Wi2Wi Corporation Announces Results for the Quarter Ending March 31, 2016
Toronto, Ontario (FSCwire) - Wi2Wi Corporation ("Wi2Wi" or the "Company") is announces
results for the quarter ending March 31, 2016.
|
Highlights
(in thousands of US dollars unless otherwise stated)
|
March 31,
2016
|
March 31,
2015
|
|
Revenue
|
2,357
|
4,632
|
|
Gross profit
|
637
|
1,337
|
|
Net income (loss) from operations
|
(276)
|
535
|
|
Net income (loss) and total comprehensive income/(loss)
|
(276)
|
439
|
|
Net income (loss) per share ($)
|
(0.00)
|
0.01
|
|
Total assets
|
7,247
|
7,712
|
|
Total current liabilities
|
1,940
|
2,176
|
|
Shareholders’ equity
|
5,307
|
5,536
|
2016 Highlights
The decrease in revenues for the three month period ending March 31, 2016 as compared to same period in 2015 was due to:
- Shipment of a number of 2014 backorders in the first quarter of 2015.
- The Company has not entered the low margin market for the wireless connectivity products which is well supported by the
large manufacturers with capacity to manufacture in large volumes.
- The company decided to fully exit from extremely low margin business from Frequency Control Devices
- Decrease in revenue from connectivity products of $1.5 million. A number of connectivity products had reached end of
life. The Company had announced introduction of a number of new broader range of products.
Investment in R&D: The Company commenced a modest product development program.
The current investment in R&D is anticipated to positively impact operations in late 2017. The Company has
established a Design and Engineering (“D&E”) center in Hyderabad, India. Wi2Wi’s team at this D&E center will focus
on developing wireless connectivity solutions addressing the exploding demand in IoT and M2M markets. The Company recently
released a number of new products. A number of potential customers are in the process of evaluating the Company’s new
products. However the Company does not recognise a design win until the end customer certification process is
complete. These products will take in excess of 18 months to yield revenue. Historically, life of connectivity
products are in excess of 8 years, and in excess of 15 years for frequency control and timing devices. The Company is
actively looking to raise capital to expedite the new product development for both Wireless connectivity devices and Frequency
control devices.
“The Company is activity looking to raise capital. Lack of investment capital has restricted the Company’s
growth. However setting up the Hyderabad office will allow the Company to cost effectively develop new products.
Company’s effort in 2016 will be focused on stabilising the business, win back customer confidence and promote the new products
that were announced recently and developing new products. These and other products currently in development will position
the Company in the IoT market” said Mr. Zachariah Mathews, President & CEO of the Company.
For further information, please contact:
Zachariah Mathews
President and Chief Executive Officer
408 416 4202 zach@wi2wi.com
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/Wi2WiMay302016.pdf
Source: Wi2Wi Corporation (TSX Venture:YTY)
http://www.wi2wi.com/
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