GOL Acquisition Powers Atrium 1Q

QUEBEC CITY Atrium Innovations Inc. (TSX:ATB) released the financial results for its first quarter of 2010 (1Q10), ended March 31. Among the highlights were revenue growth of 27.5 percent; EBITDA growth of 19.5 percent to $21.2 million23.5 percent of revenues; and net earnings of $13.0 million, up 22.8 percent compared to the similar 2009 period.

Our solid first quarter was driven by the effect of the acquisition of Garden of Life and the strong momentum of our branded businesses, particularly in the U.S. market. European market conditions remained generally stable, said Pierre Fitzgibbon, president and CEO. The acquisition of Trophic Canada during the quarter added a leading brand to our portfolio and the missing component to spearhead a broader and more aggressive growth strategy to enhance our share of the Canadian market. The integration process is well underway and is progressing on schedule. We have reached a point in the evolution of our business model where our revenues and operations are now well diversified.

Revenues for 1Q10 hit $90.1 million, compared to $70.6 million for 1Q09. The increase was primarily due to the Garden of Life acquisition, with some organic growth of branded product lines. Gross profit hit $51.6 million for the quarter, compared to $38.5 million in 1Q09, a 34 percent increase, which again was attributed to the Garden of Life acquisition and organic growth. Gross margin rose to 57.3 percent in 1Q10 from 54.5 percent in 1Q09, due to a favorable business mix of revenues and the integration of the companys Berlin manufacturing plant.