- Biorem (TSXV:BRM), a micro-cap clean technology stock focused on air emission control, has added another quarter to its now four-and-a-half-year track record of profitability
- Results for Q3 2024 include record quarterly revenue of C$14.9 million and record earnings of C$0.14 per share
- Biorem is a clean technology company offering a line of high-efficiency air emission control systems to eliminate odors, volatile organic compounds and hazardous air pollutants
- Biorem stock has added 217.05 per cent year-over-year and 697.14 per cent since 2019
Biorem (TSXV:BRM), a micro-cap clean technology stock focused on air emission control, has added another quarter to its now four-and-a-half-year track record of profitability.
Results for Q3 2024 include record quarterly revenue of C$14.9 million, up by 103 per cent quarter-over-quarter (QoQ) and by 170 per cent year-over-year (YoY).
Year-to-date (YTD) revenue stands at C$28.1 million, up by 117 per cent YoY, with management attributing the growth to an increase in order bookings and the continued delivery of projects from the company’s backlog.
Biorem booked C$6.6 million in new orders in Q3, increasing its backlog to C$48.4 million as of September 30, 2024, down from C$57 million in Q2 2024 and C$54.5 million in Q3 2023.
Here’s a breakdown of other key figures from Q3:
- Gross profit reached C$5 million (33.7 per cent of revenue), up from C$1.5 million (28 per cent of revenue) YoY.
- Total operating expenses were C$1.9 million, up from C$806,000 YoY, because of higher sales and marketing costs and general and administrative expenses.
- EBITDA in Q3 was C$3.1 million, up from C$787,000 YoY.
- Net income reached a quarterly record of C$2.2 million or C$0.14 per share, with YTD earnings of C$2.9 million surpassing a net loss of C$147,000 YoY.
- Biorem’s cash position as of September 30, 2024, increased from C$3.9 to C$7.3 million QoQ, while earnings from operating activities increased from C$629,000 to C$3.1 million, and working capital increased from C$7.6 million to C$10.4 million.
Biorem expects continued order bookings growth, as well as strong revenue and earnings growth, over the next 12 months.
The company’s operations have averaged over C$25 million in annual revenue and C$1.79 million in annual net income since 2020.
Leadership insights
“In the third quarter, delays related to industry-wide issues with construction projects eased somewhat, allowing Biorem to catch up on orders in the company’s backlog,” Derek S. Webb, Biorem’s president and chief executive officer, said in a statement. “Even as project deliveries accelerated, Biorem’s sales funnel, outstanding bids and order backlog remain robust with no signs of softening over the near- to medium-term.”
“Population growth and the need for significant increases in housing construction throughout North America are driving demand for municipal and industrial infrastructure projects that require air emission abatement systems,” Webb added. “Biorem’s experience and performance in delivering both large and small successful air emission abatement projects makes it uniquely positioned to benefit over the long term from this growth cycle.”
About Biorem
Biorem is a clean technology company offering a line of high-efficiency air emission control systems to eliminate odors, volatile organic compounds and hazardous air pollutants.
Biorem stock (TSXV:BRM) is up by 13.41 per cent trading at C$2.79 per share as of 10:11 am ET. The stock has added 217.05 per cent year-over-year and 697.14 per cent since 2019.
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(Top photo of Biorem’s Mytilus biotrickling filter system: Biorem)
