SOURCE: ProntoForms Corporation

ProntoForms Corporation

August 28, 2015 07:00 ET

ProntoForms Reports Q2 2015 Financial Results

Achieves 56% Year over Year Growth in Recurring Revenues

OTTAWA, ON--(Marketwired - August 28, 2015) - ProntoForms Corporation ("ProntoForms" or the "Company") (TSX VENTURE: PFM), a leading provider of mobile data collection and analytics platforms for enterprises, and small to medium sized businesses, today announced the second quarter (Q2) financial results for the three and six-month period ended June 30, 2015.

"We are pleased to announce that our continuing focus on increasing recurring revenue has resulted in year over year growth of 56%," said Alvaro Pombo, CEO of ProntoForms.

"Our direct and channel sales strategy has gained positive traction with strong predictable growth and we continue to invest to expand our market share via these routes and acquire new customers in the mid-tier to enterprise space," continued Mr. Pombo. "As previously profiled, we have increased investment in sales and marketing to expand our footprint into new markets. We have already secured access to these markets with our SMB solution available in 2,200 retail stores of America's largest telecommunications company, plus we have received further validation of our strategic investment working with Apple. ProntoForms was recently featured in a Wall Street Journal article as one of a handful of business solution developers selected by Apple."

Financial Highlights

  • Total revenue for Q2 2015 increased by 35% to $2,149,367, compared to $1,596,236 in Q2 2014, and grew by 15% compared to $1,867,779 in Q1 2015. Total revenue for the first half of 2015 increased by 36% to $4,017,146, compared to $2,956,966 in the first half of 2014.
  • Recurring revenue for Q2 2015 increased by 56% to $1,848,881, compared to $1,185,674 in Q2 2014, and grew by 13% compared to $1,642,424 in Q1 2015. Recurring revenue for the first half of 2015 increased by 53% to $3,491,305, compared to $2,275,009 in the first half of 2014.
  • Total expenses for Q2 2015 were $2,721,275, up from $1,648,746 in Q2 of 2014, and $2,592,671 in Q1 2015. The increase in expenses is predominantly due to further investments in sales.
  • Operating loss for Q2 2015 was $571,908, up from a loss of $52,510 in Q2 2014, and down from a loss of $724,892 in Q1 2015. Loss from operations was $1,296,800 for the first half of 2015, up from $176,566 for the comparable first half of 2014.
  • Net loss and comprehensive loss for Q2 2015 was $709,293, up from a net loss of $176,677 in Q2 2014, and $636,349 in Q1 2015.
  • As at June 30, 2015, the Company's cash balance was $1,809,278 and its net working capital balance was $1,880,946

Operational Highlights

  • During the quarter, ProntoForms began developing a go-to-market strategy with Apple to target Apple's enterprise clients.
  • Subsequent to the quarter:
    • The Company earned the Frost & Sullivan North American Mobile Forms Competitive Strategy Innovation and Leadership Award.
    • The Company's technology was integrated with Google for Work.
    • ProntoForms announced the selection of its platform by a leading utilities provider to improve quality of service and operational compliance.

The Company agreed to extend a loan in the amount of $37,500 to its Chief Executive Officer, Alvaro Pombo, the proceeds of which will be used by Mr. Pombo to fund the costs of exercising previously granted ProntoForms options. The loan has a one year term and is secured by a pledge of ProntoForms common shares held by Mr. Pombo.

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.

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