DENVER, Aug. 10, 2017 /PRNewswire/ - (TSX: IMP)
(ITMSF:BB) – Intermap Technologies Corporation ("Intermap"
or the "Company") today reported financial results for the second
quarter ended June 30, 2017.
All amounts in this news release are in United States dollars, unless otherwise
noted.
For the second quarter of 2017, Intermap reported total revenue
of $4.5 million, compared to
$0.9 million last year. Approximately
84% of consolidated revenue came from growing markets outside
the United States, compared to 57%
for the same period in 2016. A large portion of the increase was
generated by customers utilizing Intermap's upgraded
multi-frequency radar system. The mix of value-added revenue also
improved, reflecting demand for our advanced data processing,
software, and analytics. On a year-over-year basis, revenue for the
second quarter derived from value-added data services, and software
and solutions, increased by 123%, and 24%, respectively. Net
operating loss for the second quarter decreased 94% to $0.2 million from $3.5
million in 2016. Second quarter adjusted EBITDA, a non-GAAP
and non-IFRS financial measure, was positive $0.3 million, compared with negative $3.3 million for the same period last year.
"Intermap's gradual return to profitability extends our runway
as we balance growth between government and commercial, recurring
and project, international and domestic revenue sources", commented
Patrick Blott, Intermap's Chairman
and CEO. "In particular, healthy trends in contract renewals,
project extensions, new bookings, and growth market penetration
demonstrate customer confidence in Intermap's unique capabilities
and execution."
As a reminder, last fall the Company adopted a no further
guidance disclosure policy until it is profitable and its debt
burden has been reduced.
Financial Review
The Company is focused on growing revenue and profitability.
Consolidated revenue for the quarter ended June 30, 2017 totaled $4.5
million, compared to $0.9
million for the same period in 2016, representing a 418%
increase. Approximately 84% of consolidated revenue was generated
outside the United States,
compared to 57% for the same period in 2016.
Acquisition services revenue for the quarter ended June 30, 2017 totaled $3.0
million, compared to $0.1
million for the same period in 2016. The increase is due to
new contracts for our upgraded, high resolution, multi-frequency
radar system.
Value-added data services recognized revenue for the quarters
ended June 30, 2017 and 2016 totaling
$1.1 million and $0.5 million, respectively. The increase
primarily resulted from recurring service contracts that reflect
growing global demand for our advanced data processing.
Software and solutions revenue for the quarters ended
June 30, 2017 and 2016 increased 24%,
to $0.3 million from $0.2 million.
Personnel expense for the second quarter of 2017 was
$2.2 million, a 15% decrease from
$2.6 million the prior year. The
decrease was primarily due to decreases in headcount on a
year-over-year basis, following restructuring actions designed to
focus the Company's resources on its core business.
Second quarter adjusted EBITDA, a non-GAAP and non-IFRS
financial measure, was positive $0.3
million, compared with negative $3.3
million last year. Adjusted EBITDA is defined as earnings
before interest, taxes, depreciation and amortization, and excludes
non-recurring and non-cash payments; restructuring costs,
share-based compensation expense, gain or loss on foreign currency
translation, and fair value adjustments to derivative instruments.
Adjusted EBITDA is not a recognized performance measure under IFRS.
The most directly comparable measure to adjusted EBITDA calculated
in accordance with IFRS is net income (loss). See Non-IFRS Measures
below for a reconciliation of the Company's net loss to adjusted
EBITDA for the second quarter of 2017 as compared to 2016.
The Company's consolidated financial statements and management's
discussion and analysis will be filed on SEDAR at: www.sedar.com.
Important factors, including those discussed in the Company's
regulatory filings (www.sedar.com) could cause actual results to
differ from the Company's expectations and those differences may be
material.
Non-IFRS Measures
Adjusted EBITDA is not a recognized performance measure under
IFRS and does not have a standardized meaning prescribed by IFRS.
The term EBITDA consists of net income (loss) and excludes
interest, taxes, depreciation, and amortization. Adjusted EBITDA is
included as a supplemental disclosure because management believes
that such measurement provides a better assessment of the Company's
operations on a continuing basis by eliminating certain non-cash
charges and charges that are nonrecurring. The most directly
comparable measure to adjusted EBITDA calculated in accordance with
IFRS is net income (loss).
(UNAUDITED)
|
Three months ended
June 30,
|
U.S. $
millions
|
2017
|
|
2016
|
|
|
|
|
|
Net loss
|
$
|
(0.9)
|
|
$
|
(3.8)
|
|
Financing
costs
|
0.6
|
|
1.0
|
|
Depreciation of
property and equipment
|
0.1
|
|
0.2
|
|
|
|
|
|
|
EBITDA
|
$
|
(0.2)
|
|
$
|
(2.6)
|
|
|
|
|
|
|
Change in value of
derivative instruments
|
-
|
|
(0.7)
|
|
Restructing
costs
|
0.1
|
|
-
|
|
Share-based
compensation
|
0.2
|
|
-
|
|
Loss (gain) on
foreign currency translation
|
0.2
|
|
-
|
|
|
|
|
|
|
Adjusted
EBITDA
|
$
|
0.3
|
|
$
|
(3.3)
|
About Intermap Technologies
Headquartered in Denver,
Colorado, Intermap (www.intermap.com) is an industry leader
in geospatial intelligence solutions. These geospatial solutions
are used in a wide range of applications including, but not limited
to, location-based information, risk assessment, geographic
information systems, engineering, utilities, global positioning
systems, oil and gas, renewable energy, hydrology, environmental
planning, land management, wireless communications, transportation,
advertising, and 3D visualization. Intermap generates revenue
from three primary business activities, comprised of i) data
acquisition and collection, using proprietary, multi-frequency,
radar sensor technologies, ii) value-added data products and
services, which leverage the Company's proprietary NEXTMap®
database, together with proprietary software and fusion
technologies, and iii) commercial applications and solutions,
including a webstore and software sales targeting selected industry
verticals that rely on accurate high resolution elevation data. The
Company is a world leader in data fusion, analytics, and
orthorectification, and has decades of experience aggregating data
derived from a number of different sensor technologies and data
sources. For more information please visit www.intermap.com.
Intermap Reader Advisory
Certain information provided in this news release constitutes
forward-looking statements, including the Company's profitability
and revenue generating activities. The words "anticipate",
"expect", "project", "estimate", "forecast" and similar expressions
are intended to identify such forward-looking statements. Although
Intermap believes that these statements are based on information
and assumptions which are current, reasonable and complete, these
statements are necessarily subject to a variety of known and
unknown risks and uncertainties. You can find a discussion of such
risks and uncertainties in our Annual Information Form and other
securities filings. While the Company makes these forward-looking
statements in good faith, should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary significantly from those
expected. Accordingly, no assurances can be given that any of the
events anticipated by the forward-looking statements will transpire
or occur, or if any of them do so, what benefits that the Company
will derive therefrom. All subsequent forward-looking statements,
whether written or oral, attributable to Intermap or persons acting
on its behalf are expressly qualified in their entirety by these
cautionary statements. The forward-looking statements contained in
this news release are made as at the date of this news release and
the Company does not undertake any obligation to update publicly or
to revise any of the forward-looking statements made herein,
whether as a result of new information, future events or otherwise,
except as may be required by applicable securities
law.
SOURCE Intermap Technologies Corporation