6mo results
Thermal Control Technologies Corp TCT
Shares issued 13,900,978 Nov 26 close $0.85
Fri 27 Nov 98 News Release
Mr. Blaine Maller reports
Revenues for the six months ended Sept. 30, 1998 were $4,187,055 compared
to the previous year's results of $3,261,826, an increase of 22 per cent.
Cash flow per share moved up from 0 cents per share to 13 cents per share
for the current year. Costs of goods sold as a percentage of product sales
improved even further to 46 per cent from the previous year's 47 per cent.
During the second quarter TCT experienced a number of extraordinary
expenses in relation to the closure of its Lincoln, Nebraska manufacturing
plant and the subsequent relocation to Prescott, Arizona. The $261,000 of
extraordinary expenses was attributed mostly to transportation of
equipment, severance and relocation of staff. The relocation from Lincoln
to Prescott also caused an interruption in the production of CACs, but by
the end of the quarter production was up to the required levels.
STATEMENT OF EARNINGS
Six months ended Sept. 30
1998 1997
Revenue
Oil and gas sales,
net of royalties $ 12,510 $ 62,131
Product sales 4,174,545 3,199,695
--------- ----------
4,187,055 3,261,826
Expenses
Cost of manufac-
turing product
sold 1,922,081 1,517,420
General and admin 1,187,440 514,300
Interest on long-
term debt 278,994 -
Depletion and
amortization 182,298 126,960
Oil and gas
production 38,771 29,361
--------- ----------
3,609,584 2,188,041
--------- ----------
Earnings before
income tax 577,471 1,073,785
--------- ----------
Provision for
income tax
Current 238,840 -
Deferred (42,500) -
--------- ----------
196,340 -
Net earnings $381,131 $1,073,785
========= ==========
Earnings per share
before tax 4 cents 9 cents
Earnings per share
after tax 3 cents -
Cash flow per share 13 cents 0 cents
Thermal Control Technologies has entered into a letter of engagement with
Peacock, Hislop, Staley & Given to place the tax-exempt industrial
development bond. Peacock is a Phoenix based Investment Boutique which
specializes in Arizona based businesses and is active in both the equity
and fixed income markets. Additionally, it functions as market maker for
NASD BB stocks and actively follow micro cap stocks.
TCT Management has decided to reduce the amount of the proposed bond issue
to $3,000,000 (U.S.) which will enable the company to implement planned
cost cutting measures while maintaining a prudent level of debt. |
