VANCOUVER, Nov. 27 /CNW/ - OneMove Technologies Inc. ("OneMove" or the "Company") (TSX-V: OM), which provides a leading web-based real estate transaction platform, today announces its financial results for the three-month period ended September 30, 2008. All figures are reported in Canadian dollars unless otherwise stated.
Q1 Fiscal 2009 Operational Highlights
-------------------------------------
- Expanded user base to 1,242 lawyers and notaries from 506 in
Q1 fiscal 2008
- Total transactions processed in the quarter increased to 15,558 from
14,650 in Q1 fiscal 2008
- Average daily revenue was $6,491, up from $6,066 in Q1 fiscal 2008
- Closed private placement for total proceeds of $565,301
- Raised prices by 15% on average, effective September 1, 2008
- Implemented customer referral program
- Released econveyance 8.0, adding a realtor user interface
- Launched title searching service for the consumer
- Ranked No.1 on Business in Vancouver's list of B.C.'s 100 Fastest
Growing Companies
- Appointed Michael Kader to Board of Directors
Q1 Fiscal 2009 Financial Summary
--------------------------------
On March 7, 2008, OneMove completed the sale of its U.K.-based subsidiary,
OneMove Limited. As a result, OneMove's financial results for the three months
ended September 30, 2007, exclude contributions from OneMove Limited and are
reported on a continuing operations basis.
Q1 FY 2009 Q1 FY 2008 % Change
Revenue $446,719 $429,059 + 4%
Adjusted EBITDA (loss)(1) $(349,051) $(408,705) + 15%
Net income (loss) $(421,670) $(472,363)(2) + 11%
Net income (loss) per share $(0.01) $(0.01)(2) 0%
"For fiscal 2009, we are focused on improving our financial performance and growing our market share," said Martin Johnson, President and CEO, OneMove. "In Q1, we increased the number of users processing transactions through econveyance by more than 145% year-over-year. As a result, we delivered continued revenue growth, despite the significant real estate market slowdown in British Columbia. We also strengthened our cash position with the completion of a private placement."
Mr. Johnson continued: "Looking forward, we recognize the economic headwinds the real estate industry is facing. According to the B.C. Real Estate Association, sales in October 2008 were down approximately 50% compared to 2007. As such, we are focused on growing the number of lawyers and notaries on our econveyance platform and have increased prices, which we believe will continue to help offset the impact of a market-wide reduction in real estate transactions. In addition, we are evaluating options to efficiently fund our growth, and are implementing stringent cost-saving initiatives. Our long-term growth prospects remain strong. With British Columbia's deadline for mandatory electronic filing of completed conveyance documents drawing closer, we believe we will continue to see increased adoption of econveyance."
Q1 Fiscal 2009 Financial Review -------------------------------
Revenue for Q1 fiscal 2009 increased to $446,719 from $429,059 for Q1 fiscal 2008, primarily due to a higher number of transactions being processed through econveyance. OneMove more than doubled its user base year-over-year, increasing the number of transactions processed in Q1 fiscal 2009 to 15,558 from 14,650 in Q1 fiscal 2008. In addition, OneMove's strengthened top-line results reflect an increase in prices, which the Company implemented as of September 1, 2008. OneMove now receives an average of $30.00 per transaction, compared to $26.00 previously. Average daily revenue for Q1 fiscal 2009 improved to $6,491 from $6,066 in Q1 fiscal 2008.
For Q1 fiscal 2009, total expenses were $868,409, compared to $799,211 for Q1 fiscal 2008. The increase in expenses was primarily due to approximately $100,000 in one-time costs predominantly associated with consulting services. OneMove is working to reduce investments in non-revenue generating activities and expects to lower its overall cost base in the coming quarters.
Adjusted EBITDA for continuing operations was $(349,051), for Q1 fiscal 2009, compared to $(408,705) in Q1 fiscal 2008.
For Q1 fiscal 2009, net loss was $(421,670), or $(0.01) per share, compared to a loss of $(472,363), or $(0.01) per share, and net loss including discontinued operations of $(1,145,684), or $(0.03) per share, for Q1 fiscal 2008.
In Q1 fiscal 2009, cash used in operations was $(391,944), compared to $(663,866) in Q1 fiscal 2008. As a result of the private placement OneMove closed in Q1 fiscal 2009, cash provided by financing activities increased to $434,336 from $(86,938) in Q1 fiscal 2008. As at September 30, 2008, OneMove had cash and cash equivalents of $227,440, compared to $193,850 as at June 30, 2008. The Company had working capital of $88,405 as at September 30, 2008, compared to $30,896 as at June 30, 2008. OneMove is currently evaluating financing options to support its continued growth.
As at September 30, 2008, total shares issued and outstanding were 57,306,632.
To view full MD&A and financial statements for OneMove please click here: http://files.newswire.ca/770/Complete_MDA__FS.pdf. In addition, full MD&A and financial statements for OneMove will be available at www.onemovetech.com and www.sedar.com
(1) Adjusted EBITDA for continuing operations is used internally by the
Company to compare cash operating resulted from one period to
another. EBITDA for the purposes of this analysis also excludes stock
based compensation, shares issued for services and "Other
income/losses" per the financial statements. EBITDA does not have any
standardized meaning prescribed by GAAP and therefore may not be
comparable to similar measures presented by other companies.
(2) Net income from continuing operations
About OneMove Technologies Inc.
OneMove Technologies Inc. (TSX-V: OM) offers a leading real estate transaction platform. Through econveyance(TM), its proprietary web-based conveyancing software solution, OneMove(TM) simplifies and expedites the process of buying and selling real estate in British Columbia, Canada. Econveyance links all participants in the property transfer process, offering a secure and efficient means of seamlessly completing the transaction online. Additional information about OneMove can be found at www.onemovetech.com or www.sedar.com.
Forward Looking Statements
This press release contains certain "forward looking statements." These statements relate to future events or future performance and reflect expectations and belief regarding growth, results of operations, performance, business prospects, opportunities or industry performance and trends. These forward looking statements reflect current internal projections, expectations or beliefs and are based on information currently available. A number of factors could cause actual events or results to differ materially from the results discussed in the forward looking statements. Although it is believed that the forward looking statements contained in this press release are based upon reasonable assumptions, investors cannot be assured that actual results will be consistent with these forward looking statements. These forward looking statements are made as of the date of this press release, and OneMove Technologies Inc. assumes no obligation to update or revise them to reflect new events or circumstances, except as required pursuant to applicable securities laws.
The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy or accuracy of this release
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