The board of directors of North West Terminal Ltd. has announced positive financial results for the company after its first three months of operations in 2013-14.
For the period beginning Nov. 1, 2013 and ending Jan. 31, 2014, NWT posted revenues from consolidated operations of $25.6 million. This resulted in a net profit of $1,192,218, or 36 cents per share.
The financial performance of the company is slightly behind the same period last year when the company posted revenues from operations of $43.5 million and a new profit of $1,309,765, or 40 cents per share. Management reported earnings were down from the previous year primarily because of reduced margins due to vessel demurrage charges associated with rail shipping delays for the grains division and higher feed stock costs for the bio-products division.
"The board of directors is pleased with the company's performance," says NWT's president John Leier. "The grain industry faced unprecedented challenges over the winter months given the delays experienced in rail shipping. We have seen higher costs and reduced margins as a result of vessel demurrage and contract delay penalties that are impacting the bottom line. We are hopeful that new government regulations will include reciprocal penalties for the railways and a reasonable level of service for customers shipping grain."
