ProntoForms Reports Q2 2016 Financial Results
Achieves 38% Year over Year Growth in Recurring Revenue
OTTAWA, Canada - August 11, 2016 - ProntoForms Corporation (TSXV: PFM), the leading provider of mobile data collection and analytics platforms for enterprises, and small to medium sized businesses, today announced its second quarter (Q2) financial results for the three and six months ended June 30, 2016.
“We saw 38% growth in recurring revenue in the second quarter of 2016 compared to the prior year second quarter," said Alvaro Pombo, CEO of ProntoForms. "We continue to build a strong underlying recurring revenue base.”
“This quarter saw consistent growth in our direct channel, now the majority of our recurring revenue, but offset by weaker net growth in our operator channel and impacted negatively by the stronger Canadian dollar. We continue to make increased investments in direct sales operations while supporting traditional operator channels. We also added new integration partners to drive additional highly qualified leads from our increasingly prominent leadership position in the mobile workflow space.”
Financial Highlights - 2016 Second Quarter:
- Recurring revenue for Q2 2016 increased by 38% to $2,557,910, compared to $1,848,881 in Q2 2015, and remained relatively flat compared to $2,567,697 in Q1 2016. Recurring revenue for the first half of 2016 increased by 47% to $5,125,607, compared to $3,491,305 in the first half of 2015.
- Total revenue for Q2 2016 increased by 34% to $2,879,573, compared to $2,149,367 in Q2 2015, and grew by 1% compared to $2,856,245 in Q1 2016. Total revenue for the first half of 2016 increased by 43% to $5,735,818, compared to $4,017,146 in the first half of 2015.
- Gross margin for Q2 2016 was 82% of total revenue compared to 77% in Q2 2015 and 81% in Q1 2016. Gross margin on recurring revenue was 89% for Q2 2016 compared to 90% for Q2 2015 and 89% in Q1 2016.
- Operating loss for Q2 2016 was $827,408 up from a loss of $571,908 in Q2 2015, and down from a loss of $898,878 in Q1 2016. Operating loss for the first half of 2016 increased to $1,726,286, compared to $1,296,800 for the first half of 2015. The increase in operating loss from prior year is attributed to a conscious approach to invest more in operational and sales productivity.
- Net loss and comprehensive loss for Q2 2016 was $864,704, up from a net loss of $709,293 in Q2 2015, and down from a net loss of $1,127,673 in Q1 2016. Net loss for the first half of 2016 increased to $1,992,377 compared to $1,345,642 for the first half of 2015.
- As at June 30, 2016, the Company’s cash balance and net working capital balances were $2,869,272 and $2,908,984 respectively.
- ProntoForms announced the launch of ProntoForms Enterprise, a new mobile forms subscription offering that adds enterprise-class capabilities.
- ProntoForms announced the release of new functionality to integrate the ProntoForms solution with Spike, a smart laser measurement tool offered by ikeGPS.
- ProntoForms announced a teaming relationship with FleetComplete to enable solution integration and combined sales efforts with their FleetComplete service. FleetComplete is a complimentary SaaS solution, sold through a mutual Tier one carrier reseller in the United States.
About ProntoForms Corporation
ProntoForms is a mobile workflow platform used by more than 3,500 businesses to collect and analyze field data with smartphones and tablets. Our product delivers an intuitive, secure and scalable solution for mobilizing business processes, with a low total cost of ownership. Our customers harness the solution to increase productivity and reduce cost, improve quality of service and mitigate risks.
ProntoForms is the winner of the 2015 Frost & Sullivan Competitive Strategy Innovation and Leadership Award for the Mobile Forms Industry.
The company trades on the TSXV under the symbol PFM. ProntoForms is the registered trademark of ProntoForms Inc., a wholly owned subsidiary of ProntoForms Corporation.
Certain information in this press release may constitute forward-looking information. For example, statements about the Company’s future growth or value are forward-looking information. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward looking-statements unless and until required by securities laws applicable to the Company.
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.
Chief Executive Officer
613.599.8288 ext. 1111
Virtus Advisory Group Inc.