OneMove Technologies Inc.
TSX VENTURE : OM

OneMove Technologies Inc.

May 25, 2011 17:38 ET

OneMove™ Announces Fiscal 2011 Third Quarter Financial Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 25, 2011) - OneMove Technologies Inc. (TSX VENTURE:OM) ("OneMove" or the "Company"), the provider of the leading web-based real estate transaction platform and creator of the largest network of conveyancing professionals of its kind, today announced its financial results for the three and nine-month periods ended March 31, 2011. All figures are reported in Canadian dollars.

Q3 Fiscal 2011 Operational Summary

  • MLS® listed sales in BC increased 5% from 18,200 to 19,100 from Q3 a year ago
  • Transaction revenue decreased slightly by 2% from $431,000 to $422,000 in Q3 year over year
  • Transactional volume for the quarter returned to the same level as last year at this time
  • Daily average revenue decreased slightly from $6,400 to $6,500
  • General and administrative expenses increased slightly from $553,000 to $597,000 year over year
  • Member firms increased 25%, or 96, from 380 to 476 from Q3 in fiscal 2010
  • 97% retention rate of user/members for the past 5 years
  • Expansion to Alberta with official production release of econveyance on January 4, 2011
  • 2 news sales representatives hired for Alberta

Q3 Fiscal 2011 Financial Summary

Q3 FY 2011Q3 FY 2010% Change9M FY 20119M FY 2010% Change
Revenue$422,000$431,000-2%$1,297,000$1,516,000-14%
EBITA (loss)($175,000)($122,000)-43%($365,000)($40,000)-813%
Net income (loss)($274,000)($229,000)-20%($719,000)($306,000)-135%
Net income (loss) per share$0$00%$0$00%

Mr. Johnson commented: "Although we are encouraged by the increase in transactional volumes reported by the MLS® quarter over quarter, the year to date volumes are still off by 20%. In order for the Company to continue its historical growth rate, we have expanded our sales team to increase penetration in both our existing market within British Columba and the new market in Alberta.

We are thrilled with the response and adoption of new firms in Alberta from the initial marketing efforts in Edmonton and Calgary in January. As of March 31, 2011 the Company has added 27 member firms from the new province. We intend to continue to build on the success already achieved and capitalize on our experience, in developing new markets.

Efforts in British Columbia continue to yield results and growth in membership with new interest resulting from the long awaited announcement, by the Land Titles and Survey Authority of BC (LTSA), that mandatory filing commences January 23, 2012.

At the end of Q3, we had a total of 476 member firms in 81 cities across western Canada; an increase of 96 firms from the same quarter a year ago. Regardless of the recent increase in reported MLS® residential sales, management remains diligent in its efforts to continue growth in membership and insulate the Company from further fluctuations in the market."

Q3 Fiscal 2011 Financial Review

Revenue for Q3 of fiscal 2011 decreased 2%, or $9,000, to $422,000 from $431,000 for the same period in fiscal 2010. Transactions processed through econveyance for the quarter were 14,000 which have returned to the same level during the same quarter a year ago compared to MLS® reported sales which increased by 5% from 18,200 to 19,100 unit sales during the same period. Revenue for the nine months ended fiscal 2011 was $1,297,000, compared to $1,516,000 for the nine months ended 2010, a drop of $219,000 or 14% compared to a decline of MLS® reported sales of 23% from 66,985 to 51,444 unit sales during the same period. The number of member firms increased from 380 to 476 year over year while the number of econveyance registered users increased by 567, from 2,226 to 2,793 during the same period.

For Q3 fiscal 2011, total expenses were $696,000, an increase of 14% or $96,000 from 660,000 in Q3 fiscal 2010 and up 11% from $628,000 in Q1 fiscal 2011. For the first nine months of fiscal 2011, total expenses were $2,013,000, up from $1,821,973 for the first nine months of fiscal 2010.

EBITDA1 was $(175,000) in Q3 fiscal 2011, compared to $(121,951) in Q3 fiscal 2010. EBITDA was $(365,000), for the first nine months of fiscal 2011, compared to $(40,000) for the first nine months of fiscal 2010.

For Q3 fiscal 2011, the net loss was $(274,000), or $(0.00) per share, compared to $(229,000), or $(0.00) per share. For the first nine months of fiscal 2011, the net loss was $(716,000), or $(0.00) per share, compared to $(305,000), or $(0.00) per share for the first nine months of fiscal 2010.

In Q3 fiscal 2011, cash used in operations was $(134,000), compared to $(212,000) in Q3 fiscal 2010. In the first nine months of fiscal 2011, cash used in operations was $(364,000), compared to $(250,000) in the first nine months of fiscal 2010.

As at March 31, 2011, OneMove had cash of $168,000 compared to $148,000 as at June 30, 2010. The Company had a working capital deficit of ($196,000) as at March 31, 2011, compared to a working capital of $(237,000) as at June 30, 2010.

Total shares issued and outstanding were 84,115,110 as at March 31, 2011.

The full MD&A and financial statements for OneMove are available at www.onemovetech.com and www.sedar.com.

To view the images accompanying this press release, please click on the following link: http://media3.marketwire.com/docs/om525i.pdf

About OneMove Technologies Inc.

OneMove Technologies Inc. (TSX VENTURE:OM) is the provider of the leading web-based real estate transaction platform and the creator of the largest network of conveyancing professionals of its kind. Through econveyance™, its proprietary web-based conveyancing software solution, OneMove™ simplifies and expedites the process of buying and selling real estate in western 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 www.onemovetech.com or www.sedar.com.

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.

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

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