OAKVILLE, Ont. — Glendale International Corp. (TSX:GIN), the parent company of Red Deer-based Travelaire, said Wednesday that its first-quarter loss doubled to $2.3 million, pulled by a “decrease in sales and profitability” at its recreational vehicles division.
But the company also reported that its Travelaire division experienced improved performance, with its net loss decreasing to $565,000 from $950,000 for the same quarter of 2008.
Glendale’s overall loss amounted to 25 cents a share, and compared with a year ago loss of $1.1 million or 12 cents a share. Quarterly revenue for the period ended Feb. 27 fell 16 per cent to $19 million from $22.6 million.
Glendale said the loss at its RV division ballooned to $1.2 million from a loss of $195,000 a year ago.
“The decrease in sales and profitability for the first quarter (in the RV division) is the result of a combination of negative economic factors, including fluctuations in currencies, fluctuations in the price of oil, availability of credit, and the negative conditions of the North American economy,” the company said in a statement.
Sales at Travelaire were $2.8 million during the quarter, compared with $2.4 million in 2008. This improvement was attributed to sales of workforce accommodations, mobile office units and well site units for the natural resources and construction industries.
However, while Travelaire had an approximately two-month backlog of orders for commercial units at the end of the fourth quarter of 2008, by the end of the first quarter of 2009 there were no further orders.
Glendale, which is headquartered in Oakville, Ont., is also active in electronics manufacturing through Firan Technology Group Corp. (TSX:FTG), a publicly traded subsidiary.
Shares for Glendale fell 11.5 cents to 18.5 cents during midday trading on the Toronto Stock Exchange.