Business
Sylogist Ltd. announces fiscal 2008 results
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About this update from Sylogist Ltd.
[{"type":"text","content":"\n\n\n\n/THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE\nSERVICES OR FOR DISSEMINATION IN THE UNITED STATES/\n\n\nCALGARY AND EDMONTON, Jan. 21 /CNW/ - Sylogist Ltd. (TSXV:SYZ)\n("Sylogist" or the "Corporation") today announced its audited financial\nresults for the year ended September 30, 2008.\n\n\nRevenue for the fiscal year ended September 30, 2008 was $6.9 million, in\na period of transition for the Corporation. Sylogist shifted its focus, from a\nterminated government initiative and from re-selling large ERP systems, to\nleveraging its acquisitions of Bellamy Software, Masterworks, and Reflex\nGovernment Solutions and continuing its strategy of pursuing acquisitions in\nthe public sector market. Revenue was $8.1 million in fiscal 2007. The public\nsector business unit went through a period of adjustment, as positioning and\noperations became better integrated. While Sylogist's public sector business\ngrew in fiscal 2008, activity associated with the SAP marketplace and with the\nCLN acquisition showed significant declines.\n\n\nAs part of the transition in fiscal 2008, Sylogist made an impairment\nallowance for collection of a long term accounts receivable associated with\nthe aforementioned contract termination in the amount of $2.1 million and\nrecorded a write down of $0.4 million of intangible assets acquired in the CLN\ntransaction. Sylogist recorded a loss of $4.0 million for fiscal 2008.\n\n\nCash flow from operations was a loss of $0.7 million in fiscal 2008\ncompared to a loss of $1.0 million in 2007. Cash flow improved in the second\nhalf of 2008 over the first two quarters. Working capital at September 30,\n2008 was $3.9 million, compared to $5.1 million the previous year. During\nfiscal 2008 Sylogist acquired Masterworks Software Systems Ltd and Reflex\nGovernment Solutions for total consideration of $0.5 million.\n\n\n"Although we are disappointed with the financial results in fiscal 2008,\nchanges implemented in the second half of 2008 demonstrated a positive trend\nthat we expect to result in significantly improved operating results in 2009,"\nstated Jim Wilson, President & Chief Executive Officer.\n\n\nAbout Sylogist\n--------------\n\n\nSylogist provides leading enterprise information management software\napplications to municipal, education and priv...