MONTREAL, Sept. 7 /CNW Telbec/ - TECSYS Inc. (TSX: TCS), an industry-
leading Supply Chain Management (SCM) software company announced today its
financial results for the first quarter of fiscal 2006 ending July 31, 2005.
All dollar amounts are expressed in U.S. currency and are reported in
accordance with Canadian Generally Accepted Accounting Principles (GAAP), with
a reconciliation to United States GAAP and are unaudited.
Highlights for the reporting quarter include:
- Revenue increased to $8.0M from $5.3M in the same quarter of last
year; a 50% increase.
- Product sales rose to $3.0M from $1.8M in the comparable quarter of
last year; a 71% increase.
- Services revenue rose to $4.9M from $3.4M in Q1 of the previous
fiscal year; an increase of 43%.
- Earnings from operations increased to $263K from $135K in Q1 of the
previous fiscal year; an increase of 95%.
- Net income increased 65% in Q1 of fiscal 2006 over the comparable
quarter of fiscal 2005.
"Business is brisk and we are off to a great start this fiscal year,"
said Peter Brereton, President and Co-CEO. "We have a 71% rise in product
revenues, new business in every market segment we pursue and another new
account in the U.K. We are also very pleased to see the continuing improvement
in income from operations."
Other key achievements in the first fiscal quarter:
- TECSYS signed new contracts for its software solutions with a total
of 7 new accounts including:
- A motivational products company in Quebec
- A key infrastructure supplier to Home Depot
- A logistics company in the U.K.
- A pharmaceutical samples distributor in New Jersey
- An eCommerce fulfillment company in Texas
- Giftware companies in both Toronto and Montreal
- The company also signed significant upgrade business in the quarter
across all divisions.
Revenues in the first quarter of fiscal 2006 increased 50% to $8.0M
compared to the first quarter of fiscal 2005 of $5.3M. Cash balance was $6.7M,
down from $7.3M at the end of fiscal year 2005. Income from operations for the
reporting quarter was $263K, an increase from $135K in the corresponding
quarter of last year. After accounting for an exchange loss of $65K and net
interest income of $22K, the company earned a net income of $225K or $0.02 per
share. Net income in Q1 of last year was $136K or $0.01 per share. This
improvement in the operating results reflects the benefits of rising product
and services revenue in spite of being offset by the rising Canadian currency.
About TECSYS
------------
TECSYS is a leading, fast-growing supply chain management software
provider that delivers powerful enterprise distribution and transportation
logistics software solutions. The company's customers include about 600
mid-size and Fortune 1000 corporations in healthcare, giftware, office
products, third-party logistics, and general wholesale high-volume
distribution markets. TECSYS' shares are listed on the Toronto Stock Exchange
under the ticker symbol TCS.
The statements in this news release relating to matters that are not
historical fact are forward looking statements that are based on management's
beliefs and assumptions. Such statements are not guarantees of future
performance and are subject to a number of uncertainties, including but not
limited to future economic conditions, the markets that TECSYS Inc. serves,
the actions of competitors, major new technological trends, and other factors
beyond the control of TECSYS Inc., which could cause actual results to differ
materially from such statements. All names, trademarks, products, and services
mentioned are registered or unregistered trademarks of their respective
owners.
<<
Consolidated Balance Sheets
Prepared in Accordance with Canadian Generally Accepted Accounting
Principles
-------------------------------------------------------------------------
(in thousands of U.S. dollars)
July 31, April 30,
2005 2005
(unaudited)
------------------------
------------------------
Assets
Current assets
Cash and cash equivalents 1,075 1,054
Short-term and other investments 4,836 5,435
Accounts receivable 7,912 7,000
Other accounts receivable 204 177
Tax credits receivable 1,409 1,241
Inventory 131 162
Prepaid expenses 667 749
------------------------
16,234 15,818
Restricted cash equivalents and other investments 835 815
Property, plant and equipment 2,043 2,044
Intangible assets 2,160 2,239
Goodwill 1,874 1,827
------------------------
23,146 22,743
------------------------
------------------------
Liabilities
Current liabilities
Accounts payable and accrued liabilities 4,486 4,890
Current portion of long-term debt 108 106
Deferred revenue 2,145 1,868
------------------------
6,739 6,864
Long-term debt 415 410
Other long-term liabilities 531 548
------------------------
7,685 7,822
------------------------
Shareholders' Equity
Capital stock 38,836 39,019
Contributed surplus 6,761 6,624
Cumulative translation adjustment 1,854 1,493
Deficit (31,990) (32,215)
------------------------
15,461 14,921
------------------------
23,146 22,743
------------------------
------------------------
Consolidated Statements of Deficit
Prepared in Accordance with Canadian Generally Accepted Accounting
Principles
-------------------------------------------------------------------------
(in thousands of U.S. dollars)
Three Three
Months Months
Ended Ended
July 31, July 31,
2005 2004
(unaudited) (unaudited)
------------------------
------------------------
Balance - Beginning of period as originally
stated (32,215) (27,764)
Adjustment resulting from a change in accounting
policy regarding stock-based compensation - (4,785)
------------------------
Beginning balance as restated (32,215) (32,549)
Net earnings for the period 225 136
------------------------
Balance - End of period (31,990) (32,413)
------------------------
------------------------
Consolidated Statements of Operations
Prepared in Accordance with Canadian Generally Accepted Accounting
Principles
-------------------------------------------------------------------------
(in thousands of U.S. dollars, except share and per share data)
Three Three
Months Months
Ended Ended
July 31, July 31,
2005 2004
(unaudited) (unaudited)
------------------------
------------------------
Revenue
Products 2,996 1,753
Services 4,854 3,406
Reimbursable expenses 155 186
------------------------
8,005 5,345
Cost of revenue
Products 1,332 504
Services 3,025 1,742
Reimbursable expenses 155 186
------------------------
4,512 2,432
------------------------
Gross margin 3,493 2,913
------------------------
------------------------
Operating expenses
Sales & marketing 1,454 1,178
General & administration 639 539
Gross research & development 991 909
Research & development tax credits (157) (101)
Stock-based compensation 33 51
Amortization of property, plant and equipment 135 130
Amortization of intangible assets 135 72
------------------------
3,230 2,778
------------------------
Earnings from operations 263 135
Interest income 47 43
Interest expense (20) (9)
Foreign exchange losses (65) (33)
------------------------
Net earnings for the period 225 136
------------------------
------------------------
Weighted average number of common shares
outstanding
- basic 13,883,449 14,158,797
------------------------
- diluted 13,937,724 14,282,404
------------------------
------------------------
------------------------
Basic and diluted net earnings per common share
(in US dollars) $ 0.02 $ 0.01
------------------------
------------------------
Consolidated Statements of Cash Flows
Prepared in Accordance with Canadian Generally Accepted Accounting
Principles
-------------------------------------------------------------------------
(in thousands of U.S. dollars)
Three Three
Months Months
Ended Ended
July 31, July 31,
2005 2004
(unaudited) (unaudited)
------------------------
------------------------
Cash flows from
Operating activities
Net earnings for the period 225 136
Adjustments for
Amortization of property, plant and equipment 135 130
Amortization of intangible assets 135 72
Stock-based compensation 33 51
Unrealized foreign exchange losses 6 10
Changes in non-cash working capital items related
to operations
Decrease (increase) in accounts receivable (683) 292
Decrease (increase) in other accounts
receivable (23) 109
Increase in tax credits receivable (136) (237)
Decrease in inventory 35 -
Decrease in prepaid expenses 98 65
Increase in long-term accounts receivable - (34)
Decrease in accounts payable and accrued
liabilities (538) (507)
Increase (decrease) in deferred revenue 201 (186)
------------------------
(512) (99)
------------------------
Financing activities
Repayment of long-term debt and capital lease
obligations (5) (75)
Purchase of common shares for cancellation (80) -
------------------------
(85) (75)
------------------------
Investing activities
Decrease in short-term and other investments 703 273
Acquisitions of property, plant and equipment (71) (45)
Acquisitions of intangible assets - (23)
Business combination, purchase price adjustment - 368
------------------------
632 573
------------------------
Effect of foreign exchange rate fluctuations
on cash and cash equivalents (14) (13)
------------------------
Change in cash and cash equivalents 21 386
Cash and cash equivalents - Beginning of Period 1,054 2,388
------------------------
Cash and cash equivalents - End of Period 1,075 2,774
------------------------
------------------------
>>
%SEDAR: 00010494EF
Powered by 
Google Übersetzer
Google Übersetzer