Ceres Global Ag Corp. Reports Profitable Results for the Second Quarter Ended September 30, 2014
TORONTO, ON, (November 7, 2014) – Ceres Global Ag Corp. (TSX: CRP) (“Ceres” or the “Corporation”) announces it has released its financial results for the quarter and six-month periods ended September 30, 2014. The following are key highlights during the quarter (all dollar amounts in Canadian dollars):
- Consolidated revenue was $17.1 million for the second quarter ended September 30, 2014 (Q2 2015), compared to $74.4 million for the quarter ended September 30, 2013 (Q2 2014). The reduction in revenue from Q2 2014 is primarily due to lower grain prices and inventory quantities.
- Consolidated gross profit was $5.3 million for Q2 2015, compared to gross profit of $2.6 million for Q2 2014.
- Income from operations was $2.4 million for Q2 2015, compared to loss from operations of $8.9 million for Q2 2014.
- Consolidated EBITDA was $3.2 million for Q2 2015, compared to a negative EBITDA of $10.2 million for Q2 2014.
- Consolidated net income was $1.9 million for Q2 2015, compared to a net loss of $11.7 million for Q2 2014.
- Basic and fully diluted consolidated earnings per share was $0.13 for Q2 2015, compared to a loss per share of $0.82 per share for Q2 2014.
- The company discontinued its plan to sell its Savage, Minnesota, facility after a decision was made in Q2 2015 to retain and use the facility to complement future strategic initiatives. Ceres reclassified the assets from asset held for sale to property, plant and equipment.
- Ceres reclassified the asset at the Northgate facility (“Northgate” or “NCLC”) from being an investment property to property, plant and equipment, based on management’s decision to solely develop and operate NCLC as owner and operator of the facility.
- As of end Q2 2015, Ceres capitalized costs totaling $30.6 million (March 31, 2014: $14.8 million) for the NCLC project, including land acquisition costs, environmental costs, mass grading and site preparation, and rail track costs.