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August 5, 2010 |
Canam Group Maintains a Solid Backlog of Orders of $563M |
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(BOUCHERVILLE, QC) — Construction products fabricator Canam Group Inc. (TSX: CAM) today announced that its consolidated sales grew by 23% to $185.4M for the quarter ended June 26, 2010, compared with $151.2M for the second quarter of 2009. The company posted a net loss of $2M, or $0.05 per share, as opposed to net earnings of $5.2M, or $0.12 per share, for the year-earlier quarter.
For the first six months of 2010, Canam Group’s net loss amounted to $2.9M, or $0.07 per share, compared with net earnings of $10.6M, or $0.24 per share, over the same period last year. Consolidated sales for the first six months totaled $291M versus $331.4M for the corresponding period in 2009, representing a 12% decline.
Strong competition in the non-residential construction market continued into the second quarter, primarily in the United States, exerting pressure on gross margins. Nevertheless, several of the company’s business units saw an increase in new bookings, sign of an improving economy.
Canam Group president and chief operating officer Marc Dutil said that management had anticipated that the situation would be difficult in the first half of 2010. He attributed the company’s improved sales performance during the second quarter to the acquisition of FabSouth, completed in the first quarter, and a continued high level of activity in the infrastructure market.
Canam Group’s backlog of orders as at June 26, 2010, stood at $563M, up 59% from $355M as at June 27, 2009.
The acquisition of two steel deck plants and other assets of a subsidiary of Commercial Metals Company, announced yesterday, will allow Canam Group to significantly broaden its geographic reach and range of products in the U.S. market, added Mr. Dutil.
The board of directors approved the payment of a quarterly dividend of $0.04 per common share on September 30, 2010 to shareholders of record on September 16, 2010.
About Canam Group Inc.
Canam Group is a leader in the design and fabrication of construction products and solutions and a leading provider of design-build and building information modeling (BIM) services. The company operates more than 25 manufacturing plants and engineering offices in Canada, the United States, Romania, India and China, and has partnerships with companies in Saudi Arabia, the United Arab Emirates and China.
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Conference call
Canam Group will hold a conference call with financial analysts and media representatives on Thursday, August 5, 2010 at 9:00 a.m. A podcast will be available at www.canamgroup.ws and www.cnw.ca. A replay of the conference call will be available until August 19, 2010 by dialing 1-800-408-3053 and entering access code 3384275, followed by the pound key (#). |
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| Source: |
| Jasmin Gosselin |
Vice President, Communications
Canam Group Inc.
450-641-4000
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If you would like your name added to our distribution list for the Annual Report, Quarterly Reports, Annual Information Form and Notice of Annual Meeting or our distribution list for Press Releases, contact us, tel.: 450-641-4000, e-mail.
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