SOURCE: ProntoForms Corporation

ProntoForms Corporation

March 10, 2016 08:00 ET

ProntoForms Reports Annual and Q4 2015 Financial Results

Achieves Q4 72% Recurring Revenue Growth

OTTAWA, ON--(Marketwired - March 10, 2016) -  ProntoForms Corporation (TSX VENTURE: PFM), a leading provider of mobile data collection and analytics platforms for enterprises, and small to medium sized businesses, today announced its annual and fourth quarter (Q4) financial results for periods ended December 31, 2015.

"We are pleased to report 46% growth in total revenue and 64% growth in recurring revenue for the 2015 year, including 72% recurring revenue growth in the fourth quarter over the 2014 comparable fourth quarter," said Alvaro Pombo, CEO of ProntoForms. "Our 2015 growth was evidence of the success of increased investments in sales and support for our channel partners. We continue to focus on growth in our core business and we are building new paths to market with complementary solutions."

Financial Highlights -- 2015 Year

  • Recurring revenue for the year ended December 31, 2015 increased by 64% to $8,101,311, compared to $4,953,633 for twelve months ended December 31, 2014.
  • Approximately 90% of the recurring revenue base is in US dollars and the strengthening of the US dollar against the Canadian dollar had a positive impact on our recurring revenue growth and results.
  • Total revenue for year ended December 31, 2015 increased by 46% to $9,192,287, compared to $6,277,250 for the year ended December 31, 2014.
  • Gross margin for 2015 was 7,302,055 or 79% of total revenue compared to $4,636,210 or 74% in 2014. Gross margin on recurring revenue was 90% for 2015 compared to 89% for 2014.
  • Loss from operations was $2,686,506 for twelve months ended December 31, 2015, up from $1,188,120 for the comparable twelve months in 2014. The increase in operating loss is attributed to a conscious approach to invest more in operational and sales productivity.
  • Net loss and comprehensive loss for the year ended December 31, 2015 was $2,609,354, up from a net loss of $1,349,961 in 2014.
  • As at December 31, 2015, the Company's cash balance and net working capital balances were $3,987,388 and $4,287,384 respectively.

Financial Highlights -- 2015 Fourth Quarter

  • Recurring revenue for Q4 2015 increased by 72% to $2,425,310, compared to $1,408,521 in Q4 2014, and grew by 11% compared to $2,184,696 in Q3 2015.
  • Total revenue for Q4 2015 increased by 70% to $2,758,979, compared to $1,621,826 in Q4 2014, and grew by 14% compared to $2,416,162 in Q3 2015.
  • Gross margin for Q4 2015 was 79% of total revenue compared to 80% in Q4 2014 and 82% in Q3 2015. Gross margin on recurring revenue was 90% for Q4 2015 compared to 90% for both Q4 2014 and Q3 2015.
  • Operating loss for Q4 2015 was $758,971, up from a loss of $672,185 in Q4 2014, and up from a loss of $630,735 in Q3 2015. The increase in operating loss is attributed to a conscious approach to invest more in operational and sales productivity.
  • Net loss and comprehensive loss for Q4 2015 was $702,975, up from a net loss of $683,739 in Q4 2014, and $560,737 in Q3 2015.

Operational Highlights

  • During the quarter:
    • The Company was granted a U.S. Business Processes Patent
    • Announced the Winner of Inaugural Mobile Visionary Award
  • Subsequent to the quarter:
    • The Company presented at the Cantech Investment Conference in Toronto
    • The Company joined the AppConfig Community
    • Awarded Employees' Choice Award by the Ottawa Chamber of Commerce as one the city's top employers.

Option Grant

Options to purchase up to 708,000 common shares of the Company were approved for grant by the Board of Directors, including 575,000 to certain directors and officers. The options were approved for grant to be effective as of March 15, 2016 pursuant to the terms of the Company's stock option plan and are exercisable for a period of five years from the effective date at an exercise price to the closing price of the common shares on March 14, 2016. Stock option grants are subject to necessary regulatory approvals.

About ProntoForms Corporation

ProntoForms is a mobile workflow platform used by more than 3,500 businesses to collect and analyze field data with smartphones and tablets. Our product delivers an intuitive, secure and scalable solution for mobilizing business processes, with a very low total cost of ownership. Our customers harness the solution to increase productivity and reduce cost, improve quality of service and mitigate risks.

ProntoForms is the winner of the 2015 Frost & Sullivan Competitive Strategy Innovation and Leadership Award for the Mobile Forms Industry.

The company trades on the TSXV under the symbol PFM. ProntoForms is the registered trademark of ProntoForms Inc., a wholly owned subsidiary of ProntoForms Corporation.

Certain information in this press release may constitute forward-looking information. For example, statements about the Company's future growth or value are forward-looking information. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward-looking statements. The Company 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 unless and until required by securities laws applicable to the Company.

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.

There are a number of risk factors that could cause future results to differ materially from those described herein. Please see "Risk Factors Affecting Future Results" in the Company's annual management discussion and analysis dated March 9, 2016 found at www.sedar.com for a discussion of such factors.

Contact Information

  • For additional information, please contact:

    Alvaro Pombo
    Chief Executive Officer
    ProntoForms Corporation
    613.599.8288 ext. 1111
    apombo@prontoforms.com 

    Babak Pedram
    Investor Relations
    Virtus Advisory Group Inc.
    416-644-5081
    bpedram@virtusadvisory.com