Mississauga, Ontario (FSCwire) - Armada Data Corporation (TSX.V: ARD) reports its interim financial results for the quarter ended November 30, 2015 have now been filed on Sedar and are available to view on the Company’s website www.ArmadaData.com as well as on Sedar at www.Sedar.com .

Selected Quarterly Information

The prior periods’ comparative figures have been reclassified where necessary, to conform to the current period’s presentation.

Operations

The Company’s total sales decreased by 6% in the quarter ended November 30, 2015, from $580,517 in 2014, to $545,409.  Comprehensive income increased from a loss of $(71,214) in the period ended November 30, 2014 to $34,364 in the period ended November 30, 2015.

The Insurance Services division experienced an 11% increase in revenue, from $252,525 in 2014 to $280,719 in 2015.  

The Retail Services division revenue was down 22% to $64,727 in 2015 from $82,826 in 2014.  The updated CarCostCanada.com website, as well as the new Partners and Discounts program clearly helped the CarCostCanada.com membership program maintain a strong presence in the marketplace, despite increasing competition.

The Dealer Services division revenue remained much the same, at $161,981 in 2014, and $162,013 in 2015.  This division’s dealer development team has a plan to service the customers who find themselves without a dealer referral, although full implementation of this program has not been completed at the end of this period.

The Advertising/Marketing Services division, which derives its revenue from the sale of online third party advertising on CarCostCanada.com and TheCarMagazine.com increased from $100 to $7,298. 

The Information Technology division revenue increased 11% to $30,652 in 2015, up from $27,550 in 2014.  IT continues to offer technical support and web site hosting to hundreds of customers, and to develop new customer relationships on a regular basis.

The Mister Beer division’s revenues are down from $55,535 to nil.   Direct product costs and labour decreased from $53,633 to nil. The net income for Mister Beer Inc. went from $1,902 in 2014 to nil in 2015.  Management made the decision to close the production facility on December 31, 2014, in order to explore options with respect to a sale or other disposition of the Bottle Brew business line.  This division’s assets were disposed of during the period ended November 30, 2015.

Total expenses before amortization decreased to $500,984 compared to $561,314, a 11% decrease over last year. This is attributed to ceasing production at Mister Beer Inc. and continued cost-cutting measures implemented by management during the previous quarter.  

The bank indebtedness decreased from $(161,983) at November 30, 2014 to nil at November 30, 2015, as a result of acquiring addition financing from a company owned by a director of Armada Data Corporation.   

Accounts receivable decreased by 1%, $299,594 as at November 30, 2015 compared to $303,080 last year.   Related party accounts receivable decreased from $6,770 to $4,037. 

Accounts payable increased to $293,011 as at November 30, 2015 from $212,765 a year earlier.  Related parties accounts payable decreased to $4,538 as at November 30, 2015, from $8,243 last year.

Despite the comprehensive income reported by the Company for this period, the Company’s deficit increased to $(1,730,277) as at November 30, 2015 compared to a deficit of $(1,277,159) last year, attributable to the write-downs of Mister Beer Inc. assets at May 31, 2015.

Management does not plan on issuing any dividends until further notice.

Revenues earned by the divisions are as follows:

Related Party Transactions

Salaries and expenses are paid to an officer of the Company, who is also 50% shareholder of Lease Busters Inc.   Legal fees are paid to a law firm, of which a partner is a (non-remunerated) director of the Company. Financing was acquired from a company owned by a director of Armada Data Corporation, and interest is paid monthly to this related party.  All of the actual costs noted in this section are paid at fair market value in the normal course of business.

About Armada Data Corporation

Armada Data is a Canadian publicly traded Information & Marketing Services Company providing accurate and real-time data to institutional and retail customers, through developing, owning and operating automotive pricing-related web sites and providing information technology and marketing services to its clients.

Armada Data shares are listed on the TSX Venture exchange under the trading Symbol ARD. Armada currently has a total of 17,670,265 shares outstanding.

Additional information relating to Armada Data Corporation is filed on SEDAR, and can be viewed at www.sedar.com.

For further information, please contact:

Armada Data Corporation

Mr. R. James Matthews, President & CEO

Email: investors@armadadatacorp.ca

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.

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