Automated Benefits Corp.

Automated Benefits Corp.

November 28, 2007 09:56 ET

Automated Benefits Corp. Increases Revenue 37% YTD Q3 2007 vs. YTD Q3 2006

TORONTO, ONTARIO--(Marketwire - Nov. 28, 2007) -


Automated Benefits Corp. (the "Corporation") (TSX VENTURE:AUT) today reported results and selected financial metrics for the quarter ending September 30, 2007. This press release should be read in conjunction with the Corporation's interim consolidated Financial Statements and Management's Discussion and Analysis of Financial Condition and Results of Operations for the three month period ending September 30, 2007, copies of which can be found at

Revenues for the three months and nine months ended September 30, 2007 increased to approximately $774,000 and $2,445,000 respectively. This compares to revenues of approximately $628,000 and $1,780,000 for the same period last year. This represents an increase of approximately $146,000 and $665,000 or 23% and 37%, respectively.

The net loss for the three month period ended September 30, 2007 was approximately $(723,000) and represents a basic and fully diluted loss per share of $.01. This compares to a loss of approximately $(1,534,000) during the same period last year representing a basic and fully diluted loss per share of $.02 and a decrease of approximately 53%. Quarter over Quarter net loss decreased by approximately 34% from $(1,103,000) in the quarter ended June 30, 2007.

Management believes Adjusted EBITDA is also a useful measure that facilitates period-to-period operating comparisons. Adjusted EBITDA is defined as earnings before interest income, taxes, depreciation and amortization, stock based compensation, restructuring, and impairment charges. Adjusted EBITDA for the three month period ended September 30, 2007 was approximately $(609,000) compared to approximately $(852,000) for the quarter ended June 30, 2007. This represents an improvement of $243,000 or 29%.

As Symbility's customers roll-out the mobile claims product to their adjusting base, the number of users has grown from 5,000 users at December 31, 2006 to 7,000 users as of September 30, 2007 representing an increase of 40%. As of September 30, 2007, Automated Benefits Inc. had 35,000 certificates on its Autoben software system as compared to 27,000 certificates as of December 31, 2006, which represents an increase of 30%.

Automated Benefits Corp. President and Chief Executive Officer James R. Swayze comments, "We are pleased to see our Symbility and Autoben subsidiaries continue their rapid growth while reducing our cost structure." He adds, "We are now starting to see significant improvements to our operating cashflow."

The Corporation reports the following recent developments:

- The Corporation achieved Microsoft® Partner Certified status which enables its subsidiaries to access significant benefits including the use of the Microsoft® Certified Partner logo in all promotional activities and access to free licensing, training, technical, and pre-sale support for certain Microsoft® products.

- Autoben released version 2.14.5 of their software to its customer base. This release incorporates a number of suggestions from customers which will improve the user interface and overall efficiency and functionality of the service delivery.

- On August 9, 2007, Symbility announced a major milestone with the release of Mobile Claims v2.9 which offers significant enhancements including a roof plan scoping module and other new features for both the Symbility.NET web-based data warehouse application and the mobile claims wireless, pen-based claim processing software.

- Symbility announced that it has signed a contract with Lautriv, LLC, a national provider of Claims Management Solutions. This contract is significant as it represents the first time Symbility has used a Value Added Reseller (VAR) to privately label its mobile claims product and integrate it into another branded claims management solution.

- Symbility announced strategic partnerships with Panasonic Computer Solutions Company and with Enservio, Inc., a leading provider of contents pricing and services to the property and casualty industry. Management expects these strategic partnerships will help enhance Symbility's ability to increase its share of the market.

- Symbility announced that they hired Perry Goldman as Regional V.P. Sales and Jackie Gennett as Business Solutions Consultant. Both of these individuals bring significant experience from the property & casualty industry and will devote their efforts to growing Symbility's presence in the U.S. market.

The consolidation of the Edmonton office of Autoben with the Corporation's head office in Toronto has been successfully completed.

Automated Benefits Corp. announced that Richard Adair will be assuming the role of Chief Operating Officer. In this capacity, Mr. Adair will assume responsibility for the Quality Assurance and Customer Service departments, in addition to his duties leading Finance, Information Technology and Human Resources.

Richard Adair, Chief Financial Officer and Chief Operating Officer of Automated Benefits Corp. stated "We have two operating subsidiaries providing software as a service to the financial services vertical. We will continue our efforts to share resources between these companies and hope to achieve additional synergies with the consolidation of the Quality Assurance and Customer Service departments."

About Automated Benefits Corp. and Symbility Solutions

Automated Benefits Corp. (, headquartered in Toronto, Ontario, is a software company dedicated to developing applications for the insurance industry. The corporation currently has two subsidiaries, Autoben and Symbility.

Autoben is focused on the employee benefit segment of the life insurance industry. Located in Toronto, Ontario, Autoben provides claims management software for health and dental plans in addition to insurance products for employer groups. The proprietary software of Autoben assists in reducing the cost of employee benefits programs by allowing local adjudication and administration of group plans.

Symbility Solutions ( has developed a Mobile Claims system focusing principally on residential and commercial property claims estimation for use by insurance company adjusters and independent contractors. Symbility has offices in Waterloo, Ontario and Montreal, Quebec.

Forward Looking Statements

Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Automated Benefits Corp. will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Automated Benefits Corp.

Adjusted EBITDA

Adjusted EBITDA does not have any standardized meaning prescribed by GAAP and is not necessarily comparable to similar measures presented by other companies. Adjusted EBITDA should not be considered in isolation of as a substitute for net earnings (loss) prepared in accordance with GAAP.

Key Performance Indicators and Other Measures

Automated Benefits Corp. is not aware of any uniform standards for calculating users, claims, or certificates and we believe that the Corporation's presentation of these measures may not be calculated consistently with other companies in the same or similar business. Moreover, these measures are of operational performance and not measures of financial performance under generally accepted accounting principles. All other financial measures referenced herein have been prepared in accordance with Canadian generally accepted accounting principles unless stated otherwise.

The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Automated Benefits Corp.
    James R. Swayze
    President & Chief Executive Officer
    (416) 359-9339 ext. 1003
    Automated Benefits Corp.
    Richard Adair
    Chief Financial Officer, Chief Operating Officer
    (416) 359-9339 ext. 1002