WELLAND, ONTARIO--(Marketwire - Aug. 29, 2012) - CRS Electronics Inc. ("CRS" or the "Company") (TSX VENTURE:LED), a developer and manufacturer of LED lighting, today reported financial results for the three and six month periods ended June 30, 2012.
For the three months ended June 30, 2012, the Company reported sales of $687,700 and a net loss of $0.02 per share as compared to sales of $614,900 and a net loss of $0.02 per share in the same period one year ago. For the six months ended June 30, 2012, the Company reported sales of $2.0 million and a net loss of $2.1 million or $0.05 per share. This compares to sales of $1.2 million and a net loss of $1.1 million or $0.03 per share for the same six-month period last year.
Working capital at June 30, 2012 was $7.4 million, including $6.9 million in cash.
"The second quarter brought about a transitional period for CRS, setting the stage for expanded opportunities and re-aligning our resources to increase sales and achieve profitability," said Scott Riesebosch, President of CRS Electronics. "Our new strategic investor has introduced us to opportunities to reduce production costs and significantly ramp up revenues. As part of the realignment, we are preparing to move production of our LED lamps overseas and use the Canadian base as a distribution centre for our LED products as well as a catalogue of synergistic products sourced through our new investors. The Canadian facility will continue to be utilized for advanced research and development."
During the quarter, CRS closed a 30,400,548 common share private placement at a price of $0.2921 per common share for total proceeds of $8.9 million.
The unaudited interim financial statements and related MD&A can be found on SEDAR at www.sedar.com.
CRS Electronics Inc., a Lighting Facts partner, is a leader in the emerging, rapidly-growing market of high efficiency light-emitting-diode ("LED"), or, solid state lighting ("SSL"). The principal activities of CRS include the development, manufacture and sale, primarily in North America, of indoor lighting such as LED replacement lamps, exterior LED warning lights on school buses, child safety systems for school buses and contract manufacturing of LED circuit boards. CRS plans to be a major supplier of LED lighting solutions for a variety of applications to be developed by CRS on its own and in conjunction with its customers. CRS recently signed a license agreement with Eveready Battery Company Inc., a subsidiary of Energizer Holdings Inc., for CRS to manufacture a range of LED lighting products under the brand name Energizer®. The CRS LED product line includes the MR16, GU10, PAR 20, PAR 30, PAR 38 and A19. Future products developed by CRS may also be considered by Energizer. © 2011 Energizer. Energizer, Energizer bunny design and related graphics are trademarks of Eveready Battery Company, Inc. and are used by CRS Electronics Inc. All other brand names are trademarks of their respective owners. Neither CRS Electronics Inc. nor Eveready Battery Company, Inc. is affiliated with the respective owners of their trademarks.
Certain statements contained in this news release constitute forward-looking information within the meaning of Canadian securities laws which can be identified by terminology such as "may", "will", "could", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "projects", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts. Such forward-looking statements are based on a number of material factors and assumptions, including, but not limited in any manner, those disclosed in any other CRS filings, and include availability of sufficient working capital for development and operations, availability of a qualified work force, availability of manufacturing equipment and the ultimate ability execute its business plan on economically favourable terms. While we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Actual results may vary from such forward-looking information for a variety of reasons, including but not limited to risks and uncertainties disclosed in other CRS filings at www.sedar.com and other unforeseen events or circumstances. Other than as required by law, CRS does not intend, and undertakes no obligation to update any forward-looking information to reflect, among other things, new information or future events.
Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.