CUPERTINO, Calif., Nov. 27,
2024 /CNW/ - (TSXV: BWLK) (OTCQB: BWLKF) –
Boardwalktech Software Corp. ("Boardwalktech" or the "Company"), a
leading digital ledger platform and enterprise software solutions
company, is pleased to report its financial results for the
three-month period ended September 30,
2024 ("Q2-FY25"). All figures are reported in U.S.
dollars, unless otherwise indicated. Boardwalktech's financial
statements are prepared in accordance with International Financial
Reporting Standards ("IFRS"). Please refer to the Unaudited
Condensed Consolidated Financial Statements and Management's
Discussion and Analysis ("MD&A") for the three and six
month period ended September 30,
2024, filed on SEDAR+ at www.sedarplus.ca for more
information.
Financial Highlights:
- Revenue for Q2-FY25 was $1.28
million, a 2% increase from $1.25
million in Q1-FY24, but a 16% decline from $1.53 million in Q2-FY24.
- Annual recurring revenue ("ARR"), at September 30, 2024 was $4.6 million is a non-IFRS measure, and the
Company defines ARR as the recurring revenue expected based on
annual license subscriptions and recurring services.
- Gross margin for Q2-FY25 was 88.6%, up slightly from Q1-FY25
level of 87.9% due to lower costs, but down slightly from 90.1% in
Q2-FY24 due to lower revenue levels year-over-year.
- Adjusted EBITDA for Q2-FY25 was a loss of $(0.37) million, a 10% improvement versus the
$(0.41) million loss in Q1-FY25, and
a 2% change versus $(0.36) million in
Q2-FY24, as adjusted operating expenses of $0.6 million are lower year-to date versus the
comparable period last year. As a result, despite lower revenue
levels than last year, cash from operations was a positive
$0.2 million in the recent
quarter.
- Non-IFRS net loss for Q2-FY25 (as defined in the Non-IFRS
Financial Measures section) totaled $(0.5)
million, or a loss of $(0.01)
per basic and diluted share, versus a $(0.5)
million non-IFRS loss in Q1-FY25, or a loss of $(0.01) per basic and diluted share, and versus a
$(0.4) million non-IFRS loss in
Q2-FY24, or a loss of $(0.01) per
basic and diluted share.
- Net loss for Q2-FY25 was $(0.7)
million, or a loss of $(0.01)
per basic and diluted share, a 10% improvement versus a
$(0.8) million loss in Q1-FY25, or
$(0.02) per basic and diluted share,
and a 1% improvement versus $(0.7)
million loss in Q2-FY24, or $(0.02) per basic and diluted share, despite the
lower revenue levels.
- As of September 30, 2024,
Boardwalk had $0.2 million of cash
plus $0.6 million of collectible
receivables, $2.2 million of debt,
and $0.1 million of working capital
(excluding deferred revenue). As of the most recent month
certification, the Company has $0.9
million of a credit facility available.
"We continue to execute on our updated strategy and positioning
established at the beginning of this year," said Andrew T. Duncan, Chief Executive Officer of
Boardwalktech. "In the banking sector, the Velocity product
continues to grow within our largest customer, a top 5 US bank. We
now have over 70 trained and dedicated people from three different
partners working on this deployment, which is now in use by over
1,000 professionals within the bank. Velocity is producing the
expected ROI and compliance required and this customer is now
accelerating the deployment which will be a multi-year engagement.
We continue to sign contracts with new partners as we expand our
channel sales strategy. We are in multiple later stage deals with
several partners and are enthusiastic about the pipeline of
opportunities through the partner channel. We continue to see
growth and expansion from existing customers and will see both new
direct sales and channel sales contracts based on interest in the
Boardwalk's software solutions. The foundation has now been set for
growth in 2025, including an anticipated increase in revenue and an
overall improvement in the business."
Earnings Conference Call Details
Boardwalktech management will be hosting its earnings conference
call today (Novembert 27, 2024)
Time: at
4:30 PM Eastern Time / 1:30 PM Pacific Time.
To join the call, please use the following dial-in
information:
US/Canada:
1-888-510-2154 (toll free) or 437-900-0527 (Local – Toronto)
Audience URL:
https://app.webinar.net/A2zRLJKnBDe (copy &
paste to your browser)
Replay: A replay of the call will be
available until December 4, 2024 and
can be accessed by dialing 1-888-660-6345 and entering
access code 57639#
About Boardwalktech Software Corp.
Boardwalktech has developed a patented Digital Ledger Technology
Platform currently used by Fortune 500 companies running
mission-critical applications worldwide. Boardwalktech's digital
ledger technology and its unique method of managing vast amounts of
structured and unstructured data is the only platform on the market
today where multiple parties can effectively work on the same data
simultaneously while preserving the fidelity and provenance of the
data. Boardwalktech can deliver collaborative, purpose-built
enterprise information management applications on any device or
user interface with full integration with enterprise systems of
record in a fraction of the time it takes other non-digital ledger
technology-based platforms. Boardwalktech is headquartered in
Cupertino, California with offices
in India and operations in
North America. For more
information on Boardwalktech, visit our website at
www.boardwalktech.com.
Forward-Looking Information and Statements
This press release contains certain "forward-looking
information" within the meaning of applicable Canadian securities
legislation and may also contain statements that may constitute
"forward-looking statements" within the meaning of the safe harbor
provisions of the U.S. Private Securities Litigation Reform Act of
1995. Such forward-looking information and statements are not
representative of historical facts or information or current
condition, but instead represent only the Company's beliefs
regarding future events, plans or objectives, many of which, by
their nature, are inherently uncertain and outside of the Company's
control. Generally, such forward-looking information or statements
can be identified by the use of forward-looking terminology such as
"plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of such words
and phrases or may contain statements that certain actions, events
or results "may", "could", "would", "might" or "will be taken",
"will continue", "will occur" or "will be achieved".
By identifying such information and statements in this manner,
the Company is alerting the reader that such information and
statements are subject to known and unknown risks, uncertainties
and other factors that may cause the actual results, level of
activity, performance, or achievements of the Company to be
materially different from those expressed or implied by such
information and statements.
An investment in securities of the Company is speculative and
subject to several risks including, without limitation, the risks
discussed under the heading "Risk Factors" in the Company's filing
statement dated May 30, 2018.
Although the Company has attempted to identify important factors
that could cause actual results to differ materially from those
contained in the forward-looking information and forward-looking
statements, there may be other factors that cause results not to be
as anticipated, estimated or intended.
In connection with the forward-looking information and
forward-looking statements contained in this press release, the
Company has made certain assumptions. Although the Company believes
that the assumptions and factors used in preparing, and the
expectations contained in, the forward-looking information and
statements are reasonable, undue reliance should not be placed on
such information and statements, and no assurance or guarantee can
be given that such forward-looking information and statements will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such information and
statements. The forward-looking information and forward-looking
statements contained in this press release are made as of the date
of this press release, and the Company does not undertake to update
any forward-looking information and/or forward-looking statements
that are contained or referenced herein, except in accordance with
applicable securities laws. All subsequent written and oral
forward-looking information and statements attributable to the
Company or persons acting on its behalf is expressly qualified in
its entirety by this notice.
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.
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SOURCE Boardwalktech Software Corp.