STC Sangoma Technologies Corporation

Sangoma Technologies Corporation (TSX VENTURE:STC), today released highlights of
its unaudited financial results for the quarter ended September 30, 2010.




                                         Q12010-2011    Q12009-2010  Change 
Sales                                  $2.51 million  $3.12 million     -19%
Gross profit                           $1.82 million  $2.37 million     -23%
Net income before provision for taxes  $0.10 million  $0.88 million     -88%
Net income                             $0.05 million  $0.56 million     -90%
EBITDA                                 $0.53 million  $1.18 million     -55%
Net earnings per share (fully                                               
 diluted)                              $       0.002  $       0.019         



Sales for the first quarter of fiscal 2011 ended September 30, 2010 were a
disappointing $2.51 million as compared with $3.12 million for the quarter ended
September 30, 2009, a decrease of 19%. This decline in revenue was dominated by
the North American market where sales decreased 45% versus the same quarter last
year. North America generally (and the United States specifically) have
experienced more dramatic and longer lasting effects of the world recession, and
Sangoma's sales into these markets have suffered as a result. Further, Sangoma's
tight control over marketing and sales activity for the past year or so during
the downturn, and a lack of or delay in new product launches, has also had a
pronounced effect. Sangoma is taking immediate action in an attempt to correct
this issue with a well-considered series of new activities in these areas, under
new leadership. Sales outside of North America grew by 28% over the same quarter
last year, due primarily to efforts to add/motivate/incent new channel partners
and because some of these international markets have recovered more quickly from
the recession. While the company believes second quarter revenue may show
improvement over the first quarter of fiscal 2011, it is unclear if the quarter
ended September 30, 2010 may be reflective of future results. Sangoma will
closely monitor the corrective action described above, but does not issue
guidance because the size and timing of future orders are uncertain.


Gross margins and operating expenses were fairly consistent with the run-rate
from recent quarters. EBITDA for the quarter was $0.53 million as compared to
$1.18 million for the quarter ended September 30, 2009, a decrease of 55%.


On September 30, 2010 Sangoma had working capital of $10.66 million, as compared
to $10.92 million on September 30, 2010. Working capital on September 30, 2010
included $7.61 million in cash and equivalents. 


President and CEO, Bill Wignall, and CFO, David Moore will host a conference
call on Wednesday, November 17, 2010 at 11 a.m. Eastern Standard Time to discuss
the quarter's results. The dial-in number for the call is 1 800 319 4610.
Investors are requested to dial in 5 to 10 minutes before the scheduled start
time and ask to join the Sangoma call. 


About Sangoma Technologies Corporation

Sangoma is the premium provider of voice and data connectivity components for
software-based communication applications. Sangoma's data cards, voice cards,
gateways and connectivity software are used in leading PBX, IVR, contact center
and data-communication applications worldwide. The product line represents a
comprehensive toolset for deploying cost-effective, powerful, and flexible
software communication applications.


Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX
Venture Exchange (TSX VENTURE:STC). Additional information on Sangoma can be
found at: www.sangoma.com.


Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements, including statements
regarding the future success of our business, development strategies and future
opportunities.


Forward-looking statements include, but are not limited to, statements
concerning estimates of expected expenditures, statements relating to expected
future production and cash flows, and other statements which are not historical
facts. When used in this document, the words such as "could", "plan",
"estimate", "expect", "intend", "may", "potential", "should" and similar
expressions indicate forward-looking statements.


Although Sangoma believes that its expectations reflected in these
forward-looking statements are reasonable, such statements involve risks and
uncertainties and no assurance can be given that actual results will be
consistent with these forward-looking statements. Forward-looking statements are
based on the opinions and estimates of management at the date that the
statements are made, and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ materially
from those projected in forward-looking statements. Sangoma undertakes no
obligation to update forward-looking statements if circumstances or management's
estimates or opinions should change except as required by law.


Readers are cautioned not to place undue reliance on forward-looking statements,
as there can be no assurance that the plans, intentions or expectations upon
which they are based will occur. By their nature, forward-looking statements
involve numerous assumptions, known and unknown risks and uncertainties, both
general and specific, that contribute to the possibility that the predictions,
forecasts, projections and other events contemplated by the forward-looking
statements will not occur. Although Sangoma believes that the expectations
represented by such forward-looking statements are reasonable, there can be no
assurance that such expectations will prove to be correct as these expectations
are inherently subject to business, economic and competitive uncertainties and
contingencies. Some of the risks and other factors which could cause results to
differ materially from those expressed in the forward-looking statements
contained in the management's discussion and analysis include, but are not
limited to changes in exchange rate between the Canadian Dollar and other
currencies, changes in technology, changes in the business climate, changes in
the regulatory environment, the decline in the importance of the PSTN and new
competitive pressures. The forward-looking statements contained in this press
release are expressly qualified by this cautionary statement.

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