21 June 2001
21 June 2001
ZCL Composites Inc. reported net earnings of $1,534,000 for the year ended March 31, 2001, up significantly from a net loss of $1,120,000 for the year ended March 31, 2000. Revenue for the year increased by over 14% to $29.3 million from $25.7 million in 2000. This increase reflects the continuing strong markets in both the upstream and downstream sectors of the Canadian petroleum industry, diversification into new market sectors, as well as increasing revenue from new products introduced over the past few years.
“Growth in our core operations, improvements in our manufacturing processes, and reductions in costs relating to USA license litigation, have resulted in very significant improvements in our earnings,” said Ven Côté, President. “The costs related to both the recently announced acquisition of the business assets and proprietary know-how of ZCL-USA, as well as the settled license litigation with Xerxes, were incurred to create growth opportunities and improve future performance. These costs are behind us and we can now move forward to take full advantage of the opportunities in the North American marketplace. With continued strength in our primary markets, we expect to sustain these improvements in our earnings over the next year.”
ZCL Composites Inc. is Canada’s largest manufacturer of fibreglass underground storage tanks and the leading supplier of tanks to the retail petroleum market. ZCL markets its tanks under the “Greentank”, “Prezerver” and “Protektor” trademarks.