/NOT FOR DISTRIBUTION IN THE USA/
EBITDA improves to $743K from
$(113K) in prior year
- Progressive Planet reports first profitable Q1 since 2022
acquisition of Absorbent Products
- Changes in operations and product offerings result in 19.1%
gross profit increase from Q1 2024 to Q1 2025
KAMLOOPS, BC, Sept. 23,
2024 /CNW/ - Progressive Planet Solutions Inc.
(TSXV: PLAN) (OTCQB: ASHXF) ("Progressive Planet", "PLAN",
or the "Company") is pleased to announce its financial results
for its first quarter ending on July 31,
2024.
"In fiscal year 2024, which ended on April 30, 2024, we prioritized implementing cost
controls in preparation for long term growth. The first quarter of
FY 2025 demonstrated our continued commitment to cost control and
to selling higher margin products, resulting in our first
profitable Q1 since the acquisition of Absorbent Products in
February 2022. I'm proud of our
team's commitment to creating long-term shareholder value," stated
Steve Harpur, CEO.
The Company's implementation of its cost cutting plan beginning
in late fiscal 2023, as well as its focus on transitioning to
higher margin products, have contributed to a significant
improvement in profitability during the first quarter of the
current fiscal year, compared to the prior first quarter.
Q1 Fiscal 2024 vs. Q1 Fiscal 2025:
- Increased EBITDA1 by $856K, from $(113K)
to $743K
- Revenue decreased from $4.93
million to $4.67 million
- Gross profit increased by 19.1%, from $1.31 million to $1.56
million
- Gross margin2 increased from 26.6% to 33.5%
- Operating cash flow increased from $130K to $434K
- Income from operations improved by $903K, from a loss of $(371K) to income of $532K
- Net income improved from a loss of $(487,870) to income of $373,364
"As we continue to maintain higher gross margins and control
costs, our current and future focus is on growing our revenue per
employee," shared Harpur. "Our engineering team is focused on
improving productivity in our valve pack powder bagging and
palletizing production line, and we anticipate the installation of
mechanical lifting equipment and robotic palletizing in coming
quarters. In addition, our restructured sales team is now fully
operational and focused on growing high margin revenues."
The decline in revenue was primarily due to Progressive Planet
no longer selling a low margin mineral which was formerly sourced
from a US third party supplier.
- EBITDA is a non-IFRS financial measure. This ratio expresses
earnings before interest, income taxes, depreciation, and
amortization. It assists in explaining the Company's results from
period to period. There is not directly comparable IFRS
measure.
- Gross margin is a non-IFRS financial measure. This ratio
expresses gross profit as a percentage of revenue for a given
period. It assists in explaining the Company's results from
period to period and measuring profitability. This ratio is
calculated by dividing gross profit for a period by the
corresponding revenue for the period. There is no directly
comparable IFRS measure.
Progressive Planet provides regular information for investors on
its website: progressiveplanet.com/investors/. This includes press
releases and other information about financial performance, patents
filed, and information on corporate governance.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accept responsibility for the adequacy or
accuracy of this release.
About Progressive Planet:
Progressive Planet, a manufacturing company operating out of
Kamloops, British Columbia, is
reimagining what is possible when we prioritize our planet's
health. Our expertise lies in developing products using our owned
mineral assets and recycled materials to create Products for a
Healthy Planet™.
Our C-Quester™ Centre of Sustainable Solutions is proudly
disrupting the cement, agricultural and animal care industries. Our
product lines include patented and patent pending products which
are developed with the express intent of promoting a healthy planet
using naturally occurring minerals and the urban mining of recycled
materials. Our products are found in over 10,000 retail stores
across North America.
Forward-Looking Statements:
Certain statements in this release are forward-looking
statements, which reflect the expectations of management regarding
the matters described herein including statements regarding the
NCIB and the repurchases thereunder as well as the effect of those
repurchases, statements regarding the future of the Bromley Creek
Zeolite Mine and statements regarding the development of future
products. Forward-looking statements consist of statements that are
not purely historical, including any statements regarding beliefs,
plans, expectations, or intentions regarding the future. Such
statements are subject to risks and uncertainties that may cause
actual results, performance, or developments to differ materially
from those contained in the statements. No assurance can be given
that any of the events anticipated by the forward-looking
statements will occur or, if they do occur, what benefits the
Company will obtain from them. These forward-looking statements
reflect management's current views and are based on certain
expectations, estimates and assumptions which may prove to be
incorrect. A number of risks and uncertainties could cause our
actual results to differ materially from those expressed or implied
by the forward-looking statements, including factors beyond the
Company's control. These forward-looking statements are made as of
the date of this news release.
Disclaimer:
This news release, required by Canadian
laws, does not constitute an offer of securities and is not for
distribution or dissemination outside Canada.
SOURCE Progressive Planet Solutions Inc.
