ARNPRIOR, ONTARIO--(Marketwired - Feb 29, 2016) - Pacific Safety Products Inc. (TSX VENTURE:PSP) ("PSP" or the "Company"), a leading North American manufacturer of advanced armour and personal protection solutions, today reported financial results for the three month period ended December 31, 2015.
Highlights:
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Revenues for the second quarter were $4.4 million, an increase of 25.7% compared to revenues of $3.5 million during the second quarter of fiscal 2015. Revenue from our U.S. operations were $2.3 million, an increase of $1.0 million or 76.9% compared to the same period last year. Canadian revenues were $2.1 million, a decrease of $0.1 million or 4.5%.
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The Company reported net income for the second quarter of $0.004 million compared to a net loss of $0.09 million during the second quarter of the prior year.
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Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")(i) was $0.068 million compared to the EBITDA of $0.005 million during the second quarter of the prior year.
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Adjusted EBITDA(i) was a loss of $0.09 million compared to Adjusted EBITDA of $0.002 million during the second quarter of the prior year.
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Gross margin as a percentage of revenues for the second quarter was 21.3% compared to 27.5% for the second quarter of the prior year.
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Expenses for the second quarter were $1.1 million an increase of 7.1% compared to $1.0 during the second quarter of the prior year.
"PSP's refreshed products are beginning to gain traction, especially in the U.S. market. We attribute the gross margin decline to significant shipments of samples to clients and our sales team. In Canada, order timing was slightly slower than anticipated. In addition, the Company has spent considerable time and resources on larger tender projects that we believe will benefit the Company," says CEO, Terry Vaudry. "We remain committed to protecting and growing shareholder value as we move the business forward."
About PSP: The mission statement of Pacific Safety Products Inc. is ...we bring everyday heroes home safely®. PSP is an established industry leader in the production, distribution and sale of high-performance and high-quality safety products for the defence and security market. These products include body armour to protect against ballistic, stab and fragmentation threats, ballistic blankets to reduce blast effects, tactical clothing, and protective products against chemical and biological hazards. PSP is the largest body armour manufacturer in Canada, directly supplying the Canadian Department of National Defence, Federal Government Agencies and major Canadian law enforcement organizations. The Company, through its U.S. subsidiary GH Armor Systems Inc., provides body armour products under the GH Armor Systems® brand to U.S. based law enforcement and private security firms. The Company also produces tactical clothing. Pacific Safety Products is a reporting issuer in British Columbia, Alberta and Ontario, Canada and publicly trades under the symbol PSP on the TSX Venture Exchange.