Montec Holdings Inc. announces 2009 first quarter results

    MONTREAL, June 2 /CNW Telbec/ - Montec Holdings Inc. ("Montec" or the
"Company") (TSX-V : MTE), a holding company focused on acquiring and
developing a diversified portfolio of high-growth technology companies, today
announced its operational and financial results for the three-month period
ended on March 31, 2009.

    2009 First Quarter Highlights

    - 23% revenue increase from Q1 2008.
    - Continued to gain traction in the OSS space with increased R&D efforts.

    Montec Consolidated Interim Financials

    Sales in the first quarter of 2009 totalled $1.6 million, an increase of
$0.3 million, or 23%, from $1.3 million during the same period in 2008. All
Montec revenues are generated by its wholly owned subsidiary Datex Billing
Services Inc.
    Gross margin in the first quarter of 2009 was 46% of sales compared to
62% during the same period in 2008, due to the product mix; DMS revenues,
providing a 24% gross margin, increased by 46%, compared to a decrease of 5%
in DBS segment, with an 86% gross margin.
    Operating expenses in the first quarter of 2009 totalled $1.1 million, an
increase of $0.1 million from $1.0 million during the same period in 2008.
This increase mainly results from investments in research and development
expenses, increased sales force to improve customer relations and service for
anticipated contracts that have been delayed due to the economic downturn.
    Consolidated net loss and comprehensive loss of the first quarter of 2009
stood at $320,000, or a basic and diluted net loss per share of $0.006,
compared to a net loss of $155,000, or a basic and diluted loss per share of
$0.007, for the same period in 2008.
    As of May 29, 2009, the authorized capital of Montec consisted of an
unlimited number of Montec Common shares, Series A preferred shares and Series
B preferred shares of which 49,704,500 Common shares, 7,294,118 Series A
preferred shares, 1,253,342 options and 3,450,000 common share purchase
warrants shall be issued and outstanding. Of these, a total of 1,808,999
common shares, 2,188,238 preferred shares and 909,000 purchase warrants are
held in escrow.
    During the first quarter of 2009, Datex Billing Services Inc. entered
into an agreement to provide its customer management and billing services to
Melaleuca Inc. Under the terms of the agreement, Datex and Bell Canada will
provide Melaleuca with turn-key telecommunications services, technology,
billing and customer care to be marketed under the Melaleuca brand.
    Datex continued to gain traction in the Operating and Support Systems
(OSS) space, with an increase in R&D oriented towards customized projects for
its customers.
    While our current cash-flow is essentially sufficient to maintain our
existing operations with no short or long-term debt, Montec is currently
holding negotiations with a number of financial institutions and individuals -
primarily to secure additional funding for expansion and acquisitions.
    Additional information about the Company, including the management report
and financial results may be found on SEDAR at

    Non GAAP Financial Measure

    The Corporation uses only one financial measure that is not consistent
with generally accepted accounting principles in Canada (GAAP), namely
normalized earnings before interest, income taxes, depreciation and
amortization (normalized EBITDA). Such a measure is used because management
believes it provides meaningful information on the Corporation's performance
and operating results. Such a non-GAAP measure has no standardized meaning as
prescribed by GAAP and may not be comparable to similarly titled measures
presented by other companies. Accordingly, it should not be considered in
isolation. Please refer to conciliation table below.

    Reconciliation of EBITDA

    In thousands                                          Three months ended
                                                                    March 31,
    Loss before income taxes and non-controlling interest         $    338.1
    Amortization                                                       218.9
    Interest expense                                                    32.4
    Normalized EBITDA                                             $    (87.8)

    Changes to Board of Directors

    Effective May 15th, Lisa Mercier resigned as Secretary of the Board of
Montec for personal reasons. Montec's Board members and management thank her
very much and wished her the best in her new challenges. Madam Mercier has
been replaced as secretary of the Board by Marvin Garellek, effective June 2,

    About Montec Holdings Inc.

    Montec Holdings Inc. is listed on the TSX Venture Exchange (TSX-V: MTE).
Montec's objective is to create shareholder value by building a profitable
technology entity with high-growth potential. Structured as a holding company,
Montec's mandate is to acquire shareholdings of a number of synergistic
companies and develop a diversified portfolio of high-growth technology
companies. For more information about Montec Holdings, please visit our
website at

    Forward Looking Statements

    This press release contains forward-looking statements which reflect the
Company's current expectations regarding future events. The forward-looking
statements involve risks and uncertainties. Actual results could differ
materially from those projected herein. The Company disclaims any obligation
to update these forward-looking statements.

    The TSX Venture Exchange Inc. has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.
    %SEDAR: 00020865E

For further information:

For further information: Myer Bentob, Chairman & CEO, Montec Holdings
Inc., (514) 630-7262,

Organization Profile


More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890