Stock Name: CTO
Amount: CAD 0.05
Announcement Date: 02/11/2012
Record Date: 26/11/2012
Dividend Detail:
CALGARY, Nov. 2, 2012 /CNW/ - Circa Enterprises Inc. (CTO-TSXV) (the
 "Company" or "Circa"), a manufacturer of equipment for the
 telecommunication, electrical utility, and construction industries,
 reports results of operations for the third quarter ended September 30,
 2012 and the declaration of a special cash dividend.
THIRD QUARTER RESULTS
Summary of third quarter operating results:
Consolidated sales of $5.87 million, representing a 0.1% increase
compared to Q3��2011 sales of $5.86 million
Profit for the period from continuing operations for the third quarter
of 2012 of $84,000 compared to a loss from continuing operations of
$77,000 for Q3 2011
EBITDA of $210,000 for Q3 2012 compared to EBITDA of $(23,000) for Q3
2011 (see below for explanation and calculation of EBITDA)
Adjusted EBITDA of $218,000 for Q3 2012 compared to Adjusted EBITDA of
$6,000 for Q3 2011 (see below for explanation and calculation of
Adjusted EBITDA)
Summary of year-to date operating results:
Consolidated sales of $17.21 million, representing a 0.3% increase
compared to sales of $17.16 million for the same nine month period in
2011
Profit from continuing operations for the nine months ended September
30, 2012 of $379,000 compared to a loss of $23,000 for the same period
in 2011
EBITDA of $803,000 for the nine month period ended September 30, 2012
compared to EBITDA of $268,000 for the same period in 2011
Adjusted EBITDA of $856,000 for the nine month period ended September
30, 2012 compared to Adjusted EBITDA of $415,000 for the same period in
2011
Cash flow from operations for the nine months ended September 30, 2012
of $1.1 million, which has enabled the Company to eliminate its debt in
2012
EBITDA is earnings before interest, taxes, depreciation and
 amortization.�� Adjusted EBITDA is earnings before interest, taxes,
 depreciation and amortization and is adjusted for other non-recurring
 items and non-cash items. EBITDA and Adjusted EBITDA are a non-IFRS
 financial measures and do not have any standardized meaning prescribed
 by International Financial Reporting Standards and, therefore, may not
 to be comparable to similar measures presented by other issuers.��
 Management believes that EBITDA and Adjusted EBITDA are useful
 supplemental measures, which provides an indication of the results
 generated by Circa's primary business activities prior to consideration
 of how those activities are financed, amortized or taxed.�� Readers are
 cautioned, however, that EBITDA and Adjusted EBITDA should not be
 construed as an alternative to comprehensive income (loss) determined
 in accordance with IFRS as an indicator of the Company's financial
 performance. EBITDA and Adjusted EBITDA are calculated by the Company
 as follows:
��  | ��  | ��  | ��  | ��  | 
��  | (unaudited) Nine months 30 Sep 2012  | (unaudited) Nine months 30 Sep 2011  | (unaudited) Three months 30 Sep 2012  | (unaudited) Three months 30 Sep 2011  | 
��  | $000's  | $000's  | $000's  | $000's  | 
Profit for the period from continuing  | ||||
operations  | 379  | (23)  | 84  | (77)  | 
Income taxes  | 217  | (7)  | 66  | (42)  | 
Interest  | 14  | 27  | 1  | 9  | 
Depreciation and amortization  | 193  | 271  | 59  | 87  | 
EBITDA  | 803  | 268  | 210  | (23)  | 
Non-recurring severance charge  | 53  | 147  | 8  | 29  | 
Adjusted EBITDA  | 856  | 415  | 218  | 6  | 
Consolidated sales for the third quarter of 2012 were consistent at $5.9
 million compared to the same period in 2011. Sales in both divisions
 were consistent, despite month to month volatility in sales. Telecom
 segment sales were $2.5 million and Circa Metals' sales were $3.3
 million in each of Q3 2012 and Q3��2011.
The Company's earnings increased significantly in the quarter when
 compared to the prior year due to operational efficiencies.�� The
 Company was able to improve productivity and efficiencies and, in turn,
 reduce its direct labour costs which resulted in higher gross margins
 and operating margins.�� The Company posted after tax profit of $84,000
 for the quarter compared to after tax loss of $77,000 reported in 2011.
The Company was able to generate positive EBITDA of $210,000 for the
 quarter and $0.8 million for the nine months ended September 30, 2012.��
 This cash flow allowed the Company to eliminate its operating line of
 credit during the 2012 fiscal year.
Ivan Smith, Circa's President and Chief Executive officer, stated:
"The third quarter 2012 financial results are an improvement over the
 results achieved over the third quarter of 2011.�� The Company is
 continuing to achieve stronger margins as a result of efficiency and
 productivity improvements in its operations.�� This has reduced costs
 and improved profitability compared to the prior year.
The Company's balance sheet is strong and the business is stable.�� We
 are continuing to pursue new opportunities to grow top line revenue.��
 In the coming year, we will continue to concentrate our efforts towards
 revenue growth, efficient operations and improving on our financial
 results for our shareholders."
CIRCA ENTERPRISES INC.  | |||||
Consolidated Statements of Comprehensive Income  | |||||
��  | ��  | ��  | ��  | ��  | ��  | 
Unaudited  | ��  | ��  | ��  | ��  | ��  | 
��  | ��  | Nine months ended 30 Sep 2012  | Nine months ended 30 Sep 2011  | Three months ended 30 Sep 2012  | Three months ended 30 Sep 2011  | 
��  | ��  | $000's  | $000's  | $000's  | $000's  | 
��  | ��  | ��  | ��  | ��  | ��  | 
Revenue  | ��  | 17,214  | 17,164  | 5,869  | 5,861  | 
Cost of sales  | ��  | (13,317)  | (13,701)  | (4,653)  | (4,906)  | 
Gross profit  | ��  | 3,897  | 3,463  | 1,216  | 955  | 
Selling, general and administrative expenses  | ��  | (3,287)  | (3,465)  | (1,065)  | (1,065)  | 
Operating profit (loss)  | ��  | 610  | (2)  | 151  | (110)  | 
Loss on sale of assets  | ��  | -  | (1)  | -  | -  | 
Finance costs  | ��  | (14)  | (27)  | (1)  | (9)  | 
Profit (loss) before tax  | ��  | 596  | (30)  | 150  | (119)  | 
Income tax expense  | ��  | (217)  | 7  | (66)  | 42  | 
Profit (loss) for the period from continuing operations attributable to shareholders of the Company  | ��  | 379  | (23)  | 84  | (77)  | 
Other comprehensive income (loss):  | ��  | ��  | ��  | ��  | ��  | 
Exchange differences on translating foreign operations, net of tax  | ��  | (58)  | 65  | (88)  | 129  | 
Total comprehensive income (loss) for the period attributable to shareholders of the Company  | ��  | 321  | 42  | (4)  | 52  | 
��  | ��  | ��  | ��  | ��  | ��  | 
Earnings (loss) per share (in $'s)  | ��  | ��  | ��  | ��  | ��  | 
Basic and diluted  | ��  | 0.04  | (0.00)  | 0.01  | (0.01)  | 
DECLARATION OF SPECIAL DIVIDEND
The Company announced today that its Board of Directors has declared a
 special cash dividend of $0.05 per share on its common shares payable
 December 12, 2012 to shareholders of record at the close of business
 November 28, 2012.�� The Dividend is deemed to be an eligible dividend
 for purposes of the Income Tax Act (Canada).
Circa Enterprises Inc. is a public company with operations in Alberta,
 Ontario and Florida. The outstanding common shares of Circa Enterprises
 Inc. are listed and trade on the TSX Venture Exchange under the trading
 symbol CTO. Neither the TSX Venture Exchange nor its Regulation
 Services Provider (as that term is defined in the policies of the TSX
 Venture Exchange) accepts responsibility for the adequacy or accuracy
 of this release.
The Company's quarterly financial statements and related management's
 discussion and analysis have been filed with certain securities
 regulatory authorities in Canada and may be accessed electronically
 through the SEDAR website at www.sedar.com.
��
SOURCE: Circa Enterprises Inc.
For further information:
 Mr. Ivan Smith
 President and CEO
 Circa Enterprises Inc.
 (403) 258-2011
 
 Mr. Cory Tamagi
 VP Finance and CFO
 Circa Enterprises Inc.
 (403) 258-2011
 
 E-Mail:����investor@circaent.com
 Website:����www.circaent.com 
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