Staffing 360 Solutions Inc (STAF)’s Fiscal Second Quarter 2015 Earnings Conference Call Transcript

As we move into our next reporting period, Staffing 360 is looking forward to a very bright future as we drive organic growth and continue to improve operations toward our stated goal of $300 million in annualized revenues. At this point, I would like to hand the call back to Brendan, who will provide some final remarks before we start the Q&A. Brendan?

Brendan Flood – Executive Chairman

Thank you, Matt. As you heard from Jeff, we have a number of costs that are directly related to the acquisition program, and we would expect these to continue while the acquisition program continues. As mentioned during our previous earnings call, our primary initiative is our Pathway to Profitability. We are fully committed to becoming profitable as soon as possible. And we are extremely pleased to report positive adjusted EBIDTA ahead of schedule. As mentioned in our previous calls also, our expectation was that we would move into profitability on an adjusted EBIDTA bases during fiscal 2015, which ends May 31st, 2015. So, to achieve this milestone two quarters early, is a significant achievement for us and is a testament to all of our staff and their operations.

You will notice the $5.7 million in charges we took this quarter, which helped expedite our positive adjusted EBIDTA, as just mention, more than $5.2 million was non-cash and non-recurring. Overall this restructuring charge, total cash out [inaudible] of about $450,000 across this calendar year, has reduced our cash out flow by $7.3 million over the next four years and by $5.3 million in the next 24 months alone.