Jewett-Cameron Announces 2nd Quarter Financial Results
Sales for the second quarter of fiscal 2024 were
For the six months ended
"Consumer spending continues to be negatively affected by inflation and general economic pressures," said CEO
As of
Forward-looking Statements
The information in this release contains certain forward-looking statements that anticipate future trends and events. These statements are based on certain assumptions that may prove to be erroneous and are subject to certain risks, including but not limited to, the uncertainties of the Company's new product introductions, the risks of increased competition and technological change in the Company's industry, and other factors detailed in the Company's
CONSOLIDATED BALANCE SHEETS
(Expressed in (Prepared by Management) (Unaudited) |
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2024 |
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2023 |
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ASSETS |
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Current assets |
|
|
|
|
|
Cash and cash equivalents |
$ |
1,149,316 |
|
$ |
83,696 |
Accounts receivable, net of allowance of |
|
4,676,317 |
|
|
5,634,924 |
Inventory, net of allowance of |
|
17,576,787 |
|
|
18,339,048 |
Prepaid expenses |
|
796,393 |
|
|
630,788 |
|
|
|
|
|
|
Total current assets |
|
24,198,813 |
|
|
24,688,456 |
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|
|
|
|
|
Property, plant and equipment, net |
|
4,450,788 |
|
|
4,655,427 |
|
|
|
|
|
|
Intangible assets, net |
|
112,639 |
|
|
134,845 |
|
|
|
|
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|
Deferred tax assets |
|
226,148 |
|
|
319,875 |
|
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|
|
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Total assets |
$ |
28,988,388 |
|
$ |
29,798,603 |
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LIABILITIES AND STOCKHOLDERS' EQUITY |
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Current liabilities |
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|
|
|
|
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Accounts payable |
$ |
2,190,006 |
|
$ |
2,181,194 |
Bank indebtedness |
|
- |
|
|
1,259,259 |
Income taxes payable |
|
172,722 |
|
|
147,629 |
Accrued liabilities |
|
1,738,874 |
|
|
2,113,194 |
|
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|
|
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Total liabilities |
|
4,101,602 |
|
|
5,701,276 |
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Stockholders' equity |
|
|
|
|
|
Capital stock Authorized 21,567,564 common shares, no par value 10,000,000 preferred shares, no par value Issued
3,504,802
common shares ( |
|
826,861 |
|
|
825,468 |
Additional paid-in capital |
|
795,726 |
|
|
765,055 |
Retained earnings |
|
23,264,199 |
|
|
22,506,804 |
|
|
|
|
|
|
Total stockholders' equity |
|
24,886,786 |
|
|
24,097,327 |
|
|
|
|
|
|
Total liabilities and stockholders' equity |
$ |
28,988,388 |
|
$ |
29,798,603 |
CONSOLIDATED STATEMENTS OF OPERATIONS
(Expressed in (Prepared by Management) (Unaudited) |
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Three Month Periods to the end of February |
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Six Month Periods to the end of February |
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2024 |
2023 |
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2024 |
2023 |
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SALES |
$ |
8,229,192 |
$ |
8,143,421 |
|
$ |
18,035,033 |
$ |
20,720,921 |
|
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COST OF SALES |
|
6,164,676 |
|
6,222,879 |
|
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14,014,436 |
|
15,940,679 |
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GROSS PROFIT |
|
2,064,516 |
|
1,920,542 |
|
|
4,020,597 |
|
4,780,242 |
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OPERATING EXPENSES |
|
|
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|
|
|
|
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Selling, general and administrative expenses |
|
967,426 |
|
1,096,090 |
|
|
1,915,907 |
|
1,922,897 |
Depreciation and amortization |
|
91,039 |
|
88,079 |
|
|
188,943 |
|
199,615 |
Wages and employee benefits |
|
1,732,738 |
|
1,946,458 |
|
|
3,431,658 |
|
3,874,613 |
|
|
2,791,203 |
|
3,130,627 |
|
|
5,536,508 |
|
5,997,125 |
|
|
|
|
|
|
|
|
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(Loss) income from operations |
|
(726,687) |
|
(1,210,085) |
|
|
(1,515,911) |
|
(1,216,883) |
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OTHER ITEMS |
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Other income |
|
- |
|
- |
|
|
2,450,000 |
|
- |
Interest income (expense) |
|
19,819 |
|
(114,530) |
|
|
12,964 |
|
(201,082) |
(Loss) gain on sale of assets |
|
(568) |
|
- |
|
|
89,087 |
|
- |
|
|
19,251 |
|
(114,530) |
|
|
2,552,051 |
|
(201,082) |
|
|
|
|
|
|
|
|
|
|
(Loss) income before income taxes |
|
(707,436) |
|
(1,324,615) |
|
|
1,036,140 |
|
(1,417,965) |
|
|
|
|
|
|
|
|
|
|
Income tax recovery (expense) |
|
173,291 |
|
352,577 |
|
|
(278,745) |
|
372,167 |
|
|
|
|
|
|
|
|
|
|
Net (loss) income |
|
(534,145) |
$ |
(972,038) |
|
|
757,395 |
$ |
(1,045,798) |
|
|
|
|
|
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Basic (loss) earnings per common share |
$ |
(0.15) |
$ |
(0.28) |
|
|
0.22 |
$ |
(0.30) |
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|
|
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Diluted (loss) earnings per common share |
$ |
(0.15) |
$ |
(0.28) |
|
|
0.22 |
$ |
(0.30) |
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Weighted average number of common shares outstanding: |
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|
|
|
|
|
|
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Basic |
|
3,504,348 |
|
3,498,899 |
|
|
3,501,623 |
|
3,497,543 |
Diluted |
|
3,504,348 |
|
3,498,899 |
|
|
3,501,623 |
|
3,497,543 |
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CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in (Prepared by Management) (Unaudited) |
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Six Month Period at the end of February, |
|
Six Month Period at the end of February, |
||
|
2024 |
|
2023 |
||
|
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CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
|
|
|
Net income (loss) |
$ |
757,395 |
|
$ |
(1,045,798) |
Items not involving an outlay of cash: |
|
|
|
|
|
Depreciation and amortization |
|
188,943 |
|
|
199,615 |
Stock-based compensation expense |
|
32,064 |
|
|
23,303 |
Gain on sale of property, plant and equipment |
|
(89,087) |
|
|
- |
Write-down of intangible assets |
|
21,790 |
|
|
- |
Deferred income taxes |
|
93,727 |
|
|
(372,992) |
|
|
|
|
|
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Changes in non-cash working capital items: |
|
|
|
|
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Decrease in accounts receivable |
|
958,607 |
|
|
2,930,390 |
Decrease (increase) in inventory |
|
762,261 |
|
|
(2,447,334) |
(Increase) decrease in prepaid expenses |
|
(165,605) |
|
|
318,009 |
(Decrease) in accounts payable and accrued liabilities |
|
(365,508) |
|
|
(1,020,411) |
Decrease (increase) in prepaid income taxes |
|
- |
|
|
825 |
Increase in income taxes payable |
|
25,093 |
|
|
- |
|
|
|
|
|
|
Net cash provided by (used in) operating activities |
|
2,219,680 |
|
|
(1,414,393) |
|
|
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CASH FLOWS FROM INVESTING ACTIVITIES |
|
|
|
|
|
Proceeds on sale of property, plant and equipment |
|
105,199 |
|
|
- |
Purchase of property, plant and equipment |
|
- |
|
|
(301,681) |
|
|
|
|
|
|
Net cash used in investing activities |
|
105,199 |
|
|
(301,681) |
|
|
|
|
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CASH FLOWS FROM FINANCING ACTIVITIES |
|
|
|
|
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(Repayment) proceeds from bank indebtedness |
|
(1,259,259) |
|
|
1,500,000 |
|
|
|
|
|
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Net cash provided by (used in) financing activities |
|
(1,259,259) |
|
|
1,500,000 |
|
|
|
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Net increase (decrease) in cash |
|
1,065,620 |
|
|
(216,074) |
|
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Cash, beginning of period |
|
83,696 |
|
|
484,463 |
|
|
|
|
|
|
Cash, end of period |
$ |
1,149,316 |
|
$ |
268,389 |
Contact:
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