Automated Benefits Corp. (the "Corporation") (TSX VENTURE: AUT)
today reported revenue increased by 28% to approximately $5.85
million for the fiscal year ending December 31, 2010. This compares
to revenues of approximately $4.59 million in FY 2009, which
represents an increase of approximately $1.26 million.
The net loss for the twelve month period ending December 31,
2010 decreased by 86% to approximately $281,000 and represents a
basic and fully diluted loss per share of approximately one-quarter
of a cent. This compares to a loss of approximately $1.94 million
in FY 2009, representing a basic and fully diluted loss per share
of approximately one-and-three-quarter cents, and an improvement of
approximately $1.66 million.
The Corporation believes adjusted EBITDA is also a useful
measure as a proxy for operating cashflow and facilitates
period-to-period operating comparisons. Adjusted EBITDA is defined
as earnings before interest income, taxes, depreciation and
amortization, stock based compensation, restructuring, impairment
charges and other one-time gains and losses. Adjusted EBITDA for
the twelve month period ending December 31, 2010 was $78,000, an
improvement of $1.18 million over adjusted EBITDA of ($1.1 million)
in FY 2009.
"We are thrilled to have achieved our first positive operating
cashflow for a full year," states James R. Swayze, Chief Executive
Officer of Automated Benefits Corp. "This was a breakthrough year
and we expect to build on this milestone and look forward to
continued profitable growth in 2011."
The Corporation's operating subsidiaries, Symbility Solutions
Inc. ("Symbility") and Automated Benefits Inc. ("Adjudicare")
report the following recent business developments:
-- On January 20, 2011, Symbility announced that RSA Insurance Group plc
(LSE: RSAIF) has expanded its use of Innovation Group's Innovation
Symbility desk top Triage system in a move which increases automated
claims handling across its UK property insurance business.
-- On January 24, 2011, Symbility announced an extension to its strategic
partnership with Innovation Group (LSE: TIG.L) for the distribution of
Symbility's market leading property estimation software in Europe.
-- On February 11, 2011, Symbility announced the finalization of a
strategic partnership agreement with the TradePro Network, a specialty
trades service provider network for property damage restoration and
repairs servicing property & casualty insurance carriers and self-
insured's throughout the United States.
-- On March 30, 2011, Symbility announced the signing of an agreement with
La Capitale General Insurance, a leading home and auto insurance company
in Quebec.
-- On April 5, 2011, Symbility announced its inclusion in Forrester
Research, Inc.'s most recent report, "Industry Essential: The US
Insurance Market, 2011," and was identified as an example of an emerging
business technology vendor for property and casualty insurers.
-- On April 12, 2011, Adjudicare announced the release of Version 4.1.9 of
the Adjudicare software, featuring exciting enhancements and a new
Online Claims Access feature.
-- On April 19, 2011, Adjudicare announced the renewal of a five year
contract with ESI Canada, a wholly owned subsidiary of Express Scripts
Inc. (NASDAQ: ESRX), for the provision of Pharmacy Benefits Management
services.
Today, the Corporation announces that, subject to approval of
the TSX Venture Exchange, it intends to satisfy its obligation to
pay independent director fees for the period July 1, 2010 to
December 31, 2010 by issuing shares. The Corporation intends to
issue 80,337 Common Shares to the independent directors of the
Corporation at a price of $0.255 per share for an aggregate value
of $20,486. Such aggregate value is the aggregate net amount owing
to the independent directors after making all statutorily required
source deductions. The price per share is equal to the closing
volume - weighted average trading share price on the day preceding
the board approval for this share issuance.
The Corporation also announces that today 811,000 options were
granted in accordance with the Corporation's stock option plan. Of
this total, 646,000 options were granted to the independent
Directors and three Officers of the Corporation. Each option
entitles its holder to purchase one common share of the Corporation
at a price of $0.255 per share for a period of ten years from the
date of grant. The options will vest in three equal tranches with
one-third vesting immediately, one-third vesting on the first
anniversary of the grant date, and one-third vesting on the second
anniversary of the grant date. The granting of the stock options is
subject to regulatory approval.
About Automated Benefits Corp.
Automated Benefits Corp., headquartered in Toronto, Canada, is a
software company dedicated to developing applications for the
insurance industry in North America and Europe. The Corporation
currently has two platforms: Symbility and Adjudicare.
Symbility automates property insurance claims through its three
complementary software components which afford users the mobility,
speed and control needed to efficiently and quickly move onto the
next claim. Symbility Claims Connect is the collaborative workflow
management tool that gives every claim participant real-time access
to the claims they are working on. Symbility Inside Adjuster is an
integrated application designed to streamline the first notice of
loss process which leads to faster settlement of claims. Symbility
Mobile Claims software is an estimating tool that increases speed,
efficiency and accuracy by allowing on-site claims processing.
Adjudicare is web-based software solution which enables
insurance brokers and third party administrators across Canada to
adjudicate health and dental claims on behalf of their group
benefit clients. Adjudicare's software accommodates flexible plan
designs and real-time payment of claims which allows our partners
to provide a high level of service while managing the costs of
their client's benefits plans.
All trade names are the property of their respective owners.
This press release should be read in conjunction with
Corporation's consolidated financial statements and related notes
and management's discussion and analysis for the year ending
December 31, 2010, copies of which can be found at
www.sedar.com.
Except for historical information contained herein, this news
release contains forward-looking statements that involve risks and
uncertainties. Actual results may differ materially. Automated
Benefits Corp. will not update these forward-looking statements to
reflect events or circumstances after the date hereof. More
detailed information about potential factors that could affect
financial results is included in the documents filed from time to
time with the Canadian securities regulatory authorities by
Automated Benefits Corp.
Adjusted EBITDA does not have any standardized meaning
prescribed by GAAP and is not necessarily comparable to similar
measures presented by other companies. Adjusted EBITDA should not
be considered in isolation of as a substitute for net earnings
(loss) prepared in accordance with GAAP. All other financial
measures referenced herein have been prepared in accordance with
Canadian generally accepted accounting principles unless stated
otherwise.
Neither 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.
Contacts: Automated Benefits Corp. James R. Swayze Chief
Executive Officer (416) 359-9339, ext. 1003
jswayze@automatedbenefits.com Automated Benefits Corp. Richard D.
Adair Chief Financial Officer/Chief Operating Officer (416)
359-9339, ext. 1002 radair@automatedbenefits.com
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