OneMove Technologies Inc.

OneMove Technologies Inc.

October 07, 2010 16:01 ET

OneMove™ Announces Fiscal 2010 Fourth Quarter and Year End Financial Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 7, 2010) - OneMove Technologies Inc. (TSX VENTURE:OM) ("OneMove" or the "Company"), a provider of the leading web-based real estate transaction platform and the creator of the largest network of conveyancing professionals of its kind, announced today its financial results for the three and 12 month periods ended June 30, 2010. All figures are reported in Canadian dollars.

Fiscal 2010 Operational Highlights

  • The Company achieved positive EBITDA
  • Revenue increased by 42% to $2.15M from $1.51M in fiscal 2009
  • Transactional volume increased 39% to 70,284 from 50,560
  • Daily average revenue increased 43% to $8,076 from $5,627
  • Number of member firms increased 17% to 388 from 331
  • Released a completely rewritten "cloud based" version of econveyance
  • 97% retention of user/members for the past 5 years
  • BC Land Title Act Amended requiring the staged implementation of mandatory electronic filing
  • Integrated a new web-based client automatic-payment interface and payment system

Fiscal 2010 Q4 and Year End Financial Summary

  Q4 FY 2010 Q4 FY 2009 % Change FY 2010 FY 2009 % Change
Revenue $633,000 $482,000 +31% $2,148,000 $1,513,000 +42%
EBITDA** $275,000 $56,000 +391% $236,000 $(544,000) +144%
Net Income (loss) $51,000 $(218,000) +123% $(253,000) $(1,047,000) +76%
Net Income (loss) p/s $0.00 $0.00 0% $0.00 $(0.02) +100%

Mr. Johnson commented: "Having achieved positive EBITDA is the single most significant event for the Company in 2010 and OneMove is positioned for continued growth in 2011. During fiscal 2010 the Company released a completely rewritten "cloud based" version of its software with upgraded functionality and enhanced feature set. Regardless of the huge demands placed on the Company resources by the economic challenges of the previous year plus the training and migration of our entire membership to the new platform, we managed to increase the number of user firms by 17% to 388 and transactional volume by an impressive 39%. The Company is recognized as having created the largest and fastest growing network of conveyancing professionals of its kind with a member retention rate of 97% since inception. Our objective is to maintain our reputation as the market leader in conveyancing technology and service."

"With adoption now viral, we expect growth to continue as paperless property transfers gain momentum. Currently, our members are filing approximately 30% of all the documents presently being submitted electronically with the Land Title and Survey Authority of British Columbia. We believe our unique web-based SaaS model and ability to connect all parties involved in a real estate transaction will allow us to capitalize on the remaining 70% of the market in BC in the coming years. The fundamentals of an improved balance sheet and cresting profitability are the best ingredients for starting fiscal 2011. Moving forward, we believe our trajectory and scalable business model will allow us to continue our growth as we expand our software solution into other Canadian provinces commencing with Alberta this fall."

Fiscal 2010 Q4 and Year End Financial Review

Total revenue for fiscal 2010 increased 42% to $2,148,000 from $1,513,000 for fiscal 2009. During fiscal 2010, OneMove processed approximately 70,000 transactions, compared to 51,000 transactions in the previous year. During the same period the number of real estate sales reported by the MLS® in BC increased by 46% from 62,000 to 91,000 unit sales. Average daily revenue increased to approximately $8,100 from approximately $5,600 in fiscal 2009.

For the three months ended June 30, 2010, total revenue was $632,000, up 31% from revenue of $482,000 for the three months ended June 30, 2009. During Q4 fiscal 2010, OneMove processed approximately 20,800 transactions, compared to 15,700 transactions in Q4 fiscal 2009. Average daily revenue for Q4 fiscal 2010 increased to approximately $9,800 from $7,100 in Q4 fiscal 2009. During the same period year over year MLS® reported sales decreased slightly from 25,000 to 24,000 unit sales.

For fiscal 2010, total expenses were virtually the same at $2,402,000, compared to $2,406,000, for fiscal 2009. The decision to not renew the BC Online agreement on April 20, 2009 was the largest single decline in expenses year over year and quarter over quarter. With the elimination of the associated commissions and fees in fiscal 2010 the resultant impact was a 27% reduction in expenses as a percentage of sales which would have been over $550,000 if the contract had been renewed. Comparatively, in Fiscal 2009 the amount paid was $296,000 and in Q4 of fiscal 2009 it was $79,000. An increase in amortization of intangibles of $183,000 and increase in wages and salaries of $123,000 made up the majority of differences for the year. Management continues to focus on maintaining tight cost controls. It believes that annual expenses have stabilized at current levels and does not anticipate significant changes in the coming year, except to the extent that are warranted for expansion into other jurisdictions which will be supported by future growth.

For the three months ended June 30, 2010 total expenses increased 10% or $51,000 from $530,000 to $581,000. The primary difference was as a result of amortization of intangible assets capitalized in the previous year.

EBITDA was $236,000, for fiscal 2010, compared to $(543,000) in fiscal 2009. EBITDA for the three months ended June 30, 2010, was $275,000, compared to $56,000 for the three months ended June 30, 2009. This is the first time the Company has achieved positive EBITDA for the year. The improvement in EBITDA was directly related to the increase of $635,000 in revenue. In fiscal 2010 $405,000 of wages and salaries were capitalized as intangible assets compared to $539,000 in 2009 and is not considered in the determination of EBITDA.

For fiscal 2010, net loss from operations was $(254,000), or $0.00 per share, compared to $1,047,000, or $(0.02) per share, in fiscal 2009. Net income for the three months ended June 30, 2010, was $51,000 or $0.01 per share, compared to a net loss of $(218,000), or $0.00 per share, for the three months ended June 30, 2009.

Cash flows from continuing operations were $16,000 as at June 30, 2010, compared to $(96,000) as at June 30, 2009. As at June 30, 2010, OneMove had cash of $148,000, compared to $53,000 as at June 30, 2009. The Company had working capital of $(237,000) as at June 30, 2010, compared to $(730,000) at June 30, 2009. The current year working capital deficit is primarily made up of long term payable debt which the Company has retired following year end. Subsequent to year end, the Company completed a private placement for proceeds of $310,000 and received an additional $261,000 from share purchase warrants exercised by shareholders strengthening the Company's cash position.

As at June 30, 2010, total shares issued and outstanding were 73,696,110.

Full financial statements and MD&A for OneMove will be available at and

**EBITDA is used internally by the Company to compare cash operating resulted from one period to another. EBITDA for the purposes of this analysis also excludes stock based compensation, shares issued for services and "Other income/losses" per the financial statements. EBITDA does not have any standardized meaning prescribed by GAAP and therefore may not be comparable to similar measures presented by other companies.

About OneMove Technologies Inc.

OneMove Technologies Inc. (TSX VENTURE:OM) offers a leading real estate transaction platform. Through econveyance™, its proprietary web-based conveyancing software solution, OneMove™ simplifies and expedites the process of buying and selling real estate in British Columbia, Canada. Econveyance connects all participants in the property transfer process, offering a secure and efficient means of completing the transaction online. Additional information about OneMove can be found at or Professional users site

Forward Looking Statements

This press release contains certain "forward looking statements". These statements relate to future events or future performance and reflect expectations and belief regarding growth, results of operations, performance, business prospects, opportunities or industry performance and trends. These forward looking statements reflect current internal projections, expectations or beliefs and are based on information currently available. A number of factors could cause actual events or results to differ materially from the results discussed in the forward looking statements. Although it is believed that the forward looking statements contained in this press release are based upon reasonable assumptions, investors cannot be assured that actual results will be consistent with these forward looking statements. These forward looking statements are made as of the date of this press release, and OneMove Technologies Inc. assumes no obligation to update or revise them to reflect new events or circumstances, except as required pursuant to applicable securities laws.

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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