VANCOUVER, BRITISH COLUMBIA--(Nov. 30, 2015) - IBC Advanced Alloys Corp. ($IB:CA)($IAALF) has released its financial results for the period ended September 30, 2015. For detailed information about IBC's first fiscal quarter, please read the Company's financial statements and management's discussion and analysis which are available on SEDAR at www.sedar.com.
First Quarter Highlights
- Revenue of $4.2 million, down 9% from the September 30, 2014 quarter
- Engineered Materials revenue of $1.0 million, up 56% from the comparative period.
- Copper Alloys revenue of $3.2 million, down 20% from the comparative period
- Loss for the period of $721,000 compared to $519,000 in 2014.
Commentary and Corporate Update
IBC's first quarter results show the result of Engineered Materials strengthening operations, with loss before other items ("operating loss") improving by $453,000 compared to the comparative quarter. This gain was offset by a softening of Copper Alloys; its operating income (loss) was down by $471,000. Engineered Materials' strong performance is attributable production and delivery of F-35 components, while Copper Alloys has seen a weaker order intake. Copper Alloys' performance was adversely affected by soft resource markets which have reduced demand for equipment and fixtures made from alloys that we produce.
Anthony Dutton, IBC's chief executive officer commented, "It was very gratifying to see the strong performance of Engineered Materials, which reflects both a strong order book and the operational improvements we have made in the last three months. The sales decline in Copper Alloys reflects sector-wide trends to which we are not immune. We are developing our business plan to reflect changes in our market and expect to see improvements within fiscal 2016."
The increased sales and gross profit in our Engineered Materials division is primarily attributable to deliveries of finished components under its LRIP 7/8 contract with Lockheed Martin. We expect that this contract will continue to drive revenues through to our third fiscal quarter. In the interim, we will generate revenues from the LRIP 9/10 contract beginning in our second fiscal quarter. Engineered Materials is still operating below capacity and will benefit from any additional contracts the division secures.
Copper Alloys operating results reflected anemic order intake that was exacerbated by a decline in copper prices and very competitive market conditions. These conditions have continued into the second fiscal quarter.
IBC first fiscal quarter 2016 results can be viewed here.
A conference call to discuss the first fiscal 2016 results will be held today, Monday November30, 2015 at 2:00 pm ET (11:00 am PT):
|•||Conference Call Dial-In Numbers:|
|Canada and USA Toll Free||1-800-319-4610|
|Outside Canada and USA (direct)||1-604-638-5340|
|Callers should dial in 5 to 10 minutes before the scheduled start time and simply ask to join the call.|
|•||Conference Call Replay Numbers:|
|Canada and USA Toll Free||1-855-669-9658|
|Outside Canada and USA (direct)||1-604-674-8052|
|•||Code: (followed by the # sign):||1537|
|Duration: Available until end of day Monday, December 14, 2015|
About IBC Advanced Alloys Corp.
IBC is a leading advanced alloys and precision castings company serving a variety of industries including nuclear energy, automotive, telecommunications and a range of industrial applications. IBC has 77 employees and is headquartered in Vancouver, Canada with production facilities in Indiana, Massachusetts, Pennsylvania and Missouri. IBC is creating a dynamic global beryllium and advanced alloys company. IBC's common shares are traded on the TSX Venture Exchange under the symbol "IB" and the OTCQX under the symbol "IAALF."
This news release was prepared by management of IBC, which takes full responsibility for its contents. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This disclosure contains certain forward-looking statements that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control including: the impact of general economic conditions in the areas in which the Company operates, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, limited availability of raw materials, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with manufacturing activities therefore the Company's future results, performance or achievements could differ materially from those expressed in these forward-looking statements. All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements are based on assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances.
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