Tickers: XTSX:IPC, PINX:IPPQF
Tags: Children
Langley, BC / TheNewswire / February 21, 2018 - Iplayco Corporation Limited (TSX VENTURE: IPC) ("Iplayco" or the "Corporation") announces financial results for its first quarter ended December 31, 2017. All amounts are in Canadian dollars unless otherwise noted.
This news release contains financial information derived from Iplayco's unaudited condensed consolidated interim financial statements for the three months ended December 31, 2017. More detailed information can be found in the unaudited condensed consolidated interim financial statements and Management's Discussion and Analysis for the three months ended December 31, 2017, which are being filed with the applicable Canadian regulatory authorities.
Highlights:
--Sales of $5,154,335, up 45.2% compared to the previous quarter ended September 30, 2017 ("Q4-17"), due primarily to sales backlog;
--Gross profit percentage of 48.5%, up 3.8 percentage points compared to Q4-17, due to higher margin sales mix;
--Selling and administrative expenses of $1,921,712, up 5.1% compared to Q4-17, due primarily to roll-out of European operations;
--Net income of $383,806, compared to a net loss of $539,655 in Q4-17;
--Earnings per share of $0.02.
Strong sales were realized in multiple jurisdictions during Q1-18, including Asia and Middle East, owing partially to a significant backlog from the previous quarter. European sales were also higher following the acquisition of popular local brands in October 2017. The Company devoted significant resources in Q1-18 to set-up the new European operations and establish capacity for marketing, manufacturing and distribution. Management expects Europe sales to contribute significantly to revenue in coming quarters.
"Fiscal 2018 is off to a good start and although we anticipate a softer second quarter, the overall outlook for 2018 remains positive," said Scott Forbes, President & Chief Executive Officer of Iplayco. "The time we've spent setting-up our new European operations has convinced us that the European market can be another significant engine of growth for the company this year and well into the future."
Results for the three months ended December 31, 2017 ("Q1-18") as compared to the three months ended September 30, 2017 ("Q4-17")
Sales increased by 45.2% to $5,154,335 in Q1-18 from $3,550,302 in Q4-17. Gross profit percentage increased to 48.5% of sales in Q1-18 from 44.7% in Q4-17. Operating expenses, including foreign exchange gains and losses and finance costs, increased to $1,980,946, or 38.4% of sales, in Q1-18 from $2,233,966, or 62.9% of sales, in Q4-17. Net income amounted to $383,806, or diluted net income per share of $0.02, in Q1-18, as compared to a net loss of $539,655, or net loss per share of $0.03, in Q4-17.
Results for the three months ended December 31, 2017 ("Q1-18") as compared to the three months ended December 31, 2016 ("Q1-17")
Sales decreased by 28.7% to $5,154,335 in Q1-18 from $7,228,963 in Q1-17. Gross profit percentage increased to 48.5% of sales in Q1-18 from 39.7% in Q1-17. Operating expenses, including foreign exchange gains and losses and finance costs, increased to $1,980,946, or 38.4% of sales, in Q1-18 from $1,549,188, or 21.4% of sales, in Q1-17. Net income amounted to $383,806, or diluted net income per share of $0.02, in Q1-18 as compared to net income of $959,209, or diluted net income per share of $0.05, in Q1-17.
About Iplayco Corporation Limited
Iplayco is a global leader in the design and supply of premium-quality, fun, safe and durable indoor playgrounds for children. In its 18-year history, Iplayco has sold over 3,000 playgrounds to over 60 countries worldwide. For more information, please visit www.iplaycoltd.com.
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Cautionary Note Regarding Forward-looking Statements
This news release contains "forward-looking statements" and certain "forward-looking information", within the meaning of applicable Canadian securities legislation, concerning the business, operations, financial performance and condition of the Corporation. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as "may", "will", "should", "expected to", "intend", "continue", "plans", or similar terminology.
Forward-looking statements and information are based upon certain assumptions and other important factors that, if untrue, could cause the actual results, performances or achievements of the Corporation to be materially different from future results, performances or achievements expressed or implied by such statements. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which Iplayco will operate in the future including but not limited to: unanticipated costs and expenses and uncertainties relating to the availability and costs of financing needs in the future.
Forward-looking statements and information are subject to known and unknown risks, uncertainties and other important factors that may cause the actual results, level of activity, performance or achievements of Iplayco to be materially different from those expressed or implied by such forward-looking statements and information, including but not limited to: fluctuation in foreign exchange rates and interest rates; stock market volatility; the requirement for regulatory approvals and third party consents; the impact of general business and economic conditions; risks related to international operations and government relations; liability, competition, loss of key employees and other related risks and uncertainties. Although the Corporation has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements and information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements or information. Iplayco does not undertake to update any forward-looking information that are contained or are incorporated by reference, except in accordance with applicable securities laws.
Important factors that could cause actual results to differ materially from the Corporation's expectations are disclosed elsewhere in documents that are available to the public.
For more information, please contact:
Iplayco Corporation Limited Max Liszkowski
Chief Financial Officer and Corporate Secretary (604) 607-1111
This announcement is for informational purposes only and does not constitute an offer to purchase, a solicitation of an offer to sell the shares or a solicitation of a proxy.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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