Wednesday, June 2, 2010

Security Stocks News; United Protection Security Group Inc. (TXS.V:UZZ) - Q1-2010 Results

Defense and Security Stocks -
United Protection Security Group Inc. (TXS.V:UZZ) - Q1-2010 Results

EDMONTON - June 1, 2010 (www.Investorideas.com newswire) - UNITED PROTECTION SECURITY GROUP INC. ('UPSG or the Company'), a Canadian-based company trading on the TSX Venture Exchange under the symbol (TSX-V: UZZ) is pleased to announce that it has released its Interim Financial Statements for the three month period ended March 31, 2010.

The Company believes it can accelerate revenue growth, return to historical margins, and increase operating cash flow by 2011. This quarter's solid performance underscores the fact that management is executing on that plans established in the fourth quarter of 2009 to return the Company to profitability. The Company is beginning to realize the benefits of the very substantial and deliberate long-term investments made to capitalize on the opportunities ahead as the Canadian economy improves and the Company continues to execute its growth plans.

Not only is UPSG one of Canada's few total security solutions provider, it increasingly has industry-leading security technology and, most importantly, people. It is the hard work, dedication and professionalism of people that is the Company's greatest asset and this quarter's performance demonstrates how well they can perform under a challenging economy.

First Quarter 2010 Financial Results

Revenue Increase

Revenue for the quarter amounted to $8,813,176, compared to $7,761,124 for the same quarter last year, an increase of $1,052,052 or 13.56%.

Gross Profit

Gross profit for the quarter amounted to $2,060,893 (23.38% of revenue), compared with $$1,685,444 (21.72% of revenue) the same period last year, an increase of $375,449.

Operating Expenses

Operating expenses totalled $1,734,856 for the period, compared with $1,517,890 for the same period last year, an increase of $216,966 or 14.29%.

Selling, General and Administrative Expenses ("SG&A")

SG&A expenses totalled $1,188,255 for the period, compared with $1,017,867 for the same period last year, an increase of $170,388 or 16.74%.

The Company recorded EBIITDAS of $488,027 (5.67% of revenue) for the period, compared to $313,714 (4.04% of revenue) for the same period last year, an increase of $174,313.

Net Income (Loss)

Net income for the period totalled $326,037, ($0.005 basic and diluted earnings per share); compared with net loss of $(273,743) ($(0.004) basic and diluted loss per share) for the same period last year, an increase of $599,780.

Operating activities

Cash flows from operating activities totalled $181,934 for period, compared to cash flow used in operating activities of $(144,903) for the same period last year, a increase in cash flow from operating activities of $326,837.

Investment Activities

Cash used in investment activities amounted to $79,183 for the period, compared with $43,084 for the same period last year, a decrease of $36,099.

Financing Activities

Cash flow used in financing activities totalled $439,121 for the period, compared with $28,993 for the same period last year, an increase of $410,128.

In addition to using financial measures prescribed by CGAAP, certain non-CGAAP measures are also used in this news release. These non-GAAP measures are EBIITDA and EBIITDAS. References in this news release to EBIITDA are to net income before interest, impairment, taxes, depreciation and amortization. References in this news release to EBITDAS are to net income before interest, impairment, taxes, depreciation, amortization and stock-based compensation.

NON-GAAP MEASURES

Reconciliation of EBIITDA and EBIITDAS to Historical Results (CGAAP)

Statement of Income (Loss) Mar. 31, 2010 Mar. 31, 2009

-----------------------------

Net income (loss) for the period $ 326,037 $ (273,743)

Add:

Income taxes - 41,297

Interest 32,582 80,392

Amortization 127,609 65,768

Goodwill impairment loss - 400,000

-----------------------------

EBIITDA 486,228 313,714

Add

Stock-based compensation 1,799 -

-----------------------------

EBIITDAS $ 488,027 $ 313,714

-----------------------------

-----------------------------

Stock Awareness Activities

To find out more about United Protection Security Group Inc. (TSX-V: UZZ), visit our website at www.unitedprotection.com. To join the 'request for information', go to the web page www.unitedprotection.com and click the tab 'request information' and follow the prompts. You may also email Investor Relations at: iruzz@unitedprotection.com.

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, are forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks related to business development and retention, and risks related to the current economic and credit conditions. As a result, actual results may vary materially from those described in the forward-looking statements.

The TSX Venture Exchange has neither approved nor disapproved the information contained herein.

For further information

For additional investor and media relations inquiries contact: Fredy Ramsoondar, CFO, Email: fredy.ramsoondar@unitedprotection.com, Tel: (780) 465-8101



Visit the UZZ showcase profile at Investorideas.com
http://www.investorideas.com/CO/UZZ/
Request News and Info on UZZ
Disclosure: UZZ is a paid advertising client on Investorideas.com and our defense portals.
http://www.investorideas.com/About/Disclaimer.asp
Published at the Investor Ideas Newswire



Research defense and Homeland Security stocks with the largest global defense stocks directory online for investors at Investorideas.com and http://www.homelanddefensestocks.com/

No comments:

Post a Comment