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JEMTEC THIRD FISCAL QUARTER & FINANCIAL UPDATE

V.JTC

JEMTEC INC. TSX- V: JTC

VANCOUVER, BC, June 29, 2022 /CNW/ - JEMTEC Inc. (TSXV: JTC) (the "Company") is pleased to provide an update on its Third Quarter performance for the period ended April 30, 2022 and the Companies improving financial situation, with no debt, strong liquidity and net worth.

Q3 Revenues

Revenues have increased by 20% during the quarter ended April 30, 2022 compared to the quarter ended April 30, 2021 primarily due to increased revenues from SOLGEN and the province of Saskatchewan. The Company earned revenues on its agreements with the Provinces of Saskatchewan, Nova Scotia as well as the CSC and SOLGEN. The Company also earned revenues from private bail clients by presenting the release plans for court cases.

Q3 Expenses

During the quarter ended April 30, 2022, expenses increased by 16% compared to the quarter ended April 30, 2021 primarily due to the fluctuations in depreciation, equipment rent and installation, foreign exchange, monitoring and activation fees, professional fees, repairs and maintenance, and share-based payments.

Q3 Income Tax

For the quarter ended April 30, 2022, the Company recognized a current income tax expense of $53,000 (April 30, 2021 - $31,000) and a deferred income tax expense of $3,000 (April 30, 2021 - $Nil). The current income tax expense was related to income tax in Canada. The deferred income tax recovery was related to unrecognized deferred tax assets.

Q3 Net Income

For the quarter ended April 30, 2022, the Company recorded a net income of $118,347, compared to a net income of $95,450 during the quarter ended April 30, 2021. This increase in net income is primarily due to increase in leasing, monitoring and activation revenues.

Q3 Liquidity

At April 30, 2022, the Company had cash and cash equivalents of $2,068,396 and working capital of $2,255,446. All cash and cash equivalents are on deposit with a Schedule I bank in Canada in current or interest accruing accounts.

FORWARD-LOOKING STATEMENTS

This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Investors are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. These forward-looking statements are made as of the date hereof and, except as required under applicable securities legislation, the Company does not assume any obligation to update or revise them to reflect new events or circumstances.

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 Jemtec Inc.

Cision View original content: http://www.newswire.ca/en/releases/archive/June2022/29/c3665.html

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