SAN JOSE, Calif., March 30, 2021 (GLOBE NEWSWIRE) -- Nubeva Technologies Ltd. ("Nubeva" or the "Company") (TSX-V: NBVA), announces its unaudited consolidated financial statements for the Three and Nine Months ended January 31, 2021. Financial statements along with management discussion and analysis of financial results can be found at www.sedar.com. All dollar amounts in this release are quoted in U.S. Dollars.
During the third quarter Nubeva reported revenue of $766,709 compared with revenue from the same quarter of last year of $40,117. This brings nine-month revenue to $1,734,024, up from revenue of $117,784 for the comparable nine-month period. The increase in revenue for the quarter and the nine months was due to the recognition of revenue from the Company’s license of its Symmetric Key Intercept software (“SKI”) and related support and maintenance.
“We experienced significant momentum in the second and third quarters as customers began adding Nubeva’s SKI solution to their security and application monitoring tools,” said Randy Chou, Nubeva’s founder and CEO. “We will continue to license our technology to manufacturers, enabling enterprise users to obtain the total visibility they need into network traffic for mission critical needs."
Juliet Jones, CFO stated, “Although we expect year over year growth, due to the nature of enterprise license sales we expect that revenues will vary, perhaps materially, from quarter to quarter for the foreseeable future. It is likely that revenues will vary less with time as software maintenance, support and royalties build to provide a solid revenue base.”
Nubeva reported net income for the quarter of $61,322 compared with a net loss of $796,930 in the third quarter of last year, primarily due to the increase in revenue.
Selected operating data follows:
| Income Statement Data | Three Months ended January 31, 2021 | Three Months ended January 31, 2020 | Nine Months ended January 31, 2021 | Nine Months ended January 31, 2020 | ||||||||
| Revenue | $ | 766,709 | $ | 40,117 | $ | 1,734,024 | $ | 117,784 | ||||
| Expenses | 815,209 | 844,471 | 2,635,709 | 2,782,861 | ||||||||
| Other Items | ||||||||||||
| Gain on digital currencies | 11,469 | 494 | 28,180 | 13,098 | ||||||||
| Gain on debt settlement | 96,236 | - | 96,236 | - | ||||||||
| Government assistance | 12,339 | - | 305,704 | - | ||||||||
| Interest expense | (6,249 | ) | - | (17,447 | ) | - | ||||||
| Foreign exchange | (4,146 | ) | (2,723 | ) | (22,506 | ) | (12,848 | ) | ||||
| Interest and other income | 173 | 9,653 | 2,748 | 49,086 | ||||||||
| Net income (loss) for the period | $ | 61,322 | $ | (796,930 | ) | $ | (226,431 | ) | $ | (2,615,741 | ) | |
| Other comprehensive gain (loss) | ||||||||||||
| Foreign currency translation adjustment | 14,235 | (16,817 | ) | 30,025 | (22,475 | ) | ||||||
| Total comprehensive income (loss) | $ | 75,557 | $ | (813,747 | ) | $ | (196,406 | ) | $ | (2,638,216 | ) | |
| Earnings (loss) per share – basic and fully diluted | $ | 0.00 | $ | (0.01 | ) | $ | 0.00 | $ | (0.05 | ) | ||
| Weighted average number of common shares - basic | 56,666,833 | 55,973,270 | 56,431,644 | 55,830,979 | ||||||||
The Company’s financial position as at January 31, 2021compared with the Company’s financial position as at April 30, 2020 is as follows:
| Balance Sheet Data | January 31, 2021 | April 30, 2020 | ||||
| Current and total assets | $ | 1,959,900 | $ | 2,284,976 | ||
| Current liabilities | $ | 529,285 | $ | 837,773 | ||
| Long-term debt | $ | 120,746 | $ | 102,413 | ||
| Accumulated deficit | $ | (13,090,367 | ) | $ | (12,960,121 | ) |
| Total Equity | $ | 1,126,150 | $ | 1,344,790 |
Assets as at January 31, 2021 decreased by $325,076 over assets as April 30, 2020 due mainly to a decrease in cash and marketable securities of $719,832 and a decrease in tax credit receivable of $97,090 which were partially offset by an increase in accounts receivable of $593,671. The decrease in cash was due primarily to an outflow of cash used for operations.
The available working capital as at the date of this press release is estimated to be adequate to finance Nubeva’s planned operations over the ensuing seven months. In addition, as announced on March 23, 2021 the Company entered into an investment agreement under which, subject to certain conditions it may draw down up to CAD $8 million in tranches of up to CAD $500,000 each.
About Nubeva Technologies Ltd.
Nubeva develops and licenses proprietary software for the decryption of network traffic. Nubeva’s next-generation SKI (Session Key Intercept) technology represents a better, faster, easier, and lower-cost alternative to legacy decryption. Our solution provides a complete option for manufacturers, integrators, and managed services providers of cybersecurity and application assurance solutions. Today, nearly all network traffic uses TLS (formerly SSL) for security and privacy, yet enterprises still must see the data-in-motion to detect and respond to cybersecurity threats and application performance issues. With constant evolution in TLS protocols and the advancements in application, network, and computing architectures, gaps continue to grow in the legacy decryption methods. Nubeva’s SKI technology represents the next-generation solution for the industry moving forward. Visit nubeva.com for more information.
Forward Looking Statements
This news release contains "forward-looking information" within the meaning of applicable securities laws relating to the Company's business plans and the outlook of the cybersecurity industry. Although the Company believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. The statements in this press release are made as of the date of this release and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by applicable securities laws. The Company undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of the Company, its subsidiaries, their securities, or their respective financial or operating results (as applicable).
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
| For additional information, please contact: | Nubeva Technologies Ltd. |
| Juliet Jones, Chief Financial Officer 1(844)538-4638 |