BSM Technologies reports 166% Net Income growth and 90% EBITDA growth in Fiscal 2012

TORONTO, Jan. 10, 2013 /CNW/ - BSM Technologies Inc.("BSM" or the "Company") (TSX-V: GPS), a leading provider of remote monitoring, fleet management, fleet diagnostics and automated vehicle security systems, today announced financial and operating results for the three and twelve months ended September 30, 2012.

Financial Highlights ($ thousands)

  • Net income: $635 for the quarter and $1,541 for the full year represent a 99% and 166% improvement over prior year, respectively.
  • Earnings Per Share (basic and diluted):  $0.022 per share for the quarter and $0.053 per share for the full year represent a 104% and 151% increase, respectively, over the prior year.
  • EBITDA: $674 for the quarter and $1,759 for the full year represents a 75% and 90% increase, respectively, over prior year, representing 20% EBITDA.
  • Gross Margin for the quarter improved to 72% from 58% in the prior year and for the full year improved to 67% from 57% in the prior year.
  • Recurring revenue gross profit exceeds our expenses net of amortization, commission and bonus expense by $462 for the quarter and $527 for the full year.
  • Recurring revenues from our core product line, Sentinel, of $1,441 for the quarter represents a 19% increase over the prior year period. For the full year, revenue from the Sentinel line of $5,501 represents an increase of 22% over the prior year.
  • Cash from Operations of $1,894 are a $282 or 17% improvement over the prior year.
  • Investment of $379 in share buyback of 746,900 of the Company's common shares.
  • Cash and cash equivalents increased to over $3 million at September 30, 2012, representing a $1 million or 54% increase over prior year's balance.
  • Subsequent to the year-end, we were awarded the following contracts which will materially impact future revenues:
    • A contract from one of Canada's leading utility company for approximately 1,300 units.
    • A contract from one of Canada's leading coffee provider for approximately 350 units.
    • A contract from a major security services provider for approximately 400 units.

"Our continued focus on increasing our recurring service revenue subscriber base and increasing the proportion of higher margin non-hardware revenue resulted in record gross profit margins and increased financial stability for BSM in fiscal 2012," said Aly Rahemtulla, President and CEO. "Along with the recent hiring of several key staff and the additional contracts signed subsequent to year-end, we are in a strong position to continue our growth momentum in 2013."

Financial Highlights
All currency in thousands except per share data. Three months ended   Twelve months ended
September 30   September 30
2012 2011   2012 2011
Recurring service revenue $    2,338 $    2,321   $    9,455 $    9,276
Hardware and software revenue        1,018        1,045           4,357        5,175
Total revenue        3,356        3,366           13,812        14,451
Gross profit        2,412        1,966           9,211       8,252
Gross margin %    72%    58%        67%    57%
Net income           635          319            1,541   578
Basic and diluted income per share $ 0.022 $ 0.011   $ 0.053 $ 0.021
EBITDA   674   385     1,759   925
                   
Cash and cash equivalents           $    3,025 $ 1,958
Working capital             2,807   1,938
                   

The Company's financial statements for the fiscal year 2012, together with management's discussion and analysis, can be found at www.sedar.com.

About BSM Technologies (bsmwireless.com)

BSM Technologies, through its subsidiary BSM Wireless Inc., is a leading provider of remote monitoring, fleet tracking, fleet maintenance, and business intelligent engine providing real time, web‐based tracking of mobile and fixed assets. BSM provides solutions for commercial, government, and law enforcement organizations who manage and operate diverse assets and large fleets, and who seek to enhance customer service, improve the safety of their drivers and vehicles, and lower business costs.

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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

For more information, please visit http://www.bsmwireless.com

 

SOURCE: BSM Technologies Inc.

For further information:

Aly Rahemtulla
President & CEO
BSM Technologies Inc.
(416) 675-1201
arahemtulla@bsmwireless.com

Babak Pedram
TMX Equicom
(416) 815-0700 ext. 264
bpedram@tmxequicom.com