Revenue for the quarter was $57.3 million, down from $74.6 million in the first quarter of 2018. The sales levels for the Company continue to be depressed due to weak commodity prices. Sales to Canada and the United States are down from the prior years while sales to other regions including Eastern Europe were flat year to year.
|1st quarter ending December 31, 2018||Year ago|
|Net loss (millions)||($4.4)||($5.8)|
|Net loss / share||($0.18)||($0.23)|
|Shares issued (millions)||25.0||25.0|
The net loss for the quarter was $4.4 million, compared with $5.8 million for the same period in 2018. The decline in income from operations due to decreased margin, increased interest expense and foreign exchange losses were offset by increases in gains on disposal of assets and decreased research and development spending. In the prior year the Company took a $5.8 million write down in tax assets due to a major reduction of the corporate tax rate in the United States, which was not repeated in the current year.
Sales for 2019 are expected to be less than 2018 results. The Company expects to significantly reduce its losses in 2019 as it focuses on margin improvement. The Company has already reduced overhead costs at the beginning of the year through staff reductions and other cost cutting measures. After making significant investments product development over the last few years, the Company is excited to start shipping its new tractor platform in early 2019 with horsepower ranging from 170 to 250 horsepower. In the first quarter, the controlling shareholder provided a $5 million U.S. loan to the Company and is willing to provide financial support until profitability improves.