VANCOUVER, BC / ACCESSWIRE / September 30, 2014 / Jemi Fibre Corp. (TSX-V: JFI) ("Jemi Fibre" or the "Company") is pleased to announce its first quarter results for the three-month period ended July 31, 2014.
On June 5, 2014, the Company completed the acquisition of the WoodEx saw mill in Edgewater, B.C., a post peeling and treatment plant operation in Cranbrook, B.C., and a contract logging company operating in the Kootenay region of B.C. The Company began fully operating the newly acquired post operation and contract logging business in June 2014 and commenced full operations of the saw mill in late September 2014. In addition, the Company purchased approximately 49,500 hectares of private timberland in two phases which completed in late June 2014 and mid-September 2014. Operations on the timberlands commenced in mid-July 2014. As a result, the Company's first quarter of operations is not indicative of the Company's ongoing operations. The Company anticipates providing more information on each of its divisions with the release of its second quarter results.
OVERVIEW OF FINANCIAL RESULTS
During the first quarter ended July 31, 2014, the Company recorded revenue of $7,039,750, a 104% increase over the $3,440,480 in revenue recorded for the preceding quarter ended April 30, 2014. Positive EBITDA for the first quarter was $180,193 compared with a negative EBITDA of $459,834 for the preceding quarter. The net loss and comprehensive loss for the quarter amounted to $12,963,163 or $0.72 per common share ($702,666 or $0.04 per common share for the preceding quarter). $11,770,934 of the net loss for the first quarter was a result of non-cash charges related to the June 5, 2014 acquisitions. The Company anticipates reversing most of these losses prior to the Company's April 30, 2015 year end and re-allocating them to the Company's balance sheet as the acquired assets are appraised and valued. In the first quarter, the Company's existing and newly acquired logging operations represented a significant portion of the Company's output. For the three months ended July 31, 2014, this division of the Company harvested approximately 230,260 m3 of timber compared to 57,493 m3 of timber harvested in the preceding quarter ended April 30, 2014.
ON BEHALF OF THE BOARD OF DIRECTORS
JEMI FIBRE CORP.
"Mike Jenks"
Mike Jenks
CEO
For further information, please contact:
Brent Lokash, President
Tel: 1 604 428-1075
Email: [email protected]
About Jemi Fibre
Jemi Fibre is a British Columbia based forest products company which trades on the TSX Venture Exchange under the symbol JFI. Jemi Fibre's operations consist of a full service contract logging division, with operations in Mackenzie and Cranbrook, a sawmill located in Edgewater producing high value lumber products, a manufacturing facility in Cranbrook producing pressure treated posts, rails and lumber for agricultural and industrial use and private timberlands located in the Kootenay region.
Forward Looking Statements
Certain statements included herein constitute forward-looking statements. The words "expect", "intend", "anticipate", "propose" and "may" and similar expressions identify forward-looking statements. Forward-looking statements include, among other things, such risks, uncertainties and other factors set forth under "Risk Factors" in the Company's current MD&A filed with the British Columbia Securities Commission. Forward-looking statements are necessarily based upon a number of estimates and assumptions. While such estimates and assumptions are considered reasonable by the management teams of Jemi, they are inherently subject to significant business, economic, competitive and regulatory uncertainties and risks and accordingly may not occur as described herein or at all. Investors are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements.
The financial information included in this release also contains certain data that are not measures of performance under IFRS. For example, "EBITDA" and "EBITDA excluding specific items" are measures used by management to assess the operating and financial performance of the Company. We believe that EBITDA is a measure often used by investors to assess a company's operating performance. EBITDA has limitations and you should not consider this item in isolation, or as a substitute for an analysis of our results as reported under IFRS. Because of these limitations, EBITDA should not be used as a substitute for net loss or cash flows from operating activities as determined in accordance with IFRS, nor is it necessarily indicative of whether or not cash flow will be sufficient to fund our cash requirements. In addition, our definitions of EBITDA may differ from those of other companies.
Additional information relating to the Company is available on SEDAR at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
SOURCE: Jemi Fibre Corp.