GuestLogix Inc.

GuestLogix Inc.

February 22, 2010 16:00 ET

GuestLogix Announces Record Year End and Fourth Quarter Results for Fiscal 2009

- Generated 119% and 84% revenue growth for the year and fourth quarter, respectively

- Achieved 32% EBITDA in the fourth quarter

- Achieved profitability for the year

TORONTO, ONTARIO--(Marketwire - Feb. 22, 2010) - GuestLogix Inc. (TSX VENTURE:GXI) ("GuestLogix" or the "Company"), the world's leading onboard store technology provider to the passenger travel industry, today announced its operational and audited financial results for the 12-month and three-month periods ended November 30, 2009. All amounts are reported in Canadian dollars unless otherwise stated.

Fiscal 2009 Operational Highlights

  • Increased airline market share to 90% in North America and 35% worldwide
  • Expanded into the rail market, signing three rail companies, two in Europe and one in North America
  • Grew deployed customer base by nearly 100%
  • Launched OnTouch™, the Company's destination-based onboard merchandising technology and platform
  • Partnered with numerous content providers to introduce specific OnTouch™ offering categories: Ground Connections, Box Office, Shopping & More, Concierge Everywhere, Minutes On the Go and OnTouch Ads, commencing trials with two major U.S. airlines
  • Hosted first annual global user group conference
  • Completed $7.2 million bought deal financing
  • Subsequent to year end, received conditional approval to graduate and list on the TSX

"In fiscal 2009, we delivered on our key objectives to grow our footprint, increase our deployed customer base and launched our onboard merchandising technology and products to leverage our existing footprint," said Mr. Tom Douramakos, President and CEO, GuestLogix. "As a result, we generated sequential revenue and EBITDA growth each quarter, and achieved profitability on an annual basis."

Mr. Douramakos continued: "We have entered fiscal 2010 with a $24 million annualized recurring revenue run rate, and are very optimistic about our further growth prospects. Our 2010 go forward strategy is to:

  1. increase the number of transactions we process by working through our current deployment pipeline;
  2. increase the value of the transactions we process by continuing to help our customers implement uniquely branded onboard stores to grow their revenue and increase passenger loyalty;
  3. add to our customer base, focusing on airlines in the Asia Pacific region and expanding our presence in the European rail market; and,
  4. look for opportunities to complement our organic growth initiatives with strategic acquisitions that can accelerate our deployment rate, extend our product offering or enhance our global customer support capabilities."

Financial Summary

(in millions, except per share data) Q4 F2009 Q3 F2009 Q4 F2008 F2009 F2008
Revenue $5.2 $4.8 $2.8 $18.6 $8.5
EBITDA1 $1.7 $1.3 $(1.0) $4.8 $(1.3)
Net Income $0.2 $0.2 $(2.0) $0.2 $(4.3)
Net Income (loss)/ share $0.00 $0.00 $(0.03) $0.00 $(0.08)
Cash and cash equivalents including restricted cash $12.1 $5.2 $5.5    

Passenger Trip Footprint Metrics

(All figures presented on an annualized basis) Q4 F2009 Q3 F2009 Q4 F2008
Passenger trips under agreement 931M 844M 703M
Passenger trips deployed 766M 680 M 395M

F2009 Year end and Fourth Quarter Conference Call

GuestLogix will host a conference call Monday February 22, 2010 at 4:30 p.m. Eastern Time to discuss its fiscal 2009 year end and fourth quarter financial and operational results, as well as its outlook for fiscal 2010. To access the conference call, dial 647-427-7450 or 1-888-231-8191. A taped replay will be available at on the Events and Presentations page of the Company's website approximately two hours after the live call.

A complete set of financial statements and management's discussion and analysis for the year ended November 30, 2009 will be available at and

(1) See GuestLogix' MD&A and Financial Statement filed on February 22, 2010 for complete definition.

About GuestLogix

GuestLogix is the world's leading provider of onboard store technology which helps airlines build and manage onboard retail operations tailored to their needs and their passengers. Serving 35% of the global airline passenger traffic, GuestLogix has become a trusted partner to airlines around the world. The Company is headquartered in Toronto, Canada and maintains sales and support facilities in the US, UK, Singapore, and S. Korea. GuestLogix is publicly traded in Toronto (Symbol: GXI.V). More information is available at

© 2010 GuestLogix. All Rights Reserved. All other trademarks and trade names are the property of their respective owners.

Forward-Looking Statements

This news release includes certain forward-looking statements that are based upon current expectations, which involve risks and uncertainties associated with GuestLogix' business and the environment in which the business operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions "anticipate", "believe", "plan", "estimate", "expect", "intend", and similar expressions to the extent they relate to the Company or its management. The forward-looking statements are not historical facts, but reflect GuestLogix' current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the matters discussed under "Risks and Uncertainties" in the Filing Statement filed on February 22, 2010 with the regulatory authorities. GuestLogix 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.

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.

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