CALGARY, ALBERTA--(Marketwired - March 10, 2015) - Blackline GPS Corp. (TSX VENTURE:BLN) ("Blackline" or the "Company"), a manufacturer of employee safety monitoring and portable tracking solutions, today announced results for the first quarter, ended January 31, 2015.
Q1 Highlights
- Generated $378k of cash from operating activities, an improvement of almost $1 million over Q1 of the prior year
- Achieved record Q1 revenue of $1.7 million, 2.5 times more than Q1 of the prior year
- Achieved record gross margin of $822k, also 2.5 times more than Q1 of the prior year
- European sales grew to 6% in the quarter compared to 0.5% attained in Q1 of the prior year
"During the first quarter, Blackline increased its employee safety monitoring customer base with success that spanned a broad cross-section of industries," says Cody Slater, CEO and Chairman of Blackline GPS. "This is our third straight quarter of double digit growth and second straight quarter where revenue and gross margin improved more than two-fold compared to the prior year." He added, "The last two quarters have been transformational for the Company as it continues on its path to become the world's leading safety monitoring vendor."
Financial Highlights
| |
Quarter Ended January 31 |
|
| |
2015 |
|
2014 |
|
Change |
|
| Revenue |
$1,700 |
|
$672 |
|
153 |
% |
| Gross Margin |
$822 |
|
$324 |
|
154 |
% |
| Gross Margin percentage |
48 |
% |
48 |
% |
- |
|
| Adjusted EBITDA |
($64 |
) |
($391 |
) |
84 |
% |
| Net Loss |
($822 |
) |
($881 |
) |
7 |
% |
| Loss per Share |
($0.04 |
) |
($0.05 |
) |
20 |
% |
| (Values in thousands except for percentages and per share data) |
Key Financial Information
During the quarter, Blackline produced $378k in cash from operating activities. After the Company invested in long term assets and paid down portions of its Tecterra loan, the Company still increased its cash and cash equivalents by $68k. This result stemmed from safety monitoring equipment orders in late Q4 FY2014 and Q1 FY2015 that included service plans with a one year term, or greater.
Revenue grew by 153%, reaching a record level of $1.7 million in the first quarter, primarily driven by sales of the Loner Bridge system that launched in Q4 of FY2014. European sales were driven by Blackline's new subsidiary located in the United Kingdom, focused upon the UK, Europe, Middle East, and Africa regions. Increased sales from other safety solutions through the quarter also helped to achieve this level of sales growth.
Gross margin progressed alongside revenue to a quarterly record of $822k. This was the primary contributor to the improved adjusted EBITDA and reduced net loss. Although the Company has increased its sales, operations, and development expenses, the gross margin grew at a faster pace, resulting in record adjusted EBITDA performance.
Blackline's unaudited condensed consolidated interim financial statements and management's discussion and analysis for the quarter ended January 31, 2015 are available at www.sedar.com. All results are reported in Canadian dollars. To learn more about Blackline GPS, visit www.blacklinegps.com and follow Blackline on Twitter @blacklinegps.
About Blackline: Blackline GPS Corp. (TSX VENTURE:BLN) is a wireless location leader that develops, manufactures, and markets products and services for worker safety monitoring and portable business tracking applications. Blackline solutions deliver safety, security, and location awareness through innovative wireless hardware and custom user interfaces, including mobile, messaging, and web services. Blackline's vision is to become the leading supplier of wirelessly connected worker safety monitoring and portable business tracking products in the world. Blackline products allow customers to protect their personnel and valued assets, share the conditions of their environment, and connect with emergency services when necessary. Blackline solutions Protect. Share. Connect.®
Neither 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.