10:25 AM EDT, 08/19/2024 (MT Newswires) -- Atlas Engineered Products ( APEUF ) was at last look up more than 2% after saying Monday second quarter net income fell slightly, but revenue rose 34% and it talked of an "exciting future with robotics automation".

The company, which operates in the truss and engineered products industry, reported net income after adjustments and taxes of $0.705 million, or $0.01 per basic and fully diluted share, compared with near $0.8 million, or $0.01 per share, last year. The decrease was primarily due to the amortization related to the intangible assets of the LCF acquisition.

Revenue rose 34% to $15.1 million, from $11.2 million. The company ended the quarter with a strong cash position of $20 million.

In a robotic update, Atlas said it has allocated some of the near $14.6 million raised from financings which closed at the end of June towards expansion at locations in Ontario, New Brunswick, and British Columbia. It added the first deposits have been placed and the robots are expected to be delivered in 2025 and 2026. Staff numbers are being bolstered to help prepare for the increased capacity at each of these locations. The company will release more information on the implementation of robotics during the third quarter of 2024.

Hadi Abassi, President and CEO of AEP, in a statement said: "We expect lower interest rates and structural housing shortages in Canada to create a vibrant environment for activity in the future, however, there is transition period that continues to be challenging for the industry. Notwithstanding that, the company generated healthy margins in the quarter and is managing expenses to produce strong bottom line results. We are very pleased with the contribution from LCF and see a compelling acquisition environment to further build out the platform that we have established in Canada. We continue to strategically balance the need for sales with the gross margin that is attainable in a more competitive market, all while preparing for an exciting future with robotics automation."

Atlas is up $0.03, to $1.34 on the TSX Venture Exchange.

Price: 1.34, Change: +0.03, Percent Change: +2.29