WDT
29/08/2014 17:02
HALFYR
REL: 1702 HRS Wellington Drive Technologies Limited
HALFYR: WDT: WDT Preliminary Half Year Result to 30 June 2014
Attached please find our half year result to 30 June 2014.
Financial Highlights for the period included:
(Comparisons versus the same period in 2013)
- Commercial refrigeration revenue was $10.6m versus $14.5m
- Revenue for the Latin America region decreased by 47%
- Revenue for the Europe, Middle East and Africa region increased by 72%
- Revenue for the Asia Pacific region increased by 43%
- Gross margin increased by 1.5% to 18.5%
- EBITDA for the period was a loss of $1.955m versus $1.471m
- Net loss was $1.992m versus a loss of $1.756m
The demand issues we are seeing in Latin America are expected to continue
through the balance of 2014. As such we are adjusting guidance for revenues
to be lower than 2013 with the loss (before interest and tax) remaining at
similar levels. Our gross margin is expected to improve versus last year.
Strategic Highlights for the period:
- The completed qualification of our supplier partner East West, which will
result in achieving our target of 25% gross margin
- The signing of channel partner agreements in the USA and China which will
increase sales in those regions
- Significant progress on our new Advanced Motor and Smart Controller
products scheduled for launch in early 2015
- The closure of the Singapore Office resulting in improved operating cost
- The relocation of the New Zealand HQ and Innovation Centre to lower cost
premises
Greg Allen, CEO, commented, "Our demand situation in Latin America continues
to be a concern and the revenue result is not a pleasing outcome. We
understand what is causing the revenue issues and we are working diligently
to both compete for share with existing customers and locate new sources of
revenue. In EMEA and Asia however we are seeing strong revenue results and
that is a good sign. We are making progress on our strategic priorities;
lowering our supply chain costs, diversifying our customer base through new
sales channels and launching new products to open up new market
opportunities. Our revenue doesn't tell the right story yet, but we are doing
the right things to get growing again."
Contact:
Greg Allen
Chief Executive Officer
Phone +1-778-238-6494
Howard Milliner
Chief Financial Officer
+64-27-587-0455
End CA:00254621 For:WDT Type:HALFYR Time:2014-08-29 17:02:35
