Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : MAAX INC. (MXA) -- Ignore unavailable to you. Want to Upgrade?

To: Gilbert Drapeau who wrote (7)	1/11/2001 10:12:07 AM
From: Gilbert Drapeau	Read Replies (2) \| Respond to of 37

MAAX Inc. Announces Third-Quarter Results SAINTE-MARIE, QUEBEC--JANUARY 11, 2001 - 08:32 EST MAAX Inc. announces its results for the third quarter ended November 30, 2000. For the first nine months of the current fiscal year, sales totaled $372.4 million, up 11.63% over $333.6 million for the corresponding period of the previous fiscal year. MAAX has achieved internal sales growth of 7.30% over the past nine months. The Company posted net income of $19.7 million or $0.83 per share on a weighted average number of 23,754,719 shares outstanding, compared with $0.87 per share for the first three quarters of last year. Operating cash flows reached $35.4 million or $1.49 per share, up 7.6% from $32.9 million or $1.39 per share last year. For the three-month period ended November 30, 2000, MAAX's sales rose 4.73% to $113.8 million, up from $108.7 million for the same period of last year. Net income fell to $4.2 million, compared with $6.4 million for the third quarter of the previous fiscal year, a decrease of 34.56%. Earnings per share totaled $0.18, as compared with $0.27 last year. MAAX generated operating cash flows of $9.8 million or $0.41 per share, compared with $10.8 million or $0.45 per share for the third quarter of fiscal 2000. On a segmented basis, third-quarter sales of bathroom and kitchen products totaled $99.7 million, up 5% over last year, while sales of spas amounted to $14.1 million, up 2.7% over the third quarter of the previous fiscal year. In the third quarter, the Company's profitability and sales were affected by the following factors: Higher transportation expenses and raw material costs as a result of soaring oil and natural gas prices. Also customer inventory reduction program and economic and business conditions have weakened further than anticipated. André Héroux, MAAX's President and Chief Operating Officer, pointed out that the Company's optimization process has taken longer than expected but he foresees an improvement in profit margins as of the first quarter of next fiscal year. Outlook Management remains optimistic with regards to MAAX's growth potential for the coming year. The Company expects to gain market share in its two business sectors across North America in 2001 from its strategies implemented in 2000. Placide Poulin, Chairman and Chief Executive Officer said that MAAX's strategy is based first and foremost on the Company's profitability and sales growth. The company's improved productivity, optimized re-engineering processes, sales price increases and the deployment of a marketing plan aimed at increasing its share of the U.S. market, should all have a positive impact on MAAX's performance in the coming months. MAAX Inc. is a leading North American manufacturer of bathroom products and accessories, spas and kitchen cabinets. With 2,700 employees, MAAX operates 23 plants and seven distribution centres throughout Canada, the United States and Europe. The Company's common shares are traded on the Toronto Stock Exchange under the MXA ticker symbol.