BURLINGTON, ON, Aug. 27 /CNW/ - IPICO Inc. (TSX-V: RFD.V) today announced results for the three months ended June 30, 2009. Revenue for the second quarter increased 53% to $1,806,018 compared to $1,180,958 in the second quarter of 2008. Gross margin was $483,313 compared with $518,950 in 2008. Net loss for the quarter was $2,737,798 ($0.05 per share) compared to $2,528,051 ($0.05 per share) in 2008. Prior to the impact of the stock based compensation charge the net loss was $2,423,838 down from $2,528,051 in the prior year quarter.
Total operating expenses for the quarter ended June 30, 2009 were $3,148,109 and this included non-cash stock based compensation charges of $313,960 related to the release of shares held by a trust during the second quarter. There was no such charge in the prior year quarter where total operating expenses were $3,040,469. The benefits of cost savings realized in the second quarter of 2009 more than offset the operating costs associated with the Company's exclusive Sports Timekeeping distributor acquired in the fourth quarter of 2008. The benefits of ongoing cost savings measures being implemented across all of the Company's operations will continue to be realized in the coming quarters.
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Three months ended June 30
(in Canadian dollars, except per share) 2009 2008
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Revenue $ 1,806,018 $ 1,180,958
Gross margin 483,313 518,950
Gross margin % 27% 44%
Total operating expenses 3,148,109 3,040,469
Net loss (2,737,798) (2,528,051)
Net loss per share (basic and diluted) (0.05) (0.05)
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The Company's cash and cash equivalents at June 30, 2009 were $1,391,870 compared with $4,371,557 at December 31, 2008 a reduction of $2,997,687.
The Company's unaudited interim consolidated financial statements for the second quarter ended June 30, 2009 along with management's discussion and analysis thereon can be on found on SEDAR at www.sedar.com under the trading symbol TSX-V:RFD.
ABOUT IPICO Inc.
IPICO Inc. is an RFID solution supplier with operations in Canada, USA, South Africa, Europe, Asia and Australia. IPICO produces smart labels, tags and readers based on the IP-X communication protocol. Its products are designed to conform to regulatory requirements in most major geographical regions, to excel at long read range, fast multi-read anti-collision and high thru-beam read-speeds of dynamic tag populations, and to allow for multi-reader rollout in close proximity. IPICO's products are used to optimize the management of products, equipment, people, animals and processes within the logistics and other value chains. For further information, go to www.ipico.com.
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY
OR THE ACCURACY OF THIS RELEASE.
ContactsGordon Westwater President & CEO
IPICO Inc.
Tel: (905) 631-6310
Email: gordon.westwater@ipico.com Ted Irwin
Chief Financial Officer
IPICO Inc.
Tel: (905) 631-6310
Email: ted.irwin@ipico.com
