(STOCK SYMBOL - CDNX, "HED")

Hedley Announces Results

for the Third Quarter 2002

Mississauga, Ontario (October 30, 2002) Hedley Technologies Ltd. announces that although sales for the nine month period ending September 30, 2002 were down by 5.4% to $507,323, gross margin was $366,574, up 7.2% from the same period last year.  Expenses were reduced by 6.7% to $595,479 versus $638,700 for September 30, 2001.  As a result the net loss for the period is $227,733 compared to last year of $297,009.  The loss per share for the nine months is $0.025 compared to $0.032 for September 30, 2001.  It should be noted that these results do not include any sales of insecolo™ for this year compared to $89,121 for the same period last year.  We expect significant improvement on our insecolo™ business in the coming 12 months, starting as early as the fourth quarter of this year.

As at September 30, 2002, the Company’s working capital position stood at $582,159, a large improvement from a negative working capital balance of $893,255 on September 30, 2001.  There will be further working capital improvements resulting in the completion of the insecolo™ royalty buy-out announced after quarter end.

North American Protect-ItŪ sales continue to be disappointing, but somewhat anticipated, due to the dramatic reduction of grain harvested in Canada and the USA this year

In late September, Dr. Zlatko Korunic resigned from the Hedley Board.  Although Dr. Korunic will no longer be involved at the Board level of Hedley Technologies Ltd. , he will continue to head the company’s Research and Development activities.

Management continues to pursue new products and to expand markets for Protect-ItŪ and insecolo™.  I hope to have some positive news related to these efforts in the near future.

Consolidated Financial Highlights

For the nine months ended September 30, 2002and 2001
Canadian $

 

 

September 30, 2001

September 30, 2001

Revenues 

$ 507,323

$ 536,529

Gross Profit

$366,344

$341,517

Expenses

$595,479

$638,700

Net Profit/(Loss)

($227,733)

($297,009)

Loss per share

$0.025

$0.032

EBITDA

($45,806)

($43,325)

Working Capital

$825,956

$320,908

Accounts Payable & Accrued Liabilities 

$244,597

$635,334

Weighted average shares outstanding

9,170,195

9,170,195

 

 

 

All figures unless otherwise noted are reported in accordance with Canadian Generally Accepted Accounting Principles.

Please visit the SEDAR home page for a more detailed account of our filings.

 mailto:hedinfo@attglobal.net
 
 


 
 




[Corporate Overview] [Products&Services] [What's New] [Investor Relations] [News Release] [Technology] [Home Page]