RICHMOND, British Columbia, Feb. 29, 2008 (PRIME NEWSWIRE) -- CON-SPACE Communications Ltd. (TSX-V:CCB) (http://www.con-space.com), a world leader in specialized voice communication products, technical search, surveillance and inspection systems, announced today its final numbers for the 2nd quarter, ended December 31, 2007.
Sales for the 2nd quarter 2008 totaled $2,703K, a 69.7% increase over revenues of $1,593K during the same quarter in the prior year. During the 2nd quarter, the Company had a 7.3% increase in gross profit ($1,281K) as a percentage of sales. There was a 69.0% increase in operating expenses to $960K, and a net profit of $106K for the period over the former year's 2nd quarter net profit of $82K. This translates to a $0.01 per share profit for both years' 2nd quarter results.
Sales in the 2nd quarter 2008 represented a 44.3% increase over 1st quarter revenues of $1, 873K. As a percentage of sales, the Company had a 1.2% increase in gross profit to $1,281K. There was a decrease of 7.0% in operating expenses to $960K, from the 1st quarter's operating expenses of $1,032K, and a net profit of $106K for the period compared to a 1st quarter net loss of $390K.
On a half year basis sales for fiscal 2008 totaled $4,577K representing a 55.5% increase over sales for 1st half of fiscal 2007 which were $2,943K. This increase is mostly a result of the addition of Search Systems; however, had it not been for the continuing increase in the rise of the Canadian dollar, this increase would have been significantly higher. Gross profit of $2,147K or 46.9% of sales increased over the previous years' $1,221K or 41.5% in 2007.
Operating expenses show a year over year increase as a percent of sales 5.1%. In actual dollars the increase was $861K over last year; however, this now includes Search Systems expenses. Loss per share ended at $0.02 per share while earnings per share in 2007 were $0.01.
CON-SPACE recently appointed Mr. Gord Cook, a director of the Company, to position of President on January 23, 2008. Mr. Cook has been with the Company since 2004. He is extremely action-oriented and has immediately focused on increasing the Company's sales and profitability.
About CON-SPACE
CON-SPACE is recognized worldwide as the leading designer and manufacturer of specialized voice communication equipment used by Police, Fire, Rescue, Government Agencies, Militaries, Municipalities and general industry. CON-SPACE has distribution throughout North America, Great Britain and Australia, parts of Asia, South America, and Europe. CON-SPACE also supplies many other manufacturers with private labeled products.
This press release is available on CON-SPACE's official online investor relations site for investor commentary, feedback and questions. Investors are asked to visit http://www.agoracom.com and view the CON-SPACE Investor Contact & Information Centre. Alternatively, investors are asked to e-mail all questions and correspondence to CCB@Agoracom.com
Further information is available on the Company's website, www.con-space.com
DISCLAIMER
This news release contains forward-looking statements which reflect management's current expectations regarding the Company's objectives, plans, goals, strategies, future growth, results of operations, performance and business prospects and opportunities. These forward-looking statements are not guarantees, but only predictions. Although the Company believes that these statements are based on information and assumptions which are current, reasonable and complete, these statements are necessarily subject to a number of factors that could cause actual results to vary significantly from current expectations. These factors and other risks and uncertainties are discussed in the Company's materials filed with the Canadian securities regulatory authorities from time to time, as identified in the Company's disclosure record on www.sedar.com. The forward-looking statements included in this news release are made only as of the date of this news release and the Company does not undertake to publicly update these forward-looking statements to reflect new information, future events or otherwise.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.