VANCOUVER, Jan. 25, 2019 /CNW/ - LITE ACCESS TECHNOLOGIES INC. (the "Company") (TSX VENTURE: LTE)(PINK: LTCCF), a world leader in the use of innovative and proven micro/narrow trenching technologies, alternate methods of deployment and specialist products which transform the cost of fibre optic network deployment for telecommunications operators, today reported its financial results for the fourth quarter and year ended September 30, 2018. The financial statements and related management's discussion and analysis ("MD&A") can be viewed on SEDAR at www.sedar.com.
"We've made significant progress over the past couple quarters, as we've ramped up revenues in our UK operations," stated Carlo Shimoon, CEO of Lite Access. "Lite Access recorded higher revenue in fiscal 2018 as our revenue grew quarter over quarter. We are now in a position to scale our business and meet the additional demands of our customers. New management has been working hard to instil the process and discipline required for a profitable organization. The UK market for our specialty construction services remains robust and after much hard work we are now being recognized in the industry as the standard for fibre deployment. We are also pursuing new opportunities that will enable the company to deliver further results and shareholder value."
Fiscal Year End and Fourth Quarter 2018 Financial Highlights:
- Revenue of $4,466,048 for the quarter and $9,698,526 for the year, representing increases of 59% and 16% versus the prior periods.
- Revenue growth primarily from expansion of UK subsidiary with Lite Access UK showing 2018 revenues of $6,976,871 (2017: $3,846,927), an increase of $3,129,944, or 81%.
- Negative gross margin primarily due to the expansion of UK operations. Gross margin of ($276,847) for the quarter ended September 30, 2018 compared to ($135,120) for the quarter ended September 30, 2017.
- EBITDA* for the year ended September 30, 2018 totaled ($8,383,838) (2017: ($6,271,604))
- Growth for the quarter ended September 30, 2018 resulted in a 27% reduction in net loss to $2,951,531, compared to net loss of $4,051,946 for the quarter ended September 30, 2017.
- Net loss of ($10,379,876) for 2018 compared to net loss of ($8,101,963) for 2017, primarily due to the expansion of UK operations.
Fiscal 2018 financial results reflect the fact that the Company transitioned its resources to ramp up UK operations to deliver on UK opportunities. Notwithstanding the net loss, the Company believes it is well positioned to produce positive results beginning fiscal 2019 and beyond as it continues to fulfill its obligations under the Gigaclear project and pursue other business development activities in the UK and North America.
About Lite Access
Lite Access Technologies Inc. is a world leader in the use of innovative and proven micro/narrow trenching technologies, alternate methods of deployment and specialist products which transform the cost the network deployment for telecommunications operators. Lite Access has successfully deployed or enabled deployment of thousands of kilometres of broadband networks throughout North America and the United Kingdom as well as South America, Africa, Australia and Asia.
As part of its suite of services, Lite Access provides clients with integrated solutions or select components for the design and implementation of fibre optic networks. Lite Access' products have been deployed in many high-profile communication networks including Olympic facilities, military and government, numerous communities throughout the United Kingdom, the USA and Canada as well as global telecommunications companies that have adopted Lite Access as the "solution of choice" for the least invasive, most cost effective and future-proof fibre optic connectivity available.
Lite Access' installation technology and proprietary products extend a network provider's ability to deliver true broadband connectivity directly to end-users, such as homes, businesses, government and educational institutions, and emergency response facilities. Lite Access remains flexible and innovative in its commitment to provide global clients and partners with the most cost effective and proven fibre connectivity solutions available.
EBITDA is a measure not recognized under IFRS. However, management of Lite Access believes that most shareholders, creditors, other stakeholders and investment analysts prefer to have these measures included as reported measures of operating performance, a proxy for cash flow, and to facilitate valuation analysis. EBITDA is defined as earnings before interest income, taxes, depreciation and amortization, share-based compensation, restructuring costs, impairment charges and other non-recurring gains or losses. Management believes EBITDA is a useful measure that facilitates period-to-period operating comparisons.
EBITDA does not have any standardized meanings prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers. Readers are cautioned that EBITDA is not an alternative to measures determined in accordance with IFRS and should not, on its own, be construed as indicators of performance, cash flow or profitability. References to the Lite Access' EBITDA should be read in conjunction with the financial statements and management's discussion and analysis of Lite Access posted on SEDAR (www.sedar.com).
Forward Looking Information
This news release contains statements that, to the extent they are not recitations of historical fact, may constitute "forward-looking statements" within the meaning of applicable Canadian securities laws. Lite Access uses words such as "may", "would", "could", "will", "likely", "expect", "believe", "intend" and similar expressions to identify forward-looking statements. Any such forward-looking statements are based on assumptions and analyses made by Lite Access in light of its experience and its perception of historical trends, current conditions and expected future developments. However, whether actual results and developments will conform to Lite Access' expectations and predictions is subject to any number of risks, assumptions and uncertainties. Many factors could cause Lite Access' actual results to differ materially from those expressed or implied by the forward-looking statements contained in this news release. Such factors include, among other things: risks and uncertainties described in Lite Access's most recent Management Discussion & Analysis (MD&A) for the period ended June 30, 2018 which can be accessed at www.sedar.com. The "forward-looking statements" contained herein speak only as of the date of this press release and, unless required by applicable law, Lite Access undertakes no obligation to publicly update or revise such information, whether as a result of new information, future events or otherwise.
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 Lite Access Technologies Inc
For further information: Lite Access Technologies Inc., Carlo Shimoon, CEO, Phone: 1-604-247-4704, Unit 5 - 20678 Duncan Way, Langley, BC V3A 7A3, www.liteaccess.com; For investor relations please contact: Rob Gamley, Phone: 1-604-689-7422, Email: [email protected], Contact Financial Corp., 810 - 609 Granville St., Vancouver, BC V7Y 1G5