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Magor Corporation (V.MCC) revenues jump 62% in Q4, sales up 162%

Stockhouse Editorial
0 Comments| August 28, 2013

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Visual collaboration player Magor Corporation announced strong fourth quarter results Wednesday, with revenue, software sales, hardware sales, gross profit and gross proift margin all ratcheting up significantly.

The highlights:
  • Revenue grew by 62.3% to $837,325 in Q4 2013, compared to $515,847 in Q4 2012.
  • Software sales grew by 162.2% to $272,338 in Q4 2013, compared to $103,859 in Q4 2012.
  • Hardware sales grew by 86.4% to $503,899 in Q4 2013, compared to $270,343 in Q4 2012.
  • Gross profit grew by 68% to $437,940 in Q4 2013, compared to $260,732 in Q4 2012.
  • Gross profit margin for Q4 2013 increased to 52.3% from 50.6% in Q4 2012, and increased to 48% in FY2013 from 47.5% in FY2012.

CEO Mike Pascoe was upbeat on the news, stating, “The strength of our financial results clearly speaks to the quality of our disruptive technology, and the great market opportunity ahead.”

He added, “To ensure accelerated growth, we anticipate the full launch of our Aerus cloud-based services this fall, transitioning us into a revenue model that adds monthly recurring revenue to our current transaction business.”

Magor’s growth spurt comes a year down the road from the perilous cash position the company faced in April 2012. Now, cash on hand sits at $2,792,075, compared to $145,404 as at April 30, 2012, and working capital is at $3,154,028 compared to a working capital deficiency of $3,032,391 the year prior.

“As we transition to more of a recurring revenue model, near term revenue growth may be adversely affected; however with a higher expected mix of monthly recurring revenue we expect our results to become more predictable,” said Pascoe.

The company has recently completed deals worthover $450,000 to supply a Middle Eastern government agency with their conferencing suite, which allows people to engage in high-quality visual conversations while simultaneously sharing, viewing and editing relevant collaborative material remotely.

“With the launch of Aerus, we also expect to be well positioned to establish relationships with a number of service providers and vertical solutions providers that can extend our services to their enterprise and government customers,” said Pascoe.


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