Home / Knowledge / News / Textiles / CRAiLAR Q1 posts net loss of $2.6mn
CRAiLAR Q1 posts net loss of $2.6mn
07
Jun '14
CRAiLAR Technologies Inc., which produces and markets CRAiLAR Flax fiber The Friendliest Fiber On The Planet, reported sales of $0.4 million and a net loss of $2.6 million or $0.05 per share for the first quarter ended March 29, 2014 which includes a non-cash derivative liability expense of $0.3 million or $0.01 per share and facility commissioning costs of $0.3 million or $0.01 per share. 
 
First Quarter Highlights:
-Commences production at acquired European production facility
-Shipped flax fiber to key customers
-Produced and shipped trial hemp quantities
-Adjusted EBITDA for Q1 was a loss of $1.3 million
 
This compares with nil sales and a net loss of $3.2 million or $0.08 per share for the first quarter of 2013 that includes a non-cash inventory impairment charge of $0.4 million. The Company's Adjusted EBITDA for the quarter was a loss of $1.3 million, a reduction of $0.4 million from first quarter 2013's Adjusted EBITDA loss of $1.7 million. For further information regarding Adjusted EBITDA, including a reconciliation of Adjusted EBITDA to net loss, see non-GAAP Financial Measures below.
 
During the First Quarter, the Company began optimizing its European production facility purchased in December 2013 as it commenced production and shipped high quality CRAiLAR Flax fiber. The Company incurred $0.3 million of incremental costs to outsource certain production steps and to train new employees to boost the number of shifts. The Company also experienced production inefficiencies while the plant was undergoing modification. 
 
The additional outsourcing costs were viewed as an investment to satisfy initial customer demand. The necessary equipment to bring the CRAiLAR process in-house is expected to be operational by the end of the second quarter. Once installed and ramped up, this equipment is expected to eliminate outsourcing costs. Additional equipment to provide energy, chemical and labor savings is scheduled to be installed and operational by the end of the third quarter.
 
"The first quarter was an exciting period for CRAiLAR as we began filling customer orders with the best fiber we have ever produced," stated Kenneth C. Barker, Chief Executive Officer. "Customer feedback continues to be very positive; our customers are increasing the blend levels of CRAiLAR in their products; and we are receiving 2015 order forecasts in excess of our current capacity. We are also excited by the hemp opportunity, a great fiber for denim and durable fabric applications."
 
Click here to view full results.
 

CRAiLAR Technologies


Must ReadView All

Textiles | On 27th Jun 2017

Govt defers tax deduction at source provision under GST

E-commerce players in India will not be required to deduct tax on...

Apparel/Garments | On 27th Jun 2017

Future Group aims Rs 12,000 crore in fashion business

Future Group, which runs retail stores across India under various...

Textiles | On 27th Jun 2017

AEPC & NSDL to help exporters with GST compliances

Apparel Export Promotion Council (AEPC) and National Securities...

Interviews View All

Frank Gossmann
Rotorcraft AG

‘RT3 motto is: Do not check millimetres, check colours.’

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Sanjay Desai & Ashish Mulani
True Colors

Digital textile printing will be the technology of the future

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
July 2017

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search