BURNABY – Glentel Inc., the owner of retail brands WirelessWave and Telephone Booth, saw substantial boosts in sales and operating income in the third quarter, ended September 30, 2006.
Sales in the quarter increased 16%, to $47.9 million while net income for the quarter increased 30%, to $1.9 million.
Sales for the nine months ended September 30, 2006 increased 37%, to $129.6 million but net income for the same period was $3.08 million, a bit lower than last year’s $3.1 million.
Retail division sales of retail cellular products and services grew 12%, to $38.3 million in the third quarter compared Q3 ’05.
Benefits are being achieved from the considerable time spent in the past two quarters re-engineering the operations and re-defining the culture of (Telephone Booth/La Cabine Telephonique), says the release. The company acquired those two retail brands in 2005.
Same-store cellular phones and other wireless devices sold by TBooth/CabineT grew 34% in the third quarter compared to 2005. Same-store cellular phones and other wireless devices sold by WirelessWave grew 16% in the quarter compared to 2005. Operating income before interest and taxes for the division increased 8% to $4.1 million.
Glentel’s business division combined sales of terrestrial radio systems, satellite network services, advanced mobile solutions, and service/engineering support grew 36%, to $9.6 million in the quarter. The business division’s strong growth in sales "has benefited from the strength of the oil and gas sector in Alberta and northern BC. In addition, the company acquired another wireless solutions business to add to its breadth and depth of operations," says the press release.
Glentel acquired all the issued and outstanding shares of Digital Mobile Systems Inc. ("Digital Mobile"), a wireless solutions provider and Motorola-approved two-way radio service dealer located in Hanover, Hamilton, Mississauga and Scarborough in the province of Ontario. Effective September 1, 2006, the division acquired certain assets of the radio business from Wireless Concepts Inc., an agent of the recently acquired Digital Mobile, with Motorola-approved locations in London and Sarnia.
"Our third quarter has always been our second-strongest quarter and includes the back-to-school cellular demand. Our customers have responded well in all our stores during this period. We are very encouraged with our positioning in the markets we serve, and are looking forward with anticipation as our strongest selling season of the year approaches," said Thomas Skidmore, Glentel’s president and CEO, in the release. "In our business division, consolidation within the mobile wireless voice and data communications sector will strategically position Glentel as a national sales and service leader in engineered wireless solutions."
