GuestLogix Reports Fiscal 2008 Third Quarter Financial Results



    
    - Company achieves record quarterly revenue and EBITDA -
    

    TORONTO, Oct. 30 /CNW/ - GuestLogix Inc. (TSX-V: GXI), the leading
provider of on-board retail solutions to the airline industry, announces its
operational and financial results for the three- and nine-month periods ended
August 31, 2008. All results are reported in Canadian dollars.

    
    Operational Highlights

    -  Grew number of revenue-producing customers to 19, up from 15 as at
       May 31, 2008, and 11 as at August 31, 2007

    -  Signed contracts with:
       -  US Airways (NYSE:   LCC), America's fifth largest domestic carrier
       -  WestJet (TSX: WJA), Canada's leading low-cost carrier
       -  Saudi Arabian Airlines, a major Middle Eastern carrier

    -  Completed deployments with:
       -  Spirit Airlines, the largest ultra low-cost carrier in the U.S.,
          Latin America and the Caribbean
       -  Brussels Airlines, Belgium's leading airline group, 45% owned by
          Lufthansa (FRA: LHA)
       -  Alaska Airlines (NYSE:   ALK), the ninth-largest U.S. airline based
          on passenger traffic
       -  AirAsia X, a Malaysia-based long-haul budget carrier, owned by
          Air Asia and the Virgin Group

    -  Commenced deployment on Europe's leading low-cost airline,
       Ryanair (NASDAQ:   RYAAN)

    -  Signed partnership agreement with:
       -  Newrest Group's ILC and Saudi Arabian Airlines Catering Company
          ("SAAC") to deploy GuestLogix' platform on-board SAAC's airline
          customers
       -  Broadway Inbound, a division of major New York City ticketing
          agency, Shubert Ticketing, to offer Broadway tickets on flights to
          New York City
       -  Thales, a worldwide provider of passenger entertainment systems, to
          integrate Mobile Virtual Store(TM) technology with the TopSeries
          Inflight Entertainment System


    Key Metrics
    (All figures presented on an annualized basis)     Q3 2008       Q2 2008

    Passenger trips under agreements               617 million   584 million

    Passenger trips deployed at quarter end        218 million   215 million

    Average passenger trips deployed               215 million   202 million

    Average revenue per passenger trip               5.7 cents     3.6 cents

    Average revenue per passenger trip Americas      4.3 cents     2.8 cents

    Average revenue per passenger trip Europe
     and Asia                                        7.9 cents     7.9 cents


    Q3 Fiscal 2008 Financial Highlights

                      Three months  Three months   Nine months   Nine months
                             ended         ended         ended         ended
                      Aug 31, 2008  Aug 31, 2007  Aug 31, 2008  Aug 31, 2007


    Revenue            $ 2,417,288   $ 1,455,755   $ 5,647,855   $ 3,852,329
    EBITDA(1)          $    62,157   $  (214,001)  $  (266,040)  $   322,513
    Net Income (Loss)  $  (650,484)  $(1,178,091)  $(2,309,416)  $(2,669,182)
    Net Income
     (Loss)/Share      $     (0.01)  $     (0.04)  $     (0.04)  $     (0.09)


                              As at Aug 31, 2008     As at November 30, 2007
    Cash and Cash
     Equivalents                     $ 4,000,343                 $ 5,989,024
      Including restricted cash(1)   $ 5,740,807                 $ 7,014,414

    As at August 31, 2008, total shares issued and outstanding were
    54,270,740
    

    "With record revenue and EBITDA for the quarter, Q3 was a period of solid
financial performance," said Tom Douramakos, President and CEO of GuestLogix.
"We successfully leveraged our channel partnerships to accelerate growth of
our customer base, signing Brussels Airlines through LSG SkyChefs and Saudi
Arabian Airlines, our first client in the Middle East, through Newrest. As a
result of our customer wins in the quarter, we now have a more expansive
geographic footprint, further solidifying our global market leadership
position."

    FY 2008 Outlook

    Subsequent to quarter end, GuestLogix completed deployment on-board
America's leading low-fare carrier, Southwest Airlines (NYSE:   LUV), adding
more than 100 million passenger trips annually. GuestLogix also commenced
deployment with US Airways (NYSE:   LCC), which, upon completion, will add
approximately 58 million passenger trips annually.
    "We continue to effectively execute on our strategy, even in the face of
a turbulent economic environment," added Mr. Douramakos. "With a backlog of
399 million passenger trips, our deployment pipeline is strong. Through direct
sales efforts and our channel partner relationships, we are extending our
reach into new geographic regions such as the Middle East, the Mediterranean,
Eastern Europe, South America and Asia Pacific. Including our contract wins
announced to date, we have 21% of the world's airline passenger traffic under
agreement. The airline industry's shift toward driving ancillary revenue
growth is gaining momentum, and we believe we are well positioned to
capitalize on these market opportunities and drive improved financial
performance in the coming quarters."
    Financial statements and MD&A will be available at www.guestlogix.com and
www.sedar.com.

    
    (1) See GuestLogix' MD&A and Financial Statement filed on October 30,
        2008, for complete definition.
    

    Notice of Conference Call

    GuestLogix will host a conference call Thursday October 30, 2008, at
4:30 p.m. Eastern Standard Time to discuss its third quarter fiscal 2008
financial and operational results and its outlook for the balance of 2008. To
access the conference call by telephone, dial 416-644-3433 or 1-800-814-4857.
The conference call will be archived for replay until Thursday, November 6,
2008. To access the archived conference call, dial 416-640-1917 or
1-877-289-8525 and enter reference number 21287012 (Followed by the number
sign). The replay will also be available at www.guestlogix.com.

    About GuestLogix

    GuestLogix (www.guestlogix.com) is the leading provider of on-board
retail technology and solutions to the passenger travel industry. Through its
proprietary Mobile Virtual StoreTM platform, the Company provides air, rail
and ferry operators the tools and products to become successful on-board
retailers, enhance service and drive ancillary revenue growth. With a customer
base consisting of world leading airlines such as American Airlines, Delta Air
Lines, Southwest Airlines, Ryanair, Germanwings, TUIfly UK and US Airways,
GuestLogix maintains agreements to serve more than a half billion passenger
trips annually.

    Forward-Looking Statements

    This news release includes certain forward-looking statements that are
based upon current expectations, which involve risks and uncertainties
associated with GuestLogix' business and the environment in which the business
operates. Any statements contained herein that are not statements of
historical facts may be deemed to be forward-looking, including those
identified by the expressions "anticipate", "believe", "plan", "estimate",
"expect", "intend", and similar expressions to the extent they relate to the
Company or its management. The forward-looking statements are not historical
facts, but reflect GuestLogix' current expectations regarding future results
or events. These forward-looking statements are subject to a number of risks
and uncertainties that could cause actual results or events to differ
materially from current expectations, including the matters discussed under
"Risks and Uncertainties" in the Filing Statement filed on October 30, 2008
with the regulatory authorities. GuestLogix 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.

    
    (C) 2008 GuestLogix. All Rights Reserved. All other trademarks and trade
    names are the property of their respective owners.

    The TSX Venture Exchange Inc. has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release
    

    %SEDAR: 00024725E




For further information:

For further information: Media/Analysts: Josef Zankowicz, VP Marketing &
Communications, GuestLogix, (647) 500-1563, josefz@guestlogix.com; Investors:
Brian Reddy, VP Corporate Development & CFO, GuestLogix, (416) 642-0395 ext.
7053, breddy@guestlogix.com; Kristen Dickson, Investor Relations, The Equicom
Group, (416) 815-0700 ext. 273, kdickson@equicomgroup.com

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