Business
IP Applications Corp. reports substantially improved operating results for Q1 2006
IP Applications Corp. reports substantially improved operating results for Q1 2006.
About this update from Santa Rosa Resources Corp.
[{"type":"text","content":"\n\n\n\n\nVANCOUVER, May 25 /CNW/ - IP Applications Corp. (TSX-Venture: IPX) today\nannounced its quarterly results for the three-month period ended March 31,\n2006.\nRevenue increased by 55% to $2.4 million for the three-month period as\ncompared to the corresponding period in 2005. The loss for the three months\nwas $411,000 or $0.03 per share (basic) compared with a loss of $574,000 for\nthe quarter ended March 31, 2005.\nThe Company reported an EBITDA loss of $14,000 compared with an EBITDA\nloss of $489,000 in the quarter ended December 31, 2005. EBITDA is a non-GAAP\nmeasurement.\nJohn Jacobson, President & CEO said \"The results of the first quarter\ndemonstrate how much the company has improved relative to last year. The\nEBITDA loss on operations, reduced significantly to virtually break-even, is\nevidence of the progress we have made. In addition, we have signed a number of\nnew clients, are actively developing new service offerings and have begun\nexploring new strategic opportunities within our existing customer base.\"\n\nAchievements in Q1 2006:\n\n - Record revenues of $800,000 average per month over the quarter and\n break-even EBITDA\n\n - Announced new customer accounts expected to produce new recurring\n revenue by the end Q2 2006\n\n - Maintained revenue and margin despite a continuing decline in the\n US dollar exchange rate\n\n - Reduced outstanding payables and accrued liabilities carried\n forward from 2005\n\nNon-GAAP measures\n\nCommencing with Q1-2006, the Company will begin reporting EBITDA as it is\na key measure used by management to evaluate the Company's performance.\nManagement believes that EBITDA is useful as it provides an indication of the\nresults generated by the Company's business activities prior to taking into\nconsideration how those activities are financed and taxed and also prior to\ntaking into consideration asset depreciation and other non-cash expenses.\nEBITDA is not a recognized measure under Canadian GAAP, and accordingly,\ninvestors are cautioned that EBITDA should not be construed as an alternative\nto net earnings or loss determined in accordance with GAAP as an indicator of\nthe financial performance of the Company or as a measure of the Company's\nliquidity and cash flows. EBITDA may not be comparable to similar measures\npresented by other issuers. The schedule below d...