$CBLU.v Q1 results not mind-blowing, but still promising. Although not as impressive as expected, Clear Blue Technologies (TSXV: CBLU) fiscal Q1 financial results show the company is maintaining steady growth.
Due to abnormal one-time orders in Q1 2021, YOY revenues for the quarter were down 65%. However, Q1 revenues were still impressive at CAD $1.225 million. Q1 2022 was the company’s second-highest Q1 ever.
Over a 5-year trend, Q1 is usually $CBLU’s softest quarter, representing 6-9% of total annual revenues. Based on historical trends, management believes Q1 2022 revenue puts the company on track to earn around CAD $10 million for 2022. This guidance is promising, as the company is currently valued at only $9.38 million.
This first quarter was primarily a busy sales and marketing quarter. The company managed to announce several new customers and partnerships, and announce two new products. At the same time, global macroeconomic uncertainty had an impact on supply chains and enterprise buying behavior. This led to certain expected large contracts transitioning into smaller, phased rollouts.
The company has undertaken an expense reduction program and allowed management and certain employees to accept reduced cash compensation in exchange for equity. These activities will bring the company to positive EBITDA and cash flow sooner at a lower revenue threshold than previously planned.
$CBLU.v is currently trading at $14.
https://ceo.ca/@nasdaq/clear-blue-technologies-announces-q1-2022-financial