CET Environmental Services, Inc. Announces Second Quarter and Six Month Financial Results
ENGLEWOOD, Colo., Aug. 10 /PRNewswire/ -- CET Environmental Services, Inc. (Amex: ENV) reports that revenues for the second quarter ended June 30, 2001 were $2,508,000, down 62% from the $6,682,000 in revenues reported for the year-earlier period. Operations for the period were essentially at a breakeven level, and net income for the quarter was $16,350 or $.00 a share. In the second quarter of 2000, net income was $1,504,000 or $.24 a share, and included operating profits of $173,000 and a $1.3 million gain on the sale of the former Tustin, California operations.
For the six months ended June 30, 2001, revenues were $6,574,000, down 35% from the $10,135,000 in revenues recorded in the first half of 2000. Net income for the 2001 period was $27,842 or $.00 a share, which compared with net income of $720,000 or $.11 per share in the year-earlier period.
The major impact on the Company's business during the current year is the absence of commercial revenues from Brownfields projects which, although terminated in the third quarter of 2000, contributed $2.8 million and $3.5 million, respectively, in revenues to the second quarter and first half of 2000. Meanwhile, work orders from the EPA were erratic, and while increasing to $5.7 million for the first half of 2001, up from $4.0 million a year earlier, second quarter work orders declined to $2.0 million from $2.7 million in the like quarter of 2000.
Steve Davis, President and CEO, said, "I am disappointed with our financial results. We continue to feel the effects of the on-going collection problems experienced with Remediation Financial, Inc. (RFI), the parent company of the Brownfields projects in California. These amounts represent $6.2 million or 92% of account receivables at June 30, 2001. I believe these receivables are collectible through either cash receipts or by secured liens placed on the projects."
Mr. Davis continued, "Even though this was fundamentally a break-even period, I remain very optimistic about our future. We intend to diligently manage our business with the goal of lowering operating expenses, while increasing our water/wastewater projects, Brownfields projects, and creating a level of operations that produces consistent profitability." |
