Bevo Agro Inc. Announces Results for the First Quarter of Fiscal 2015.

LANGLEY, BC, Nov. 26, 2014 /CNW/ - Bevo Agro Inc. (TSXV:BVO) reports that sales for the three months ending September 30, 2014 increased by $1,798,229 or 84% in the first quarter compared to last year. Sales totaled $3,948,405 compared to sales of $2,150,176 for the same period ending September 30, 2013. The first quarter sales were a 10 year record.  The first quarter is historically the lowest revenue producing period of the year.

Approximately 90% of Bevo's sales result from repeat orders through recurring multiyear contracts. 

The gross margin for the quarter increased to $855,763 compared to $340,809 for the prior year as a result of increased sales and utilized space in the greenhouse

Expenses for the quarter ended September 30, 2014 totaled $1,195,775 compared to $1,090,626 in the same quarter the year earlier as operating and administrative costs increased with the increase in revenues. No allowance for bad debts was necessary in the first quarter.

The increased sales reduced the Q1 loss to $201,321, an improvement of over $300,000 when compared to last year's loss of $513,661.

Readers are encouraged to view the Company's unaudited financial statements at September 30, 2014, and accompanying MD&A at www.sedar.com.

Highlights of Quarter 1.

• 84% increase in sales to a record $3.948 million.
• Net loss for the quarter reduced by 60%.
• Pitt Meadows Greenhouse acquisition completed

Summary- Consolidated Interim Condensed Statements of Operations and Comprehensive Income (Loss)
3 months ending	Sept. 30, 2014			Sept. 30, 2013
Sales	$3,948,405	100%		$2,150,176	100%
Cost of Sales	$3,092,642	78%		$1,809,367	84%
Gross Margin	$855,763	22%		$340,809	16%
Expenses
Operating & administrative	$298,338	8%		$229,548	11%
Administrative fees, wages, etc.	$304,523	8%		$278,910	13%
Amortization	$389,883	10%		$375,097	17%
Interest expenses	$203,031	5%		$207,071	10%
	$1,195,775	30%		$1,090,626	51%
Earnings (loss) from operations	-$340,012	-9%		-$749,817	-35%
Other	$67,951			$16,016
Loss before taxes	-$272,061	-7%		-$733,801	-34%
Income taxes-future	-$70,740	-2%		-$220,140	-10%
Net earnings (loss) for period	-$201,321	-5%		-$513,661	-24%
Earnings per share	-$0.01			-$0.02
EBITDA	$320,853	8%		-$151,633	-7%

Because revenue is accounted as "when goods are shipped", the Company provides the following summary of trailing twelve month financial performance. 

Bevo's trailing twelve months results are summarized below;
12 months ending	June 30. '13	Sept. 30, 2013	June 30. '14	Sept. 30, 2014
Sales	$20,587,204	$20,654,497	$23,309,085	$25,107,314
Gross Margin	$5,083,066	$5,103,183	$5,918,741	$6,433,695
Net earnings for period	$184,533	$197,667	$738,745	$1,051,085
EBITDA	$2,629,701	$2,641,111	$3,359,710	$3,832,196

Bevo Agro is North America's leading supplier of propagated agricultural plants, operating 45 acres of greenhouse facilities on 98 acres of land in Langley, BC and 20 acres of land in Pitt Meadows, BC. The Company's main products are the propagation of vegetable plants such as tomatoes, peppers, cucumbers, and other plants such as bedding plants, flowers and grasses.  The Company markets its products to established greenhouse growers, nurseries and retail outlets throughout North America. 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: Bevo Agro Inc.

Jack Benne, President, Bevo Agro Inc., Phone: [phone], Fax: [phone], Email: [email protected]