Renoworks announces 37% increase in revenue,
41% increase in Design Services
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CALGARY, May 30, 2019 /CNW/ - Renoworks
Software Inc. (TSXV: RW)("Renoworks" or the
"Company), the leading visualizer for the home remodeling
and new home construction industry, yesterday announced financial
results for the first quarter ended March
31, 2019.
Financial and business highlights for the first quarter
2019:
- Quarterly revenue of $1,062,482
for the three months ended March 31,
2019 compared to $772,731 in
2018, an increase of 37%.
- Design services revenue of $319,066 for the three months ended March 31, 2019 compared to $226,014 in 2018, up 41%.
- Net loss of $116,955 for the
three months ended March 31, 2019
compared to a net loss of $311,459
for the same period in 2018. As Renoworks' growth strategy
progresses, it remains flexible to invest in the recruitment of
qualified personnel in response to increased demand and to further
the Company's efforts to fulfill its long-term strategies of
software development, increased marketing and financial
growth.
- As at March 31, 2019, the Company
had 33,854,477 common shares issued and outstanding.
"We are pleased to announce a strong start to our fiscal year
with a 37% increase in our first quarter revenues," stated
Doug Vickerson, CEO of Renoworks.
"This is the first $1 million opening
quarter for the Company, driven primarily by our increased design
services revenue."
Mr. Vickerson added, "This is a clear indication that our
Company's growth strategy is progressing extremely well, and I am
pleased by the results. We have made substantial headway in our
upgraded technology platform which has resonated with industry
stakeholders. Furthermore, new opportunities continue to present
themselves for our core technologies in new markets which we are
actively pursuing."
Financial results from operations for the first quarter 2019
with comparatives for 2018 are as follows:
|
Three Months Ended
March 31
|
2019
|
2018
|
Revenue
|
$1,062,482
|
$772,731
|
Gross
Margin
|
$785,641
|
$517,441
|
Expenses
|
$856,234
|
$843,939
|
Loss
|
$116,955
|
$311,459
|
Loss per
share
|
$0.01
|
$0.01
|
Adjusted
EBITDA
|
($44,517)
|
($274,089)
|
Weighted Average
Shares
Outstanding
|
33,854,477
|
33,562,810
|
The Company's financial position as of March 31, 2019 with comparatives from 2018 is as
follows:
|
March 31, 2019
|
March 31, 2018
|
Cash
Balance
|
$203,428
|
$633,532
|
Accounts
Receivable
|
$556,456
|
$386,228
|
Deferred
Revenue
|
$1,090,216
|
$1,224,982
|
Long- term
liabilities
|
$285,548
|
$55,389
|
Shareholder's
Equity
(Deficiency)
|
($290,552)
|
($356,368)
|
Deficit
|
($7,359,712)
|
($7,293,493)
|
Total
Assets
|
$1,392,203
|
$1,171,159
|
About Renoworks
Renoworks Software Inc. develops and sells unique digital
visualization software and integration solutions for the remodeling
and new home construction industry. Renoworks delivers its
technology to manufacturers, contractors, builders, and retailers,
offering solutions to one of the home improvement industry's
greatest challenges: enabling homeowners to review their product
selections in a true-to-life virtual environment before committing
to purchases and construction. Renoworks markets its technologies
as innovative engagement tools and generates revenues from four
main business lines: Renoworks Enterprise, Renoworks PRO, Renoworks
Design Services, and Renoworks API (Application Programming
Interface).
For more information,
visit: www.renoworks.com and www.renoworkspro.com.
*Non-IFRS Measures
Adjusted EBITDA is a measure not recognized under IFRS.
However, management of Renoworks believes that most shareholders,
creditors, other stakeholders and investment analysts prefer to
have these measures included as reported measures of operating
performance, a proxy for cash flow, and to facilitate valuation
analysis. Adjusted EBITDA is defined as earnings before interest
income, taxes, depreciation and amortization, stock based
compensation, restructuring costs, impairment charges and other
non-recurring gains or losses. Management believes Adjusted EBITDA
is a useful measure that facilitates period-to-period operating
comparisons.
Adjusted EBITDA does not have any standardized meanings
prescribed by IFRS and therefore may not be comparable to similar
measures presented by other issuers. Readers are cautioned that
Adjusted EBITDA is not an alternative to measures determined in
accordance with IFRS and should not, on its own, be construed as
indicators of performance, cash flow or profitability. References
to the Renoworks' Adjusted EBITDA should be read in conjunction
with the financial statements and management's discussion and
analysis of Renoworks posted on SEDAR (www.sedar.com).
Forward Looking Information
Certain statements in this news release, other than
statements of historical fact, are forward looking information that
involves various risks and uncertainties. Such statements relating
to, among other things, the prospects for the company to enhance
operating results, are necessarily subject to risks and
uncertainties, some of which are significant in scope and nature.
These uncertainties may cause actual results to differ from
information contained herein. There can be no assurance that such
statements will prove to be accurate. Actual results and future
events could differ materially from those anticipated in such
statements. These and all subsequent written and oral forward
looking statements are based on the estimates and opinions of the
management on the dates they are made and expressly qualified in
their entirety by this notice. The Company assumes no obligation to
update forward-looking statements should circumstances or
management's estimates or opinions change.
The TSX Venture Exchange does not accept responsibility for
the adequacy or accuracy of this release.
SOURCE RenoWorks Software Inc.