OTTAWA, Feb. 14, 2012 /CNW/ - In-Touch Survey Systems Ltd. ("In-Touch")
(TSXV: INX) announces unaudited financial results for Q4 2011. The
Company expects to release its consolidated FY 2011 audited financial
results by April 26 2012. These results are preliminary in nature,
prepared by the Company without audit and could differ from our final
Q4 2011 revenue increased 91% to $3,016,534 compared to $1,578,627 in Q4
2010. The Company had net earnings of $184,200, an increase of 29%
compared to net earnings of $143,139 in Q4 2010. The Company-defined
adjusted EBITDA increased 18% to approximately $370,000 in Q4 2011,
compared to an EBITDA of $315,000 in Q4 2010.
"We are extremely pleased with our superb revenue growth in Q4 and our 8th consecutive profitable quarter. We achieved growth in all our business
segments while continuing to invest more resources in product
development and marketing. Growth in 2012 will be dependent on a number
of internal and external factors. We are targeting to grow revenues
again by at least 25% from organic growth and we are searching for
another 25% growth from acquisitions or joint ventures. In-Touch is
forecasting revenues in 2012 in the $11,250,000 to $13,500,000 range", said Michael Gaffney, Chief Executive Officer.
The Company believes that there are substantial opportunities for
continued revenue growth that it can seize if it continues to invest in
both marketing and its proprietary In-Touch Apps software technology.
While maintaining profitability, the Company intends to invest much of
the contribution margin generated by current sales on product
development and marketing on an on-going basis. Net earnings will be
reduced accordingly by this continued investment in our potential to
grow. The IMS division, in its first full year of operation, exceeded
revenue targets of $1.25M and we are predicting 100% revenue growth for
this division in 2012. The Service Intelligence ("SI") outsourcing
agreement and subsequent acquisition of their customers has been a
great success and the Company will complete full integration of the
former customers of SI onto In-Touch technology by mid-year, which will
result in significant gross margin improvement. In addition, the
royalty that we are paying to SI of 10% of revenue from SI's former
customers will reduce to 5% in August 2012 and disappear entirely in
July 2013; this too will enhance our margins substantially.
In-Touch designs, develops and deploys data capture software technology
and data capture services - especially for mobile or offsite
applications. It was one of the first companies in the world to develop
HTML 5 applications to solve the non-persistent nature of wireless
networks to enable customers to continue working without connectivity.
The Company's vision of "Perfect Information. Instantly." resonates
powerfully with our customers' needs. In-Touch's customers range from
United States and Canadian governments to some of the worlds largest
auto and insurance brands to numerous Fortune 1,000 retail companies.
The Company's overall strategy is to continue to invest in and search
for market verticals needing onsite mobile data capture and real time
Certain statements included in this news release contain forward looking
statements, which by their nature are necessarily subject to risks and
uncertainties and other factors that may cause actual results,
performance or achievements of the Company to be materially different
from any future results, performance or achievements expressed or
implied by such forward-looking statements. Such statements reflect
the Company's current views with respect to future events, and are
based on information currently available to the Company and on
hypotheses which it considers to be reasonable; however, management
warns the reader that hypotheses relative to future events which are
beyond the control of management could prove to be false, given that
they are subject to certain risks and uncertainties.
The TSX Venture Exchange has not reviewed the foregoing and has neither
approved or disapproved the contents of this press release.
SOURCE In-Touch Insight Systems Inc.
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