RMS Systems Inc. Releases 2013 First Quarter Financial Results

RMS Systems Inc. Releases 2013 First Quarter Financial Results

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Calgary, Alberta CANADA, May 23, 2013 /FSC/ - RMS Systems Inc.  (RMS - TSX Venture), ("RMS" or the "Corporation") is pleased to announce that it has filed its 2013 first quarter financial statements and MD&A on SEDAR.  The highlights from these statements are as follows

* EBITDA of $49,733 compared to $(250,532) for Q4 of 2012 and $(192,952) for Q1, 2012.

* Rental revenues were $1,684,827 for the quarter, an increase of 24% over Q4 of 2012, and a decrease of 6% from Q1, 2012.  The decrease in rental revenues from Q1, 2012 is reflective of the loss of revenue from the US Operations, and the reduced activity levels in the Canadian drilling industry.

* Service expenses were $572,041 for the quarter, a reduction of 11% from Q4, 2012 and 37% from Q1, 2012, reflecting the ongoing focus on cost management and the impact of reduced rental equipment being utilized in the field

* G & A expenses, including corporate services, were $1,078,619 an increase of 10% from Q4, 2012 and a reduction of 3% from Q1, 2012.

* Gross margins on rental revenues for the quarter were 66.0% as compared to 52.8% for Q4, 2012 and 49.3% for Q1 2012.

The Corporation is focused on product, service and image and is continually improving its product suite which it believes will enable it to gain significantly more market share over the remainder of 2013 and into 2014.


For further information, please contact:

Mr. Dave Hall
RMS SYSTEMS INC.,
Bay 10, 3491 12th Street NE
Calgary, Alberta T2E 6S6
Tel: (403) 717-9694



Cautionary Statements

The information in this news release includes certain information and statements about management's view of future events, expectations, plans and prospects, including the use of proceeds from the Offering and the Bridge Loan, the approval of the Offering by shareholders of the Corporation, the completion of the Offering and Bridge Loan, the anticipated closing date of the Offering and the ability of the Corporation to repay the Bridge Loan that constitute forward looking statements.

These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Although RMS believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurances that the expectations of any forward-looking statements will prove to be correct.  The closing of the Offering may not be completed if definitive documentation cannot be finalized, the shareholders of RMS do not approve the Offering at the Meeting, or RMS is unable to obtain the necessary regulatory and stock exchange approvals on the timelines it has planned or if some other condition to the closing is not satisfied.  Accordingly, there is a risk that the Offering will not be completed within the anticipated time, on the terms currently proposed, or at all, and the ability and timing of the Corporation to repay the Bridge Loan may change.  The intended use of the proceeds of the Offering by RMS might change if the board of directors of RMS determines that it would be in the best interests of RMS to deploy the proceeds for some other purpose.  The forward looking statements contained in this press release are made as of the date hereof and RMS undertakes no obligations to update publically or revise any forward looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.  

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.

To view this press release as a PDF, please click on the following link:
http://www.usetdas.com/pr/rms05232013.pdf


Source: RMS Systems Inc.  (RMS - TSX-V)
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