Business
In-Touch Survey Systems Ltd. announces Q2 2013 financial results
OTTAWA , Aug. 29, 2013 /CNW/ - In-Touch Survey Systems Ltd. ("In-Touch") (TSXV: INX) tod...
About this update from Intouch Insight Ltd.
[{"type":"text","content":"\n\n\nOTTAWA, Aug. 29, 2013 /CNW/ - In-Touch Survey Systems Ltd. (\"In-Touch\")\n (TSXV: INX) today announced its operating and financial results for the\n quarter ended June 30, 2013.\n\n\nRevenue for the second quarter was $2,815,598, which was 5% lower than\n revenue of $2,947,069 in the same quarter in 2012. The Company\n previously announced that it had lost several major customers in 2012\n that would negatively impact revenues in 2013. The Company is pleased\n to report that the Company has successfully replaced and exceeded the\n customers lost in 2012 and that Q3 2013 revenues are expected to exceed\n Q3 2012 revenues.\n\n\nNet loss before taxes for the second quarter was $139,964 compared to\n net income of $351,933 reported in the same quarter in 2012. Product\n Development and Marketing spending was the main contributor to the loss\n but was an important strategic investment decision for revenue and\n product line growth in 2013 and 2014. G&A expenses were also higher\n with additional expenses related to the acquisition.  While the\n management team is not happy with the net loss in Q2 the Company is\n pleased to report that it expects to return to profitability in Q3\n 2013.\n\n\nGross Margin increased to 53.6% in the second quarter compared to 49.6%\n for the same quarter in 2012. Company-defined adjusted EBITDA decreased\n to ($52,000) for the second quarter, compared to an EBITDA of $279,000\n for the same quarter in 2012. The improvement in Gross Margin resulted\n from a concerted effort over the past two years to return our margins\n to historical levels. Additionally, the Company is currently\n implementing an expense review program and again is pleased to report\n that it expects to have significant positive EBITDA in Q3 2013\n\n\n\"Replacing the lost customers and their associated revenue from 2012 and\n improving the gross margins were two of our successful strategic\n initiatives. Currently, the Company's sales forecast puts 2013 revenues\n slightly ahead of 2012 revenues, which would be a major achievement for\n the Company. The Company continues to invest heavily in new product\n development and marketing and we have a cost optimization plan being\n implemented in Q3 and Q4,\" said Michael Gaffney, Chief Executive Officer.\n\n\n\"The acquisition of GCS Field Research (\"FR\") on April 1, 2013 o...