" 5thconsecutive quarter of record
adjusted EBITDA. Third quarter net income increased to
$1.6M. Nine month net income
increased to $4.67M or $0.08 EPS."
VANCOUVER, June 28, 2016 /CNW/ - TIO Networks Corp. (TSX-V:
TNC, "TIO") today announced third quarter financial results for the
period ended April 30, 2016.
Quarterly financial & business highlights (all
figures in CA dollars):
- Quarterly Adjusted EBITDA increased 188% on a Year over Year
(YoY) basis to $2.88M from
$1M and increased sequentially on a
quarter over quarter (QoQ) basis by 8.5% from Q2 2016
- Quarterly revenue increased YoY by 32.4% to $17.9M and QoQ by 9.6%
- Quarterly gross profit increased YoY by 38.1% to $8.9M and QoQ by 11.4%
- Quarterly net income increased to $1.6M or 2 cents
eps compared to $24k on a YoY
basis
- Quarterly gross margin increased to 49.6% from 47.6% on a YoY
basis (previous quarter was 48.8%)
- Cash Flow from Operating activities before non-cash working
capital items increased to $2,049,539
from $495,625 YoY and from
$1,844,452 QoQ
- Processed approximately 14.9M transactions worth approx.
$1.8B representing 11.9% YoY and 6.6%
QoQ transaction growth
- Quarterly results included onetime costs of $500K which included 50% of the 3rd
and final contingent payment related to the ChargeSmart acquisition
and M&A costs related to the Softgate acquisition.
- On April 22, 2016, the company
completed its acquisition of New
Jersey based Softgate Systems Inc. Quarterly results
included 8 days of Softgate which is equivalent to $1M in revenues.
The Company finished the period with $55,317,582 in cash and cash equivalents and
restricted cash (including cash held to fulfill bill payment and
money order obligations).
On February 1, the Company closed
a private placement for gross proceeds of $5,125,282 to help fulfill closing cost
obligations related to the acquisition of Softgate Systems
Inc.
|
Three months ended
April 30
|
Nine months ended
April 30
|
|
2016
|
2015
|
2016
|
2015
|
Revenue
|
$ 17,967,417
|
$ 13,568,328
|
$ 49,641,207
|
$ 48,560,049
|
Gross
Profit
|
$
8,919,622
|
$ 6,458,537
|
$ 24,771,662
|
$ 18,537,318
|
Adjusted
EBITDA*
|
$
2,880,000
|
$ 1,001,000
|
$ 7,542,000
|
$ 2,410,000
|
Cash Flow from
operations before non-cash working capital items
|
$
2,049,539
|
$
495,625
|
$ 5,866,163
|
$ 2,073,198
|
Net Income
(loss)
|
$
1,605,009
|
$
24,056
|
$ 4,670,237
|
$
(101,537)
|
Q3, 2016 sequential
comparison to Q2, 2016
|
Quarter
ended
|
|
Apr 30,
2016
|
Jan 31,
2016
|
Revenue
|
$ 17,967,417
|
$ 16,396,968
|
Gross
Profit
|
$
8,919,622
|
$
8,008,085
|
Adjusted
EBITDA*
|
$
2,880,000
|
$
2,653,000
|
Cash flow from
operations
|
$ 2,049,539
|
$ 1,844,452
|
Net Income
|
$ 1,605,009
|
$ 1,661,631
|
"This quarter represents the best results in our Company's
history including record results for the 5th consecutive
quarter in terms of Adjusted EBITDA and cash flow generation," said
Hamed Shahbazi, Chairman and CEO of
TIO Networks. "Our shared services strategy is proving
effective in removing excess costs strengthening margins, cash flow
and profitability. While the Softgate acquisition contributed
only 8 days of revenue we are pleased to report our first 100-day
integration plan is proceeding well and we look forward to
reporting a full quarter of consolidated results in our Q4 earnings
report. Beyond integration, our focus is growth momentum on
the top and bottom line. It's important to note that this
past quarter's results, we also grew revenues organically by 25%
YoY and 3.4% QoQ when considering only non-Softgate revenues."
A conference call to discuss the results will be held today at
2:00pm EST, 11am PST.
To participate in the call please dial 416-204-9269 in
Toronto or Toll free,
1-800-499-4035 and request the TIO Conference, conference ID
2152443.
About TIO Networks Corp
TIO is a cloud-based multi-channel bill payment processing and
receivables management company, serving the largest telecom,
wireless, cable, and utility bill issuers in North America. TIO integrates with the back
office of billing systems to accept, validate, and accept payments
outside of the traditional bank channel, via self-service kiosk,
retail walk-in, mobile, and web solutions. With more than 69,000
endpoints in its processing network, TIO symbolizes fast,
convenient, and secure access to expedited bill payment
services.
Visit: www.TIO.com.
Join the conversation at: www.twitter.com/TIOnetworks or Like
us: www.facebook.com/TIOnetworks
The TSX Venture Exchange has not reviewed this news release and
does not accept responsibility for its adequacy and accuracy.
This news release contains forward-looking statements that
involve risks and uncertainties, which may cause actual results to
differ materially from the statements made. Potentially, many
factors could cause our actual results to vary materially from
those described herein as intended, planned, anticipated or
expected. TIO Networks Corp. does not intend and does not
assume any obligation to update these forward-looking
statements.
* EBITDA is a non-IFRS measure - earnings before interest, tax,
depreciation and amortization. Adjusted EBITDA is EBITDA plus
stock-based compensation, non-recurring transaction and
restructuring expenses. EBITDA is not a defined term under
IFRS nor does it have a standard, agreed upon meaning.
Accordingly, the Company's EBITDA may not be directly comparable to
EBITDA reported by other issuers. Management had determined
EBITDA is a useful supplemental measure in evaluating the Company's
performance as it provides investors with an indication of cash
available for debt service, working capital needs and capital
expenditures. This non-IFRS measure is intended to provide
additional information on the Company's performance and should not
be considered in isolation or as a substitute for measures of
performance prepared in accordance with IFRS.
SOURCE TIO Networks Corp.