(TSX Venture Exchange: "IVI")
Issued Common Shares: 40,164,866
CALGARY,
Sept. 4, 2013 /CNW/ - Ivrnet Inc.,
(TSX-V: IVI), is pleased to report its financial results for the
second quarter 2013. Following record profits in Q1,
Ivrnet continued with its strong performance to reduce costs while
recording a profit in Q2.
"The first half of 2013 has been the most
successful six months in Ivrnet's history," says David Snell, CEO of Ivrnet. "A significant
amount of the debt acquired in 2012 to build our Community Central
brand and rebuild ITSN has been repaid in full, and several new
products including AdCentral have been brought to the market. As
well, Ivrnet Central, the successor to ITSN v2.1, is well underway
and expected to begin market testing by the end of the year."
"We are continuing with our cost optimization
strategies - although they are not as significant in Q2 as they
were in Q1. Our goal in Q2 and Q3 is to reduce the variable cost of
delivering Ivrnet products to market. Our successful strategy
in Q1 was to reduce our fixed operating costs.
Revenues for the second quarter of 2013 were up
7.9% to $978,334 compared to
$906,364 for the same quarter in
2012. Revenues for the first half of 2013 were up 5.0% to
$2,127,484. Included in the
first quarter of 2013 was $205,920 in
revenues from the new Community Central product. Included in
revenues from the second quarter of 2013 was $113,506 from the new Safe Team, Text, and 311
support products. This represents an increase of over
$95,000 compared to the second
quarter of 2012. In Q2 the Company had net income of
$13,360 versus a net loss of
$195,031 in 2012, and a half year net
income of $168,189 compared to a net
loss of $174,354 for the first half
of 2012. This is an increase in profit of $342,543 in 2013 over the same period of
2012.
Snell is cautiously optimistic that Ivrnet's
cost reduction strategies and recently launched products will
result in continued profitability in the remaining two quarters of
2013.
Summary of Operating Results
|
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2013 |
|
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|
|
2012 |
Revenue: |
|
|
|
|
|
|
|
|
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Professional services |
|
$ |
137,385 |
|
|
|
$ |
81,693 |
|
Network services |
|
|
214,721 |
|
|
|
|
184,825 |
|
Hosted services |
|
|
299,014 |
|
|
|
|
321,775 |
|
Hosted applications |
|
|
107,600 |
|
|
|
|
28,435 |
|
Telephony
applications |
|
|
219,614 |
|
|
|
|
289,436 |
|
Agency
fees |
|
|
- |
|
|
|
|
200 |
|
|
|
978,334 |
|
|
|
|
906,364 |
Cost of Sales |
|
|
185,478 |
|
|
|
|
296,902 |
Gross Margin |
|
|
792,856 |
|
|
|
|
609,462 |
Expenses: |
|
|
|
|
|
|
|
|
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General and
administrative |
|
|
633,230 |
|
|
|
|
664,242 |
|
Marketing and sales |
|
|
6,579 |
|
|
|
|
22,038 |
|
Research development |
|
|
3,300 |
|
|
|
|
3,300 |
|
Interest |
|
|
39,761 |
|
|
|
|
13,236 |
|
Interest on capital
lease |
|
|
9,146 |
|
|
|
|
9,319 |
|
Depreciation of property and
equipment |
|
|
45,291 |
|
|
|
|
54,648 |
|
Depreciation of
intangible assets |
|
|
41,919 |
|
|
|
|
37,710 |
|
|
|
779,226 |
|
|
|
|
804,493 |
Net comprehensive income
(loss) |
|
$ |
13,630 |
|
|
|
$ |
(195,031) |
A more complete analysis of the Company's Q2 financial results
can be found by visiting www.sedar.ca.
Ivrnet expects subsequent quarters in 2013 to be stronger than
their counterparts in 2012, though Q1 is likely to remain the
strongest of the quarters. New customer growth is expected in all
future quarters of 2013.
About Ivrnet Inc. - Ivrnet is a software as
service (SASS) and communications company that develops, hosts,
sells and supports value added process automation software
applications, delivered through the traditional phone network and
the Internet. These applications facilitate automated interaction
through personalized communication between people; mass
communication for disseminating information to thousands of people
concurrently; and personalized communication between people and
automated systems. Ivrnet's applications are accessible through
nearly any form of communication technology, at any time, from
anywhere in North America via
voice, phone, fax, email, texting and the Internet.
The TSX Venture Exchange has not reviewed and
does not accept responsibility for the adequacy or accuracy of this
release. This information release may contain certain
forward-looking information. Actual future results may differ
materially from those contemplated. The risks, uncertainties
and other factors that could influence the actual results are
described in documents filed with regulatory authorities.
SOURCE IVRnet Inc.