NANAIMO, BC, Sept. 17, 2021 /CNW/ - Atlas Engineered Products ("AEP" or the "Company") (TSXV: AEP) (OTC Markets: APEUF) is pleased to provide an update on the Company's net revenues for the first two months of the 3rd Quarter of 2021.
The Company has carried the strong momentum gained in the first half of 2021 into the 3rd Quarter of 2021. Revenues for the two months ended August 31, 2021 were $11.5 million which represents an 18.8% increase from the full three month quarter ended September 30, 2020 during which the Company had revenues of $9.68 million. Management is confident that 3rd quarter 2021 revenues will surpass the 2nd quarter 2021 revenues of $14.4 million which were partly the result of higher than normal lumber prices.
The Company also wishes to report that current sales order bookings stand at approximately $12 million. These orders are expected to be delivered by the end of the calendar year 2021
Based on the robust first half of the year, and strong current bookings, management estimates that 2021 year-end revenues will reach at least $50 million barring any significant weather stoppages or other unforeseen circumstances. The Company generated $35.7 million in revenue during the full year ended December 31, 2020.
"Strong demand and significant production volume increases have offset the drop in lumber prices and Q3 is poised to be a record quarter for the Company" said Melissa MacRae, Interim CFO. "While raw material price volatility and labour shortages continues to challenge the industry the solid start to Q3 is a testament to the hard work and focus of the entire AEP team."
The Company's focus continues to be on the raw material and labour challenges experienced by the construction industry, while also driving forward with further organic growth and production efficiency initiatives.
About Atlas Engineered Products Ltd.
AEP is a growth company that is acquiring and operating profitable, well-established operations in Canada's truss and engineered products industry. We have a well-defined and disciplined acquisition and operating growth strategy enabling us to scale aggressively and apply new technologies, giving us a unique opportunity to consolidate a fragmented industry of independent operators.
Forward Looking Information
Information set forth in this news release contains forward-looking statements. Forward-looking statements often, but not always, are identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect", "targeting" and "intend" and statements that an event or result "may", "will", "should", "could", or "might" occur or be achieved and other similar expressions. Forward-looking statements included in this news release include statements with respect to expected revenues for the full quarter ending September 30, 2021, the fullfillment or delivery of booked orders through the year, and anticipated revenues for the fiscal year ending December 31, 2021. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. Although AEP believes that the expectations reflected in the forward looking statements are reasonable, there is no assurance that such expectations will prove to be correct, or that such future events will occur in the disclosed time frames or at all. AEP cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond AEP's control. Such factors include, among other things: the potential effects of the COVID19 pandemic (including related work stoppages or shortages and impacts of the pandemic on the availability of raw materials and demand for AEP's products), potential weather stoppages, fluctuating prices and availability of raw materials (including lumber prices), changes in general economic conditions and additional risks and uncertainties described in the Management's Discussion and Analysis ("MD&A") for AEP's three and six months ended June 30, 2021. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information.
Forward-looking statements in this news release also include future-oriented financial information and financial outlook information ("FOFI") regarding AEP and its prospective revenues, financial results and components thereof. The FOFI contained in this news release is subject to the same assumptions, risk factors, limitations and qualifications set forth in this news release relating to other forward-looking statements. The FOFI contained in this news release is provided for the purpose of providing information regarding management's assessment of the Company's anticipated business operations and may not be appropriate for other purposes.
Except as required under applicable securities legislation, AEP undertakes no obligation to publicly update or revise forward-looking information.
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SOURCE Atlas Engineered Products Ltd.
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