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April 25, 2007 |
Canam Group Earnings up 17.1% and Sales up 8.3% in First Quarter |
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(VILLE DE ST. GEORGES, QUEBEC) – Construction product manufacturer Canam Group Inc. (TSX: CAM) today reported net earnings of $6.4 million, or $0.13 per share, for the first quarter ended March 31, 2007, up 17.1% from $5.4 million, or $0.13 per share, for the corresponding period in 2006. Consolidated sales rose 8.3% to $161.1 million, compared with $148.8 million last year.
President and chief operating officer Marc Dutil is delighted with these results and with such an excellent start to the year, considering that traditionally the first quarter is the least profitable three-month period. He noted that the company turned in a good performance due to a high level of activity on Canadian and U.S. markets. Mr. Dutil also underscored the positive impact of its heavy steel construction activities, pointing out that deliveries for the New York Mets’ stadium project began over the first quarter.
According to Mr. Dutil, these results will allow Canam Group to continue to improve its balance sheet. The net debt decreased to $83.9 million, while shareholders’ equity climbed to $345.9 million, reflecting a ratio of only 0.24.
The gross margin for the first quarter of 2007 represented 22.5% of sales, compared with 23.6% for the same period last year. The order backlog for all business units stood at $411 million, compared with $223 million in 2006, representing an 84% increase year-over-year.
The board of directors has approved a quarterly dividend of $0.04 per share payable on June 29, 2007 to shareholders of record on June 15, 2007. There were 48.8 million outstanding shares on March 31, 2007, as opposed to 42.4 million on March 25, 2006.
Canam Group Inc. is an industrial company operating 11 plants specialized in the design and fabrication of construction products and solutions. The company employs close to 3,000 people in Canada, the United States, Romania and India, and has partnerships with companies in Mexico, France, Saudi Arabia, the United Arab Emirates and Russia.
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| Source: |
| Jasmin Gosselin |
Vice President, Communications
Tel.: 450-641-4000
Email:
www.canamgroup.ws |
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Conference call
Canam Group will hold a conference call with financial analysts and the media on Wednesday, April 25, 2007 at 1:30 p.m. The conference call will be webcast live at www.canamgroup.ws and www.cnw.ca. The call will be available by phone at 1-888-509-0081 (access code 642584) until May 6, 2007. |
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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