Grande West Transportation Group Inc. has announced the financial results for the first quarter ending March 31, 2018.
First Quarter Highlights
- Bus and aftermarket parts revenue of $22,440,211 compared to $4,548,968 for the three months ended March 31, 2017
- Net income of $420,209 compared to a net loss of $1,084,865 for the three months ended March 31, 2017
- Adjusted EBITDA of $1,675,737 compared to a loss of $364,222 for the three months ended March 31, 2017 (see reconciliation of Net earnings to Adjusted EBITDA below)
- Deliveries of fifty eight (58) Vicinity buses compared to twelve for the three months ended March 31, 2017
Management reports 2018 first quarter financial results of fifty eight Vicinity buses delivered, revenue of $22,440,211, net income of $420,209 and gross profit margin of 13.5 percent.
During the quarter the Company focused on continued growth, operational efficiencies, implementation of world-class systems and key executive team additions to support these endeavours.
Corporate Update
General Overview
Management is pleased to have delivered a profitable quarter, but realizes the opportunity to increase operational efficiencies and cost savings to bring more to the bottom line. The addition of Dan Buckle as CFO in May was directed by the current and future needs of the Company. Reducing costs and increasing margin as Grande West grows into the U.S. market is a key focus for management and Buckle’s addition along with the new VP of Sales and Marketing, Rob Mowat, are clear steps in this direction.
US Buy America Production
The College Park facility located near the Atlanta Airport in Georgia is our U.S. final assembly facility. As previously noted, Grande West is proceeding carefully in the initial stages of final assembly ramp up in Atlanta. We are working diligently on verification and validation of the final assembly process and documentation with the assistance of a contracted third-party auditor. Our first bus has been completed, we will continue to ramp up progressively over the next few months with a target of reaching a production level of 10 buses per month as quickly as possible in 2018.
