Sylogist Ltd.
TSX VENTURE : SYZ

Sylogist Ltd.

December 14, 2015 08:00 ET

Sylogist Ltd. Provides 2015 Operations Update

Declares Special Dividend

CALGARY, ALBERTA--(Marketwired - Dec. 14, 2015) -

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Sylogist Ltd. ("Sylogist" or the "Company") - (TSX VENTURE:SYZ), a provider of enterprise information management solutions to public and private sector customers, is pleased to provide an operational update, following the completion of its latest fiscal year (September 30, 2015).

The Company's audited annual financial statements and management's discussion and analysis of same are expected to be released by early January, 2016.

In addition, and based on its performance to date and outlook into 2016 and beyond, Sylogist is pleased to announce that its Board has declared a special dividend of 10.0 cents per share on Sylogist's Common Shares to shareholders of record on December 23, 2015, which is payable on December 30, 2015. This special dividend will be treated as an eligible dividend pursuant to the Income Tax Act (Canada).

"Performance in our fiscal 2015 and the first quarter of fiscal 2016 (December 31, 2015) is very promising and reflective of the strength of our business model. On a financial basis, our acquisitions over the past few years are showing two to three year cash pay-backs. These acquired businesses, now integrated into our management and operations, are also demonstrating strategic value creation as evidenced by organic growth. This organic growth is a result of market focus and integration of our intellectual property across business units. More than 60 new agreements have been signed in our public sector business over the past 6 months, while our NGO base is expanding with larger customers, including the recent signing of a $2 Million 5 site pilot project leading to a potential, additional 20 to 30 site roll-out with associated long term recurring revenues. Functional enhancements to our human capital management/payroll products have been positively received, producing our fastest area of revenue growth through new customer additions.

Since commencing our normal course issuer bid in May, 2015, we have bought over one million shares for cancellation at an average price under $6.80/share. As our financial performance in terms of revenue growth, EBITDA margins and cash flow are industry leading, we intend to continue these shares purchases as long as our relative company value remains a fraction of our peers.

Sylogist is in a strong position, with industry leading metrics, including high growth, recurring revenue and operating margins, a solid balance sheet and substantial cash assets to build out its platform, both organically and through acquisitions. Operations have been fully integrated and are benefitting significantly from our stable of solid technology products capable of being deployed across our multiple verticals, and into new markets. It is timely to reward our shareholders, with a special dividend, for their commitment and continued faith in the vision of what Sylogist is capable of becoming," stated Jim Wilson, President & CEO of Sylogist.

About Sylogist

Sylogist is a technology innovation company which, through strategic acquisitions, investments and operations management, provides intellectual property solutions to a wide range of public and private sector customers.

The Company's stock is traded on the TSX Venture Exchange under the symbol SYZ. Information about Sylogist can be found at www.sylogist.com or on SEDAR at www.sedar.com.

Forward-looking Statements

This news release contains forward-looking information which is not comprised of historical facts. These statements typically use words such as prospects, believe, estimate, forecast, project, expect, anticipate, plan, may, should, could and would, or the negative of these terms, variations thereof or similar terminology. By their very nature, forward-looking statements are based on assumptions and involve inherent risks and uncertainties, both general and specific in nature. It is therefore possible that the forecasts, projections and other forward-looking statements will not be achieved or will prove inaccurate. Although Sylogist believes that the expectations reflected in these forward-looking statements are reasonable, it provides no assurance that these expectations will prove to have been correct. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes statements with respect to Sylogist's key investments, its products potentially reaching broader markets, and acquisitions giving the Company greater market presence and opportunities. Material assumptions and factors that could cause actual results to differ materially from such forward-looking information include Sylogist's ability to integrate acquisitions and realize operating efficiencies, and its ability to attract customers and realize on its investments. Although Sylogist believes that the material assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur. Sylogist disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

- 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-

Contact Information

  • Sylogist Ltd.
    Jim Wilson
    President and CEO
    (403) 266-4808

    Sylogist Ltd.
    Brian Grassby
    Vice President, Finance and CFO
    (403) 266-4808
    www.sylogist.com