Second Quarter Numbers are out
Espial Reports Second Quarter 2018 Results T.ESP | 27 minutes ago Espial Reports Second Quarter 2018 Results Espial Group Inc. ("Espial" or the "Company"), (TSX:ESP), today announced its second quarter financial results for the three-month period ended June 30, 2018. Recent Highlights Second quarter revenue increased to $7.0 million, an increase of 18% from $5.9 million in Q1 2018. Software-as-a-Service (SaaS) subscription revenue from Espials Elevate SaaS video platform for the quarter was $1.2 million; a 5% sequential increase from Q1 2018. Second quarter adjusted EBITDA1 significantly improved to a loss of $0.1 million, compared to a loss of $1.7 million in Q1 2018. Net loss was $0.5 million, compared to a net loss of $3.7 million in the first in Q1 2018. Announced HBC selected Espials Elevate to offer App-based TV services to mobile phones, tablets and consumer devices, like Roku media players and HDMI sticks. In addition, secured 3 new Elevate SaaS agreements with operators, one of which was announced as Conway Corporation Signed an Elevate SaaS Agreement with Espial. Recently, Espial & Harmonic announced a partnership to offer an end-to-end TV-as-a-Service (TVaaS) solution. We are pleased with our financial performance this quarter. We improved EBITDA to just under break-even in Q2 from a loss of $1.7 million in Q1. Our revenue increased 18% in Q2 to $7.0 million, from $5.9 million last quarter. said Jaison Dolvane, CEO of Espial. In addition, we signed several new Elevate SaaS video platform customers in the quarter that will contribute to continued growth in our annual recurring SaaS revenue. We also demonstrated good progress on our SaaS initiatives. Our App-based TV and IPTV software for set-tops, mobile and consumer devices continue to garner strong market interest. added Jaison Dolvane, CEO of Espial. Consumers increasingly want to watch TV on their own terms, and are looking for new service options like skinny bundles, a la carte channels and more. Our products provide Pay TV operators with the ability to address such needs, while providing various capabilities to grow revenues and retain their subscribers. Financial Summary For the three-month period ended June 30, 2018, revenue was $7.0 million compared with revenue of $7.8 million for the three months ended June 30, 2017. Adjusted EBITDA for the second quarter of fiscal 2018 was a loss of $0.1 million compared to a loss of $2.8 million for the second quarter of fiscal 2017. Net loss for the quarter was $0.5 million, compared to a loss of $3.8 million for the second quarter of fiscal 2017. Q2 Financial Results Second quarter revenue was $7,027,593 compared with revenue of $7,809,765 in the same period a year ago. Second quarter software license revenue was $2,680,164 compared to $3,724,373 in the second quarter of fiscal 2017. Software subscription revenue from our Elevate SaaS video platform was $1,223,250 compared to zero last year. Professional services revenue for the second quarters of 2018 and 2017 were $1,351,417 and $1,915,529, respectively. Maintenance and support revenue for the second quarter was $1,772,762 compared to $2,169,863 last year. North American revenues were $4,175,388 in the second quarter of 2018 compared to $4,741,854 in 2017. Asia revenues were $344,529 in the second quarter of 2018 compared to $823,868 in 2017. European revenues were $2,507,676 in the second quarter of 2018 compared to $2,244,043 in 2017. Gross margin for the second quarter of fiscal 2018 was 76% compared to 73% the second quarter of fiscal 2017. Operating expenses in the second quarter were $5,943,128 compared to $9,380,973 in the second quarter of fiscal 2017. Adjusted EBITDA for the second quarter of fiscal 2018 was a loss of $119,366, compared to $2,830,355 in fiscal 2017. Net loss, which includes non-cash items like depreciation, amortization of intangibles, and stock compensation, in the second quarter was $484,468 compared to a loss of $3,806,565 last year. Cash and cash equivalents at June 30, 2018 was $31,312,322. A complete set of financial statements and managements discussion and analysis for the period ended June 30, 2018 will be available at https://www.sedar.com. Conference Call The Company will be hosting a conference call to discuss the Q2 2018 financial results on July 31, 2018 at 5:00PM EDT and the phone number to join the results discussion is: Toll Free line (Canada/US) 866-521-4909 Toll line (International/Local) 647-427-2311 The playback for the call will be available two hours after the calls completion and will be available until 11:59pm ET on August 31, 2018, at the following numbers and passcode: Toll-free line: +1-800-585-8367 or +1-416-621-4642, Passcode: 7479329 About Espial ( www.espial.com ) Espial is transforming viewing experiences worldwide by enabling video services at web speed and web scale. From immersive user experience and discovery solutions to advanced cloud-based platforms, Espial solutions help service providers manage, deliver and monetize video and entertainment services. Espial's customers span six continents, have deployed tens of million devices, and are serviced through Espial's global sales, support, and innovation centers across North America, Europe, and Asia. www.espial.com Forward Looking Statement This press release contains information that is forward looking information with respect to Espial within the meaning of Section 138.4(9) of the Ontario Securities Act (forward looking statements) and other applicable securities laws. In some cases, forward-looking information can be identified by the use of terms such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "predict", "potential", "continue" or the negative of these terms or other similar expressions concerning matters that are not historical facts. In particular, statements or assumptions about, economic conditions, ongoing or future benefits of existing and new customer, and partner relationships or new board nominees, our position or ability to capitalize on the move to more open systems by service providers, existing or future opportunities for the company and products (including our ability to successfully execute on Read more at https://www.stockhouse.com/news/press-releases/2018/07/31/espial-reports-second-quarter-2018-results#kIWWkwaY07WSLuvG.99