LANGLEY, BRITISH COLUMBIA--(Marketwire - Aug. 4, 2011) - Iplayco Corporation Limited (TSX VENTURE:IPC) ("Iplayco" or the "Corporation") today announced its financial results for the third quarter ended June 30, 2011. All amounts are in Canadian dollars unless otherwise noted.
This news release contains financial information derived from Iplayco's unaudited interim consolidated financial statements for the three and nine-month periods ended June 30, 2011 ("Q3-11" and "YTD Q3-11", respectively). More detailed information can be found in the unaudited interim consolidated financial statements and Management's Discussion and Analysis for Q3-11 and YTD Q3-11, which are being filed with the applicable Canadian regulatory authorities.
"Our consolidated sales increased by 13.0% to $1,935,179 in Q3-11 from $1,712,123 for the three-month period ended June 30, 2010 ("Q3-10"), with sales from our Manufacturing operations up 15.6%, and sales from our Family Entertainment Centre operations up 2.6% as compared to Q3-10. Our gross profit percentage remains weak due primarily to market pricing pressures, production costs, and the strength of the Canadian dollar versus the U.S. dollar. Gross profit percentage was 26.1% of sales in Q3-11 compared to 33.6% in Q3-10. Our operating expenses decreased by 3.8% in Q3-11 compared to Q3-10. We are expecting robust growth in sales, margin, and earnings during the three month period ended September 30, 2011 ("Q4-11"), due primarily to two significant contracts of U.S. $898,000, and U.S. $1,225,000, which are expected to substantially impact our Q4-11 results," said Scott Forbes, President and Director of Iplayco.
Sales from our Manufacturing operations generated 81.8% of our total sales in Q3-11 compared to 79.9% in Q3-10, and increased by 15.6% to $1,582,484 in Q3-11 from $1,368,469 in Q3-10. Sales from our Family Entertainment Centre Operations generated 18.2% of our total sales in Q3-11 compared to 20.1% in Q3-10 and increased by 2.6% to $352,695 in Q3-11 from $343,654 in Q3-10.
Results for Q3-11 as compared to Q2-11
Sales increased by 46.6% to $1,935,179 in Q3-11 from $1,319,650 in Q2-11. Gross profit percentage was 26.1% of sales in Q3-11 compared to 35.9% in Q2-11. Operating expenses were $844,446 or 43.6% of sales in Q3-11 compared to $736,963 or 55.8% of sales in Q2-11. Net loss in Q3-11 was $234,915, or loss per share of $0.02, compared to net loss of $198,403, or loss per share of $0.02 in Q2-11.
Results for YTD Q3-11 as compared to YTD Q3-10
Sales for YTD Q3-11 decreased by 7.4% to $5,045,360 from $5,449,340 for the nine-month period ended June 30, 2010 ("YTD Q3-10"). Gross profit was 28.9% of sales for YTD Q3-11 compared to 36.8% for YTD Q3-10. Operating expenses were $2,580,382 or 51.1% of sales for YTD Q3-11 compared to $2,469,489 or 45.3% of sales for YTD Q3-10. Net loss for YTD Q3-11 was $830,447, or loss per share of $0.08, compared to net loss of $417,171, or a loss per share of $0.04, for YTD Q3-10.
ON BEHALF OF THE BOARD OF DIRECTORS
Scott C. Forbes, President and Director
About Iplayco Corporation Limited
Iplayco designs, manufactures and installs customized indoor and outdoor play structures for children. Iplayco also owns and operates a family entertainment centre ("The Great Escape") in Langley, British Columbia. For more information, please visit www.iplaycoltd.com.
Cautionary Note Regarding Forward-looking Statements
This news release contains certain forward-looking statements. All statements, other than statements of historical fact, included herein, including without limitation statements regarding the Corporation's business, results or future plans, are forward looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Corporation's expectations are disclosed elsewhere in documents that are available to the public.
Neither 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 release.