OTTAWA, May 1, 2017 /CNW/ - Leonovus Inc., ("Leonovus") (TSXV: LTV) today announced its operating and financial results for the year ended December 31, 2016.
Net loss for the year ending 2016 was $1,236,000, which was 34% lower than losses of $1,878,000 in 2015. Liabilities increased from $3,432,000 in 2015 to $3,641,000 in 2016 as the company collected on notes receivable and entered into new debt agreements totalling $250,000 to bridge the company during this transition year. Subsequently all of the $250,000 was repaid in March 2017 from proceeds of a financing.
"The company went through a period of significant adjustment in 2016. All operations in the USA were moved to Ottawa to consolidate operations and take advantage of the more favourable economics compared to California. The product line went through a complete restructuring as it moved from a focus on distributed public cloud storage in the hospitality industry to a comprehensive Software Defined Object Storage solution," said Michael Gaffney, Chairman and Chief Executive Officer.
"The company continues to focus on generating revenue and expects revenue from the new software defined storage technology to begin in Q2 2017. As of today the company has several software installations as a proof of concept in major organizations and is in the process of signing several distribution agreements, one of which was announced on April 26, 2017. In addition, we have engaged an expert IP firm to analyze the monetization opportunities for our extensive media acceleration patent portfolio" said Gaffney.
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.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE LeoNovus Inc.
For further information: Michael Gaffney, email@example.com