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Filter maker Noveko almost halves first-quarter loss as revenues improve

MONTREAL – Filtration technology producer Noveko International Inc. (TSX:EKO) reported Tuesday a first-quarter loss of $1.6 million, improved almost 50 per cent from a year-earlier loss of $3 million as revenues grew seven per cent.

The Montreal-based company said its loss amounted to two cents per share, compared to four cents per share in the prior-year period.

Revenue increased to $2.9 million from $2.7 million.

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“We increased our consolidated sales by seven per cent despite a temporary slowdown in some markets, but most important, our first-quarter net loss was reduced by 47 per cent from the same period of last year thanks to the cost-cutting measures implemented over the past year,” CEO Andre Leroux said in a statement.

“Although our first-quarter slowdown in sales of medical equipment and fragile European economies are making us cautious, everything indicates that the segment will return to growth in the second quarter thanks to the efforts of our well-structured marketing teams and distribution networks.”

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Noveko also announced it has appointed Ginette Gagne as chief financial office. Gagne was formerly CFO at Xebec Absorption Inc.

Noveko makes antimicrobial air filters, surgical masks, respirators, hand sanitizers and medical equipment, including portable real-time ultrasound scanners for use in human and veterinary medicine.

Shares in the company were untraded at 25 cents Tuesday morning on the Toronto Stock Exchange.

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