Quarterly results ending September 30th 2015
Symbl: IRO.V
Price: $0.03
Common Shares: 22,617,811
Insider Holdings: 3,369,000(15%) As per www.sedi.ca
All numbers and sales are in US dollars, leveraging the Canadian company right now.
Assets
Cash: $106,000
Accounts Receivable: $1,591,000
Inventory: $573,000
Prepaid Expenses: $185,000
Goodwill: $1
Plant & Equipment: $4,799,000
Mineral Properties: $258,00
Total Assets: $7,513,000
Liabilities
Accounts Payable: $1,408,000
Line of credit: $1,450,000
Equipment financing: $136,000
Asset Retirement: $102,000
Other Equipment:$241,000
Series A preferred shares: $3,417,000
Total Liabilities: $6,754,000
Sales over 3 months
Revenue: $2,845,000
Net income: $33,000USD or $42,000CAD(as of Dec.1)
EPS : $0.0014USD
Sales over 9 months
Revenue: $8,400,000
Net income: $24,000USD
Eps: $0.001USD
Breakdown below shows that Q1 was a rough start to the year, then management reorganized everything and Q2/Q3 are a new profitable trend for IRO.
Q1 – Loss of $72,000 USD
Q2 – Profit of $63,000 USD
Q3 – Profit of $33,000 USD
MD&A Highlights
Inter-Rock owns two revenue generating businesses(Mill-Creek and MIN-AD) along with Gold claims in Nevada
Total third quarter sales volumes were 14% higher than the corresponding period in 2014. Revenue increased 20% to $1,221,000. Third quarter glass industry sales increased 35% because all of Mill Creek’s glass customers are running at full capacity, a new large float glass customer was added toward the end of the first quarter, and an existing customer increased capacity. Roofing filler sales decreased 20% while aglime sales were at the same level as last year. Third quarter selling and G&A expenses decreased from $241,000 to $231,000.
Outlook for Mill Creek and Plans for 2015
The goals for the remainder of 2015 and 2016 are as follows:
i) retain Jacobs to do preliminary engineering and cost estimates on plant improvements, particularly the crushing plant
ii) incorporate 2014 drilling data into the deposit model
iii) develop a 5 year mine plan and ore blending schedule that incorporates the projected higher glass sales volumes iv) hire a mechanic/welder and plant and quarry supervisors
v) install fuel controls on the rotary dryer
vi) continue an engineering study of different dryer fuels (propane and natural gas)
vii) continue the dust control projects, including a review of the wet scrubber
viii) increase stockpile inventories
Business of MIN-AD
MIN-AD’s gross product revenue for the third quarter increased 6% to $1,624,000. Combined operating and G&A expenses increased 1%. MIN-AD reported a loss of $23,000 as compared with a loss of $62,000 in the third quarter of 2014. Quarterly EBITDA decreased from $163,000 to $117,000. MIN-AD’s sales volume is still projected to increase 2%. Net product revenue is projected to increase by about 3%, mainly due to price increases. Marketing and sales costs are projected to decrease 10%.
Outlook for MIN-AD and Plans for 2015
The main projects for 2015 will be:
i) Close monitoring of expenses and sales volumes
ii) Continued strong marketing of the Granular product for range and pasture applications
iii) Marketing of dolomite as a lime substitute to northern Nevada gold mines and other non-feed industries.
Mineral Exploration
Secret Pass holds two claim groups in historic mining districts of northern Nevada.
Sentinel
The Sentinel gold property is located in Humboldt County and consists of 22 claims covering 440 acres. No royalties or lease payments are associated with the property. An 8-hole drill program over a small part of the property was completed several years ago; the results were sufficiently encouraging to warrant further exploration of the property. Some work is planned for the fourth quarter.
Varyville
The Company holds a group of 8 claims in an historic gold mining district of northwest Nevada. There are no associated royalties or lease payments. The Company entered into a Lease and Option to Purchase Agreement on these claims with Paradigm Minerals USA. Under the terms of the Agreement, Paradigm is required to make annual lease payments of $25,000 and pay the holding costs, however, the lease payment was waived in 2015. |
