Business
In-Touch Survey Systems Ltd. announces annual revenue up 115%
In-Touch Survey Systems Ltd. announces annual revenue up 115%.
About this update from Intouch Insight Ltd.
[{"type":"text","content":"\n\n\n\nOTTAWA, May 2 /CNW Telbec/ - In-Touch Survey Systems Ltd. ("In-Touch"\nTSX-Venture: INX) is pleased to release its 2006 financial statements. Revenue\nincreased 115.7% to $3,632,304 in 2006 compared to $1,684,290 in 2005. Net\nLosses were $145,542 in 2006 compared to a net loss of $234,050 in 2005. Net\nlosses in 2006 included several significant non-cash share-issuance and\nstock-based compensation items, as well as amortization of a significant\nportion of the cost of acquisition of Tenox. Cash flow from operations in 2006\nwas positive at $249,682 compared to a cash flow deficit from operations in\n2005 of $83,756. Gross margins were $2,132,622 in 2006 compared to $1,316,010\nin 2005. In-Touch's income and cashflow also reflect the fact that In-Touch\ncontinues to expense R&D, while enhancing its technology.\n\n\n"In-Touch continues to add new customers and diversify its product\noffering and 2006 put the company on a solid growth path. The acquisition of\nTenox in 2005 had a significant effect in increasing revenue while lowering\nour overall gross margin as the Tenox services have higher variable costs\ncompared to legacy In-Touch products. One of our 2007 goals is to move our\nconsolidated gross margin above 60% in this fiscal year," said Michael\nGaffney, Chief Executive Officer.\n\n\n"We are very pleased with the 115% increase in revenue and increases in\ncash flow from operations for 2006. We also expect significant revenue growth\nin 2007 as we continue to sign up new large retail customers," said Gaffney.\n\n\n FY 2006 FY 2005 FY 2004\n\nSales Revenue $3,632,304 $1,684,290 $1,449,023\n\nCost of Goods Sold 1,499,682 368,280 (367,891)\n\nGross Profit 2,132,622 1,316,010 1,081,132\n\nTotal Operating Expenses 2,145,690 1,477,089 (2,103,843)\n\nLoss before undernoted items ($13,068) ($161,079) (1,022,711)\n\nInterest Expense (80,249) (67,495) (41,362)\n\nAmortization of discount on\n convertible debenture - (22,878) (15,418)\n\nAmortization of discount on\n promissory note (38,044) (7,202) -\n\nAmortization of intangible asset (18,940) (3,278) -\n\nGain (loss) on foreign exchange (1,299) (533) 18,399\n\nGain on settlement of leases - 28,415 -\n\nGain (loss) on disposal of assets 6,058 - (27,233)\n\n\nNet loss ($145,542) ($234,050) ($1,088,325)\n\n\nCertain statements included in th...