MONTREAL, QUEBEC--(Marketwired - Aug. 23, 2013) - 360 VOX Corporation (TSX VENTURE:VOX) - 360 VOX Corporation ("360 VOX" or the "Company"), a global real estate company in the hospitality and asset management, real estate development and sales and marketing businesses, today reported second quarter results for the three and six months ended June 30, 2013 (all figures in U.S. dollars and presented under IFRS, except where otherwise indicated).
- Revenue for the quarter of $23.4 million, up 46% from the previous quarter;
- Revenue growth from the previous quarters in hospitality and asset management, real estate development, and sales and marketing of 4%, 27% and 53%, respectively;
- IFRS net loss for the six months ended June 30, 2013 was $2.2 million, or $0.01 per share;
- Income before interest, taxes, depreciation and amortization for the six months ended June 30, 2013 was $0.38 million;
- Cash used in operating activities was $0.35 million;
- Cash balance of $8 million.
Revenue for the second quarter of fiscal 2013 was $23.4 million, up 46% from $16 million in the first quarter and up by $22 million from the same quarter of fiscal 2012. Revenue for the six months ended June 30, 2013 was $39 million, an increase of $36 million from the same period in 2012. Increase in revenue from 2012 represents mostly the revenue from the acquired businesses of Sotheby's International Realty Canada announced in the latter part of 2012.
Cash increased in the quarter from the private placement of convertible debentures, announced earlier in the year, offset by the cash used to acquire the Company's operations division.
IFRS net loss for the six months ended June 30, 2013 was $2.2 million, or $0.01 per share. The IFRS net loss is the direct result of several non-cash adjustments required by IFRS, which includes significant amortization expense ($2.7 million) and certain fair value adjustments to the Company's derivative liability ($0.3 million). The IFRS net loss also includes non-recurring acquisition and due diligence related legal and consulting fees ($0.4 million). Without these adjustments, the adjusted net earnings* for the six months ended June 30, 2013 would have been $1.2 million or $0.005 per share.
"During the second quarter, we continued to focus our efforts on establishing our operations division, as announced in the middle of May, with the completion of the transaction to manage the Enchantment Resort, Mii amo and the Tides Inn," said Robin Conners, President and CEO of 360 VOX Corporation. "With the operations division in place, we are now in a position to offer a full set of services for the real estate life cycle of development, operations and sales & marketing."
On Behalf of the Board of Directors
Robin Conners, President and CEO
About 360 VOX Corporation
360 VOX is a publicly traded company, incorporated under the laws of Ontario and listed on the TSX Venture Exchange under the symbol "VOX". 360 VOX is engaged in the business of managing and developing international hotel, resort, residential and commercial real estate projects through its wholly- owned subsidiaries, 360 VOX Asset Management Inc., 360 VOX GP, 360 VOX LLC, 360 VOX Developments Inc. and Wilton Properties Ltd. 360 VOX is also engaged in the sales and marketing of real estate through Sotheby's International Realty Canada and Blueprint Global Marketing.
For further information on 360 VOX please visit our websites at www.360vox.com and www.sothebysrealty.ca. 360 VOX's public filings, including its most recent audited consolidated financial statements, can be reviewed on the SEDAR website (www.sedar.com).
This news release may contain forward-looking statements and information within the meaning of applicable securities legislation. These statements reflect management's current expectations, estimates, projections, beliefs and assumptions that were made using information currently available to management. In some cases, forward-looking statements can be identified by terminology such as "may" "will", "expect", "plan", "anticipate", "believe", "intend", "estimate", "predict", "forecast", "outlook", "potential", "continue", "should", "likely" or the negative of these terms or other comparable terminology.
Forward-looking statements include statements with respect to, the negotiating and entering into of agreements, the terms of the proposed transaction, and the effect of completing the proposed transaction, and are based on assumptions that management believe are reasonable. These statements are not guarantees of future results and are subject to numerous risks and uncertainties, which may cause actual results or events to differ materially from current expectations, including that the parties may not reach agreement on the terms of the proposed transaction or there may be changes to the terms of the transaction from those in the letter of intent, or if agreements are entered into, any required consents or approvals may not be obtained or obtained in a timely manner and any conditions may not be satisfied or the transaction may not be completed for other reasons. Although management believes that the anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon reasonable assumptions and expectations, the reader should not place undue reliance on forward-looking statements and information because they involve assumptions, known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of 360 VOX to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements and information.
*Adjusted net earnings does not have a standardized meaning prescribed by IFRS and thus may not be comparable to similarly titled measures presented by other issuers. The Company believes that the adjusted net earnings presented enables the Company's shareholders to better assess the Company's operating results. Investors should consider this non-IFRS measure in the context of the Company's IFRS results.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy and accuracy of this release.