MISSISSAUGA, Ontario, Feb. 5, 2007 (PRIME NEWSWIRE) -- D Mecatronics Inc. (Pink Sheets:DMTN) is a recognized technology pioneer and market leader in the area of engineering, design and the manufacturing of automated solutions for the Automotive industry and is rapidly becoming one of the world's leading providers of automated manufacturing solutions, which are used primarily by three of the top ten Tier 1 automotive part suppliers in the world. The Company also makes precision components and tooling using its own custom-built manufacturing systems, process knowledge and automation technology.
We operate within business segments and our growth will be stimulated by share gains, aggressive new product development, international expansion and acquisitions. The Company has formulated a structured business plan to grow its business rapidly. D Mecatronics Inc. will attempt to acquire companies that have displayed strong financial performance in the past and have generated positive cash flows and are strategically important for D Mecatronics' business. These companies are expected to directly add to the Company's net profits.
Dino Paolucci Jr. (Vice President and Director) comments, "Our Company was founded on the principles of excellent customer service, exceptional quality products, and on-time delivery and we are taking the necessary steps to continue providing these key elements."
Sales Forecast
The charts and table below outline D Mecatronics Inc's sales forecasts for 2007. The company will gradually increase the share of the high-value Seat Frame System/ IP Beam process line in its sales mix over the next two years, which will add to the company's bottom line.
Table: Sales Forecast for 2007
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Sales Forecast
Sales 2007
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Seat Frame System $6,000,000
IP Beam Process Line $3,000,000
Integrated Bend - Weld cell $2,500,000
Tooling Retrofits $1,200,000
Maintenance and Repairs $400,000
Spare Parts $400,000
Prototype and Sample Parts $140,000
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Total Sales $13,640,000
Direct Cost of Sales 2007
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Seat Frame System $1,800,000
IP Beam Process Line $780,000
Integrated Bend - Weld Cell $900,000
Tooling Retrofits $420,000
Maintenance and Repairs $0
Spare Parts $180,000
Prototype and Sample Parts $45,000
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Subtotal Direct Cost of Sales $4,125,000
Drasko Karanovic (President and CEO of D&R Technology) comments, "Our capacity to anticipate customer's needs and respond with technological solutions applied rapidly and economically in mass production has established us as a full-service supplier to world's leading automotive manufacturers."
The D Mecatronics Inc. logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=2180
Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including without limitation, continued acceptance of the Company's products, increased levels of competition for the Company, new products and technological changes, the Company's dependence on third-party suppliers, and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.