BIOREM Reports 8% Increase in Revenue, Earnings of $4.7 million and EPS of $0.12

GUELPH, ON, March 18, 2019 /PRNewswire/ - BIOREM Inc. BRM ("BIOREM" or "the Company") today announced its results for the three and twelve-month periods ended December 31, 2018. BIOREM's complete fiscal 2018 year-end financial statements and MD&A have been filed on SEDAR (www.sedar.com).

FINANCIAL HIGHLIGHTS:

TWELVE MONTHS ENDED DECEMBER 31, 2018

For the twelve months ended December 31, 2018 revenue totaled $24.3 million compared to $22.6 million for the same twelve months in 2017. Net earnings for the year were $4.7 million compared to net earnings of $1.5 million in 2017. Earnings in 2018 were positively impacted by a $3.0 million recognition of previously unrecognized deferred tax assets. Earnings per share for the year were $0.12 basic and $0.12 fully diluted against $0.04 basic and $0.04 fully diluted per share reported in 2017.

Revenues of $24.3 million for the year represented an 8% increase over revenues reported the previous year. Gross profit was $6,378,000 for the year, a 2% increase from gross profit of $6,270,000 million recorded for the year-ended December 31, 2017.

Total operating expenses for the year were $4,662,000 compared to $4,742,000 for the year ended December 31, 2017.

On December 31, 2018 the Company had cash on hand of $4.0 million and working capital of $9.7 million.   

The Company has no long term debt.

Total order bookings for the year were $ 25.5 million and the Company's order backlog stood at $21.8 million on December 31, 2018.

"2018 fiscal results are a continuation of the strong order bookings and increase in revenues BIOREM has achieved in both 2016 and 2017" said Derek S. Webb, President & CEO. "Of particular note in the 2018 operating results is a $2.8 million increase in revenues in China over the previous year. The Company is in a strong financial position at the end of 2018 and expects to build on this strength in 2019. The Company's current order backlog combined with a strong sales pipeline is expected to result in sustained revenue and ebitda again in 2019."

Three Months ended December 31, 2018

Revenue for the three month period ended December 31, 2018 was up 60% from the previous quarter to $10,871,000 and 27% or $2.3 million above revenues reported in the same period in the prior year.

Gross profit in Q4 was $3,393,000, a 41% increase over the $2,409,000 of gross profit recorded in the 4^th quarter of 2017 and 223% increase over the gross profit achieved in the previous quarter. Total operating expenses (net of other income) for the quarter were $2,103,000 a 68% increase from the operating expenses of $1,250,000 incurred during the fourth quarter of 2017.

Ebitda for the quarter was $1.4 million compared to ebitda of $1.0 million in the fourth quarter of 2017.

Net earnings for the quarter were $4.3 million compared to net earnings of $1.1 million in the fourth quarter of 2017. Net earnings in the quarter before the recognition of previously unrecognized deferred tax assets were $1.7 million.

Total bookings for the quarter were $2.8 million.

About BIOREM Inc.

BIOREM is a leading clean technology company that designs, manufactures and distributes a comprehensive line of high-efficiency air emissions control systems used to eliminate odors, volatile organic compounds (VOCs), and hazardous air pollutants (HAPs). With sales and manufacturing offices across the continent, a worldwide sales representative network and more than 1,300 installed systems worldwide, BIOREM offers state-of-the-art technology-based products and peace of mind for municipalities, industrial companies and their surrounding communities. Additional information on BIOREM is available on our website at www.biorem.biz.

SOURCE Biorem Inc.