Business
Sangoma Reports Results for the Third Quarter of Fiscal 2019
(via TheNewswire) EBITDA exceeds $3 million in the quarter for the firs...
About this update from Sangoma Technologies Corporation
[{"type":"text","content":"Sangoma Reports Results for the Third Quarter of Fiscal 2019(via TheNewswire)\n \n \nEBITDA exceeds $3 million in the quarter for the first time\n\n \n \nMARKHAM, Ontario / TheNewswire / May 27, 2019 - Sangoma Technologies Corporation (TSX VENTURE:STC), a trusted leader in delivering Unified Communications solutions, both in the cloud and on-premises, and the provider of the two most widely used open source communications software products in the world, today announced highlights of its third quarter unaudited results of fiscal 2019, ended March 31, 2019.\n\n \n \nFor the third quarter of fiscal 2019, sales were $28.92 million, 78% higher than in the same quarter last year and the seventeenth quarter in a row in which sales have grown from the prior year. For the first time, services revenue exceeded $10 million, continuing to grow in both absolute and relative terms.\n\n \n \n\nClick Image To View Full Size\n\n \n \n 1 Operating Income and EBITDA are metrics used by the Company to monitor its performance and the definitions may be found in the accompanying MD&A posted today at www.sedar.com.\n\n \n \n\"As we've shared previously, our third quarter would begin to show the impact of the integration work undertaken in December, with regards to our latest acquisition of Digium\", said Bill Wignall, President and CEO of Sangoma. \"So I'm very pleased to see this quarter's focus on cost alignment and EBITDA, begin to bear fruit. With spending adjusted in all three of our major cost centers (sales and marketing, R&D, and G&A), we spent about $1 million less in operating expenses, compared to our second quarter, almost exactly as planned. That has produced over $3 million in EBITDA for the first time, up 36% over our second quarter, also as anticipated. And while there remains considerable work to complete the re-configuration of our supply chain as part of the Digium integration, as previously communicated, we still expect that to be finished in the next few months.\"\n\n \n \nGross profit was $17.90 million in the third quarter of fiscal 2019, at a gross margin of 62%, ahead of last year and helped by the addition of the Digium business. \n\n \n \nOperating expenses were $16.15 million in the third quarter of fiscal 2019, 5% lower than for Q2, reflecting the actions taken in December and bringing the cost structure to the...