CALGARY, May 1, 2017 /CNW/ - Trakopolis IoT Corp.
("Trakopolis" or the "Company") (TSX VENTURE: TRAK) has reported
financial results for the first quarter of 2017.
First quarter financial highlights include:
- Revenue of $1.46 million, which
represents 20% growth quarter over quarter.
- Gross profit of $763 thousand,
which represents an 18% increase quarter over quarter.
- Adjusted EBITDA of negative $296
thousand. This is compared to the prior quarter of negative
$522 thousand, which represents a 43%
improvement quarter over quarter.
- Hardware revenue was $532
thousand, an increase of 46% quarter over quarter. This was
a result of increased sales to existing customers and enterprise
sales through its strategic partnership with Honeywell for the
ConneXt Lone Worker.
- Subscription revenue increased by 5% to $889 thousand. Growth in subscription revenue is
expected as enterprise clients roll out and activate newly acquired
units in the coming periods.
- A net loss of $689 thousand was
recorded for the quarter. This is compared to $318 thousand from the same period in 2016. The
increased net loss arises from increased sales and marketing,
operations and general and administrative expenses during the
quarter compared to the prior year as a result of implementing our
growth plan subsequent to raising $5.75M.
"Our growth quarter over quarter is a result of follow on orders
from existing customers, wins in new markets and contributions from
new product offerings.", stated Brent
Moore, Chief Executive Officer of Trakopolis. "As we
continue to refine our new products and increase our enterprise
sales funnel we believe we are well positioned to continue to prove
out our business model and strategy with organic growth."
Trakopolis' first quarter financial statements & management
discussion have been posted to the Company's website and can be
accessed at http://trakopoliscorp.com/investors/. The MD&A and
Financial Statements have also been filed with SEDAR and will be
accessible at www.sedar.com.
About Trakopolis
Trakopolis is a Software as a Service (SaaS) company with
proprietary, cloud-based solutions for real-time tracking, data
analysis and management of corporate assets such as equipment,
devices, vehicles and workers. The Company's asset management
platform works across a variety of networks and devices. Trakopolis
has a diversified revenue stream from many verticals including oil
and gas, forestry, transportation, construction, rentals, urban
services, mining, government and others.
Disclaimer for Forward-Looking Information
This news release includes certain "forward-looking statements"
under applicable Canadian securities legislation that are not
historical facts. Forward-looking statements involve risks,
uncertainties, and other factors that could cause actual results,
performance, prospects, and opportunities to differ materially from
those expressed or implied by such forward-looking statements.
Forward-looking statements in this news release include, but are
not limited to, statements regarding: future sales of as part of
the Honeywell ConneXt Loneworker™ solution and expansion of the
relationship with Honeywell. Forward-looking statements are
necessarily based on a number of estimates and assumptions that,
while considered reasonable, are subject to known and unknown
risks, uncertainties and other factors which may cause actual
results and future events to differ materially from those expressed
or implied by such forward-looking statements. Such factors
include, but are not limited to: commercial success of the
Honeywell ConneXt Loneworker™ solution and sales of the solution
and other solutions under an expanded Honeywell relationship;
general business, economic and social uncertainties; litigation,
legislative, environmental and other judicial, regulatory,
political and competitive developments; those additional risks set
out in the Company's public documents filed on SEDAR at
www.sedar.com; and other matters discussed in this news release.
Although the Company believes that the assumptions and factors used
in preparing the forward-looking statements are reasonable, undue
reliance should not be placed on these statements, which only apply
as of the date of this news release, and no assurance can be given
that such events will occur in the disclosed time frames or at
all. Except where required by law, the Company disclaims any
intention or obligation to update or revise any forward-looking
statement, whether as a result of new information, future events,
or otherwise.
This news release contains references to certain financial
measures that do not have any standardized meaning prescribed by
IFRS and may not be comparable to similar measures presented by
other entities. These non-GAAP financial performance measures
should be viewed as a supplement to, and not a substitute for, the
Company's results of operations reported under IFRS. These
financial measures are identified and defined below:
EBITDA is an indicator of the financial results generated by our
business activities excluding the impact of any financing
activities, amortization and depreciation of property, equipment
and intangible assets, and taxes.
Adjusted EBITDA is a further refinement of EBITDA to remove the
effect of share-based compensation expense and one-time costs
associated with the RTO transaction. As such, Adjusted EBITDA
provides more meaningful continuity with respect to the comparison
of our operating results over time.
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.
SOURCE Trakopolis IoT Corp.