SkyPostal Networks Inc. (SPKN.OB) announced financial results from its Q1 2008 operations today. Based in Miami, SkyPostal specializes in the hand delivery of commercial mail and periodicals from Europe and the US into Latin America and the Caribbean (LAC).
Sales for the first quarter were reported at $2,440,801, which is a 40 percent increase over the same period in 2007, where sales were $1,747,765. The reported numbers indicate improved total operating margins from 17 percent in 2007 to 24 percent in 2008. EBITDA numbers also indicated an 11 percent increase.
President and CEO Albert Hernandez said, “We are very pleased to see our margins increasing together with the EBITDA and record revenue growth. The Company is committed to further expanding while keeping operational expenses as low as possible. We anticipate that margins will continue to increase as we further establish our presence in the LAC and improve our operational efficacy.”
Although the company saw increased tonnage and revenue, higher revenue per kilogram, lower delivery cost per kilogram and the resultant better margin between revenue and delivery cost per kilogram, net loss for Q1 2008 increased to $1,030,499 from $445,418 reported for Q1 2007. The net loss increase was in part due to non-recurring and non-cash expenses.
SkyPostal currently has exclusive agreements with over 20 major private postal services in 20 countries in the LAC. Over the last five quarters, the tonnage delivered has continually increased.
Hernandez stated, “Quite simply, we have achieved the best quarter over quarter results in the Company’s history based on revenues and profitability.” He continued, “Our investment in 2007 has provided a solid groundwork for a strong 2008.”
At this time, more than 130 tons of mail per month is being delivered into the LAC. The company projects continued growth through the remainder of 2008. The UPU estimates the region can potentially produce $1 billion for the company. A study in 2004 found that the LAC has a population of over 530 million, which results in an estimated 11 billion items of mail.
Hernandez concluded, “We are continuing to execute and improve upon our business model, and we believe that the Company will continue to aggressively grow its revenue and efficiencies in 2008. Our management team has done an extraordinary job positioning the Company to continue increasing its penetration in the industry. Simultaneously, they have created a powerful entrepreneurial spirit to enable the Company to generate strong revenue and net income growth while providing the best service possible.”
Let us hear your thoughts: SkyPostal, Inc. Message Board
