CECO Environmental Corp.
Operating profit for the third quarter was $509,000 or $.065 per share, a $649,000 improvement compared with a loss of ($140,000) or ($.02 per share) for the same period in 1999.
Revenue for the first nine months of 2000 was $74.9 million, a 489% increase compared with $12.7 million for the same period in 1999.
Operating profit for the first nine months of 2000 was $1.6 million or $.19 per share, a 492% increase compared with $300,000 or $.03 per share for the same period in 1999.
EBITDA for the third quarter was $995,000 or $.13 a share, a $980,000 gain as compared to $15,000 or $.00 per share in the same period in 1999.
EBITDA for the first nine months of 2000 was $2,991,000, or $.36 per share, a $2,270,000 gain as compared to $721,000 or $.08 per share in 1999.
Net loss for the quarter ended September 30, 2000 was ($167,564) or ($.02 per share) compared with a loss of ($133,091) or ($.015 per share) in the same period in 1999.
Net loss for the first nine months of 2000 was ($159,657) or ($.02 per share) compared with a net loss of ($24,494) or ($.00) per share for the same period in 1999.
Phillip DeZwirek, Chairman and CEO stated that, "the substantial increase in cash flow (EBITDA), is the true representative of the giant strides CECO has taken. The acquisition of both the operations and management of Kirk & Blum was the defining moment in the growth and future potential of CECO Environmental. CECO, under the leadership of President Rick Blum has established a platform for becoming the world-wide leader in solving the problems of both indoor and outdoor air pollution."
"The company's aggressive acquisition program created substantial goodwill which is a non-cash charge to earnings as well as one time charges as efficiencies are implemented. We regard EBITDA growth as our key to future expansion."
Bookings in the first nine months of 2000 were $68.6 million while backlog at September 30, 2000 stood at $23.4 million. The Company has increased its backlog by $7.8 million from its December 31, 1999 level.
The Company states that in the fiscal year ended December 31, 2000 CECO Environmental will have grown to approximately $100 million in annual revenues from $10 million in 1996 without having to issue any common shares for acquisition purposes. All expansion was financed by bank financing supported by internal cash flow. Mr. DeZwirek stated that: "When, in the opinion of the Board of the Directors of the Company, the stock market properly evaluates the share price of CECO common shares, the Company will consider raising expansion capital from the equity market."
About CECO Environmental
CECO Environmental Corp. is North America's largest independent air pollution control company. CECO, through its five subsidiaries, Air Purator Corporation, Busch Company, CECO Filters, kbd Technic and Kirk & Blum provides a wide spectrum of air quality services and products including: industrial air filters, high performance filter fabrics, environmental maintenance, monitoring and management services, and air quality improvements systems. CECO is a full-service provider to the steel, aluminum, automotive, aerospace, semiconductor, chemical, cement, metalworking, glass, foundry and virtually all industrial process industries.
For more information on CECO Environmental Corp., please visit the company's web site at http://www.cecoenviro.com/.
Condensed Consolidated Statement of Operations (in thousands, except per share data) (unaudited) Three Months Ended Nine Months Ended 30-Sep-00 30-Sept-99 30-Sep-00 30-Sept-99 Net revenues $28,637 $3,972 $74,887 $12,709 Cost of revenues 24,169 2,582 61,062 7,467 Gross Profit 4,468 1,390 13,825 5,242 Selling and administrative 3,473 1,375 10,834 4,520 Depreciation and amortization 486 155 1,404 454 Operating income (loss) 509 (140) 1,587 268 Interest expense & other income (809) (144) (1,912) (124) Income (loss) before income taxes (300) (284) (325) 144 Income tax (provision) benefit 109 133 118 (46) Minority interest 24 10 47 4 Income (loss) from continuing operations (167) (141) (160) 102 Discontinued operations -- 8 -- (126) Net income (loss) (167) (133) (160) (24) Per Share Data: Operating Profit $ .065 ($ .02) $ .19 $ .03 EBITDA $ .13 0.00 $ .36 $ .08 Net income (loss) per share ($ .02) ($ .02) ($ . 02) $ .00 Weighted average shares outstanding 7,930 8,485 8,299 8,485
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All forward-looking statements are subject to certain risks, uncertainties and assumptions. These risks and uncertainties, which are more fully described in CECO's Annual and Quarterly Reports filed with the Securities and Exchange Commission, include changes in market conditions in the industries in which the Company operates. Should one or more of these risks or uncertainties materialize, or should the assumptions prove incorrect, actual results may vary in material aspects from those currently anticipated.
SOURCE: CECO Environmental Corp.
Contact: Phillip DeZwirek of CECO Environmental Corp., 800-606-CECO,