Lonestar reports revenue and EBITDAC increases for third quarter 2012
For PDF Version please click here
Company continues to experience strong earnings and fleet expansion
SYLVAN LAKE, AB, May 24, 2012 /CNW/ – Lonestar West Inc. (TSXV: LSI) today announced continued strong performance for the 2012 third fiscal quarter ended March 31, 2012 including growth in fleet size, revenue and operating profit. The results reflect the growth in its Canadian HVAC and Vacuum truck businesses driven in part by favourable commodity prices and strong infrastructure development activities in Western Canada.
Highlights for the quarter include:
- Revenues increased 45.5% to $5,828,653 from $4,005,121 in the previous comparable quarter.
- EBITDAC increased 50.4% to $1,268,324 compared to $843,157 in the previous comparable quarter.
- EBITDAC per share rose 30.8% to $0.085 from $0.065 in the previous comparable quarter.
For the three months ended March 31, 2012 gross revenues were $5,828,653 an increase of 45.5% in comparison to $4,005,121 in the previous year’s comparable quarter, EBITDAC increased 50.4% in the current quarter to $1,268,324 ($0.085 per weighted average share) in relation to the previous year’s comparable quarter of $843,157 ($0.065 per weighted average share). Net earnings for the three month period ended March 31, 2012, increased to $666,566 compared to the net earnings of $569,269 for the comparable quarter. Factors driving the improvement in performance included enhanced utilization rates for the HVAC and Vacuum units and an increase in fleet size.
Revenues for the first nine months of the 2012 fiscal year were $14,176,245 and increase of 67.0% over the $8,489,732 for the first nine months of fiscal 2011. The EBITDAC for the first nine months ended March 31, 2012 was $2,635,964 compared to $1,553,206 in the first nine months of 2011. Net earnings for first nine months ended March 31, 2012, increased to $1,506,532 compared to $857,805 for the first nine months of the 2011 fiscal year.
To satisfy strong customer demand, Lonestar implemented a fleet expansion program during the last two quarters deploying internally generated cash flow and available capital sources. As of the end of the quarter, the total fleet consisted of 33 trucks The HVAC fleet increased to 25 trucks including 17 corporate trucks and 8 lease operated trucks, an increase of 3 corporate-owned trucks and 1 lease operated truck since December 31, 2011. In addition, the Vacuum truck fleet increased by 2 trucks in the second quarter of 2012 to a total of 8 trucks.
President and CEO James Horvath commented, “Since the end of the December 31, 2011 quarter we increased our corporate-owned HVAC fleet by 10% and engaged another lease-operator unit to bring our total number of HVAC and Vacuum units available to Lonestar to 33 units. Our strategy is to add to our fleet while maintaining a high overall utilization rate. We anticipate receiving additional HVAC trucks over the next several quarters, and are actively seeking out acquisitions to grow our fleet.”
For complete details on the interim financial statements and MD&A for the 2012 Third Quarter please refer to SEDAR at www.sedar.com.
Lonestar West Inc. (www.lonestarwest.com) operates a fleet of 33 HVAC and vacuum trucks throughout Western Canada from its base in Sylvan Lake, Alberta. It is focused on profitably growing its HVAC services to become a major national competitor in the market area.
Lonestar’s shares trade on the TSX(Venture) Exchange under the symbol LSI.
Certain information and statements contained herein constitute forward-looking information, including the anticipated costs associated with the purchase of capital equipment, expectations concerning the nature and timing of growth within the business operated by Lonestar, expectations respecting the competitive position of such business, expectations concerning the financing of future business activities and statements as to future economic and operating conditions. Readers should review the cautionary statement respecting forward-looking information that appears in Lonestar’s complete MD&A.