VANCOUVER, BC, March 1, 2021 /CNW/ - LITE ACCESS TECHNOLOGIES
INC. (the "Company") (TSXV: LTE) (PINK: LTCCF), a world
leader in the use of innovative and proven micro/narrow trenching
technologies, alternate methods of deployment and specialist
products which transform the cost of fibre optic network deployment
for telecommunications operators, today reported its financial
results for the first quarter ended December
31, 2020. The financial statements and related
management's discussion and analysis ("MD&A") can be viewed on
SEDAR at www.sedar.com.
FINANCIAL HIGHLIGHTS FOR THE FIRST QUARTER 2021:
- Total Q1 2021 revenue of $6,166,355 compared to $1,109,539 for Q1 2020;
- Net loss of $(763,305) for the
three months ended December 31, 2020
compared to net loss of $(957,433) in
the comparative quarter.
The net loss for the first quarter ended December 31, 2020, included revenues, costs of
sales, and operating expenses from the UK business, as the Company
was executing its operations in Lowestoft, Bury St. Edmunds and
Cambridge, until the contracts
were terminated in December 2020. The estimated losses
incurred were accrued as of September 30,
2020 and therefore the losses associated with the first
quarter 2021, were substantially reversed in the current quarter as
they have already been previously accrued, resulting in an
immaterial net loss position associated with the UK business for
the three months ended December 31,
2020. In the prior year quarter, the Company also had limited
UK activity, as it was focused primarily on mobilization and setup
efforts in Lowestoft in anticipation of the ramp up for the
CityFibre contract.
Carlo Shimoon, President and CEO
of Lite Access, stated, "With the upcoming acquisition of AMEC (see
press release dated January 29,
2021), finalization of a $14.4
million contract with the City of
Brooks, Alberta (see press release dated January 20, 2021), and increasing number of RFP's
we expect to convert into contracts, we believe we are building a
business that can scale and be sustainable and profitable to take
advantage of the fibre build out and work-from-home movement.
With UK costs substantially behind us, an improving outlook in
terms of Canadian operations and domestic business opportunities,
approximately $1.4 million cash as of
March 1, 2021 following closing of
the recent financing (see press release dated March 1, 2021), and an undrawn $500,000 line of credit, we are confident we are
on a path that sets us up well for the future.
Our Q1 results reflect a time of transition as we wound down
operations in the UK and focused on Canadian operations. At
this stage, we have largely completed the heavy lifting
associated with the UK wind down. We had a much better
quarter in Canada in Q1 compared
to Q1 last year."
HIGHLIGHTS SUBSEQUENT TO THE FIRST QUARTER:
On January 29, 2021, the Lite
Access announced it had entered into a non-binding term sheet (the
"Term Sheet") with AMEC Cutting & Coring Limited ("AMEC"), a
British Columbia based company
that offers a wide range of services including concrete/ asphalt
cutting and coring, scanning and utility locates, as well as fibre
optic cable installation, pulling, splicing and testing. The
Company expects the transaction to acquire AMEC to close in
March 2021.
On March 1, 2021, the Company
closed a fully subscribed non-brokered private placement financing
(the "Financing") for total gross proceeds of $1.26 million to fund growth initiatives and for
general working capital purposes.
About Lite Access
Lite Access Technologies Inc. is a world leader in the use of
innovative and proven micro/narrow trenching technologies,
alternate methods of deployment and specialist products which
transform the cost the network deployment for telecommunications
operators.
As part of its suite of services Lite Access provides clients
with integrated solutions or select components for the design and
implementation of fibre optic networks. Lite Access' products
have been deployed in many high-profile communication networks
including Olympic facilities, military and government, numerous
communities throughout the United
Kingdom, the USA and
Canada as well as global
telecommunications companies that have adopted Lite Access as the
"solution of choice" for the least invasive, most cost effective
and future-proof fibre optic connectivity available.
Lite Access' installation technology and proprietary products
extend a network provider's ability to deliver true broadband
connectivity directly to end-users, such as homes, businesses,
government and educational institutions, and emergency response
facilities. Lite Access remains flexible and innovative in its
commitment to provide global clients and partners with the most
cost effective and proven fibre connectivity solutions
available.
Forward Looking Information
This news release contains statements that, to the extent
they are not recitations of historical fact, may constitute
"forward-looking statements" within the meaning of applicable
Canadian securities laws. Lite Access uses words such as "may",
"would", "could", "will", "likely", "expect", "believe", "intend"
and similar expressions to identify forward-looking statements. Any
such forward-looking statements are based on assumptions and
analyses made by Lite Access in light of its experience and its
perception of historical trends, current conditions and expected
future developments. However, whether actual results and
developments will conform to Lite Access' expectations and
predictions is subject to any number of risks, assumptions and
uncertainties. Many factors could cause Lite Access' actual
results to differ materially from those expressed or implied by the
forward-looking statements contained in this news release. Such
factors include, among other things: risks and uncertainties
described in Lite Access's most recent Management Discussion &
Analysis (MD&A) for the financial year ended September 30, 2020 which can be accessed at
www.sedar.com. The "forward-looking statements" contained herein
speak only as of the date of this press release and, unless
required by applicable law, Lite Access undertakes no obligation to
publicly update or revise such information, whether as a result of
new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Lite Access Technologies Inc