Pelorus Navigation Systems Inc -
Pelorus Navigation first-quarter results
Pelorus Navigation Systems Inc PN
Shares issued 8,392,027 1999-10-13 close $0.95
Thursday Oct 14 1999
Mr. Michael Beamish reports
For the three months ending Aug. 31, 1999, the company had net income of $54,401 from revenue of $624,203, which marks a return to profitable operations.
"The first quarter was a period of both transition and reward for Pelorus," stated Michael Beamish, president and chief executive officer. "In my 1998 report to shareholders, I forecast that we would begin to see the rewards from building for the future in our fiscal 2000. The modest profit recorded in the first three months is very encouraging and I look for this trend to continue."
The company recently completed negotiations for borrowing facilities to ensure that sufficient working capital is available to support the increase in manufacturing activity during the current year.
FINANCIAL HIGHLIGHTS
Three months ended Aug. 31
1999 1998
Revenue $624,203 $65,467
Income (loss)
from operations $175,805 ($357,015)
Cash flow
(deficiency) from
operations $174,635 ($362,018)
Net income
(loss) $54,401 ($554,839)
Earnings (loss)
per share 1 cent (7 cents)
First quarter highlights included receipt of an order from Honeywell for 11 SLS-2000 Local Area Augmentation Systems. These systems are currently being manufactured in the company's Saskatoon facility for delivery and invoicing in the current fiscal year.
Progress in creating and validating the standards for the public use of the Honeywell/Pelorus SLS-2000 Precision Approach system is on schedule. Honeywell and Pelorus are closely involved with the U.S. Federal Aviation Administration in creating the specification for the public-use, satellite landing system. The FAA published its Local Area Augmentation System Ground Facility specification, which is expected to become the world standard, as planned on Sept. 21, 1999. The Honeywell/Pelorus SLS-2000 will comply with the requirements embodied in the specification.
Significant progress was also made on existing SLS-2000 installation contracts. Pelorus commenced preliminary site work at a number of locations in the Americas and Europe. The number of installed and fully operational SLS-2000 systems is expected to double from 12 to 24 in the current year. In addition to making a significant contribution to the company's revenue, each installation further enhances the profile of the Honeywell/Pelorus SLS-2000.
As previously reported, Pelorus received an order from NavCanada for five DME systems in the first three months of fiscal 2000. These systems are currently being manufactured for delivery in the third and fourth quarter of fiscal 2000. |
