Business
AirIQ Announces September 30, 2020 Quarterly Results; Increase in Recurring Revenue, Gross Margin and Working Capital
TORONTO, ON / ACCESSWIRE / November 19, 2020 / AirIQ Inc. ("AirIQ") (TSXV:IQ), a supplier of...
About this update from Airiq Inc.
[{"type":"text","content":"AirIQ Announces September 30, 2020 Quarterly Results; Increase in Recurring Revenue, Gross Margin and Working CapitalTORONTO, ON / ACCESSWIRE / November 19, 2020 / AirIQ Inc. (\"AirIQ\") (TSXV:IQ), a supplier of wireless asset management services, today announced its financial results for the three months and six months ended September 30, 2020, reporting an 3% increase in recurring revenue, a 17% increase in gross margin, and a 10% increase in working capital, when compared to the same period the previous year.\"As the global pandemic continues, the Company continued to achieve an increase in recurring revenue compared to the previous quarter, as well as increases in gross profit and working capital, thereby maintaining a solid financial position during these extraordinary times,\" stated Michael Robb, President and Chief Executive Officer of the Company. \"With the launch of the our dual facing camera solution and the signing of a new short sea shipping customer for our battery powered device on shipping containers, the Company anticipates that recurring revenue will continue to build by attracting new customers and opportunities,\" continued Mr. Robb. \"The decline in total revenue primarily resulted from lower hardware revenue due to a large hardware order that shipped during the same quarter the previous year, that did not re-occur this year,\" stated Mr. Robb.Highlights for the three months ended September 30, 2020 compared to September 30, 2019 are as follows:Recurring revenue increase of 3% or $25,304 to $787,367 from $762,063Gross margin increase of 17% to 67% from 50%Working capital increase of 10% or $210,929 to $2,378,963 from $2,168,034 (Working capital is defined as total current assets, less total current liabilities, excluding deferred revenue and lease obligation. Deferred revenues, and lease obligations are non-cash items.)Cash balance increase of 10% or $174,389 to $1,991,432 from $1,817,043Hardware and other revenue decrease of 76% or $499,484 to $158,917 from $658,401Total revenue decrease of 33% or $474,180 to $946,284 from $1,420,464Gross profit decrease of 10% or $73,902 to $632,333 from $706,235Operating profits decrease of 13% or $38,136 to $263,977 from $302,113Net income decrease of 30% or $73,324 to $167,172 from $240,496Launch of fully integrated dual facing camera solution for GPS tracking and real...