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Tue, August 11, 2009
Schneider Power Inc.: Schneider Power Announces Second Quarter Results
TORONTO, ONTARIO--(Marketwire - Aug. 11, 2009) - Schneider Power Inc. (TSX VENTURE:SNE), a global developer of renewable energy facilities, today announced its 2009 second quarter results.
Highlights for the second quarter ended June 30, 2009:
- Achieved positive EBITDA and the Company's first profitable quarter
- Acquired a majority interest in Grand Valley Wind Farms Inc. from EarthFirst Canada Inc., and with it over 50 MW of wind capacity pipeline of which 22 MWs are under RESOP contract and an additional 28 MWs are expected to be bid into the new Ontario Feed-In-Tariff program
- Reached $435,000 settlement with Canada Revenue Agency with respect to penalties and interest for prior years' shortfall in Canadian Renewable Conservation Expenditures ("CRCE"), a settlement that is $325,000 lower than previously estimated
- Received approval for an Eco-energy credit for our Providence Bay project from Natural Resources Canada
"We are very pleased to report the first profitable quarter in our history, which portends of the potential of this Company and the value of its projects and business plan" stated Jonathan Lundy, Schneider Power's Chief Executive Officer. "Aside from continued improvement in our financial results, our primary focus in the second half of 2009 will be to extract meaningful value from our project pipeline, by assisting our current partner in the construction of our Arthur wind farm and by finding new project equity partners to bring additional advanced stage projects online in 2010 and beyond."
During the quarter ended June 30, 2009, the Company earned net income of $334,281, or $0.01 per share, compared to a net loss of $204,062 ($0.00 per share) for the prior year period. Revenues rose to $588,782 for the quarter, from $64,475 in the comparable period. Aided by an aggregate offset of $438,000 of expenses due to settlement of CRCE penalties and claims and the receipt of a SRED tax credit, salaries, general and administrative expenses fell to $111,010 in the quarter, compared to $720,044 in the prior year period. The Company generated EBITDA of $467,829 in the second quarter compared to an EBITDA loss of $657,977 in the prior year period. "We are well on track to hit our 2009 goals to generate positive EBITDA and reduce our SG&A by 30%," added Lundy, "and are poised to have even stronger top and bottom line performance in the second half of the year."
The Company's complete Second Quarter Financial Statements and Management's Discussion and Analysis are available at [ www.sedar.com ] or on the Company's website at [ www.schneiderpower.com ].
About Schneider Power: Schneider Power Inc. is one of Canada's premier renewable energy companies, with a large portfolio of clean electricity generation development projects and advanced exploration projects located across two continents, and large land positions on the most promising and prospective wind and solar power areas in North America.
Schneider Power is listed on the TSX Venture Exchange under the symbol SNE.
NON-GAAP MEASURES
Earnings before interest, taxes, depreciation and amortization (EBITDA) is a standard used in the energy industry to assist in understanding and comparing operating results. The Company believes that this measure is important in assessing its profitability before the impact of depreciation and amortization and non-operating factors, including gain or loss on derivatives. EBITDA is also a useful measure of the Company's ability to service debt, invest in capital equipment or distribute dividends to its shareholders. EBITDA is not defined by GAAP and should be used as a supplement and not a substitute for the Company's results of operations.
Certain statements included in this news release constitute "forward-looking information" within the meaning of applicable securities legislation. Such forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Schneider Power to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.