AERT Announces 1st Quarter 2014 Results
May 06 2014 - 5:24PM
Advanced Environmental Recycling Technologies, Inc. (OTCBB:AERT), a
leading plastic recycler and manufacturer of green building
products announced today that sales for the quarter ended March 31,
2014 were $16.7 million, $2 million less than the quarter ended
March 31, 2013. This decrease was due primarily to decreased
ChoiceDek® sales as our distributor reduced inventories. A late
spring and inclement weather depressed sales of both the
MoistureShield and ChoiceDek lines.
Cost of goods sold, as a percentage of sales, increased by 12.6
percentage points as a result of lower production volume because
the company had not regained the production capacity it had prior
to the July 2013 fire.
SG&A first quarter costs were up $0.1 million from the first
quarter of 2013 and an operating loss of $1.0 million was generated
this year versus $1.7 million operating income last year. Net loss
for the quarter was $1.8 million versus a net income of $0.6
million for the first quarter of 2013.
AERT's CEO, Tim Morrison, stated, "The extended winter in much
of the country led to disappointing sales while the plants
struggled to regain capacity and efficiencies lost as a result of
the July fire. However, there are reasons for optimism. AERT
associates have regained the lost capacity and warmer weather has
increased product demand. Further, there is strong demand for our
new MoistureShield Pro capstock line. While year-over-year first
quarter sales were down we built finished goods inventory in
anticipation of future demand."
AERT will host their first quarter conference call and webcast
on Wednesday, May 7, 2014 commencing at 11:30 am (EDT)/10:30 am
(CDT) to discuss the results. Listeners may participate in a
question and answer session toward the end of the webcast by
calling 877-561-2747. To listen via internet visit
http://aertinc.com/investor-relations/.
About Advanced Environmental Recycling Technologies,
Inc.
Since 1989, AERT (OTCBB:AERT) has pioneered the use of recycled
polyethylene plastic in the manufacture of composite building
materials. With its constantly evolving portfolio of patented and
proprietary recycling technologies, AERT has been widely recognized
as a leader in resource conservation innovation and received the
EPA Award for Environmental Excellence for its process of
converting scrap plastic to composite outdoor decking. The company
recently received an ESGR Patriot Award for its support of our
Guard and Reserve Units in the U. S. Armed Forces. AERT converts
reclaimed plastic and wood fiber waste into quality outdoor decking
systems, fence systems, and door and window components. The Company
is the exclusive manufacturer of ChoiceDek® decking, which is
available in multiple colors and is sold in Lowe's Home Improvement
stores nationwide. See http://www.choicedek.com for more
information. AERT's MoistureShield® decking program is expanding
and products are now available throughout the U.S. See
http://www.moistureshield.com for product information or to find a
regional distributor or dealer. AERT operates manufacturing
facilities in Springdale and Lowell, Arkansas and recently
commenced operations at its Green Age recycling facility in Watts,
Oklahoma. Investors can access real-time stock quotes and
information at http://www.otcmarkets.com. For more information on
the Company, visit http://www.aertinc.com. Sign up to receive
investor information, including press releases, via email by
visiting http://aert.com/ir/PressReleaseOptIn.aspx.
Certain statements in this news release regarding projected
results of operations, or, projected results of financial plans or
future strategies and initiatives, including, but not limited to,
projections of revenue, projections of profitability, any and all
future expectation, and plans for future activities may and should
be regarded as ``forward-looking statements'' within the meaning of
the Securities Litigation Reform Act. These statements involve,
among other things, known and unknown risks, uncertainties and
other factors that may cause AERT, Inc.'s actual results, levels of
activity, performance or achievements to be materially different
from any future results, levels of activity, performance or
achievements expressed or implied by such forward-looking
statements. AERT currently is considering, but may or may not in
the future implement any or all of the items and issues listed in
any planned budget or strategic initiative, due to, among other
things, known and unknown risks, uncertainties and other
factors.
AERT, Inc. undertakes no obligation to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events, change in strategy, or otherwise. The
above-mentioned listing of risks and uncertainties is not
inclusive. For a more detailed discussion of some, but not all, of
the risks and uncertainties that may affect AERT, Inc., see AERT,
Inc.'s filing with the Securities and Exchange Commission,
including its Annual Report on Form 10-K, for the fiscal year ended
December 31, 2013.
CONTACT: For AERT
Sarah Pore
479-203-5084
www.aertinc.com/ir