RICHMOND HILL, ONTARIO -- (Marketwire) -- 10/02/12 -- BFS Entertainment & Multimedia Limited (TSX VENTURE:BFS) ("BFS") of Richmond Hill, Ontario, announces its unaudited consolidated financial and operating results for the first quarter ended August 4, 2012.
Sales for the quarter were $2,155,939 compared to $2,228,463 during the same quarter last year. Net income for the quarter was $41,929 ($0.01 per share) compared with a net loss of $133,238 ($0.02 per share) in the same quarter last year.
Denis B.E. Donnelly, President and CEO stated, "We are extremely pleased to have turned the corner and be able to return to a profitable bottom line. Sales have remained stable and gross profit has increased slightly from 61% to 63% over the same period last year.
Selling expenses were reduced for the quarter when compared to the prior year by $210,000 due to a reduction in direct to consumer catalogue expenses which resulted in a minimal impact on sales; a further $68,000 reduction in administrative expenses netted an 18.4% reduction in all operating expenses over the same period last year and resulted in a profit before taxes of $61,766 for the quarter versus a loss before taxes of $197,573 last year for the same period.
We are very confident with the continuing dedicated efforts of our employees in this trend continuing and improving as we expand our product portfolio and will release shortly our digital download and streaming websites."
FINANCIAL HIGHLIGHTS
(Unaudited and not reviewed by an auditor - in Canadian dollars)
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Thirteen weeks
ended
August 4, 2012 August 6, 2011
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Sales $ 2,155,939 $ 2,228,463
Cost of goods sold 808,435 873,876
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Gross profit 1,347,504 1,354,587
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Selling and administrative expenses 1,195,131 1,473,894
Amortization 72,264 78,544
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Income (loss) from operations 80,109 (197,851)
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Interest expense 11,250 10,775
Foreign exchange loss (gain) 7,093 (11,053)
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Net finance charges 18,343 (278)
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Income (loss) before income taxes 61,766 (197,573)
Income tax expense (recovery) 19,837 (64,335)
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Net income (loss) and comprehensive
income (loss) $ 41,929 $ (133,238)
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Basic and diluted earnings (loss)
per share $ 0.01 $ (0.02)
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BFS Entertainment & Multimedia Limited is a recognised independent North American entertainment company focusing on the acquisition, distribution and production of film and television media with head office in Toronto, Ontario.
Programming includes classic dramas, mystery, comedy, sports, documentaries and health and wellness and is sold under the BFS, American Home Treasures and Bodhi Lifestyle(TM) brands. North American retail distribution is through national retailers, distributors, mail order companies and BFS' direct to consumer division and e-commerce websites.
BFS' strategy is to continue to acquire new programming and to expand its proprietary programme development, international distribution and direct to consumer delivery, including electronic delivery and streaming.
