Business
In-Touch Survey Systems Ltd. announces Q1 2009 financial results with 17% revenue growth
OTTAWA, June 1 /CNW Telbec/ - In-Touch Survey Systems Ltd. ("In-Touch" TSX-Venture: INX) is pleas...
About this update from Intouch Insight Ltd.
[{"type":"text","content":"\n\n\n\nOTTAWA, June 1 /CNW Telbec/ - In-Touch Survey Systems Ltd. ("In-Touch"\nTSX-Venture: INX) is pleased to announce that revenue grew by 17% to\n$1,358,291 in Q1 2009 compared to $1,159,999 in Q1 2008. Net loss for Q1 2009\nwas $160,228 compared to a net loss of $240,806 in Q1 2008. The\ncompany-defined adjusted EBITDA was $(46,000) in Q1 2009, compared to an\nEBITDA of $(80,000) in Q1 2008.\n\n\n"Revenues increased compared to Q1 2008. Q1 is typically our lowest\nrevenue cycle in the year. We are focused on increasing our revenue, even in\nthese difficult economic times, and our current sales forecast has second\nquarter 2009 revenues exceeding last year's second quarter revenues. We expect\nthe company to generate positive cash flows for the balance of the year and\nthese funds will be used to reduce debt and improve our working capital. Our\nlargest client, General Motors U.S.A. ("GM"), declared bankruptcy today. While\nGM faces significant restructuring challenges, we believe that our core\nservices will continue to be in demand by GM during their transition - helping\nthem learn about their customers and sell automobiles. Today GM informed us\nthat it is 'business as usual'", said Michael Gaffney, Chief Executive\nOfficer.\n\n\n"Over the next two quarters, we are entering the strongest demand period\nof the year for In-Touch services with a backlog greater than at this time\nlast year", said Gaffney.\n\n\nConsolidated Statements of Operations Q1 2009 Q1 2008\n ------------ ------------\nRevenue $ 1,358,291 $ 1,159,999\n\nCost of services and goods sold 558,190 499,496\n ------------ ------------\n\nGross profit 800,101 660,503\n\nTotal operating expenses 936,001 894,699\n ------------ ------------\n ------------ ------------\nEarnings (loss) before undernoted items (135,900) (234,196)\n\nInterest expense (34,195) (25,833)\nAmortization of financing costs (4,217) (1,168)\nAmortization of discount on promissory note - (15,240)\nAmortization of intangible asset (2,777) (4,761)\nChange in fair value of derivative - (3,751)\nGain (loss) on foreign exchange 2,774 15,364\nGain on disposal of property and equipment 14,087 28,779\n ------------ ------------\nNet loss $ (160,228) $ (240,806)\n ------------ ------------\n ------------ ------------\n\n\nCertain statements included in this ne...