UGE Reports Revenue Increase in Q2 Financial Results

UGE International (TSXV:UG)(OTCQB:UGEIF) has announced their financial results from the past three and six month periods, ending on June 30th. A highlight from the report was a 107% increase in second quarter revenue to reach $1.4 million.
According to the press release:

• UGE reported its fourth consecutive quarter of growth in confirmed orders, totaling $5.8 million, resulting in year to date total orders amounting to $10.2 million, more than double the Company’s total 2014 confirmed orders of $4.9 million

• Gross profit margin came in below normalized level of approximately 25 percent due to the timing of realizing cost of sales relative to a portion of related revenues not realized in the reported period

• SG&A remains unchanged at $1.4 million when compared to the same period in 2014, demonstrating the positive levers in the growth profile of the Company going forward

The Company’s performance in the three months ended June 30, 2015 was characterized by high growth in both revenue and confirmed orders. Revenue for the second quarter grew 107%, reaching $1,418,643 compared with $685,794 in the same period of the prior year. Furthermore, the revenue numbers do not include $428,000 from several projects for which we have already recognized cost of sales.
The increase is due to the successful execution of UGE’s growth plan as we continue to book record numbers of confirmed orders, and convert those orders into revenue. Confirmed orders set a new company record, at approximately $5,762,000, which is, by itself, larger than UGE’s entire 2014 total of approximately $4,918,000, bringing the total backlog of confirmed orders yet to be recognized as revenue to approximately $9,697,000. Confirmed orders represent firm agreements with customers and are tracked as a leading indicator of future revenue.

 
Click here to read the full press release from UGE.