Odesia Group Inc.
TSX VENTURE : ODS

Odesia Group Inc.

April 28, 2011 08:00 ET

ODESIA Announces Its 2010 Fourth Quarter and Year-End Financial Results: Significant EBITDA(1) and Net Income Increase

MONTREAL, QUEBEC--(Marketwire - April 28, 2011) - ODESIA Group Inc. ("ODESIA" or "the Company") (TSX VENTURE:ODS), an international corporation specializing in business-intelligence solutions (BI), decision process management and data warehousing, is pleased to announce 2010 fourth quarter and year-end financial results.

"Considering the challenges associated with the turnaround of our foreign operations, we are pleased with last year's accomplishments" declared Nicolas Bonnafous, President and CEO of ODESIA. "Notwithstanding the write-off of intangible assets and goodwill, we have shown solid operational progress and remain optimistic about ODESIA's future" added Mr. Bonnafous.

"During 2010, while the economy showed positive signs, the major projects involving information technology were still rather scarce. Therefore, we positioned ourselves financially and operationally for the upcoming recovery. To differentiate our business, we re-emphasized that our focus is "100% business intelligence". We created the Odesia learning center, dedicated to business-intelligence training and the ODESIA expertise center, a forum in which our experts help clients. Finally we maintained a continuous presence in social media to recruit internationally and encourage the development of new business", concluded Mr. Bonnafous.

Quarter and year-end ended December 31, 2010 Highlights

  • The Company increased its EBITDA1 to $1,357,000 for the year ended December 31, 2010 which compares to the $59,000 realized for the corresponding period in 2009; a 2,181% increase.
  • The cost of services provided, operating and administrative expenses decreased by 21% (from $14,103,000 to $11,178,000) in 2010 which more than offset the 11% decrease in sales (from $14,163,000 to $12,535,000).
  • Working capital as at December 31, 2010 was $231,000 compared to negative $743,000 as of December 31, 2009.
  • ODESIA realized a net loss of $270,000 in 2010 compared to $471,000 for 2009, representing a $201,000 decrease in net loss or 43% despite the $963,000 write-off of intangible assets and goodwill in 2010.
  • Earnings for the fourth quarter of 2010, before the write-off of intangible assets and goodwill, amounted to $470,000, representing the sixth consecutive quarter of positive earnings calculated on this basis.
Selected financial information
($000's except per share amounts)
For the three-month
period ended
December 31,
(unaudited)
For the fiscal
year ended
December 31,
(audited
)
2010200920102009
Sales3,0733,49112,53514,163
EBITDA(1)8021581,35759
Net earnings (loss) and comprehensive income (loss)(493)28(270)(471)
Basic and diluted net earnings (loss) per share(0.017)0.001(0.009)(0.016)
(1) EBITDA is defined as earnings before amortization of tangible and intangible assets, financial expenses and foreign exchange, write-off of intangible assets and goodwill, and income taxes.

Additional information on the fiscal year ended December 31, 2010

The financial information regarding the fiscal year end ended December 31, 2010 should be read in parallel with the Company's annual, consolidated financial statements and MD&A (Management Discussion and Analysis). These documents can be found on www.sedar.com.

About ODESIA Group Inc.

ODESIA is an international corporation specialized in business-intelligence (BI) solutions, decision process management and data warehousing for large corporations. The Company provides customers with a complete solution, regardless of the technical challenges involved. For more information visit us at www.odesia.com.

Disclaimer in regards to forward-looking statements

This press release contains forward-looking statements which reflect ODESIA's current expectations regarding future events and may involve risks or uncertainties. Actual results could differ materially from those projected herein.

Neither the 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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