VANCOUVER, BC – June 2, 2015 – IBC Advanced Alloys Corp. (TSX-V: IB; OTCQX: IAALF) has released its financial results for the period ended March 31, 2015. For detailed information about IBC’s third fiscal quarter, please read the Company’s financial statements and management’s discussion and analysis which are available on SEDAR at www.sedar.com.
Third Quarter Highlights
- Revenue of $4.48 million representing 16% increase over the same period in the previous fiscal year.
- Copper Alloys revenue of $3.68 million, up 5.1% over the comparative period.
- Engineered Materials revenue of $796,000, an increase of 119% over the comparative fiscal period.
- Loss for the quarter was $582,000, substantially unchanged from the comparative period.
Year to Date Highlights
- Revenue of $14.21 million representing a 13% increase over the same period in the previous fiscal year.
- Copper Alloys revenue of $12.08 million, up 5.7% over the comparative period.
- Engineered Materials revenue of $2.13 million, an increase of 82% over the comparative fiscal period.
- Loss for the period was $1.81 million, representing a 7.2% improvement compared to the same period in the previous fiscal year.
Commentary and Corporate Update
IBC enjoyed continued growth in Q3 with sales up over the comparative quarter and year to date periods. Engineered Materials sales continued to grow while Copper Alloys sales returned to a more normal level after a very strong second quarter.
Anthony Dutton, IBC’s chief executive officer commented “We continued to advance the business in the third fiscal quarter, most notably with ongoing production of F-35 components which are currently in the last stages of being machined. Our Engineered Materials facility was designed and built with significant excess capacity in order to accommodate anticipated increases in demand for our high performance beryllium aluminum aerospace castings,” continued Dutton, “and we are looking forward to robust growth in this segment of our business.”
In the third quarter, our Engineered Materials division continued to ship F-35 components for machining and was able to recognize related contract milestone payments as revenue. Most of the contract revenue and margin from the F-35 components will be recognized in succeeding quarters when final components are to be delivered.
While Engineered Materials continues to incur a loss from operations because of current low plant utilization as the company develops an order pipeline, the division is actively engaged with several aerospace and defense contractors regarding additional defence and military programs which, if the Company is successful, will not require any immediate capacity expansion. In March and April 2015, the division reported new contracts with Kaman Corporation and UTC Aerospace Systems which demonstrate progress in developing its business.
The Copper Alloys division enjoyed increased sales compared to the same period in 2014 in spite of weak copper prices. Margins improved due to a product mix changes but some of this benefit was lost to increased healthcare costs.
Corporate operations have been constrained by insufficient capital, however IBC recently announced a C$1.75 million financing which, if it completes, will address the Company’s near-term capital requirements.
A conference call to discuss the second fiscal quarter results will be held today at 1:00 pm ET (10:00 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 Tuesday, June 16, 2015
About IBC Advanced Alloys Corp.
IBC is an integrated manufacturer and distributor of rare metals (beryllium) based alloys and related products serving a variety of industries including nuclear energy, automotive, telecommunications and a range of industrial applications. IBC has 80 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.”
|IBC Advanced Alloys Corp.
Ian Tootill, Director of Corporate Communications
(604) 685-6263 ext. 110
Email: [email protected]
|Vorticom Public Relations
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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