- Company reports revenues
of $8.1 million and adjusted EBITDA
of $1.0 million
-
- Management to Host Conference Call at
8:30 am Pacific Time (11:30 am Eastern Time) -
VANCOUVER, Nov. 5, 2014 /CNW/ - Norsat International Inc.
("Norsat" or "the Company") (TSX: NII and OTC BB: NSATF), a
leading provider of innovative communication solutions that enable
the transmission of data, audio and video for remote and
challenging applications, today reported financial results for the
third quarter ended September 30,
2014. Norsat serves global customers primarily through three
business units: Sinclair Technologies, Satellite Solutions and
Microwave Products. All financial results are reported in U.S.
dollars and have been prepared in accordance with International
Financial Reporting Standards ("IFRS"), unless otherwise
stated.
Third Quarter 2014 Highlights
- Third quarter revenues were $8.1
million, compared to $8.8
million during the same period in 2014 on softer Sinclair
Technologies revenues, ongoing weaker sales of Satellite Solutions
offset by a 21% increase in sales of Microwave components driven by
deliveries of our new ATOM series of products;
- Third quarter revenues from microwave components were
$3.0 million, up 21% from
$2.5 million during the same period
last year, driven by sales of new ATOM Series of products;
- Adjusted EBITDA was $1.0 million,
compared to $1.4 million in Q3
2013;
- Basic and diluted earnings per share for the third quarter were
$0.02, an increase from $0.01 in the third quarter of 2013;
- The Company ended the third quarter with a net cash position,
its first in nearly four years, of $1.5
million, as its cash position grew to $4.4 million, up from $3.2
million at the end of Q2 and its acquisition loan decreased
to $2.9 million, from $3.4 million at the end of Q2; and
- Ended the third quarter with $16.0
million in net working capital, excluding acquisition
loan.
|
|
|
(000's) except per
share amounts
|
Three months ended
September 30
|
Nine months ended
September 30
|
2014
|
2013
|
Change
|
Change
|
2014
|
2013
|
Change
|
Change
|
|
$
|
$
|
$
|
%
|
$
|
$
|
$
|
%
|
|
|
|
|
|
|
|
|
|
Revenue
|
8,107
|
8,788
|
(681)
|
(8%)
|
26,808
|
25,740
|
1,068
|
4%
|
Gross
profit
|
3,315
|
3,583
|
(268)
|
(8%)
|
11,118
|
10,630
|
488
|
5%
|
Gross profit
%
|
41%
|
41%
|
-
|
-
|
41%
|
41%
|
-
|
-
|
Net
earnings
|
968
|
683
|
285
|
42%
|
4,144
|
2,009
|
2,135
|
>100%
|
EBITDA
(1)
|
1,200
|
1,045
|
155
|
15%
|
4,711
|
3,149
|
1,562
|
50%
|
Adjusted EBITDA
(1)
|
1,017
|
1,361
|
(344)
|
(25%)
|
3,943
|
2,977
|
966
|
32%
|
|
|
|
|
|
|
|
|
|
Net earnings per
share – basic and diluted
|
0.02
|
0.01
|
0.01
|
100%
|
0.07
|
0.03
|
0.04
|
>100%
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding
|
|
|
|
|
|
|
|
|
|
Basic
|
57,609
|
57,674
|
|
|
57,645
|
57,846
|
|
|
|
Diluted
|
57,630
|
57,677
|
|
|
57,679
|
57,874
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
EBITDA and Adjusted
EBITDA are Non-IFRS Measures that are defined in the Management's
Discussion and Analysis
for the three and nine months ended September 30, 2014 posted on
Norsat's website and SEDAR.
|
Management Commentary
Dr. Amiee Chan, president and
chief executive officer of Norsat, commented, "Third quarter
results were largely within our expectations. We anticipated
weakness in Satellite Solutions as well as in our land mobile radio
(Sinclair) segment, but we also experienced approximately
$0.6 million in orders that were
substantially completed in Q3 2014, but for several reasons were
not delivered and were subsequently recognized as revenue early in
the fourth quarter of 2014. I am pleased to see continued
strength within our microwave segment. Growth in our
microwave products division was lead primarily by our ATOM series
of products, which include block upconverters (BUCs) and solid
state power amplifiers (SSPAs) that are the most compact,
lightweight, and energy efficient transmitters available on the
market. Revenues in that division increased 21% to $3.0 million of which only $0.4 million was attributable to a sizable
contract that was completed during the quarter. We continue to
receive strong interest in the ATOM series and believe it should
continue to provide long-term growth for years to come."
Arthur Chin, chief financial
officer of Norsat, commented, "We are very pleased to have returned
the company to a positive net cash position. Our ability to
drive operational improvements and broaden our product offerings
has allowed us to consistently pay down our acquisition loan while
adding to our cash position. With ongoing initiatives in place to
continue generating strong cash flows, while also driving revenue
growth, we feel positive about the position Norsat is in."
Dr. Chan concluded, "Revenues for the nine month period have
increased 4%, while EBITDA has increased 32% during the quarter. We
continue to drive cash flows and improve our capital structure.
Operationally, the diversity of our products and offerings have
really been highlighted during the quarter, with the microwave
components segment acting as a catalyst for growth during the year
and hopefully for years to come. Looking forward, while there
is some continued softness within land mobile radio, we believe
that demand will resume within the coming quarters, which when
coupled with an improvement in our satellite solutions backlog
leaves me enthusiastic about our future prospects. We remain
confident in our abilities to continue executing upon our business
plan and believe we are well on our way to being the leader in
providing wireless communications solutions to remote and/or
challenging applications for years to come."
Financial Review
For the three months ended September
30, 2014
For the three months ended September 30,
2014, total sales were $8.1
million, compared to $8.8
million in Q3 2013. Third quarter Microwave Products sales
were $3.0 million, compared to
$2.5 million in Q3 2013. The
$0.5 million increase was mainly
driven by the product deliveries on the new line ATOM of products.
Sales from the Sinclair Technologies segment were $4.7 million for the third quarter of 2014,
compared to $5.4 million during the
same period in 2013, reflecting recent softness in the
infrastructure and public safety markets. Third quarter Satellite
Solutions sales were $0.5 million,
compared to $0.9 million in Q3 2013,
reflecting the continuing decrease in military demand and budget
constraints among other non-military customers. Other service
revenues were also $0.5 million lower
year-over-year due to the non-renewal of significant airtime
contracts.
On a consolidated basis, third quarter gross margin percentages
were 41% which is comparable to Q3 2013 margins of 41%. Gross
margins in our Microwave Products segment were 45% which is
comparable to gross margins of 44% in Q3 2013. Gross margins
in our Satellite Solutions segment was 25% compared to 29% in Q3
2013, which reflects a greater portion of lower-margin revenues in
the mix. Our Sinclair margins were 39% in Q3 2014 down from
41% for the same period in 2013, reflecting lower sales volume and
relatively fixed manufacturing costs.
For the three months ended September 30,
2014, total expenses decreased to $2.4 million, from $2.9
million in Q3 2013. The decrease is mainly
attributable to a $0.3 million in
other income in the third quarter of 2014 compared to other expense
of $0.4 million in the same period in
2013, reflected by the change of the US dollar against the Canadian
dollar. In Q3 2014 the US dollar strengthened against the
Canadian dollar whereas in Q3 2013 the US dollar weakened against
the Canadian dollar.
Third quarter selling and distributing expenses decreased to
$1.2 million, from $1.5 million in 2013, reflecting the
strengthening of the US dollar against the Canadian dollar, as a
significant portion of the Company's expenses are in Canadian
Dollars, and certain employee-related costs savings.
Third quarter general administration expenses increased to
$1.2 million, from $0.8 million incurred in 2013. The increase
reflects $0.2 million in corporate
development costs related to external costs to pursue a potential
acquisition compared to approximately $17,000 in the same period in 2013, investments
in organizational infrastructure, increased bonuses due to the
Company substantially tracking towards its 2014 targets and
objectives, and offset by the impact of certain employee-related
cost savings implemented in 2013.
Third quarter direct product development expenses of
$0.6 million was on par with
$0.6 million during the same period
last year. This was offset by the decrease of government
contributions to $0.3 million in the
third quarter of 2014 compared to $0.5
million for the same period in 2013. In Q3 2013
government contributions were higher, reflecting the higher direct
product development expenses for the CVG product lines.
Third quarter earnings before income taxes were $0.9 million, compared to $0.7 million during the same period last year,
reflecting a $0.4 million gain on
foreign exchange in the third quarter of 2014 versus a $0.2 million loss on foreign exchange in the same
period in 2013. This was offset by $0.3 million gross profit due to lower sales and
$0.2 million less government funding
in Q3 2014 compared to Q3 2013.
Income tax recovery for the third quarter of 2014 was
approximately $74,000 compared to
approximately $47,000 in the third
quarter of 2013.
Third quarter 2014 net earnings were $0.9
million, or $0.02 per share,
basic and diluted, compared to $0.7
million, or $0.01 per share,
basic and diluted, for the third quarter in 2013.
Adjusted EBITDA for the three months ended September 30, 2014 decreased by 25% to
$1.0 million, compared to
$1.4 million for the same period last
year, reflecting a $0.3 million
decrease in gross profit contributions from lower sales volume, and
approximately $0.2 million less
government contributions for the third quarter of 2014 compared to
the same period in 2013.
For the nine months ended September
30, 2014
For the nine months ended September 30,
2014, total sales were $26.8
million, compared to $25.7
million for the same period last year. Microwave Products
sales were $9.4 million in the first
nine months of 2014, compared to $5.7
million during the same period in 2013. The
$3.7 million increase was mainly
driven by the product deliveries on the ATOM new line of products.
Sales from our Sinclair Technologies segment were $15.9 million in the first nine months of 2014,
comparable to $16.2 million during
the same period in 2013. While we saw improved demand in Q1
and Q2, these improvements were not sustained in Q3.
Satellite Solutions sales were $1.6
million for the nine months ended September 30, 2014, compared to $3.9 million for the same period in 2013.
Sales from this segment were impacted by reduced military ordering
of satellite equipment and services. In addition, service
revenues declined by $1.1 million as
airtime contracts, warranties and post-service contracts
expired.
On a consolidated basis, gross margin percentage was 41% for the
nine months ended September 30, 2014,
comparable to 41% from the same period in 2013. Our Microwave
Products segment achieved a nine months gross margin of 45%,
comparable with results of 44% from the nine months of 2013.
Margins from the Sinclair Technologies segment were 40%, compared
to 42% in first nine months of 2013, reflecting less sales volume
in Q3 2014. Satellite Solutions gross margin decreased slightly to
30% year-to-date, from 33% in the first nine months of 2013.
The change in Satellite Solutions gross margin reflects a greater
proportion of lower-margin revenues and lower sales volume.
For the nine months ended September 30,
2014, total expenses decreased to $7.4 million, from $8.7
million during the same period in 2013.
Selling and distributing expenses decreased to $3.9 million, from $4.7
million, reflecting the strengthening of the US dollar
against the Canadian dollar, as a significant portion of the
Company's expenses are in Canadian Dollars, and employee-related
costs savings.
General and administrative expenses were $3.1 million in the nine months of 2014, on par
with $3.0 million in the same period
in 2013. In the nine months of 2014, corporate development
costs related to external costs to pursue a potential acquisition
increased to $0.2 million compared to
approximately $17,000 in the same
period in 2013. In addition investments were made in
organizational infrastructure, and bonuses increased due to the
Company substantially tracking towards its 2014 targets and
objectives. These increases were offset by the decrease in
expenses, reflecting the strengthening of the US dollar against the
Canadian Dollar, as a significant portion of the Company's expenses
are in Canadian dollars.
For the nine months ended September 30,
2014, direct product development expenses decreased to
$1.9 million from $2.5 million for the same period last year.
The decrease reflects the accelerated development of the newly
acquired CVG product lines in 2013, costs not incurred in 2014, and
the impact of the strengthening of the US dollar against the
Canadian Dollar, as a significant portion of the Company's expenses
are in Canadian Dollars, and employee-related costs
savings.
Government contributions decreased to $0.9 million in the first nine months of 2014
from $1.7 million in the same period
in 2013. In 2013 we secured a new repayable government
contribution under the SADI program, which enabled the Company to
claim eligible costs incurred between July
27, 2013 and December 31,
2017. The timing of the award meant that over two quarters
worth of government contributions were recorded in Q1 2013,
compared to just one in the first quarter of 2014.
As a result net product development expenses increased to
$1.2 million in the nine months ended
September 30, 2013 from $1.0 million in the same period last year.
Other net income for the first nine months of 2014 increased to
$0.8 million from approximately
$31,000 during the same period last
year. The increase reflects a $1.0 million gain on foreign exchange in the nine
months ended September 30, 2014
compared to a $0.3 million gain in
the same period in 2013 and $0.1
million lower interest expenses resulting from the reduction
in the Company's acquisition loan.
For the nine months ended September 30,
2014 earnings before income taxes increased to $3.7 million, from $2.0
million during the same period in 2013, reflecting a
$0.7 million higher gain on foreign
exchange, $0.5 million higher gross
profit and $1.3 million less expenses
compared to the same period in 2013. This was offset by
$0.8 million less government funding
for the nine months ended September 30,
2014 compared to same period in 2013.
Income tax recovery for the nine months ended September 30, 2014 was $0.4 million compared to income tax recovery of
$0.1 million for the same period in
2013, reflecting a current income tax recovery of $0.2 million in the nine months ended
September 30, 2014 compared to a tax
expense of $0.1 million for the same
period in 2013. Deferred income tax recovery of
$0.2 million for the nine months
ended September 30, 2014 is on par
with $0.2 million for the same period
in 2013.
For the nine months ended September 30,
2014, net earnings increased to $4.1
million, or $0.07 per share,
basic and diluted, from net earnings of $2.0
million, or $0.03 per share,
basic and diluted, during the same period in 2013.
Adjusted EBITDA for the nine months ended September 30, 2014 was $3.9 million, compared to $3.0 million during the same period in
2013. The change in EBITDA reflects a $0.5 million increase in gross profit
contributions from higher sales volume, and lower total operating
expenses of approximately $1.3
million in the nine months ended September 30, 2014 compared to the same period in
2013. The decrease in operating expenses mainly reflects the
strengthening of the US dollar against the Canadian dollar, as a
significant portion of the Company's expenses are in Canadian
Dollars, and lower expenses from employee-related cost savings in
the nine months ended September 30,
2014 compared to the same period in 2013. This was partially
offset by approximately $0.8 million
less government contributions for the first nine months of 2014
compared to the same period in 2013.
Financial Position
Norsat ended the third quarter with cash and cash equivalents of
$4.4 million, comparable to
$3.2 million as of June 30, 2014 and to $3.3
million as at December 31,
2013. Norsat continues to repay its acquisition loan, at a
loan balance of $2.9 million as of
September 30, 2014, down from
$3.4 million as of June 30, 2014 and $4.4
million as of December 31,
2013. The Company also has access to undrawn credit
facilities totaling $3.8 million as
at September 30, 2014 and
November 5, 2014. Adjusted Working
Capital, which excludes the acquisition loan, at September 30, 2014 was $16.0 million, compared to $14.4 million at December
31, 2013. The Adjusted Current Ratio, which excludes the
acquisition loan, at September 30,
2014 was 4.3 times, compared to 3.5 times at December 31, 2013.
Outlook
By segment, in the near term, the Microwave segment is expected
to continue to have consistent revenue, with more of its sales
driven by the ATOM Series of Ku-Band
BUCs and SSPAs. While the Sinclair Technologies
infrastructure and public safety markets have shown softness in Q3
2014, demand is expected to resume in the coming quarters, driving
sales closer to historical levels. Satellite Solutions
continues to experience weaker customer demand, stemming from lower
military spending, however with the recent award of a large
satellite hardware contract in 2014, we enter fiscal 2015 with a
more positive backlog compared to the same period in 2014.
A full set of financial statements and Management's Discussion
and Analysis for Norsat is available at www.norsat.com and at
www.sedar.com.
Conference Call Details
Norsat will host a conference call today, November 5, 2014, at 8:30
am Pacific Time (11:30 am Eastern
Time) to discuss 2014 second quarter financial results. To
access the conference call, please dial toll-free 1-888-886-7786 or
416-764-8658. The conference call ID is: 'Norsat Investor Call'.
Please connect approximately 10 minutes prior to the beginning of
the call to ensure participation. A digital recording and
transcript of the call will be available later today at:
http://www.norsat.com/investors/financial-information/conference-call-recordings/
Norsat
International Inc.
|
|
|
Condensed Interim
Consolidated Statements of Financial Position
|
|
(Expressed in US
Dollars - Unaudited)
|
|
|
|
|
|
|
September 30,
2014
|
December 31,
2013
|
ASSETS
|
|
|
Current
assets
|
|
|
Cash and cash
equivalents
|
$
|
4,397,645
|
$
|
3,272,595
|
Trade and other
receivables
|
6,959,684
|
6,821,155
|
Inventories
|
8,936,095
|
9,566,289
|
Prepaid expenses and
other
|
628,696
|
572,038
|
Current
assets
|
20,922,120
|
20,232,077
|
Non-current
assets
|
|
|
Property and
equipment, net
|
916,585
|
1,055,160
|
Intangible assets,
net
|
6,695,848
|
7,377,107
|
Goodwill
|
4,886,464
|
5,104,370
|
Long-term prepaid
expenses and other
|
9,340
|
9,340
|
Deferred income tax
assets
|
4,900,000
|
4,900,000
|
Non-current
assets
|
17,408,237
|
18,445,977
|
Total
assets
|
$
|
38,330,357
|
$
|
38,678,054
|
|
|
|
LIABILITIES
|
|
|
Current
liabilities
|
|
|
Trade and other
payables
|
$
|
2,058,355
|
$ 2,162,196
|
Accrued
liabilities
|
1,747,099
|
1,956,998
|
Provisions
|
702,167
|
851,437
|
Taxes
payable
|
105,760
|
270,263
|
Deferred
revenue
|
268,474
|
586,925
|
Current liabilities
before acquisition loan
|
4,881,855
|
5,827,819
|
Acquisition
loan
|
2,886,187
|
4,413,296
|
Current
liabilities
|
7,768,042
|
10,241,115
|
Non-current
liabilities
|
|
|
Long-term deferred
revenue
|
27,639
|
10,457
|
Deferred income tax
liabilities
|
1,737,634
|
2,002,973
|
Non-current
liabilities
|
1,765,273
|
2,013,430
|
Total
liabilities
|
9,533,315
|
12,254,545
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
Issued
capital
|
39,850,648
|
39,850,648
|
Treasury
shares
|
(354,505)
|
(318,255)
|
Contributed
surplus
|
4,311,696
|
4,278,843
|
Accumulated other
comprehensive loss
|
(3,082,779)
|
(1,315,478)
|
Deficit
|
(11,928,018)
|
(16,072,249)
|
Total
shareholders' equity
|
28,797,042
|
26,423,509
|
Total liabilities
and shareholders' equity
|
$
|
38,330,357
|
$
|
38,678,054
|
|
|
|
|
|
Norsat
International Inc.
|
|
|
|
|
Condensed Interim
Consolidated Statements of Earnings and Comprehensive
Income
|
(Expressed in US
Dollars - Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Three months ended
September 30
|
Nine months ended
September 30
|
|
2014
|
2013
|
2014
|
2013
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
$
|
8,106,661
|
$
|
8,788,047
|
$
|
26,808,272
|
$
|
25,739,913
|
Cost of
sales
|
4,791,478
|
5,205,414
|
15,690,607
|
15,109,853
|
Gross
profit
|
3,315,183
|
3,582,633
|
11,117,665
|
10,630,060
|
|
|
|
|
|
Expenses:
|
|
|
|
|
Selling and
distributing expenses
|
1,209,669
|
1,486,965
|
3,886,404
|
4,667,320
|
General and
administrative expenses
|
1,206,502
|
847,178
|
3,110,402
|
3,032,593
|
Product development
expenses, gross
|
644,189
|
729,108
|
2,096,778
|
2,724,499
|
|
Less: Government
contributions
|
(322,120)
|
(490,881)
|
(891,877)
|
(1,688,728)
|
|
2,738,240
|
2,572,370
|
8,201,707
|
8,735,684
|
Earnings before
other expenses
|
576,943
|
1,010,263
|
2,915,958
|
1,894,376
|
|
|
|
|
|
|
|
|
|
|
Gain on bargain
purchase
|
-
|
-
|
-
|
(47,773)
|
Reversal of gain on
bargain purchase
|
-
|
47,773
|
-
|
47,773
|
Loss on disposal of
property and equipment
|
-
|
-
|
-
|
8,367
|
Interest and bank
charges
|
46,183
|
75,216
|
147,061
|
260,397
|
(Gain)/loss on
foreign exchange
|
(362,666)
|
251,625
|
(948,425)
|
(299,858)
|
Earnings before
income taxes
|
893,426
|
635,649
|
3,717,322
|
1,925,470
|
|
|
|
|
|
Current income tax
(recovery) / expense
|
(4,370)
|
21,060
|
(217,533)
|
121,268
|
Deferred income tax
recovery
|
(69,792)
|
(68,038)
|
(209,376)
|
(205,004)
|
Net earnings for
the period
|
$
|
967,588
|
$
|
682,627
|
$
|
4,144,231
|
$
|
2,009,206
|
|
|
|
|
|
Other
comprehensive income
|
|
|
|
|
Exchange differences
on translation of operations
|
|
|
|
|
in
currencies other than US Dollars
|
1,215,894
|
(457,435)
|
1,767,301
|
738,565
|
Total
comprehensive income (loss) for the period
|
$
|
(248,306)
|
$
|
1,140,062
|
$
|
2,376,930
|
$
|
1,270,641
|
Net earnings per
share
|
|
|
|
|
Net earnings per
share, basic and diluted
|
$
|
0.02
|
$
|
0.01
|
$
|
0.07
|
$
|
0.03
|
|
|
|
|
|
Weighted average
number of shares outstanding
|
|
|
|
|
|
Basic
|
57,609,319
|
57,674,356
|
57,645,307
|
57,845,925
|
|
Diluted
|
57,629,737
|
57,676,816
|
57,679,189
|
57,874,382
|
Norsat
International Inc.
|
Consolidated
Statements of Cash Flows
|
(Expressed in US
Dollars)
|
|
|
|
|
|
|
|
|
Three months ended
September 30
|
Nine months ended
September 30
|
|
|
2014
|
2013
|
2014
|
2013
|
|
|
|
|
|
|
Cash and cash
equivalents provided by (used in)
|
|
|
|
|
Operating
activities:
|
|
|
|
|
Net earnings for the
period
|
$
|
967,588
|
$
|
682,627
|
$
|
4,144,231
|
$
|
2,009,206
|
Income taxes
refund/(paid)
|
(70,565)
|
(11,965)
|
57,549
|
(72,318)
|
Non-cash adjustments
to reconcile net earnings to net cash flows:
|
|
|
|
|
|
Amortization
|
276,666
|
357,093
|
899,509
|
1,029,396
|
|
Foreign exchange
loss/(gain)
|
(362,665)
|
251,625
|
(948,424)
|
(299,858)
|
|
Loan acquisition cost
amortization
|
6,786
|
6,787
|
20,359
|
20,360
|
|
Loss on disposal of
property and equipment
|
-
|
-
|
-
|
8,367
|
|
Gain on bargin
purchase
|
-
|
-
|
-
|
(47,773)
|
|
Reversal of gain on
bargain purchase
|
-
|
47,773
|
-
|
47,773
|
|
Current income tax
(recovery)/expense
|
(4,371)
|
21,060
|
(217,534)
|
121,268
|
|
Deferred income tax
recovery
|
(69,792)
|
(68,038)
|
(209,376)
|
(205,004)
|
|
Share-based
payments
|
43,020
|
65,957
|
166,988
|
231,106
|
|
Accretion of
promissory notes
|
-
|
-
|
-
|
31,871
|
|
Government
contribution
|
(322,120)
|
(490,881)
|
(891,877)
|
(1,722,877)
|
|
Changes in non-cash
working capital
|
1,243,888
|
(1,292,529)
|
(631,672)
|
(1,633,036)
|
Net cash flows
provided for/(used in) in operating actitivies
|
1,708,435
|
(430,491)
|
2,389,753
|
(481,519)
|
|
|
|
|
|
|
Investing
activities:
|
|
|
|
|
Acqusition of
business
|
-
|
-
|
-
|
(530,170)
|
Purchase of
intangible assets, property and equipment
|
(196,074)
|
(450,879)
|
(406,498)
|
(519,011)
|
Proceeds from
government contributions
|
|
|
|
|
|
for acquisition of
property and equipment
|
-
|
103,517
|
26,551
|
103,517
|
Proceeds from sale of
property and equipment
|
-
|
-
|
-
|
4,200
|
Proceeds from sale of
asset held for sale
|
-
|
-
|
-
|
7,800
|
Proceeds from sale of
subsidiary
|
-
|
-
|
-
|
13,583
|
Net cash flows
used in investing activities
|
(196,074)
|
(347,362)
|
(379,947)
|
(920,081)
|
|
|
|
|
|
|
Financing
activities:
|
|
|
|
|
Repayment of
acquisition loan
|
(480,000)
|
(480,000)
|
(1,440,000)
|
(1,890,000)
|
Payment of promissory
note
|
-
|
-
|
-
|
(725,000)
|
Purchase of treasury
shares
|
-
|
-
|
(107,284)
|
(229,881)
|
Share purchase
cost
|
-
|
-
|
(4,501)
|
-
|
Reversal of Vesting
of RSUs / (Vesting of RSUs)
|
9,485
|
-
|
(58,600)
|
(7,805)
|
Proceeds from
government contributions
|
379,310
|
1,188,902
|
997,783
|
1,863,874
|
Net cash flows
(used in)/provided for in financing activities
|
(91,205)
|
708,902
|
(612,602)
|
(988,812)
|
|
|
|
|
|
|
Effect of foreign
currency translation on
|
|
|
|
|
|
cash and cash
equivalents
|
(256,616)
|
(79,253)
|
(272,154)
|
(40,985)
|
|
|
|
|
|
|
Increase/(decrease)
in cash and cash equivalents
|
1,164,540
|
(148,204)
|
1,125,050
|
(2,431,397)
|
Cash and cash
equivalents, beginning of period
|
3,233,105
|
2,770,252
|
3,272,595
|
5,053,445
|
Cash and cash
equivalents, end of period
|
$
|
4,397,645
|
$
|
2,622,048
|
$
|
4,397,645
|
$
|
2,622,048
|
About Norsat International Inc.
Founded in 1977, Norsat International Inc. is a leading provider
of innovative communication solutions that enable the transmission
of data, audio and video for remote and challenging applications.
Norsat's products and services include leading-edge product design
and development, production, distribution and infield support and
service of fly-away satellite terminals, microwave components,
antennas, Radio Frequency (RF) conditioning products, maritime
based satellite terminals and remote network connectivity
solutions. More information is available at www.norsat.com, via
email at investor@norsat.com or by phone at 1-604-821-2800.
Forward Looking
The discussion and analysis of this news release contains
forward-looking statements concerning anticipated developments in
Norsat's operations in future periods, the adequacy of its
financial resources and other events or conditions that may occur
in the future. Forward-looking statements are frequently, but not
always, identified by words such as "expects," "anticipates,"
"believes," "intends," "estimates,", "predicts," "potential,"
"targeted," "plans," "possible" and similar expressions, or
statements that events, conditions or results "will," "may,"
"could" or "should" occur or be achieved. These forward-looking
statements include, without limitation, statements about Norsat's
market opportunities, strategies, competition, expected activities
and expenditures as it pursues its business plan, the adequacy of
available cash resources and other statements about future events
or results. Forward-looking statements are statements about the
future and are inherently uncertain, and actual achievements of the
Company or other future events or conditions may differ materially
from those reflected in the forward-looking statements due to a
variety of risks, uncertainties and other factors, such as business
and economic risks and uncertainties. The forward-looking
statements are based on the beliefs, expectations and opinions of
management on the date the statements are made. Consequently, all
forward-looking statements made in this news release are qualified
by this cautionary statement and there can be no assurance that
actual results or anticipated developments will be realized. For
the reasons set forth above, investors should not place undue
reliance on forward-looking statements. These forward-looking
statements are made as of the date of this news release and Norsat
assumes no obligation to update or revise them to reflect new
events or circumstances, other than as required by law.
SOURCE Norsat International Inc.