Business
In-Touch Survey Systems Ltd. announces Q2 2012 financial results with 71% increase in sales and 190% increase in profits
OTTAWA, Aug. 29, 2012 /CNW/ - In-Touch Survey Systems Ltd. ("In-Touch") (TSXV: INX) announc...
About this update from Intouch Insight Ltd.
[{"type":"text","content":"\n\n\n\n\n\nOTTAWA, Aug. 29, 2012 /CNW/ - In-Touch Survey Systems Ltd. (\"In-Touch\")\n (TSXV: INX) announces revenue of $2,947,069 in Q2 2012, which was 71%\n higher than revenue of $1,722,998 in Q2 2011. Year to date revenue of\n $5,737,408 was 82% higher than the same period last year. Net income\n before taxes for Q2 2012 was $351,933, which was 190% higher than net\n income of $121,195 reported in Q2 2011. Gross profit as a percentage of\n revenue was up 5% to 49% in Q2 2012, compared to 44% in Q1 2012 and\n down 5% compared to 56% in Q2 2011. The Company-defined adjusted EBITDA\n increased 93% to $493,000 in Q2 2012, compared to an adjusted EBITDA of\n $255,000 in Q2 2011.\n\n\nThe Company acquired Service Intelligence (\"SI\") on Aug 4, 2011 with the\n intent of migrating all of SI's services and products onto In-Touch\n platforms. The company's gross profit significantly improved by 5%\n between Q1 2012 (44%) and Q2 2012 (49%) due to the successful ongoing\n migration. The company expects all but one or two customers to have\n moved entirely off legacy Service Intelligence technology by the end of\n Q3 2012 and therefore expects further gross profit margin improvements\n at a similar level of sales.\n\n\n\"I am very pleased to report superb Q2 results. Q2 2012 was our tenth\n consecutive quarter of growth and profit. Kudos are due to our\n management team and all our employees for these results. The past three\n quarters have been dominated with integrating and migrating Service\n Intelligence into In-Touch. These activities have taken longer and been\n far more complex than anticipated. However, to date I am pleased to\n report that to date we have kept 100% of Service Intelligence customers\n - even with the tremendous strain of legacy SI systems. It has become\n patently clear about the superiority of In-Touch systems to provide\n audit and mystery shopping and mobile on-site audit services,\" said Michael Gaffney, Chief Executive Officer.\n\n\n\"In January 2012 we had expected to complete at least one acquisition in\n 2012 that would contribute 25% growth over last year's revenues in\n addition to the 25% organic growth target.  While we have investigated\n a number of different acquisition opportunities during the year, none\n have yet met our desired financial criteria. Notwithstanding this,\n acquisitions are...