Serenic announces financial results for the fiscal year ended February 28, 2007



    EDMONTON, June 28 /CNW/ - Serenic Corporation (the "Company")
(TSX-V:SER), an international software developer and marketer specializing in
the deployment of Microsoft integrated business solutions, is pleased to
announce its financial results for the fourth quarter and year ended February
28, 2007. The following financial results include year-to-date operations of
the Company's wholly-owned subsidiaries, Serenic Canada Inc, ("SCI"), Accurate
Financial Xchange Ltd, ("AFX"), and Serenic Software, Inc. ("SSI").

    Financial highlights from the fourth quarter and for the fiscal year
ended February 28, 2007 are summarized as follows:

    
    -------------------------------------------------------------------------
    Statement of
    Operations               February 28                  February 28
    Information               (3 months)                    (Year)
                    ---------------------------------------------------------
                      2007       2006       %     2007       2006        %
                                         Change                       Change
    -------------------------------------------------------------------------
                        $          $                $          $
    -------------------------------------------------------------------------
    Revenue-
     continuing
     operations     2,414,567  1,721,831  40.2% 7,923,722  7,504,108    5.6%
    -------------------------------------------------------------------------
    Net income (loss)
     - continuing
     operations        42,198     (2,147)    -   (219,774)   110,392 (299.1%)
    -------------------------------------------------------------------------
    Net income (loss)
     - discontinued
     operations          (402)    (7,459)  94.6%  (18,115)   206,991 (108.8)%
    -------------------------------------------------------------------------
    Net income (loss)  41,796     (9,606) 535.1% (237,889)   317,383 (175.0)%
    -------------------------------------------------------------------------
    Basic and diluted
     earnings (loss)
     per share          0.003     (0.001)          (0.021)     0.027
    -------------------------------------------------------------------------
    Weighted average
     common shares
     outstanding   11,632,467 11,632,467       11,632,467 11,632,467
    -------------------------------------------------------------------------
    

    Revenue and net income (loss) for the year ended February 28, 2007 was
$7.9 million and ($237,889), as compared with $7.4 million and $317,383 for
the prior year. Several noteworthy factors contributed to these results:

    
    -  Fiscal 2007 was a pivotal year for the Company, during which several
       crucial changes were made to solidify and enhance the future
       opportunities for Serenic Corporation. During Q3, the Company made
       changes to its working arrangement with Microsoft and with respect to
       issues relating to software licensing. Effective October 1st 2007, the
       Company was granted status as an embedded independent software vendor,
       whereby the Company now integrates and distributes the appropriate
       Microsoft Dynamics NAV technology components as part of its Navigator
       products suite, thereby eliminating the requirement for customers to
       separately purchase the required Dynamics NAV components from other
       Microsoft partners (as was previously required). Although very
       advantageous to the Company long term, this change dampened sales of
       new Navigator licenses during the period of time that the entire
       reseller partner channel had to be educated and re-engaged under
       revised agreements and terms.

    -  The business arrangement regarding the Company's payroll products also
       changed effective October 1st 2007. The Company contracted with
       Microsoft to continue to be the exclusive provider of payroll products
       for Dynamics NAV customers within Canada, USA and Mexico, however
       under revised (from historical) terms. And as with the Navigator
       products, this new arrangement will be more favourable over the long
       term.

    -  The currency exchange rates changed significantly from the previous
       year. Approximately 95% of the Company's revenue is billed in US
       dollars, and because the average exchange rate this year declined by
       approximately 6% as compared to last year, revenue and net income were
       negatively affected.

    -  Serenic had a strong fourth quarter in 2007. Revenue was $2.4 million
       as compared to $1.7 million for the previous year, representing an
       increase of 40.2%, as it recorded several significantly large
       Navigator sales. Net Income increased by 535% to $41,796, from a loss
       of $9,606 for the previous year.

    Operation highlights for the year included the following:

    -  Serenic signed new contracts with Microsoft that will provide for
       better opportunity in the long term. Prior business relationships were
       re-defined, and the stage is now set to enable pursuit of certain
       incremental North American and international sales opportunities that
       were previously untenable under the terms of the historical
       relationships. The terms of the new agreements became effective on
       October 1st 2007.

    -  The Company's sales and marketing strategies were re-tooled in order
       (a) to deliver products and services through a growing reseller
       partner channel; (b) to focus internal sales resources to pursue the
       "top tier" of the NFP market directly; and (c) to capitalize upon the
       Company's unique relationship with Microsoft and some of its most
       successful partners by collaboratively pursuing joint opportunities
       involving NFP and public sector business in North American and
       selected global markets.

    -  Re-investment of resources to advance the Company's technology and
       product strategies continued during the year, to augment existing
       products and develop new offerings in anticipation of more demanding
       customer requirements. Enhancements necessary for the Company's
       products to prevail amongst the top-tier competing products world-wide
       were completed.

    -  Fundamental groundwork necessary to expand future operations globally
       was conducted, including initiatives to market products within parts
       of Europe, Africa, and Australia.

    -  The Company's not-for-profit (NFP) sales opportunities have evolved
       from the "tens" to the "hundreds" of thousands of dollars in size, and
       the stage has been set such that the Company can now win sales amongst
       even the most sophisticated NFP customers - that is, those who
       purchase million dollar and greater solutions for international
       applications.

    -  The Company continues to distinguish itself as a leader within its
       industry, evidenced by the addition of many high profile customers and
       reseller partners during the past year. Serenic continues to be in
       receipt of high accolades from software and technology company
       reviewers, including the latest honour of being named as fourth place
       winner (companies with revenues under $20 million) in Alberta
       Venture's "Fast 50" list for 2007.
    

    For further details and information, please refer to the financial
statements and management discussion and analysis posted on www.sedar.com.

    About Serenic Corporation

    Serenic Corporation publishes mission-critical software products for
not-for-profits (NFP), educational institutions and governments. The Company's
products are based on leading application and technology platforms from
Microsoft, including Dynamics NAV, SQL Server, .NET, and Access and are
distributed through value-added resellers and direct sales organizations. In
addition, Serenic Corporation is the exclusive developer of the human resource
management and payroll products for Microsoft's Dynamics NAV ERP solutions for
North American markets.

    ON BEHALF OF THE BOARD OF DIRECTORS
    By: "Dwayne Kushniruk"
    Chairman
    SERENIC CORPORATION

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




For further information:

For further information: Dwayne Kushniruk, dkushniruk@serenic.com,
Phone: 1-877-426-5385 x 509

Organization Profile

SERENIC CORPORATION

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