GUELPH, ONTARIO--(Marketwire - April 26, 2011) - Texada Software Inc. ("Texada") (TSX VENTURE:TXS), the premier provider of equipment rental and mobile asset management software, announces today its audited financial results for the year ended December 31, 2010.
For the year ended December 31, 2010, the Company generated total revenues of $4.45 Ml. and net earnings of $0.30 Ml. Adjusted EBITDA (defined as net earnings for the year adjusted for amortization, accretion on convertible debt, interest expense, foreign exchange, stock based compensation expense and lease closure settlements) was $0.69 Ml. These results compare to total revenues of $4.44 Ml., net earnings of $0.32 Ml. and Adjusted EBITDA of $0.56 Ml. for fiscal 2009.
Revenue for 2010 was consistent with that recorded in fiscal 2009. The split of license revenue as a percentage of total revenue increased marginally in 2010 compared to 2009. Gross profit in 2010 improved to $4.0 Ml. compared to $3.7 Ml. in 2009 and operating expenses increased by $0.16 Ml. or 5.0% in the year.
A reduction in amortization expense of $0.04 Ml. was offset by a foreign exchange loss of $0.02 Ml. compared to a gain in 2009 of $0.03 Ml., an increase in stock-based compensation expense of $0.03 Ml. and the non recurrence of a lease settlement gain of $0.09 Ml. which resulted in an overall increase $0.15 Ml. in non-operating expenses during the current year.
The improved gross profit performance in 2010 combined with the increase in operating expenses of $0.16 Ml. and the increase in non-operating expenses compared to 2009 resulted in Texada achieving a small decline in net earnings in the current year of $0.015 Ml.
"Our 2010 operating results, achieved during a very challenging twelve months for our key customer base of equipment rental and software expenditures in general, are a testament to our outstanding contingent of dedicated staff and service providers", commented Brian Spilak, Texada's President. He added, "We are proud of these results which build on our operating turnaround commenced in 2009, with Adjusted EBITDA improving by more than 23% in the current year".
Chief Executive Officer Willie Swisher added, "Texada's management team delivered another strong year in 2010 and we thank everyone for their efforts and our customers for their ongoing support. We look forward to expanding the Company's platform in 2011 as economic conditions improve throughout our marketplace."
The Company's financial results for 2010 are presented below:
| Thousands of Canadian Dollars (except per share amounts) | Three Months Ended December 31 | Year Ended December 31 | ||||||
| 2010 | 2009 | 2010 | 2009 | |||||
| Revenue | $ | 1,074 | $ | 1,019 | $ | 4,447 | $ | 4,441 |
| Operating Income (Adjusted EBITDA) | 140 | 160 | 693 | 562 | ||||
| Net Earnings for the Period | $ | 16 | $ | 105 | $ | 301 | $ | 316 |
| Net Earnings per Share | $ | 0.002 | $ | 0.01 | $ | 0.03 | $ | 0.04 |
More information may be found at www.sedar.com.
About Texada Software Inc. (TSX VENTURE:TXS)
Texada Software Inc. is the premier provider of enterprise software solutions for equipment rental and mobile equipment. Texada's solutions are fully flexible and scalable to meet the unique needs of any sized operation and are backed by proven implementation, services and support.
Texada's market-driven software products combine knowledge and best practices from over 5,000 users worldwide, resulting in solutions that manage the complete asset life-cycle from acquisition through to disposal. The Company's customers enjoy the many benefits of this enhanced efficiency through better asset utilization, effective location tracking, and optimized scheduling.
Texada can be reached at 1-800-361-1233 or 1-519-836-7073, or on the internet at www.texadasoftware.com.
This news release may contain forward-looking statements which reflect the Company's current expectations regarding future events. The forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan, "estimate", "expect", "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. These forward-looking statements involve risk and uncertainties, including the difficulty in predicting acceptance of and demands for new products, the impact of the products and pricing strategies of competitors, delays in developing and launching new products, fluctuations in operating results and other risks, any of which could cause results, performance, or achievements to differ materially from the results discussed or implied in the forward-looking statements. Many risks are inherent in the industry; others are more specific to the Company. Investors Texada's ongoing quarterly filings should be consulted for additional information on risks and uncertainties relating to these forward-looking statements. Investors should not place undue reliance on any forward-looking statements. Management assumes no obligation to update or alter any forward-looking statements whether as a result of new information, further events or otherwise.
Neither 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.
Contact Information:
Texada Software Inc.
Jim McInnis
Chief Financial Officer
1-800-361-1233 x - 2104
jmcinnis@texadasoftware.com