Attention Business/Financial Editors:
AADCO announces fiscal 2005 results
BRAMPTON, ON, Nov. 5, 2005 (Canada NewsWire via COMTEX) --
AADCO Automotive Inc., a supplier of quality used automotive parts to the automotive repair industry and to consumers, announced its financial results for the year ended June 30, 2005.
Revenue for the current year was $5,796,000 compared to $ 4,963,000 for the same period last year. The net loss for the year was $2,712,000 or ($0.04) per share compared to a loss of $1,418,000 or ($0.04) for fiscal 2004. Included in the current year's loss is a $ 915,000 write down of inventory and an intangibles impairment write down of $475,000. These one-time losses were offset by a one time restructuring gain of $1,958,000.
Revenue for Q4 2005 was $1,845,000 compared to $1,569,000 in 2004.
Charlie Hodgkinson, CEO of AADCO, noted that "fiscal 2005 was all about moving AADCO to a lower cost base by moving the company's premises. That process started in August 2004 and was completed in January 2005. We are pleased that we were able to continue to grow sales throughout this period although margins were impacted. The company took the opportunity to dispose of obsolete inventory during the move. Similarly, we have written off our Coreline investment as that business was impacted by lower cost offshore product that has reduced the number of re-manufacturers. Closing down this business enables us to focus entirely on the sale of LKQ product."
The company also announced its annual meeting to be held on December 1, 2005 at 38 Hansen Rd South in Brampton at 10 am.
About AADCO
AADCO Automotive Inc. is a growing, Canadian public company with a unique business model committed to complete vehicle dismantling to provide quality used OEM parts, recyclable core from insurance salvage and aftermarket parts to meet the needs of the collision/ mechanical repair industry, as well as the remanufacturing industry through it's Coreline division. AADCO serves over 3,000 mechanical and collision repair clients across Ontario through its LKQ parts division. AADCO maintains one of the largest unbolted inventory of quality used OEM parts in Canada at its 87,000 sq. ft. facility in Brampton, Ontario. AADCO is the only auto recycler to have been awarded the Ecologo for environmental stewardship.
The TSX - Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
For further information: Please contact: AADCO Automotive Inc. - (905) 789-9313, Charles Hodgkinson, CEO, chodgkinson@aadco.ca
