Eurocontrol Technics Group Inc. (TSXV:
EUO) shares continued to be active Tuesday, four trading days after the
company released its first-quarter 2015 financial results. On May 21, 2015, Eurocontrol
stock jumped 46% to $0.08 after the company reported first-quarter revenue that
surged 36% to $1,931,299, while its operating net income during the period
increased 827% to $546,267 and its overall gross margin rose from 48% to 61%.
“Our
revenue stability remained strong going into 2015 as a result of the large
reoccurring component of our overall revenue, and our EBITDA in the quarter
increased significantly compared to the same period in 2014 as a result of
management’s control on expenses and a contributing grant received from the
Chief Scientist Office of Israel in the amount of US$200,000. The significant
reduction in net loss and our positive earnings per share of $0.01 has gone
according to plan and management will continue to accelerate our successful
growth strategy,” said Eurocontrol CEO and Chairman Bruce Rowlands.
Eurocontrol has
developed an innovative molecular marking system for oil products and brands,
and possesses the only black oil (crude and fuel oil) marking system in the
world. In some countries kerosene, water, or used motor oil have been known to
be added into fuel and not detected by the driver until the engine damage has
already been done. This tainted fuel affects all citizens in these countries as
it reduces government tax revenue which may, in turn, impact spending on social
programs. Additionally, there are environmental issues these practices raise.
Eurocontrol’s Petromark™
technology embeds a molecular marker that it is invisible, impossible to
imitate, as well as remove and/or alter, and binds to hydrocarbons at a parts
per million level. The marker can be tested downstream with relative ease at a
gas station or at any point within the distribution chain via a portable, suitcase-sized
mobile detection system based onenergy-dispersive X-ray
fluorescence. If there are any differences between the marking level and the
tested level, then it can be concluded that the fuel has been diluted by some
calculable percentage. The company estimates that the annual global losses from
the illicit trade of fuels is approximately US$100 billion to $200 billion per
year.
The company’s wholly-owned Xenemetrix Ltd. subsidiary was
recently awarded the Frost & Sullivan’s 2015 Global Analytical X-ray
Instrumentation Price Performance Value Leadership Award. Eurocontrol’s share price has doubled during the past five
trading days to its current price of $0.11.
