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CALGARY, May 20, 2014 /CNW/ - Sylogist Ltd. (TSXV:SYZ), a provider of Enterprise Systems and Supply Chain intellectual property solutions to a wide range of public and private sector customers, is pleased to announce its unaudited financial results for the second quarter of the 2014 fiscal year, ended March 31, 2014.
In Q2 of Fiscal 2014:
- Profit after tax was $1.3 million or $0.06 per share compared to $1 million or $0.05 per share in Q2 of fiscal 2013; a 33% increase.
- Revenues were $3.1 million compared to $2.7 million in Q2 of the previous year; an increase of 14%.
- Gross profit was $2.3 million compared to $2.2 million in Q2 of fiscal 2013.
- Cash and short-term investments as at March 31, 2014 totalled $12 million or $0.60 per share.
- Working capital (net of deferred revenue) was $13 million or $0.62 per share.
In the first 6 months of Fiscal 2014:
- Profit after tax nearly doubled to $3.8 million or $0.18 per share compared to $1.9 million or $0.10 per share for the same six months last year.
- Revenues were $8.2 million compared to $5.5 million the previous year; an increase of 49%.
- Gross profit was $5.6 million compared to $4.4 million last year; a 27% increase.
- Cash generated from operations improved 21% over the same period last year to $4.7 million.
- Dividend payments in the first 6 months of fiscal 2014 totaled $1.9 million or 52% of after tax profit.
- $2.4 million was invested in acquisitions and integration of those operations in the first 6 months of fiscal 2014.
- Combined tax pools at the end of Q2 fiscal 2014 stood at $46 million.
"The majority of the company's efforts were internally focused in Q2. In the public sector, significant resources were allocated to integrate the newly acquired Weave Corp product suite with our Bellamy ERP system making it the most comprehensive municipal solution in Canada. We have recently booked a number of orders for this newly integrated system.
The private sector business focused on a large scale deployment of our new IntegraNet and UniView products, now used by over 30,000 employees at the world's largest defense contractor. With this successful project reference, we have received an order for a similar project at one of the world's largest courier companies, as well as pilot projects at other major defense contractors and a large automotive concern.
In the first six months of fiscal 2014, year-over-year revenue increased 49% to $8.2 million, while profit rose by 95% to $3.8 million or $0.18 per share. Sales and marketing efforts have been increased in anticipation of future revenue opportunities within our recently acquired businesses. With a solid balance sheet, recently supplemented by a $15.1 million private placement equity financing during April, 2014, and growing profitability, we continue to pursue appropriate acquisitions.
With a positive outlook, the Board of Directors has approved increasing our quarterly dividend by 10% to $0.055 per share." stated Jim Wilson, Chairman, President and CEO.
Sylogist is a technology innovation company which, through strategic acquisitions, investments and operations management, provides intellectual property solutions to a wide range of public and private sector customers.
(1) Per share calculations are based on the weighted average number of shares outstanding at period end.
Full financial statements together with Management's Discussion and Analysis are available on SEDAR.
The Company's stock is traded on the TSX Venture Exchange under the symbol SYZ. Information about Sylogist can be found at http://www.sylogist.com.
- Neither the 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 -
SOURCE: Sylogist Ltd.
For further information: Jim Wilson, President and CEO, Sylogist Ltd., (403) 266-4808