SmarTire reports 1Q net loss of $5.4 million despite 8% increase in sales
SmarTire Systems Inc. posted a net loss of $5.4 million on sales of $923,026 for the first quarter of its 2008 fiscal year ended Oct. 31, 2007. That compares to a net loss of $5.4 million on sales of $851,779 in the first quarter of fiscal 2007.
Although the company's comparative net loss was the same, its $1.2 million net loss from operations was down 50% from the previous first quarter loss of $2.4 million.
"Our continued objective is to make our company profitable," says CEO and President David Warkentin. "We have taken the necessary steps to reduce costs and keep them under control.
"However, we recognize that to meet our profitability objective we need to remain tightly focused on increasing revenue. We are disappointed that revenues have not grown more quickly, but delayed production implementation schedules with a number of OEM customers which are expected to begin in the new year have impacted revenue growth."
SmarTire, based in Richmond, British Columbia, has scheduled its quarterly earnings call with shareholders for Friday, Jan. 4, 2008 at 11 a.m. EDT.
SmarTire is a provider of active tire pressure and temperature monitoring systems for the global commercial or truck, bus, recreational vehicle, and off highway vehicle markets. For more information, visit www.smartire.com.