(RTTNews) - Security and cash logistics services provider Garda World Security Corp. (GW.TO: News ) reported Tuesday a profit for the second quarter, helped by 1.5% growth in revenues that was augmented by a stronger U.S. dollar.

For the second quarter, net income was C$4.04 million or C$0.13 per share, compared to a net loss of C$1.20 million or C$0.04 per share for the previous year.

Revenues from continuing operations rose 1.5% to C$273.02 million from C$268.91 million, chiefly attributable to the strengthening of the US dollar over the Canadian dollar for the period between the second quarters of fiscal 2009 and 2010. However, revenues from the US Cash Logistics operations dipped 10% year-over-year because of the current economic downturn.

Revenues from the Physical Security segment increased 1.5% to C$121.72 million from C$119.97 million, and Cash Logistics segment revenues increased 1.6% to C$151.30 million from C$148.94 million in the corresponding quarter of last year.

Gross margin increased to 25.9% from 23.5%, as gross profit climbed to C$70.79 million from C$63.22 million for the prior-year quarter, reflecting improved performance of the Global Risk Consulting Group and continuing strong performance in the Cash Logistics segment.
Stephan Cretier, Garda's Chief Executive said, "We will continue to benefit from cost controls and improved efficiencies that we have achieved since the beginning of the year. The discipline and rigor of these initiatives are now part of our business model for continuous improvement of all our business units."

For the first six months of the year ended July 31, 2009, net income almost doubled to C$6.57 million or C$0.21 per share from C$3.34 million or C$0.11 per share in the past year. Revenue climbed 3.7% to C$552.25 million from C$532.53 million in the same period of the prior fiscal year.

GW.TO closed Monday's regular trading hours at C$5.54 on the TSX.

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by RTT Staff Writer

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