/NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO
UNITED STATES NEWS WIRE
SERVICES./
CALGARY,
AB, May 31, 2022 /CNW/ - Renoworks
Software Inc. (TSXV: RW) ("Renoworks" or the
"Company"), the leading end-to-end visualization platform
for the building construction industry, announces financial results
for the three months ended March 31,
2022 ("Q1 2022"). The financial statements and related
management's discussion and analysis ("MD&A") can be viewed on
SEDAR at www.sedar.com. Unless stated otherwise, all dollar amounts
are expressed as Canadian dollars.
Q1 2022 Financial Highlights:
- Revenue of $1,315,917 in Q1 2022
compared to $1,421,342 for the three
months ending March 31, 2021 ("Q1
2021").
- Deferred Revenue of $1,371,801
for Q1 2022 versus $1,389,547 at
December 31, 2021.
- Gross margins remain strong at 63% in Q1 2022 versus 65% in Q1
2021.
- Net loss of $332,546 for Q1 2022
compared to a net loss of $42,873 in
Q1 2021.
- As at March 31, 2022, the Company
had 39,052,635 common shares issued and outstanding. As at
May 26, 2022 there are 40,662,635
common shares issued and outstanding after share issuances in
connection with Renoworks' recently-closed $805,000 private placement.
- Cash balance of $781,265 at the
end of the quarter and $113,654 debt.
Subsequent to quarter end, the Company raised $805,000 leaving the Company well capitalized to
execute on its 2022 growth plans.
"Although our revenue declined year-over-year in the first
quarter, I want to emphasize that we are confident that our current
sales and marketing efforts will return the Company revenue
growth in the second quarter of 2022," said Renoworks CEO
Doug Vickerson. "In Q1 we were
focused on launching our new AI-based lead generation platform.
Now that our AI platform is generally available, we are
focused on monetization by closing sales relationships. We are
seeing demand from the repair market associated with harsher
weather in some regions, and believe that our new innovative
products can drive revenue growth."
Financial results from operations for the first quarter 2022
versus 2021 are as follows:
|
Three Months March
31
|
2022
|
2021
|
Revenue
|
$1,315,917
|
$1,421,342
|
Gross Margin
|
$823,044
|
$926,414
|
Expenses
|
$1,145,410
|
$926,126
|
Net Loss
|
$332,546
|
$42,873
|
Loss per
share
|
($0.01)
|
($0.00)
|
Adjusted
EBITDA
|
($263,387)
|
$6,104
|
Weighted
Average
Shares
Outstanding
|
38,976,288
|
36,610,974
|
The Company's financial position as of March 31, 2022 versus 2021 is as follows:
|
March 31,
2022
|
December 31,
2021
|
Cash Balance
|
$781,265
|
$1,189,346
|
Accounts
Receivable
|
$582,873
|
$596,182
|
Working
Capital
|
$258,040
|
$470,642
|
Deferred
Revenue
|
$1,371,801
|
$1,389,547
|
Long- term
liabilities
|
$196,798
|
$212,053
|
Shareholder's
Equity
|
$301,834
|
$571,776
|
Deficit
|
($8,746,776)
|
($8,414,230)
|
Total Assets
|
$1,787,289
|
$2,214,085
|
About Renoworks
Renoworks Software Inc. develops and sells unique digital
visualization software and integration solutions for the remodeling
and new home construction industry. Renoworks delivers its
technology to manufacturers, contractors, builders, and retailers
offering solutions to one of the home improvement industry's
greatest challenges: enabling homeowners to review their product
selections in a hyper-realistic, virtual environment before
committing to purchases and construction. Renoworks markets its
technologies as an innovative engagement, sales, and marketing
platform and generates revenues from five main business lines:
Renoworks Enterprise, Renoworks PRO, Renoworks Design Services,
Renoworks FastTrack, and Renoworks API (Application Programming
Interface). For more information, visit www.renoworks.com and
www.renoworkspro.com.
*Non-IFRS Measures
Adjusted EBITDA is a measure not recognized under IFRS.
However, management of Renoworks believes that most shareholders,
creditors, other stakeholders and investment analysts prefer to
have these measures included as reported measures of operating
performance, a proxy for cash flow, and to facilitate valuation
analysis. Adjusted EBITDA is defined as earnings before interest
income, taxes, depreciation and amortization, stock-based
compensation, restructuring costs, impairment charges and other
non-recurring gains or losses. Management believes Adjusted EBITDA
is a useful measure that facilitates period-to-period operating
comparisons.
Adjusted EBITDA does not have any standardized meanings
prescribed by IFRS and therefore may not be comparable to similar
measures presented by other issuers. Readers are cautioned that
Adjusted EBITDA is not an alternative to measures determined in
accordance with IFRS and should not, on its own, be construed as
indicators of performance, cash flow or profitability. References
to the Renoworks' Adjusted EBITDA should be read in conjunction
with the financial statements and management's discussion and
analysis of Renoworks posted on SEDAR (www.sedar.com).
Forward Looking
Information
Certain statements in this news release, other than
statements of historical fact, are forward looking information that
involves various risks and uncertainties. Such statements relating
to, among other things, the prospects for the company to enhance
operating results, realize a revenue or other return on technology
and platform development, capitalize on actual or perceived
opportunities in the marketplace, or adequately cope with the
impact of COVID-19, are necessarily subject to risks and
uncertainties, some of which are significant in scope and nature.
These uncertainties may cause actual results to differ from
information contained herein. There can be no assurance that such
statements will prove to be accurate. Actual results and future
events could differ materially from those anticipated in such
statements. These and all subsequent written and oral
forward-looking statements are based on the estimates and opinions
of the management on the dates they are made and expressly
qualified in their entirety by this notice. The Company assumes no
obligation to update forward-looking statements should
circumstances or management's estimates or opinions change.
The TSX Venture Exchange does not accept responsibility for
the adequacy or accuracy of this release.
SOURCE RenoWorks Software Inc.