VANCOUVER, BC, March 2, 2022 /CNW/ - LITE ACCESS TECHNOLOGIES INC. (the "Company") (TSXV: LTE) (OTC: LTCCF), a world leader in the fibre optic products and advanced installation methodologies, yesterday reported its financial results for the first quarter ended December 31, 2021. The financial statements and related management's discussion and analysis ("MD&A") can be viewed on SEDAR at www.sedar.com.
FINANCIAL HIGHLIGHTS FOR THE FIRST QUARTER 2022:
- Total Q1 2022 revenue of $1,881,985 compared to revenue of $1,994,410 for Q1 2021. The slightly lower revenue was primarily attributable to decreased construction activities due to weather conditions this year;
- Gross profit for Q1 2022 of $86,064, or 5%, compared to $128,545, or 6%, for Q1 2021. The lower gross profit was primarily driven by the higher amortization this year resulting from the acquisition of AMEC, partially offset by the lower material and subtrade costs. Excluding the amortization, gross profit would increase to 12% for the quarter, up 1% from the first quarter of last year;
- EBITDA* for the three months ended December 31, 2021 was ($415,645) versus ($330,561) in the comparative quarter. The moderately lower EBITDA was mainly attributable to lower revenue resulting from decreased construction activities due to weather conditions this year;
- Comprehensive net loss of for Q1 2022 ($708,872) compared to comprehensive net loss of ($839,726) for Q1 2021;
- Exited the quarter with $1,048,734 cash and cash equivalents.
HIGHLIGHTS SUBSEQUENT TO THE FIRST QUARTER:
On February 22, 2022, Lite Access announced it had signed a contract with the City of Brooks valued at approximately $13.6 million for the installation of a city-wide Next Generation Broadband Network. Phase 1 of the project is expected to commence in April 2022 and will focus on the construction of the backbone network. Once completed, Phase 2 will immediately follow and will provide individual connections to residents as well as businesses with construction expected to be completed by December 2023.
On February 25, 2022, share purchase warrants totalling 5,290,200 expired unexercised.
Greg Smith, Chairman and Interim CEO of Lite Access, commented, "Overall we are pleased with our first quarter results considering revenues could have actually been higher if not for particularly harsh weather conditions which decreased construction activities during the quarter. Regardless, we continued to be vigilant in keeping expenses in check and with our increased execution capabilities and operational improvement, are well-positioned to deliver more infrastructure projects, diversify our client base and expand our footprint."
Mr. Smith continued, "I expect to see robust year-over-year growth throughout the remainder of fiscal 2022 as we mobilize to commence the recently signed $13.6 million contract with Brooks next month. Paired with the ongoing execution of our business, this solid backlog positions us well for 2022 and 2023 and we remain confident that we will add to it as RFP activity continues to be strong and above typical levels. I look forward to providing our shareholders with further updates as we expect to convert RFPs into awards and successfully execute upon our business plan."
About Lite Access
Lite Access Technologies Inc. is a world leader in the use of innovative and proven micro/narrow trenching technologies, alternate methods of deployment and specialist products which transform the cost the network deployment for telecommunications operators.
As part of its suite of services Lite Access provides clients with integrated solutions or select components for the design and implementation of fibre optic networks. Lite Access' products have been deployed in many high-profile communication networks including Olympic facilities, military and government, numerous communities throughout the United Kingdom, the USA and Canada as well as global telecommunications companies that have adopted Lite Access as the "solution of choice" for the least invasive, most cost effective and future-proof fibre optic connectivity available.
Lite Access' installation technology and proprietary products extend a network provider's ability to deliver true broadband connectivity directly to end-users, such as homes, businesses, government and educational institutions, and emergency response facilities. Lite Access remains flexible and innovative in its commitment to provide global clients and partners with the most cost effective and proven fibre connectivity solutions available.
*Non-IFRS Measures
EBITDA is a measure not recognized under IFRS. However, management of Lite Access believes that most shareholders, creditors, other stakeholders and investment analysts prefer to have these measures included as reported measures of operating performance, a proxy for cash flow, and to facilitate valuation analysis. EBITDA is defined as earnings before interest income, taxes, depreciation and amortization, stock- based compensation, restructuring costs, impairment charges, other non-recurring gains or losses, onerous contract provision, and discontinued operations. Management believes EBITDA is a useful measure that facilitates period-to-period operating comparisons.
EBITDA does not have any standardized meanings prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers. Readers are cautioned that EBITDA is not an alternative to measures determined in accordance with IFRS and should not, on its own, be construed as indicators of performance, cash flow or profitability. References to the Lite Access' EBITDA should be read in conjunction with the financial statements and management's discussion and analysis of Lite Access posted on SEDAR (www.sedar.com).
Forward Looking Information
This news release contains statements that, to the extent they are not recitations of historical fact, may constitute "forward-looking statements" within the meaning of applicable Canadian securities laws. Lite Access uses words such as "may", "would", "could", "will", "likely", "expect", "believe", "intend" and similar expressions to identify forward-looking statements. Any such forward-looking statements are based on assumptions and analyses made by Lite Access in light of its experience and its perception of historical trends, current conditions and expected future developments. However, whether actual results and developments will conform to Lite Access' expectations and predictions is subject to any number of risks, assumptions and uncertainties. Many factors could cause Lite Access' actual results to differ materially from those expressed or implied by the forward-looking statements contained in this news release. Such factors include, among other things: risks and uncertainties described in Lite Access's most recent Management Discussion & Analysis (MD&A) for the financial year ended September 30, 2021 which can be accessed at www.sedar.com. The "forward-looking statements" contained herein speak only as of the date of this press release and, unless required by applicable law, Lite Access undertakes no obligation to publicly update or revise such information, whether as a result of new information, future events or otherwise.
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.
SOURCE Lite Access Technologies Inc
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