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Press release from Marketwire

Bennett Environmental Inc. Announces Q3 Results

Wednesday, November 10, 2010

Bennett Environmental Inc. Announces Q3 Results12:16 EST Wednesday, November 10, 2010OAKVILLE, ONTARIO--(Marketwire - Nov. 10, 2010) - Bennett Environmental Inc. (TSX:BEV)(the "Company" or "BEI") today announced its results for the period ending September 30, 2010. Revenue for the quarter was $10.6 million, earnings before income taxes were $6.3 million and net earnings were $7.3 million. Earnings per share were $0.19 on a fully diluted basis.BEI's policy with respect to announcing future projects has been to announce projects when there is virtual certainty that the material will be received at Saint Ambroise. This is typically well after the Request for Proposal process and after contracts have been awarded. At this time the Company does not have new projects that meet this criteria, other than the one announced on July 8, 2010.Mr. Christopher Wallace, Chairman of the Board, commented "The Company continues to be committed to completing a significant acquisition or program to support our diversification objectives. We are currently continuing our evaluation of various alternatives. This is, of course, in addition to aggressively pursuing contracts for our current business."The Company also made the following comments on its results, with fuller discussion in the Management Discussion and Analysis available on http://media3.marketwire.com/docs/BennettMDAQ310.pdf and Interim Consolidated Financial Statements available on http://media3.marketwire.com/docs/BennettIFSQ310.pdf. Forward Looking StatementsCertain statements contained in this press release and in certain documents incorporated by reference into this press release constitute forward-looking statements. The use of any of the words "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "believe" and "confident" and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. BEI believes that the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in, or incorporated by reference into, this press release should not be unduly relied upon. These statements speak only as of the date of this press release. BEI undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.About Bennett Environmental Inc.Bennett Environmental Inc. is a North American leader in high temperature treatment services for the treatment of contaminated soil and has provided thermal solutions to contamination problems throughout Canada and the U.S. Bennett Environmental's technology provides for the safe, economical and permanent solution to contaminated soil. Independent testing has consistently proven that the technology operates well within the most stringent criteria in North America. For information, please visit the Bennett Environmental website at: www.bennettenv.com.BENNETT ENVIRONMENTAL INC.Interim Consolidated Balance Sheets(Unaudited)(Expressed in Canadian dollars)September 30, 2010December 31, 2009AssetsCurrent assets:Cash and cash equivalents$64,144,682$17,645,459Restricted cash (note 3)10,617865,918Amounts receivable (note 5)3,877,05310,215,767Holdbacks receivable (note 6)-3,029,363Prepaid expenses and other790,743446,104Future income tax asset (note 13)-3,915,65068,823,09536,118,261Property, plant and equipment7,942,3598,424,518Assets under capital leases505,700412,074Assets held for sale2,675,5322,675,532$79,946,686$47,630,385Liabilities and Shareholders' EquityCurrent liabilities:Accounts payable and accrued liabilities$4,255,235$5,710,496Liabilities related to assets held for sale579,269475,532Income taxes payable991,9242,087,079Deferred revenue987,4177,286,897Current portion of long-term liabilities (note 9)284,115565,258Current portion of obligations under capital lease (note 10)182,310135,3167,280,27016,260,578Long-term liabilities (note 9)2,854,6792,912,430Long-term portion of obligations under capital lease (note 10)201,115229,330Shareholders' equity:Share capital (note 11)93,364,04071,949,963Contributed surplus (note 11)4,626,9814,244,554Share purchase warrants (note 12)2,721,131429,056Accumulated deficit(31,101,530)(48,395,526)69,610,62228,228,047Continuing operations (note 1)Contingencies (note 16)$79,946,686$47,630,385These interim consolidated financial statements do not include accompanying notes. A complete set of interim consolidated financial statements including notes is available on http://media3.marketwire.com/docs/BennettIFSQ310.pdf.BENNETT ENVIRONMENTAL INC.Interim Consolidated Statements of Operations and Comprehensive Income(Unaudited)(Expressed in Canadian dollars)Three months ended Nine months ended September 30,September 30,2010200920102009Sales$10,604,723$10,916,688$32,668,014$17,411,462Expenses:Operating costs2,396,6523,000,7417,877,3767,373,743Administration and business Development1,642,4951,183,3964,225,9233,585,294Depreciation and amortization271,551456,881795,5931,356,452Foreign exchange loss (gain)(1,456)4,5198127,623Interest79,56111,780608,267105,7774,388,8034,657,31713,507,97112,428,889Earnings before the undernoted6,215,9206,259,37119,160,0434,982,573Other income, including interest129,88760,231214,833160,200Earnings before income taxes6,345,8076,319,60219,374,8765,142,773Income tax expense (recovery)(note 13)Current(1,509,817)-(1,834,770)67,684Future520,140(2,595,354)3,915,650(2,595,354)(989,677)(2,595,354)2,080,880(2,527,670)Net earnings and comprehensive income$7,335,484$8,914,956$17,293,996$7,670,443Net earnings from operations per common share (note 14)Basic$0.20$0.33$0.52$0.28Diluted0.190.320.500.28These interim consolidated financial statements do not include accompanying notes. A complete set of interim consolidated financial statements including notes is available on http://media3.marketwire.com/docs/BennettIFSQ310.pdf.BENNETT ENVIRONMENTAL INC.Interim Consolidated Statements of Accumulated Deficit(Unaudited)(Expressed in Canadian dollars)Three months endedNine months endedSeptember 30,September 30,2010200920102009Accumulated deficit, beginning of period$(38,437,014)$(64,953,443)$(48,395,526)$(63,708,930)Net earnings7,335,4848,914,95617,293,9967,670,443Accumulated deficit, end of period$(31,101,530)$(56,038,487)$(31,101,530)$(56,038,487)These interim consolidated financial statements do not include accompanying notes. A complete set of interim consolidated financial statements including notes is available on http://media3.marketwire.com/docs/BennettIFSQ310.pdf.BENNETT ENVIRONMENTAL INC.Interim Consolidated Statements of Cash Flows(Unaudited)(Expressed in Canadian dollars)Three months endedNine months endedSeptember 30,September 30,2010200920102009Cash provided by (used in):Operations:Net earnings$7,335,484$8,914,956$17,293,996$7,670,443Items not involving cash:Depreciation and amortization271,551456,881795,5931,356,452Stock-based compensation33,23540,48698,621224,053Foreign exchange related to U.S. Department of Justice accrual(78,961)(214,337)(48,796)(342,057)Accretion interest15,43520,55248,78967,237Future income taxes (recovery)520,140(2,595,354)3,915,650(2,595,354)Loss on disposal of property, plant and equipment--2,552-Changes in non-cash operating working capital(2,706,811)(5,315,692)(2,358)(3,178,459)Repayments of long-term liabilities(19,750)(5,319)(59,250)(512,791)Cash provided by (used for) operating activities5,370,3231,302,17322,044,7972,689,524Financing:Repayment of lease obligations(45,249)(30,035)(176,497)(30,035)Issuance of share capital due to exercise of stock options-91,200142,50091,200Issuance of share capital due to exercise of warrants--885,600-Issuance of shares and warrants due to public offering, net of costs--22,961,859-Cash provided by (used in) financing activities(45,249)61,16523,813,46261,165Investments:Change in restricted cash(32)875,339855,301923,178Proceeds on disposal of property, plant and equipment--30,000-Purchase of property, plant and equipment(61,216)(62,902)(244,337)(131,907)Cash provided by (used in) investing activities(61,248)812,437640,964791,271Increase in cash and cash equivalents5,263,8262,175,77546,499,2233,541,960Cash and cash equivalents, beginning of period58,880,8563,968,87717,645,4592,602,692Cash and cash equivalents, end of period$64,144,682$6,144,652$64,144,682$6,144,652Supplemental cash flow information:Interest paid$327,357$3,049$338,152$33,112Interest received153,632-153,632-Income taxes paid361,22013,149361,22085,149Income tax refunded550,59040,668700,543338,926Supplemental disclosure of non-cash transactions:Leases on asset acquisitions--222,000397,360These interim consolidated financial statements do not include accompanying notes. A complete set of interim consolidated financial statements including notes is available on http://media3.marketwire.com/docs/BennettIFSQ310.pdf.FOR FURTHER INFORMATION PLEASE CONTACT: Jack ShawBennett Environmental Inc.(905) 339-1540www.bennettenv.com