities created by the rapid adoption of containers. With the success of Amazon Web Services (AWS) and various open source technologies used to build private clouds, cloud computing has become an essential component of IT strategy. However, users continue to face challenges in implementing clouds, as older technologies evolve and newer ones like Docker c...
Have you ever noticed how some IT people seem to lead successful, rewarding, and satisfying lives and careers, while others struggle? IT author and speaker Don Crawley uncovered the five principles that successful IT people use to build satisfying lives and careers and he shares them in this fast-paced, thought-provoking webinar. You'll learn the importance of striking a balance with technical skills and people skills, challenge your pre-existing ideas about IT customer service, and gain new in...
@DevOpsSummit at Cloud taking place June 6-8, 2017, at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long developm...